May 10, 2021

Tips to Buy Stock for Beginner

Stocks are one financial product. We know financial markets are divided into the capital market and money market. Stocks including capital markets products which is evidence of our ownership of the company that issued the stock certificates. In buying the shares of stock, there are intrinsic value and the actual value that you need to know to be more successful in stock trading. Interestingly, to transact stocks, there are also the rules that you need to follow in order to prevent the loss of investing your money at the best online stock brokers. Well, if you are the beginner of the stock market investor; knowing the right tips to start investing your money on

Consider the unique characteristics of the stock market. For example, there is usually a tendency to ride around April-May in anticipation of the publication of the financial statements and dividend distribution (sell). Instead, in September-October, it is usually a downward trend that no news and activities (buy). While at the end of the year, there is a tendency to rise in anticipation of welcoming the January effect (sell). In February-March, it usually occurs after the correction window dressing and effect January (buy), and so on. Therefore it is important to find strategy and planning when you want to invest your money.

In addition, be disciplined and diligent. For example, 33 over and 5 low. Obey the rules and do not ever follow your lusts and emotions. If you dare to take risks, It’s okay without cutting losses, excepts 1) you use margin, 2) share prices have been relatively high, and 3) when you sign in, the price or the trend might be reversed. We recommend to hold no more than 9 types of shares only. Focus on a maximum of three stocks and hold 1-2 stock is retained for one year. Human capabilities are limited, so well do not be too greedy.