Your neighbor enjoys watching financial news, and he or she rarely buys or sells several shares of a company’s common stock that is sold publicly. How did he do that?
He knows why he did that, before he planned how to do it. He seeks to invest in a growth company before many other investors know and raises the price of the common stock. However, he also wants to win what he does, and this aspect of investing can be shifted from a plus to a minus. The “how” begins to capture current, relevant, and actionable investment information. A variety of free television and online resources provide that information.
Your neighbor recorded the morning and afternoon “CNBC” television show on investment. When he gets home from work, spends time with the family, and enjoys dinner with the family, he spends thirty minutes-an hour sketching the CNBC shows of the day to catch up on the news. to invest in the financial markets of the day. Perhaps, he will get information about a particular company, whose stock is moving up or down in the news. He searched for the company name to identify the stock ticker symbol.
He accessed “Multiple charts” to find out about the company and how its stock is doing now, and over time periods, paying close attention to the size of the company, and whether it pays. or not on a quarterly dividend. By searching for the stock ticker, paired with the words “dividend schedule,” he can determine if the company will pay the next dividend to the stockholders who own the stock at a later date. .
Your neighbor will not gamble. He invested. He rarely invests in stock news. However, through research, he can learn to add the stock to his watch list to make a more in-depth analysis of what caused the stock to move or improve in the past. Over time, he got a list of about 30 stocks, with some of the ten sectors in the S&P 500. From CNBC shows, he knows which sectors are thriving right now.
He sells the stock to a well -known online broker who charges $ 6.50 per trading commission. He only trades by using a limited amount of money he has set aside for this purpose. He prefers to buy no more than 100 shares of any stock, and he buys the valuation about a month before the company’s ex-dividend date, when the amount is earned in stock trades and he sees that starting that the price increase. . He sets the purchase price as a “limit” order (because he doesn’t want to buy if the price rises sharply above his target price), and he keeps the order alive by selecting “good until canceled. “
If the fresh news changes the parameters, he cancels the purchase order. Marketing presents an additional challenge. After the purchase, should the price of the stock rise immediately, the temptation to sell it for a quick profit, but consider that the company’s business begins to rise to a new principal level (the stock to be continued and passed on to grandchildren)? He pays more attention to the news of the stock before he decides what to do about selling it. If the stock goes down on unexpected bad news, he usually sells without thinking, because it can limit the loss and he can calculate the losses on the gains of other stocks for the tax year.
not a skilled, licensed investment professional, your neighbor as well not you. Do research, limit risk, and know to be cautious about investing that may work for you. Your neighbor will never invest without his or her knowledge, and he or she will never listen to specific investment marketing advice. # TAG1writer