Many people are interested in the stock market and how to make money with their investments. So what are the most important factors for a fortune in the market?
First you must understand that we must first have a method of investing. Many investors just jump and start to invest, without any idea what is their strategy or what they want to get from it.
First, you need to sit down and think about what you wantto achieve with the system. Want a car at the end of the month, or is your goal, a home to buy in 5 years? In this way dramatically affect the strategy.
For example, if your goal is, enough money for a car to buy in a year or so, you want to invest conservatively, like a bond, something that is guaranteed to pay money. If you need money fast, there are no guarantees in the stock market, and have the same chance of losing all your money, as is being doneit.
However, if you know what to make enough money to buy a house in 5 years, will be your strategy for investing in the market for maximum return on investment. While short-term volatility of the market is very stable in the long run, and much more you can certainly have a positive return on investment.
If you are going to jump into the market than bonds, you must specify whether you want to be an investor value or a technical analyst. That's the difference:A technical analyst does not try to make more money in the short term with a particular investment, and not over the long-term investment in a company concerned.
A value investor, on the other side is not to invest in a company until they can be sure that both the long-term prospects are healthy and have a solid financial future. Only after seeing to go ahead and invest.
Which method is best? It all depends on what strategy you feel comfortable.
TechnicallyAnalyst requires constant study of graphs and you always have to review your investments. In addition, one wrong move literally wipe out your wallet at night, do not have the money to pay for the operation to begin, which can often destroy mention your overall profit.
Value investing, on the other hand, is much more stable and requires much less attention to your investments because they usually make money is secured in the long term. ThenYou should only engage in technical analysis, if you absolutely sure you know what you are doing.
The bottom line is this: Many people have the money or strategy. However, many more people have money in the short-term participation in the technical analysis as it has lost fortune.
Therefore, you should consider both methods and decide which works best for you. The most important part is to make a decision and not in hindsight. Easy to walk and move, so goodIt is possible, and in the long run will make a fortune in the market.
