Category: Money Tips Date: 2006-07-30
The continuing rise in the market is giving us waves the impulse to buy the shares. Recently by means of e-mail exchanges with me to explore the broader market, more and more friends, more of the mentality of fear Ta Kong. In fact, in a rational manner, the true will enable us to generate impulse buying stocks should never be the factors is the market continued to rise, but should we have found through the efforts of several stocks.
Facts have proven that almost all of them every time can not accurately predict the market trend, even if occasionally successful and there is absolutely no guarantee that the next forecast credibility, so look for good stocks to be our magic weapon for winning, but also Only when we find good stocks should appear only after the impulse to buy stocks rather than the market rise Shiran. With its bustling market analysis and forecasting are enormous, not as a solid and conscientious study of things aside and concentrate the stock. I have always admitted that an investment principles: find good stocks to buy, did not find good stocks (not necessarily a good stock is not only the individual did not find just) do not buy. This principle has proven very effective, and it makes me a big adjustment in the past few years, Daoli received extraordinary development. In retrospect the end of 1000 point and also in unconsciously spent, but it was heavily loaded a few good stocks was a strong trend to ensure the success of the essence of the bargain-hunting. A few years ago had made such a point of view: as long as we have been able to find good stocks and hold of, then even if the market continued to fall only to reduce earnings expectations only, but certainly not to miss in history at the end. Has now been copied in history at the end can no longer turn, but added that may face the head, but the truth is the same. As long as we have been able to find good stocks and hold of, even touched the top, it will only reduce the expected return, but the case if the market continues to rise it will be excess revenue. For rational investors should fear most is not the market rise or fall but can not find good stocks, after all, the ability of individuals is limited.
Good stocks is not necessarily a long-term holdings of stocks, not necessarily only mean there will be a significant improvement in the fundamentals of the stock. As long as at the technical level is guaranteed at least in the short term can also be a good stock, but also a good short-term stock investors are not necessarily small patent. Some time ago there was a temporary spare part of the funds and found that some large-capitalization stocks with technical guarantee of the surface, and then in Industrial and Commercial Bank of China, Bank of China, Sinopec, China Unicom, to do short-term, tens of millions of funds also can be easily Instant access. Perhaps the time is not more than a few percentage points of revenue, but if the words of the annualized earnings will also be multiplied.
Curb the impulse to bring the market up, let us concentrate on to find good stocks.
