How to Make A Profit in Stock Trading
You might have thought, “What! It’s not the answer!”, But in order to make a profit in stock trading,
In fact, it is very important that you do not anticipate whether the stock price will rise or fall.
If you don’t understand the difference between “investing” and “trading” in stock trading, you are likely to suffer big losses and lose valuable funds.
If you want to increase a small amount of money, you need to make a “trade” instead of an “investment”.
When you trade, you should not predict the stock price, but only the current stock price.
So I don’t usually expect the stock price to go up or down,
I wanted to convey that it is important not to be aware of it.
If you’re trading stocks in anticipation of a rise or fall in stock prices,
First, make sure you understand the difference between investing and trading.
So what is the difference between “investment” and “trade”?
Here are some tips to help you solve your worries, including an explanation of this difference, which is important in stock trading.
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We are giving away a special report that summarizes eight misconceptions about equity investment.
Easy explanation for stock beginners about 3 ways to make money with stocks!
“Price increase gain” that earns big and “dividend” that earns steadily
“Shareholder benefits”. What are the points of each investment?
Introduction to Stocks Starting from Zero
Introducing “3 ways to make money with stocks” to beginners in an easy-to-understand manner!
How do you make money when you invest in stocks? In order for stock beginners not to lose money by investing in stocks, it is important to first know the merits of buying stocks and the points of how to make money. So this time, I will explain “how to make money with stocks” in an easy-to-understand manner! (* This article is an excerpt from the special feature “Introduction to Japanese Stocks” in the June 2017 issue.
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Stock prices may move under the influence of news in the short term, but in the long term they will move in line with business performance. It reacts more to “future forecasts” than past performance, so if future growth expectations are high, more people will buy the stock and the stock price will rise significantly. Conversely, if the earnings forecast is bad, the stock price will fall.
It should be noted that the stock price moves according to the wishes of various investors, so it may be overbought or oversold than the company’s ability.
The important thing to aim for a price increase is to “buy cheaply” anyway. If you can buy it cheaply, you can reduce the risk of decline and make it easier to make a profit. Here, let’s introduce “4 investment methods” that allow you to buy stocks cheaply and aim for higher profits.
Four investment methods aimed at increasing profits
It is difficult for any great investor to guess where the bottom price is. Therefore, we use a stock price index that measures “whether the stock price is cheap” compared to the company’s ability. This is called “bargain stock investment”. This is because if you buy a stock whose stock price is cheaper than the company’s ability, it will eventually return to a stock price that matches the actual performance, and you can aim for a rise in profit.
Unlike bargain stock investment, even if the stock price is high, it is “growth stock investment” that you buy with the expectation of future growth potential. The advantage of growth stock investment is that you can aim for a significant rise in stock prices due to a significant growth in profits.ent
Shareholder benefits are those that send coupons for own products and services to shareholders in which the company holds shares. Among listed companies in Japan, the number of companies offering shareholder benefits continues to increase, with more than 1,300 companies, which is more than one-third of the current listed companies.
The types of shareholder benefits vary from company to company, but for example, if you own 100 or more shares of “Oriental Land (4661)”, you will receive a special passport that can be used at Tokyo Disneyland or Tokyo DisneySea, so it is one of the popular shareholder benefits. It is connected.
Shareholder benefits are like “bonus” that you can get just by holding shares, but there are many companies that have a lot of content. Stocks of companies with abundant shareholder benefits are also characterized by being more resistant to falling market prices than the Nikkei Stock Average, so if you are a stock beginner, you should first try investing in a company that offers attractive shareholder benefits. it’s recommended.
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