Have you ever got cold? I'm sure you would have got one. Did you ever notice how it all started? It would've started with a sore throat. The next day you would've sneezed a few times. The third day, you would've got some running nose. If it is a severe cold, you may also get some coughs. If it is a very very severe cold, some may also get a little fever. You would know at least 3 or 4 days in advance, that you are going to get cold. That is called TREND.
Have you ever noticed trends when buying or selling stocks? As a novice investor, most of my early investment decisions in the stocks weren't based on trends. I never computed moving averages. I never plotted a trend line to predict the stock's directions. When a popular stock goes down by 5% or so, I buy it. The next day, the stock would go down by another 5%. The following day, it would go down by another 5%. I've literally seen my capital getting eroded. A trend line or moving averages would help you to understand the stock's direction. Thereby, you can make wise investments. There are several tools available in the market to plot trend lines. You can even use your Microsoft Excel spreadsheet to compute moving averages and trends.
Always, look for trends. Understand, the reason behind the trend and make investment decisions accordingly !
Saro's R2I Blog covers Return to India (R2I) topics such as R2I planning, R2I checklist, R2I Jobs, R2I Salaries, R2I Schools and Post R2I life experiences in India
Thursday, April 10, 2008
Do you look for stock trends?
Subscribe to: Post Comments (Atom)
COVID-19 Vaccination Experience in Chennai
Booking a vaccination slot in India through the CoWIN portal was similar to booking a H1B Visa appointment in US Consulate (not sure if that...
We just celebrated our first year R2I anniversary. It feels like just waving final good bye to US . But, the clock moved very fast to ring t...
One of the key things to do during your move from US to India, is providing "Change of Address". Should I be giving change of addr...
Good to know that you are thinking of Returning to India (R2I). R2I is indeed a hard decision and requires meticulous planning. ( Also read...
Post a Comment