How to select stocks that actual stock-picking Money Tips

Category: Money tips Release Date: 2006-04-25

Stock picking, stock picking any time, but not at any time is a good time to stock picking. There are only two, it often can elect out of good stocks.

First, the broad market decline, when the election is the best defensive unit when low.

Stock picking to elect the safety stocks, safety stocks are low and the resilience of the stock. Therefore, only when the broad market decline, to appear in many low stocks, but also can be found that some resilience in the broader market fell sideways shares of individual stocks. Therefore, when the broad market decline is a good time to stock selection, this time to elect the safety of good stocks.

However, the stock can only be elected at this time on the "Optional Share" inside, it can not be bought, and only when the broader market bottomed out before we could consider buying.

Second, the tape has just bottomed out when the start is the best election hot plate, leading stocks and shares, when low strength.

When the tape has just bottomed out when the start is also a good time for stock picking. If the tape is not the bottom, you can not buy shares of stock picking, because when the broad market peaked, any stock-picking methods are useless. Only in the tape at the bottom when it bought shares of stock picking, which is one of the key points of stock-picking techniques.

According to "the stock market movement principle," the broader market bottomed out because the hot plate rising up before bottoming out, thus pulling up tape, therefore, hot plates must be on the broader market bottomed out.

In this way, we can use a simple way to confirm prior to hot plate ─ ─ broader market bottomed out, pull up the plate is the broader market bottomed out hot plate. Played in the hot plate pull plate is the leading shares of the stock rises. Therefore, the broader market bottomed out just when to start, but also a good time to stock picking.

Must pay attention to actual stock-picking points: tape, board, stocks.

1, actual stock picking to be carried out with the broader market trend.

On this point, the above has been said, only when the broad market decline, especially in the late fall broader market bottomed out just when the rise is a good time to stock picking.

Therefore, we must first consider the broader market stock picking. This is an opportunity to grasp the issue of stock-picking is very crucial and very important.

2, actual stock selection must also be elected to the plate.

More than 1000 stocks, not without the purpose of stock picking. Active market, there must be driven by hot plate and hot plate in the stock because of plate effects, usually higher up, so to jump in a hot plate stock, select other than the shares of profit opportunities to a large multi - .

Therefore, the stock-picking the second point, one should consider the plate effect, the election of the plate. This would greatly enhance the profit opportunities.

3, actual stock picking, we should consider the safety and profitability, we must select a strong low stocks.