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This is confusing advice. Are you saying to find a bunch of stocks that are selling for less than what you think they are worth and then start buying them when
by jklein11 9y ago
This is confusing advice. Are you saying to find a bunch of stocks that are selling for less than what you think they are worth and then start buying them when the price of them starts going up?
- muzani 9y agoSorry, I'll elaborate. Draw a line on what you think they're worth. I detailed this in the sibling comment. If they're lower than this line, they're undervalued. But don't watch prices. Watch the news. I say don't buy them too early because stock prices can take years to correct, especially for low profile companies. A good catalyst: Company wins a project, key board member becomes more powerful (maybe his daddy became deputy prime minister), new market opens up for them, rival dies, acquisitions and mergers. Bad catalysts: Scandals, accidents, some prominent individual attacks their credibility on media. I find business news to be the best source of catalysts. There are tools used to follow and even highlight which stocks are going up. The traders will be faster than you unless you do it full time. But you can still be faster than the rest of world.