Basic investment rules
If a stock got above about its pie share in your portfolio, you suould cut it back so it wouldn't overly dominate.
You may lose some money by trimming winners
If a stock doesn't grow, you should cut your losses and sell.
You must remain hypercompetitive and self-confident.
You should track a stock's performance for weeks before buying, and then build a stake gradually
You should keeps charts comparing your holdings with the overall market and classifying your stocks by category -- growth stocks, aggressive growth, foreign and so on.
Stocks move most heavily at the open and the close
You should buy preferably with a high dividend yield and low price-to-earnings ratio.
Saturday, June 14, 2008
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