Category: Money Tips Date: 2007-06-27
Tape continuously adjusted so that many investors fall into confusion and contradictions in how to operate in adjusting Quotes and become practical problems faced by small retail investors. In my opinion: For small investors, the blind pursuit of "buy the dips" and "escape-top" is a very unrealistic goal, making money is the key to grasp every one up Quote of the "intermediate" stage, as many people participated in a dinner, each attendee can only focus on the eating, "the fish" rather than a luxury to eat "all-fish."
1, and never copy "at the end of" escape "top." For most investors, "buy low sell high," "band operation" is the basic method of operation is the only way to make money. However, for small investors who buy low sell high is often a case of, but not impossible dreams, band operation results are often chase sell into buying low to sell high-priced, it seems extremely difficult for money. For retail investors, this confusion, I believe that they are guilty are always trying to "bottom" and "top" to judge and guess, "every day would like to bargain-hunting, the more copy more losses." Because probability and experience shows that small and medium investors to accurately determine each of the top and bottom of a band is almost unrealistic, and its repeated repeatedly guess wrong, might as well do not guess.
Any one can never be small shareholders launched a major market, it is impossible to change the Quote of the major trend, therefore, broader market decline, when medium and small investors not to guess "at the bottom," where do is to establish the upward trend after the calmly to buy. Then there is no need to consider "top" where the trend changes only when the calm sell to earn the "middle period." This approach also applies for the broad market and individual stocks, "as the fish, do not try to head and fish tail all eat, eat as long as the most important 'the fish' can be a."
"Short-term customer" only short-term. Reason seems simple, but very difficult to make money. A very common phenomenon is that many investors buy stocks is when the results on the "shareholders", the long-term hold-up could not extricate themselves. In fact, most of these investors do not make a decision to start long-term investment, many "short-term visitors" because of quilt they could not bear to be forced to long-term holders of stocks flesh. To avoid the "forced" to do long-term basic approach is to always stand with a "trench", the words, investors in the stock market should be the objective and subjective conditions of their own to have a comprehensive understanding of every day on time to the securities business the Ministry of work, strong technical analysis capacity to "full-time" stock investors can be shortened at home or office with computer office workers can do the center line, but with their own savings to invest in stocks of thinking can only do long-term investors.
“找准了适合自己的定位之后，还必须始终坚持。短线客只做短线，中长线的只做中长线。”作为两种完全不同的投资方法，短线投资的关键是找准低位切入点?while the long-term investment, the key is to determine the long-term trend, eat "the fish", do not mind the temporary rise.
Many investors who normally buy at the beginning are the short-term thinking, make a few points could not wait to be honored once the short-term quilt, it will wait for some sort of relief rally, the more sets of the results of the deeper into the short-term and longer term. If investors positions the structure close to the mainstream institutions, and their flesh, after Ta Kong, might as well wait for the stock they own with the broader market Zhang Sheng.
Look at the strength of contrast from the moving average. In last week's rebound in the broad based revenge characteristics, low-cost oversold stocks have significantly outpaced the market. In the past two days of adjustment, still there are many stocks in the "Fly Against the Wind", as investors know what to do, fearing the wrong one, round loser. I believe that broad market and individual stocks to determine the "strong" and "weak" one size fits all approach is to look at moving average system contrast. On the broader market, the stock could exceed 5-day moving average, indicating a relatively strong short-term market; if the stock stand on the 60-day moving average, can be identified as an intermediate Quotes basically established, which is the same set up for individual stocks.
From the method of indices to infer, from the theory, most of the strength of individual stocks and the broader market should be quite strong or weak, but the current market situation is that individual stocks and the index of departure from the increasingly serious. In this case, to judge the strength of the relationship between individual stocks and the broader market is necessary to look at from a comparison between the two moving averages. For example, when the tape break 60-day moving average, that if an individual stocks are still hovering below the 60-day moving average shows that the unit run from the center line underperformed.
Usually short-term capital inflows should be defensive stocks, but such a strong short-term, investors must exercise extreme caution to avoid becoming a high profit-disk "to their plate in hand," must look at their 20,60-day moving average system If is also stronger than the broader market followed the trend mostly underperforming city. (Wang dry)
