Category: Money Tips Date: 2007-05-02
As a mature investor must fully grasp the stop and cover their shares of these two strategies, according to the different objective conditions, respectively, to adopt a different response mode.
Investors buy stocks quilt, the first question is that one must make a choice between selling or stay, that is, stop and cover their stocks to choose between. Specific criteria for selection are as follows:
1. To distinguish between the buying behavior caused by hold-up is a speculative investment, or investment buy. Where the situation according to the fundamentals of listed companies, the value from the investment point of view of investors, stock picking, you can not care about the temporary rise stock price fluctuations.
2. To distinguish between the sub-buying operations are shovel at the end of purchase or a chase-type type to buy. If it is chase the type of purchase, once the judge found errors, we must resolutely stop. Without this determination, we can not participate in chase.
3. To distinguish between the hype, or belonging to short-term operation in the long-term operation. The short term and the biggest failure is not a moment how much profit or loss, but because of mistakes that put short-term causing midline, and even made long-term. Will not stop those who are not suitable for short-term operation, it will never become a short-term expert.
4. Recognize that they are prudent investor, or are aggressive investor. To establish their own operation style and good at operating skills. If investors have enough time to read the tape and a good sense of disk, you can intraday "T +0" or short-term short to reduce the hold-up costs.
5. To distinguish when you buy the market rose is in a high position, or at a lower position. The index is high, especially when markets are more profitable to consider stop-loss set.
6. To distinguish between broad market and individual stocks of the afternoon down space. More space down the firm stop. Especially with regard to some of the more popular front, or large stocks.
7. Distinguish between the main ship in the Xipan or, if it is the main ship, we must resolutely and thoroughly to stop. But remember: the main ship may not be at a high level, the main Xipan not necessarily low.
8. According to the severity of their position, if the position too heavy and fitted, and should be appropriate stop-loss as part of the stock. This is not just in order to avoid risks, but also conducive to the stability of mind.
