Author Archives: hesty

What Women Should Know While Investing in the Stock Market

Women are gaining strongholds in all fields and it is not long when the stock market will be dominated by women. Women have rational thinking and they are known to be masters in multitasking. So do not be surprised if all the successful investors in the stock market are women. Women need to save money for retirement and the stock market can help you achieve this saving. You should not be too conservative, as equity markets require you to take some risks. Learn to practice asset allocation and diversify your portfolio to get maximum returns.

Here are some facts that women should know while they consider trading options. Women can be great investors, and ignore the saying that women are not suited for this business. It is easier for women to follow the stock market, and trade quickly because you just need an internet connection and everything is there online. There are many sites that will help you get the required information. Women can surely outsmart men by just investing wisely and following the market properly.

Women are generally cautious by nature and so fit perfectly into the stock market trading conditions. You should be up to date with the latest social, political, domestic and international news so that you can take the right financial decision at the right time. if women start investing at the earliest they will observe that they can amass a fortune if the trends in the stock market are their favor. Start with small investments and if all goes well, widen your horizon.

If you invest in too many conservative shares then tax and inflation can gobble up all your money. Take risks and you will see opportunities that can be converted into profits. Buy and hold on to good companies for long term and try and make short term profits depending upon the market sentiments.

Asset allocation is one of the terms that you have to study and increase your knowledge. Spread your money so that you are not at risk. One bad day and one bad stock trade can leave you devastated if you put all your money on a certain stock. Don’t be scared to invest, the stock market is not only for men, women too can earn a fortune with the right kind of investments.

Take expert opinions in case of doubt and you can get information about all the companies on the internet with a click of a button.

Why is Understanding the Stock Market So Hard?

First on the list of recommended preparatory tasks is to obtain a book which covers the Dow theory. This isn’t lightweight reading, but will surely serve to make you a smarter investor. Just as history repeats itself, stock market trends do too. Being able to ascertain what part of which type of cycle the market is currently experiencing is of great help in understanding the stock market and anticipating favorable conditions for your money.

Using the rolling stock strategy requires that you be well versed in stochastics. Stochastics is at the crux of this strategy. The so-called penny stocks often have a short term and repeating cycle of rising and falling prices which stay in an overall, consistent price range. The best candidates are those with an upward trend, where the price gradually rises, while sustaining a predictable rolling cycle. You buy just at the point where the stock has bottomed and is now on the rise. The safest strategy is to sell before the cycle peaks. You can make money this way, but you must have familiarity with the Dow theory, as well as stochastics. In any case, understanding the stock market as thoroughly as possible, is essential to your success.

Day-trading is one strategy that requires courage, expertise and a ‘type A’ personality. The day trader follows several stocks at once, looking for that ‘perfect moment’ to plunk down his money, selling sometimes within minutes. With the purchase of a large number of shares, the difference of even an eighth of a point rise in the stock value can result in a large profit. Then again, the day trader can just as easily suffer a tremendous loss. Some brokerages do not execute the sell order quickly enough, particularly on days of heavy activity. Understanding the stock market well may not be enough in this case, as the situation is out of your control. Day-trading is a risky and highly stressful strategy.

No matter what your strategy, if you’re a small investor, you must know that understanding the stock market means that you are aware of some very obscure influences which can make your ‘perfect pick’ imperfect. A well-known consultant, who gives seminars on stock investments, brought this element into sharp relief for a group of students.

The assignment involved one particular stock which each student was to investigate and give their opinion of this investment, citing reasons why they would or would not. The stock was a ‘good pick’, according to all the participants. The consultant then explained the factor which no one had uncovered in the investigation phase which actually made this good-looking stock a disaster as an investment. As it turned out, every 20 years, a ‘red tide’ appeared off the coast of Peru, ruining the product and thus, the stock value for the entire season.

Along with your self educating in all things stock market, you should begin to test your understanding of the stock market. There are many websites which give a daily list of stocks for you to peruse and make a prediction of whether they go up or down in a certain time period. Others ask you to predict which will have the largest percentage rise, also in a certain time frame. It may take a considerable while before your predictions are, for the most part, accurate. This strategy of testing your understanding of the stock market will save you a bundle of money. You may decide the stock market is not your niche! Understanding the stock market is a difficult and time consuming effort.

Looking For Free Indian Stock Market Tips?

Are you looking for free Indian stock market tips? In this article I am going to give you some general tips and advice that will help you to get far better market results.

Free Indian stock market tips

Successful traders let their profits run and cut their losses short. Sadly the vast majority of traders do the opposite they cut their profits short and let their losses run. They do this because of psychological comfort. This means that.

Losses = failure = they avoid it as much as possible
Profits = success = they want it as much as possible

This is why they cut profits short and let losses run. Overtime their losses get bigger and bigger because they always think they will turn around. Also they always take their profits out too early and because of this never make as much money as they could of.

The solution to this is disciplined trading, use the following steps and stick to them

· Find identifiable pattern setups
· Identify support and resistance areas
· Identify logical targets
· Develop a plan and stick to it (plan the trade and trade the plan)
· Measure your success by your ability to execute this plan perfectly
· Use solid logic and trailing stops based on price – this turns good trades into great trades

Using these tips will give you far better market results. Just remember plan the trade and trade the plan. If you enjoyed this article on free Indian stock market tips and would like more stock investment advice please visit my website by following the links below.