INVESTMENT: HOW TO BUY AND SELL STOCK SHARES

When do you buy or sell shares? The rules are those that have been established in the market like buy low and sell high or sell when there are warning signs that the company will crash. You should read and research on past decisions and see how people buy and when they sell. You can learn from experts like Warren Buffett and see how he does his buying and selling. You can visit websites that you can see buying and selling activities by experts and follow what they do. You should learn as much as you can about when to buy and when to sell. There are rules that have worked well in the past.

When do you buy shares? You would buy shares with a company that is stable and performing well or going in an upward directions. You would also buy when the shares are low priced and sell it when it's high in price. When a company is starting out the shares are low in price and it will increase over time if the company is stable and they're heading in the right direction. You would want to avoid company that are unstable and will be closing down soon. You should do as much research as you can about the company and its financial status before you buy their stocks. There are companies that are the top 20 companies to buy from and you should learn more about them. You should go with the company that top investors are buying like Freeport, gold and copper company or oil company. These companies are doing well with positive changes and returns. You should do as much research as you can before you buy into a company. You would buy with the best companies and hoping that the price would escalate and you can profit from it. This usually happens when the company is young and their stock will rise in sharp direction after a couple of years. Company like Apple are doing well with great products that people want to buy and thus their company will be moving in an upward direction.

When do you sell your shares? You should sell shares when you can benefit from the rise in price. You can sell it when the company is collapsing soon. You can sell it when you need the money for things in life. You should sell it when you can use the money to buy better stocks that will yield higher returns. In a tough economy, you would be looking at selling some of your stocks to prevent major losses. If people have sold a lot of their stock in the recent crash earlier they would have been fine but you don't always know that there will be such a crash with certainty. You should sell your stock when it comes to company like Bernard Madoff but it's hard for people to guess about Bernard. You should learn from his case. You should sell your stock when the price increase so that you can make a profit from it. Stock prices can go up pretty high and you can benefit from it. You can sell your stock to buy other stocks that yield better returns. You can sell your stock to invest in other type of market to diversify your investment as much as possible to avoid big losses. You should also sell your stock to avoid major losses if you think the company is having problems or if the economy is going in a downward direction.