Stock trading 301

Ready to dive in? How to tell if the stock market is ripe for your investment dollars – and so began an article in the May issue of Best Life magazine telling investors to ask a question that can be answered: Are stocks cheap yet? The article cited an investment fund manager with money on the side, which he was excited to deploy into stocks. That is the wrong focus – “Are stocks cheap yet?” is not the right question to ask. Why are stocks cheap and why should I believe that is the best place to place my bet/money? If fundamentally the US stock market is weak and not likely to offer promising rewards for many years, why play around? The goal is not to consider cheap stocks; it is, as with any investment to find the absolute best item/stock to bet on at the right time. If you put enough money on an investment and it moves in your favor you only have to do it once to have a life-changing amount of money. Investments are based on finding someone else to pay even more for the thing you bought. And if stocks are cheap, it says that the buyers are weak… and if there isn’t much confidence it doesn’t matter that stocks can be bought cheaply, the only thing putting money in your account are the fools that will pay significantly more than you did for your shares. The article articulates limited thinking – What about international stocks? Go to the marketplace that offers a sound fundamental platform with promising long-term rewards, and excited buyers in the near-term… excited buyers are the people that make you large sums of money, not the investment itself. So, here’s a bit of trading at a lower level, I mean stripping out all the useless stuff that doesn’t make you money, and hammering on a few points that could help:Practice good timing and effective risk control. (may include using options)It doesn’t take long to profit if your timing is right.Acting with your bow and arrow, you want to make shots as close to the center of the target as possible. Some people experience a thrill throwing a ball into a hoop. Whatever the case may be you’ll miss one hundred percent of the shots you don’t take.If anyone could identify market highs and lows in advance they’d own the world. It isn’t possible to do it consistently, so avoid all investment marketing that promises the stars and invokes your imagination to follow them so you can quit your job, buy a fancy car, big house near the beach, and travel the world. When you bet big on the most promising investments at the right time and it goes your way it can change your financial life… that’s all there is to it.

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