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Stock Buying Tips For Beginners

3 Tips for Beginner Investors

Trying to learn the stock market on your own through trial and error is about as easy as tickling a grizzly bears paw and walking away unscathed. And unfortunately, if trial and error is your strategy, the end result won’t be too different either. What you need to understand is that even the most successful stocks and options traders has had their lunch eaten for them at one point or another, but through the tips and tricks outlined here, they picked the pieces back up and went from beginners stock trading to investment pro.

Fortunes are made and lost everyday in the stock market. Whether you are trading penny stocks or blue chips, day trading or taking a more conservative long term approach, there are tactics that will earn you an incredible payout, and there are others that will have you financially flatlining in the tick of a NYSE minute.

This article will give you 3 tips on how to successfully navigate today’s volatile market and come out on top. We’ll go over how to judge which stock market shares to invest in and which ones you shouldn’t, as well as a few pointers on how the market actually works at its core. I look forward to your comments and any further advice you can offer our readers.

3) Watch The News

It’s no secret amongst the most successful investors that the stock market is ran by emotion. Excitement and fear are directly tied to the rise and fall of stock share prices and values. Take Apple (AAPL) for example; with the recent release of the iPhone 5 many shareholders were expecting a surge in value, as has been the norm with every other major release over the last decade or so. But due to a sub par maps app replacing the Google maps app and the subsequent poor reviews the stock dropped by nearly $50 a share. The performance of the new maps feature didn’t seem to affect sales, but the market definitely lost certainty in the tech giant and the stock suffered for it.

Pay attention to recent press releases on the company you’re interested in investing in and also the volume at which it is trading. Positive news and high trade volume often will equate positive returns, while negative press and high trade volume is usually a good indication that it is not one of the best stock shares to be investing in at that time.

2) Know When to Hold Them and When to Fold Them

In some respects, the stock market is a lot like a game of poker. There’s a huge pot to be taken by the player with the right hand, or, the right approach to that hand. Stocks, like poker, is a zero sum game. In order for one player to win, another must lose and also like poker, statistically speaking the odds are not in your favor that you will win every hand that you play. With that being said, you need to know when to hold onto a stock and when to cut your losses and run for the hills. Setting clearly defined goals for your investments is a great way to mitigate your losses and maximize your returns. Where you set these goals is dependent upon your level of risk tolerance. A good rule of thumb is to set your sell line at 15-20%. If you see a 20% upswing in your stock then be happy with the money made and get out while the gettin’ is still good. Chances are the stock will rise and fall for some time and by selling at a set percentage and rebuying at a lower percentage you leverage your investment and really start to compound those gains. This is the essence of day trading.

1) Diversify and Thrive, Consolidate and Die

One of the biggest mistakes beginning investors make is to consolidate all of their investment power into one so called “sure thing”. First and fore most, there is no such thing as a sure fire bet in the stock market, only educated guesses at best. Second, putting all of your eggs in one basket is about as smart as betting it all on Black 17. Yes, the potential for huge earnings is there, but with it is the potential for a financially crushing blow. A smart investor will spread his bet across the market. Find a few stocks that have been performing well and watch them for a week or two, Acclimate yourself to their swing patterns and make knowledgeable investments in a variety of sectors. While it may be tempting to bet the farm on what you believe to be a barnburner, you may end up doing just that, burning your investment power away and driving yourself and your family to financial ruin.

The question you need to ask yourself at this point is, “How serious am I about becoming a successful stock trader?” If your answer is that you are serious and you want to truly up your game then the strongest suggestion I could make to you is to enlist the help of either a personal investment coach or invest in a program that can take a lot of the guess work out of the game for you. There are people out there far smarter than us who have made it their business to know as well as you can know what the stock market is set to do, and they have created powerful algorithms to help us make the smartest decisions possible when it come to investing our hard earned money.

With that being said, best of luck out there, and may the market always be a bull for you!

