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Saturday 20 February 2016

Which strategy for small investors?

To buy shares and resell is an awkward matter. Basically it must be considered a lot to be able to take the fear of the action above all from small investors. It should be concentrated to use a special strategy to be able to make sure that no money gets lost with the action with shares and is risked, moreover, not too much. Small investors should never act with money which they need. This could entail because that they misjudge and invest money which yields no profit with itself. Putting on of money should be considered thoroughly and, in addition, a Kleinangeleger strategy is important to be able to use more security with the action.

Experiences collect and slowly start

First it is important that a property construction with richly consideration is begun. To begin an investment, among the rest, the advice of an expert is important. It can be tested with pleasure in the closer sphere whether already experience with shares were gained and whether richly sensible tips can be used. Basically there are with shares different possibilities to put on money without having to take a risk. The long-term property construction is very important and should be kept an eye permanently. The demands for shares must be held up accordingly, so that no shares are bought which promise only short-term results. That's why small investors should always pay attention to the fact that the following points are followed, before is begun with the purchase of a share:
  • Strategies consider and fix
  • To specialist books help in the entrance in the share world
  • Long-term arrangements need basic sign
  • Course variations can be avoided with blue chips partially
  • Share depots should be controlled only in long-term distances

Strategy do not change

To protect an investment strategy and to use this for himself, is to be paid attention to the fact that short-term and medium-term course variations should bring no strategy change with themselves. The investor who has bought a share or would still like to shop should pursue a clear strategy and can be dissuaded by this by no means. The uncertainty with the action is the biggest enemy and could lead without further ado to the bankruptcy. That's why it is recommendable to find the first strategies help of specialist books. With pleasure a long-term investment possibility which can be used absolutely sensibly can be found on this way. If own share depot is tested in short distances and is controlled, can lead absolutely to the fact that a big insecurity will receive. It is best if with the distance of several months own depot is looked to make no premature decisions.

The best investment security create

Small investors are equipped best of all with strategies which are based on blue chips. On this occasion, it concerns the shares which can be received with the biggest turnover. These come from listed companies who can shake off a sure profit. The small investor receives through this a high commercial volume and at the same time a higher engagement of enterprise investors exists. The shares which come from large-scale enterprise and which have already put down a good course are suited best of all for the purchase. Enterprises with a stable sales situation are to be selected here. Though Nebenwerte and shares which come from threshold countries are also attractive, however, these are connected with higher risks what is to be avoided best of all. Therefore it must be paid attention to the fact that shares with low course variations are used. These can offer the best possibilities for small investors.

The trend is your friend

Over and over again can read the small investors who explore themselves on the Internet or also in the professional reading about the successful commercial strategies that the trend should be obeyed. Over and over again it is pointed out to the fact that the trend is the friend and therefore the trend should be considered and is obeyed. Indeed, the idea is also to be handled behind the wisdom „falling knives“, the same idea. It is important that the past are followed by shares. The users can analyse therefore as the shares have behaved in the past. The trend will recur because with the highest likelyhood. With the Momentum strategy small investors have good chances, because here a relatively good yield is to be received. With the strategy is to be paid attention to the fact that the suitable moment is got. Indeed, new strategies and points of departure must be created moreover over and over again to analyse the market. It is tried to use an impetus to be able to make sure that a market change develops to own advantage. By a suitable beginning can be reached that the Momentum strategy absolutely yields an actual profit. Results could be already published which have brought up to 15 percent of yields with themselves, after this kind of the strategy was used. Particularly if low interest is received, there are 15 percent of yield a very good value. Also in Germany researchers could prove this success. Nevertheless, the height of the yield has differed concerning the period and the stock market a little. Of course the loss phases must be included in the plan also which is normal in addition fnühren, that even a deficit from up to 30 percent in the month. Small investors must pay attention very much, so that they are not drawn in a wave of the loss. On account of the commercial costs the yield is often reduced, so that must be weighed out whether an investment is worthwhile in a certain share generally really.

Long-term profit is decisive

Course variations are the best clue for the fact that shares should be bought. A mistake which many investors make at the beginning is the not sufficient caretakers of share increases. The profits do not let go them because enough and with losses they wait too long. Therefore is valid:

If the share price rises, should not be sold too early – Sinking the course, shares must be sold early

Of course a high and a low-pressure area cannot be analysed with shares by beginners early enough, because it is difficult for small investors to pursue a trend and too discover. That's why it is important that only enterprises should be searched which understand her commercial model and which offer a regular course course. Moreover, the following questions should be put themselves, before in the share purchase becomes got:
  • Does the enterprise make profit?
  • How does the enterprise lie in comparison to other companies?
  • How good are the views for the branch?
  • How was the course of the shares in the last time of the company?
It will get to the fact that only money should be put on that at least five years can be done without. Course variations should be absolutely accepted to be able to make sure that no loss leads to a long-term plight. This is valid of course for small investor just as for great investors. The problems in a share analysis are always that cannot be also protected by an extensive analysis that a course is interpreted really in the right direction. Finally, shares can suddenly break out or break (stop / Loss place!), so that also extensive analyses cannot lead to a clear statement.

Time horizon, course aim or stop

Would like to be invested with pleasure for a long-term time, should be always considered that with the time-horizontal strategy at least one investment time of from three to five years is valid. On this occasion, it concerns rather conservative and medium-term investment optics. A stable yield of 7 to 8 percent is mostly achieved. This yield can be maintained by the application of different investment securities with certainty. The market insecurity can be lost basically by a sure share. Still should be never invested in one single share, because it can be, otherwise, the case that by a case the complete depot goes to ruin. The time-horizontal arrangement brings the advantage with itself that diminished variations are received, an active supervision is allowed and at the same time optimised yields can be used.

Course aim maintain

An old stock market wisdom says that profits run leave and losses must be limited. On this occasion, it concerns a basis regulation which is important for the 3:1 rule. Investors must keep an eye above all on the long-term profit payment and protect therefore that the first step is taken in the right direction. The smooth places of own position with the course aim rule are important. It is to be noted that losses are hard to be accepted. Nevertheless, that's why it is important to consider the stop Loss courses and to work on this. Best of all the trader delivers an order and the share is for sale automatically if this has reached the pain border which was put. Therefore the loss can be limited to the minimum border. By no means an other stop Loss function should be adapted after next below. If the course aim is achieved, should be sold best of all directly to be able to use the profits. Or it could make sense at the same time if the goal is set further upwards to win afterwards the course increase for itself. The prospects of success with the course aim strategy are to be valued as a rule positively and introduce good yield chances.

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