How to make the stock market a favorable game?
1) If a company that you are interested in reports bad news and the stock rallies, buy the stock. If a company reports good news and the stock declines, sell the stock. Typically, news is reflected in the stocks price prior to its release. If there is an opposite reaction to the actual event, the news is not what it seems to be on the surface and the odds are that the stock will continue going in the new direction. 2) Invest the same percentage of your investment pool in each stock selection. Dont make the mistake of falling in love with a stock and loading up on it. If you are using a disciplined approach, the odds are that each stock has the same probabilities of success. If you fall in love with a particular stock, your judgment and actions will be jeopardized. 3) Use Stop – market orders not Stop – limit orders. A Stop – market order causes your order to be executed at the market once the stop price has been violated. A Stop – limit order is activated once the price violates the st