How to learn and implement the core concept of stock investment for yourself

We all know that doing stocks, but also divided into stocks short term, long term stocks, there is also a lot of disagreement in the market, in the end is the stock short term good, or medium and long term good. In fact, there is no absolute advantage or disadvantage, it just depends on what main factors you should pay attention to do short term, and what conditions to do medium and long term, the brain should be clear. Unfortunately, most investors in the market, and do not know when to do what things.

Short-term speculation

First of all, the short term stock, the first thing to understand is that the key to do short term, with the help of technical quotes, market work experience, and its strict discipline in the actual operation of the organization, and the offering company's stock fundamentals have little to do with. A good number of people buy stocks in the case of thinking about whether they can rise tomorrow, but the reason for buying is that the industry is good, good performance, which is a fallacy in itself, it is difficult to succeed in doing stocks that way.

Short-term things catalytic reaction contains several categories, such as the prevailing policy, stock news, emergency events these. Therefore stock short term logical thinking investors, first of all, have the strength to pick information things, in simple terms, you have to know a thing or a message, the market among the stockholders will think, the main force will think. This actually does not need too much expertise, must be a very long experience of working in the market, are seen more, seen more, it is easier to make an accurate distinction. Therefore many speculative experts rely on this to survive in the stock market, he is likely to say nothing about the operation of the axiom, as if all by intuition, in fact, rely on the experience accumulated over the years.

Why say so, because a stock, whether the short term will rise, the key is at this stage there are no assets in favor of it, and assets for what time to buy, must be suffering from short-term catalytic reaction to certain things, if the assets are looking at the company's stock fundamentals, there is no way to express, why not buy yesterday, not buy tomorrow, in favor of the reason for buying today.

The second, is the sensitivity of the market taste, in fact, is how the stock short term assets are going to do, we often encounter that kind of situation, a hot topic, was rubbed hot up, but the highest rise in the leader, not the industry in that type of real leader company, due to the industry leader, the vegetable plate is large, short term speculative assets are more difficult to push, and the relative nature of these vegetable plate is not large stocks, more easily The short term speculative funds are operating. So we tend to see a certain network hot market leader, often some small and medium-sized market capitalization of the company, the short term by the asset quickly pulled up. Therefore, the stock short term to get good, the first thing to have is a long time is the length of the injection work experience.

Third, to do short term to strictly comply with the stop-loss and stop-gain organizational discipline. This is not easy to achieve in the market, often some people will complain about sales early, miss the rise, or long sell not sell, bear the deep strength of the dip. This is due to the lack of decisive stop-loss and stop-gain, organizational discipline is not disciplined enough. To achieve this, the first to buy before, carefully consider their own stop-loss stop-gain point, to the predicted resolute implementation, do not have to be afraid to be wrong. As the stock short term want you often turn the stock, I think the final spell is to pass the rate, rather than a particular right and wrong, this time sold early, or bought the wrong, does not matter, the key is that you can ensure that in ten times the actual operation, the right seven or eight times, you will also be successful.

Therefore, the three steps to do short key thinking, the first step, based on work experience to identify a variety of information things, looking for the short term will be rubbed hot section and the theme, the second step, in the section among the operating short speculation main absorption of logical thinking, looking for the best operation of the main kinds. The third step, before proceeding to buy, think about the various conditions that are likely to occur in the future, and get ready to use the solution, and then strictly comply.

If you do not have the ability to work as mentioned above, for example, you have just entered the stock market soon and are not considered to be well read, then most of me does not recommend you to do short term, very likely to end up unsuccessful.

Long-term stocks

The following talk about long term stocks, do long term stocks of individual stocks, and stocks short term just the opposite, taking into account the industry and the company's stock fundamentals, while ignoring the stock short-term ups and downs.

Do the core content of the long term follow is that a good company, as long as he operates smoothly, the performance of the smooth, the stock price should also be accompanied by an increase, if too fast, it will certainly fall back to the original should be some price, if not how to rise, it will certainly rise again should be some price, this is said to determine the value of the price, the price can deviate from the value, but as time becomes longer, the price will certainly revert to value.

Medium and long term investors, in other words, value investors, to climb is the market price offset value, less than the market value of the best time to invest.

For the average investor, it is likely that they do not understand what value means, nor do they have the expertise to do company valuation calculations for a company, nor to forecast and analyze sales performance. That's why we see most stockholders in the market, all short term logical thinking about stocks.

However, I can also give you a simple idea here, although you most likely do not understand the financial reports, not easy sales performance calculations, but can be based on your cognitive ability to pick the industry and company. What do you mean? We take the new energy vehicles that have performed well in recent years as an example, new energy vehicles to replace gasoline vehicles is something that will definitely happen and is irreversible, so the new energy vehicle industry is a good industry. Here is not sure just new energy vehicles in this year will burst, or the next year, in other words five or ten years longer, but as a value investor, is to ignore the length of time, just in line with this type of investment ideas.

In fact, there are many industries that are very clear in life, such as the Internet technology instead of stores, the vacation and tourism industry, the environmental protection industry, these are things that are bound to happen along with the progress of society.

Once you have identified the industry, you need to look for the best companies in it, which is actually easier than stock short term, you just need to look for the leading company in the industry, without taking into account its current market performance. The more companies operate and the smoother they are, the better.

We still take new energy vehicles as an example, BYD is known as the leading company, perhaps in a certain part you can feel that he rose as fast as some stocks, but now in retrospect, the past two years, regardless of their total rise, or the stability of the increase, are second to none.

Find a good industry, find a good company after the remaining thing is to find buying opportunities, this must be assessed at this stage of the market value is not effective, is not underestimated, that is to say, the price is not downward deviation of value. This must be professional skills to calculate, but as a general investor, do not have the ability to work, I propose that we can purely look at how much the stock price, long period of time, it seems that his stock price is at the bottom or the top, the best time period is more than 1 year, because the short cycle of the top and bottom, for value investors is not very meaningful.

Generally speaking, is in the golden period of the industry, stock price parts are not too low, the market is unlikely to long-term sex did not find, but in the wind, waiting for the incremental cycle time will be relatively short. And in the growth period of the industry, the stock price site may be relatively low, due to the industry's high increase are not yet certified by the market, but the waiting time cycle time will be very long.

In addition or hint is to do value project investment, must exercise their own ignore short-term fluctuations in the state of mind, if adhering to the sales performance to own a company's shares, but worry about the daily ups and downs, and previously mentioned to do short term to see the same sales performance, is originally a fallacy.