Category: Money Tips Date: 2007-01-08
Investment philosophy places more like a feather. Only the same time, picked up a feather and implemented by the two, to be invincible. Which two? If you do not know in advance, to pick one place in these two feather feather there is a certain difficulty. This is why retail investors in the seven losses 2 Heiichi win a point.
This two feather is the "only in the rising Quotes in the market" and "stop." At the same time to seize these two points, entering the market who should win.
1. Only in the broader market rose Quotes in the stock market bullish, in a rising market Quotes is a necessary condition for being. In this case, all the channels of individual stocks to go up together, only in one stock-picking.
2. Stop right who first entered the stock market, for the sake of simplicity, in any case, buying stocks loss amounted to 5%, all out.
In any way the stock market came from the probability point of view the problem, the above method is no exception.
The stock is characterized by strong Hengqiang, in the bull market in all channels take up stock picking stocks continue to rise is very likely, assuming you buy the stock after the passage of all stocks go up 75% of continue to rise, in this case, you can set up select stocks to buy three pairs of two. Since you have only the stock rally in the stock picking at all, from the probability of speaking, your average gain should be better than the broader market. Assume that after you buy stocks in up 5%, you buy stock, buy up an average of only two pairs of 5%, buy wrong one shares fell 5%, at this time because (5% +5% -5%) = 5% You should also earn 5%. The above example is to have no experience in terms of stock picking. When you have a stock-picking experience, the performance increases in the level of increase is proportional to stock picking with you, your income will naturally be better.