How to Get Rid of Spam Stock Market Tips

Junk email, spam, is getting worse than ever. Even with an anti-spam filter, some junk emails that show up in the inbox are disgusting, deceptive, and aimed to con you out of your money. In addition to traditional spam emails promoting medication, mortgage, pornography, new ones such as stock scams are growing. The deceptive and unsolicited nature of these e-mails qualifies them as spam. Stock scams, combined with traditional spam techniques, can cause a significant financial loss to victims of these swindles.

You might have noticed that many spams are touting a particular stock. These touts are sometimes made as part of a Pump and Dump scheme. Pump-and-dump scams are email campaigns which encourage people to invest in a particular company’s stock, in order to quickly inflate its value and enable the spammers to make a fast profit. It is thought that these scams take place unbeknown to the company involved…

The purpose of the pump-and-dump stock spam is to quickly and cheaply disperse false information about a company’s stock, along with information obtained from recent press releases, to potential investors. Usually this is a slimly traded stock on a small exchange for only pennies a share. By implying that recipients of spam emails are in possession of privileged information – such as news of an acquisition before a general announcement – spammers seek to persuade the gullible into purchasing particular stocks. If a significant enough number of easily-led individuals invest in the touted stock, a spammer can ramp up the share price so that existing shareholders can sell their shares at a profit. But when the fraudsters dump their shares, and then stop advertising the stock, the price often falls, and investors ultimately lose their cash.

What to do if you get spammed? How not to become a victim of stock scams?

The first thing you can to protect yourself against stock scams on the Internet and against spam on the whole is to setup an anti-spam filter, which will filter your messages before you receive them into your inbox. Most pump-and-dump spam emails contain the words like “stock”, “invest”, “investor reports”. But to bypass spam filters, spammers can use the variations of the word “stock” such as “st0ck” or “stox”. So, if your inbox is flooded with penny stock tip, ignore it. Delete it. Do not believe anyone who tells you, “Invest quickly or you will miss out on a once-in-a lifetime opportunity.” Just don’t go thinking this is your big chance to hit pay-dirt. It is sounds too good to be true. The only ones profiting from these “spam e-mail tips” are the senders themselves – in this case spammers. The history of the stock market has shown that the best and most trusted way to build wealth is to invest in high-quality businesses with excellent growth opportunites. Investigate before you invest. Find out who sent the message to you. Ask whether the claims can be documented. Verify whether the claims are true before you send a nickel of your money. But if you yielded to temptation and became a victim of a stock scam, you can hire a lawyer to try to get your money back, but you need to know that recovery is rare. Just remember that the best protection is to take no action and stay away from bad deals in the first place.

Stock Market Commentary – Navigating the World of Investment Advice

When you’re a new stock market investor, it can seem like everyone is more experienced and knowledgeable than you about every aspect of the industry. Not only are you faced with complicated and loaded decisions about which companies to invest in, but you also have to decide how you’re going to monitor those investments and how you’ll know when to buy or sell to diversify your portfolio. It can be tempting to start listening to the stock market commentary provided by the hundreds of industry experts online and on the television, but it’s important to remember that even the experts can get it wrong.

All you have to do is search for keywords like “stock market tips” or “how to invest” on a major search engine, and you’re going to be provided with thousands of pages of content, all telling you that they have the answer to all your investment problems. But they can’t all be right, can they? If you’re going to look for stock market commentary to help you create a successful position in the stock market, you must know how to separate the self-proclaimed experts from those that have proven they can provide you with insights that work.

One of the most popular types of stock market commentary are the articles that advice you about which stocks are currently the hottest, and thus likely to make you a heap of money if you just invest in them right away. With this type of commentary, it’s important to explore the credentials of the person making the recommendations. Do they have a record of being right about their stock picks? How much experience do they have as a trader and how much money did they lose before they started providing new investors with “expert” advice? The answers to these questions can help you avoid noise masquerading as advice.

Although stock pick commentary can be dangerous if it is your only way of choosing which stocks to buy and which to sell, it can be helpful in some situations. Good commentary is just that: objective observations about what’s going on in the market, and what that’s likely to mean for the health of portfolios everywhere. This commentary will address political and media pressures, as well as company history issues that you might not have discovered in your own research. This commentary is useful because it can help you to connect the dots and understand the whole picture surrounding a certain investment.