tag:blogger.com,1999:blog-74182282613756504022012-02-16T16:46:53.988-08:00G K Acaharyhttp://www.blogger.com/profile/09973531733789657643noreply@blogger.comBlogger11100tag:blogger.com,1999:blog-7418228261375650402.post-23764772548311640032007-10-23T05:07:00.000-07:002008-01-20T22:53:45.350-08:00Investing can be confusing, especially for the beginner. Getting some basic tips can help a beginning investor to make informed choices that fit their needs. Each person has a different goal when investing and that plays a big impact on how you invest. The following list explains some things beginners should know before investing.<br />1. Understand that there are no set rules for investing. There are no guarantees and no perfect way to invest.<br />2. Make informed choices. Before investing in any way you should completely understand how your investment will work and all of the details of the transaction.<br />3. Make a simple plan to determine your goals and needs. This will help you to determine what investments to make and how much money to invest.<br />These three tips are great for general investing, but many people are looking to invest in the fast paced world of the stock market. The above tips are a good beginning, but the following tips will further help those interested in investing in stocks.<br />1. Look at the value of the stock instead of the price. Low cost stocks may be low for a reason. Look at the whole picture. See why the price is low and if there is a possibility it may rise.<br />2. Check the companies return on net worth. This is the profit after taxes divided by the net worth. It is important to see a trend of growing return on net worth.<br /><h4>The 5-Step Investing Method</h4> <ul><li> <strong>STEP 1: SEARCHING FOR STOCKS</strong> <ul><li>Using Prebuilt and Customizable Stock Searches</li><li>Navigating Your Search Results</li><li>Importing the Best Stocks into Your Portfolio</li></ul> </li><li> <strong>STEP 2: INDUSTRY GROUP ANALYSIS</strong> <ul><li>Top-Down Stock Analysis</li><li>Using the “Big Chart” and the “Best and Worst Industries” List to Compare Industry Groups</li><li>Using Top-Down Analyzer™ to Compare All Stocks in an Industry Group</li></ul> </li><li> <strong>STEP 3: FUNDAMENTAL ANALYSIS</strong> <ul><li>Calling Up Stock Charts</li><li>Phase 1 Scoring Criteria: P/E Ratio, EPS Growth, Cash Flow Growth, Debt/Equity Ratio, Insider Trading, etc.</li><li>Phase 2 Scoring Criteria: <ul><li>Price Pattern</li><li>Volatility</li><li>Zacks Report: Wall Street Estimates, Company vs. Industry Comparison, Quarterly Earnings Surprises, Current Ratings</li><li>Market Guide: Snapshot, Highlights, Revenues, Earnings per Share, Growth Rates</li><li>News</li><li>Using AutoAnalyzer™ to Automate Most of the Phase 2 Process</li></ul> </li></ul> </li><li> <strong>STEP 4: TECHNICAL ANALYSIS</strong> <p>Using Technical Indicators: Moving Averages, Moving Average Convergence Divergence MACD, Stochastic, Volume, Support and Resistance</p> <ul><li>Buying Stocks <ul><li>Buy Signals</li><li>Checklist for Strong Buy Signals: Phase 2 Scores, Price Pattern, Industry Group, Institutional Money</li><li>Interpreting Green Arrow Alignment</li><li>Money Management</li><li>Placing Stop-Loss Orders</li><li>Call Options</li></ul> </li><li>Selling Stocks <ul><li>Sell Signals: Short Term and Long Term</li></ul> </li><li>Using the Insider Trading Report</li></ul> </li><li> <strong>STEP 5: PORTFOLIO MANAGEMENT</strong> <ul><li>Creating an Online Portfolio</li><li>Managing a Portfolio: Current Valuations, Thumbnail Charts, Current Quotes, Price Alerts, etc.</li><li>Using a Paper-Trading Account</li></ul> </li></ul><div class="blogger-post-footer"><img width='1' height='1' src='https://blogger.googleusercontent.com/tracker/7418228261375650402-2376477254831164003?l=investingtipsforbeginners.blogspot.com' alt='' /></div>G K Acaharyhttp://www.blogger.com/profile/09973531733789657643noreply@blogger.com0