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Stock Market Myths and Beliefs_281

Started by 550ng9s9, January 05, 2011, 10:08:25 PM

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550ng9s9

Stock Market Myths and Beliefs
When it comes to the stock market, or any other trading venue, there are beliefs or myths,You are not allowed to view links. Register or Login, that many traders or investors take to heart. Human nature is such, that people like to get tips, or they somehow think great market knowledge can be attained by watching and listening to someone like a Jim Cramer on television. Great traders know that to be really successful in the stock market, you must usually go against what is normal human nature.   
  If you properly analyze the greatest performing stocks of all time,You are not allowed to view links. Register or Login, you will realize that the old adage,You are not allowed to view links. Register or Login, "buy low, sell high", is totally false. Most low priced stocks are low for a good reason. They tend to be flawed in many ways, and rarely make a decent upward price movement. Stocks that are making new highs, tend to have the greatest probability of making a significant price advance. Human nature says to look for bargains, and find a cheap stock. In the stock market, this is an example of, how following normal human nature, becomes a disadvantage.   
  Another myth is that you are always better off getting shares of the big, famous companies. Most of these big name companies are past their prime, and are not coming up with exciting, new products or services. There is usually no good reason for shares of these big, famous companies to make a major upward price movement. A great example is Cisco. Many years ago, Cisco was one of the greatest performing stocks ever. If you look at recent history of the share price, you can clearly see, Cisco has not done much the last few years. There is a good chance, it never will again have a major upward price movement. Look for young, small innovative companies, with great new products and services. They will be the ones with the greatest probability of a spectacular price advance. By the way, most people will have never heard of these great,You are not allowed to view links. Register or Login, new companies. Do your own research, and find the best new companies in the stock market. You just might make yourself a fortune.

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