Monday, December 15, 2014

ADVICE?

Investor's Business Daily
IBD Insight
 Dear Investor,

After weeks of weak action, the market went into a correction today. There is no way of knowing whether the downtrend will last a day, week, month or longer. We know it's easy to get discouraged and throw in the towel, but then you'll be missing out on many opportunities.

The market's biggest winners start their run at the very beginning of a new uptrend, so you must be prepared to take action. Here are some tips on how to handle a downtrend in the market:
 

A market correction makes buying stocks much riskier. If you're already in the market, keep a close eye on your portfolio to make sure you're protecting your gains and cutting losses quickly.
Stay patient and confident. During a correction, many investors get discouraged and give up on the market. Many leading stocks build bases during market downtrends and present buying opportunities when the market begins a fresh uptrend.
The Big Picture keeps you informed of the market's action and alerts you when a new uptrend begins signaling it is the right time to start buying fundamentally strong stocks.
Perform a post analysis of your trades from the last cycle. The best investors learn from their mistakes and their successes.
A new uptrend, signaled by a follow-through day, can be as close as four days away. Use the downtrend as a time to create a watch list of strong stocks to buy when the market has a follow through day.
This is also a good time to take advantage of IBD's many complimentary resources. Take an IBD Training Session to get a quick routine for getting the most out of IBD. Check out IBD University, IBD TV, IBD Meetups, and more!
 

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