Category: Money tips Release Date: 2006-11-27
Abstract: At present, dark horse selection method has a performance-based stock selection, to theme-based stock selection, to game-based stock selection methods. Because too many people with performance, growth stock selection. Proposals: one to pick up my abandoned, abandoned as I prefer. Focus on their subject matter, into the very few people are concerned about varieties. Selected good stocks can reap huge profits, the wrong stocks, bull market which have loss a lot of money, this is a new feature of a new bull market. Stock selection have become the key point of success or failure of investors in stocks! Accordingly, a variety of ways to promote black horse came into being, all kinds of stock selection accounted for the major articles to your site list. However, a number of dark horse selection method, individual stocks recommended articles, in the end the advantages and disadvantages so? The scope of its application, what is most important is the next stage of the method is best suited to it? Here we have to make some analysis.
Dark horse of current selection methods that could be roughly divided into three: First, performance-based stock picking as the main method. Second, based on speculation based on stock picking as the main theme method. Third, is a game, on the contrary theory and methodology with the village based on stock picking as the main method. The first method is currently occupied a dominant position.
The main performance-based stock picking is currently divided into pure performance, with the funds, with the three methods brokerage. Pure performance, is to find the performance of individual stocks will be increased substantially. Its theoretical basis is this: as long as the performance of substantial growth, its stock price will be increased substantially. And with the Fund's method is to find the information from the public funds Masukura, bullish stocks. It is based on: A, the fund has a strong research capabilities. B, the performance of the Fund is also a fancy. C, a considerable fund of funds, once they have entered it means a big money enters, it may dramatically pulled. Namely, with the Fund is the combination of performance and capital for the stock. But with the broker of the method is to recommend stocks with the broker. The theory is based broker has a long research capacity, but also a considerable amount of money, so they will also have selected a larger increase in individual stocks.
This stock-picking approach is currently in the market occupy the mainstream, the overwhelming majority part of the black horse is recommended to take this approach. The advantage is: performance support, less risk of individual stocks to buy after the safer. And this method of value investing is extremely popular and widely accepted by the market as a whole. Brokerage, fund of funds on hand there is a certain amount, they are also one of the main force pulled up sharply. However, its disadvantages are also obvious.
First, too many people adopt this method. Is now almost dark horse of the methods are most recommended it. Including brokerage, funds have also pushed it a Road. We can say that good growth performance of individual stocks, not long ago a good increases, has reached the point where no one would dare chase; that have long been a lot of investors to enter, and the main force did not dare pull station.
2, over that fund. The Fund had indeed been successful in capturing the main stage too hot, but that is a matter in 2004, and has been in the past three years. Last year, the mainstream stage hot in Shanghai local shares, the Fund has failed to catch. This year's main stage is a non-ferrous metals and petrochemical hot plate, the fund also failed to grasp. We should note that Fund in the recent wars have shown that numerous failures, there is no need for the Fund to pay homage to attitude.
Third, the recent speculation in non-ferrous metals, resource stocks, the main speculation is the performance. From the main force of China's stock market has always been the way the look, the next one is likely to stir up the direction of stocks is the subject matter. Because of non-ferrous resources speculation, causing the market attaches great importance to the performance, attention focused on that, the market has become the subject shares a weakness, few people are concerned about.
The second is to hype a subject of stock picking stock picking ideas. Is the plate for the previous period, and so on petrochemicals as the basis for acquisition of subjects to choose dark horse. M & A speculation in the Chinese stock market has always been a major theme, there have been several spectacular big hype. This stock-picking approach due to recent market speculation focused on performance, growth, and so was in a neglected disadvantage. Advantage of this approach is that once rose up, particularly large rise, up approach ferocious, speculations topics imagination is particularly great. The disadvantage is that speculation is greatly dependent on the news, and investors generally access to information, both at a disadvantage. Rising and falling sharply, particularly in the absence of performance support or together, falling particularly ferocious.
The third method is based on stock picking game, on the contrary theory and with the village-based stock selection methods. This approach is also divided into two kinds: one is from the steady decline in the number of shareholders to find traces of the main force. Another theory is entirely from the opposite point of view, I prefer to take what others discard, people to pick up my abandoned approach. Is to study the issue from the investment psychology, it focuses on the game, focuses on identifying market segments errors. This method is currently in China's stock market still in its infancy, are rarely concerned about the market.
In summary, we believe that: Based on the current market to take too many results, growth of the stock selection methods; plus market is optimistic and the same; and the recent big fry color, resources, performance. Therefore, we suggest that investors should be temporarily abandoned to the recent performance, growth of the stock selection method. To take people to pick up my abandoned, people abandoned the principles I prefer to choose the next phase of the focus into the mainstream hot topic, the place with little attention to the varieties. Want to know stock market is only a very small number of people winning a place. Of course, when the market is when everyone is concerned about the subject matter, or less optimistic about the market outlook, we can also put the focus back to stock picking performance and the growth. We believe that the only people to pick up my abandoned, abandoned as I prefer it be possible to reap the profits.
In other words, in order to gain windfall profits, you should choose the next phase of a major hot spot to lay stress on subject matter, into the very few people are concerned about the varieties! This is our recent profiteering style all their own!
