Personally I believe fundamental analysis to be the superior of the two since it relies on inherent business concepts, rather than trying to predict the behavior of a group of unknown traders.
$5k is a good starting point for investments. I'd just recommend performing some research to understand how the market works, and fundamental/technical analysis techniques. Stocks continually fluctuate between being good and bad investment opportunities; opportunities that are depedent on the particular trader's personality, financial situation, experience, etc.
Therefore I hesitate to recommend specific stocks; stocks that are better opportunities for me may not be the best ones for you. I'd rather recommend that you learn how to identify opportunities as to make the best decisions that work for you.
Try the video tutorials on investopedia.com. Once you're familiar with market basics, then venture out into some of the more advanced fundamental/technical analysis techniques, and business/accounting fundamentals. Many books and articles are available throughout the internet on these subjects (of course I'd recommend my book over the majority of others out there).
Hey,
Penny stocks, also known as cent stocks in some countries, are common shares of small public companies that trade at low prices per share. They are notoriously risky but if you follow a special method I've learned you can earn good money at almost no risk. This is the site I use: http://pennystocks.toptips.org
I definitely recommend subscribing to this site in particular. Very good research, quality stocks. I was a bit weary of penny stocks from all the bad hype they receive but this guy is pretty legit. He's put my mind at ease with a lot of the fears I've had. I especially like that he doesn't send out announcements left and right. I've signed up for other websites that fill my in-box with one company after the other. I don't know where to even start with so many choices in front of me! Nathan sends me one idea a week and that's all I need. Working so many hours during the week leaves me with very little time when I get home to start doing tons of penny stock research. I'm always eager to see what Nathan's next suggestion is each Friday and I love having time on the weekend to do my research.
As said above if you want to make money with penny stocks you have to follow some proven methods. This one in my opinion is the best: http://pennystocks.toptips.org
Best
It's good that you have money to invest in stocks and i do hope you make money out of it. But having $5K is a good reason for you to truly understand the right strategies in stock trading. If you go around asking people what are good stocks to buy, you will not get anywhere to the kind of profit you're hoping to make. Good traders know what are right stocks to pick based on the strategy that they use. There was plenty out there but i'd strongly recommend you to take a look at SFW method - Small Frequent Wins. It is a technique that you can use time and time again to help you make money no matter what the stick market's situation is. This is a REAL method helping investors maximize the returns of their investment. $5k is alot of money. I suggest you know how to make the right investment decision before dumping your money in. If you would like to know more about SFW, visit the link below.
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https://s.yimg.com/hd/answers/v/8ef74dabfb434a1f85687cabc7e4efa8_2.mp4?a=answers&mr=0&x=1414221291&s=d175fd2844f002d39e314bcd1b532a17
The market is over valued (bubble) right now, so there are very few stocks that are good to invest that are beyond speculation. If/when the market bubble bursts in the near future, almost all stocks will take a big hit. If you absolutely must park your $5,000 into an investment, diversify it across 5-10 stocks and stick with companies that have low price to earnings ratios (< 15), profitable, half as much debt as equity (or NO DEBT AT ALL), and a history of predictable profitability and year over year increase in earnings. You won't find too many out there that match this criteria at the moment, because the market is overpriced.
The stock market is a game of chicken when there's a market bubble. Everyone thinks the other is the greater fool. The whole time the media tells you to keep buying, the insiders and large investors (i.e. Warren Buffett) are dumping their shares and switch to more conservative investments. Traditionally, the treasury yield curve has been an accurate tool to determine when to get out of equity (stocks) and move to treasury bonds and other safer investments, but with the Federal Reserve doing the ludicrous quantitative easing and buying back billions and billions mortgage backed securities and dropping the interest rates to near 0% for the last five years, you can no longer trust that the Feds actually know WTH they're doing. At the moment, market sentiment is in a mania and the stocks are sky high, so your only real indicator now is common sense.
If you want to lose money, invest in Tesla, Solar City, and anything with a price to earnings ratio of 50 or more. You are guaranteed to lose your money when the bubble bursts. Sure, you'll see your unrealized portfolio go up and up and up, that is, until it crashes and drops in half or more in a span of a day to a week. Then, and only then, will people cash out.
Why? Because margin debt (borrowed debt used to buy stocks in brokerage accounts) is at record high levels. If and when the market dumps, this will cause day traders, individual investors, and fund managers alike to cash out and sell. This causes a steep drop and brokerages have agreements to force liquidation of stocks when you drop to a certain level of equity value in your portfolio, and this is call a "margin call". Effectively, margin call after margin call will continue to force automatic selling, which will only worsen the crash until you have the last fool, the greatest fool, standing.
The best thing to do is not to buy into a market bubble. The worse thing to do during a market bubble is to sell at a significant loss. You don't actually lose anything until you sell. Most market crashes (for reasonable stocks, not insanely sky high stocks like Tesla) will recover to near or beyond market crash levels after 5-10 years, if you balanced your portfolio adequately.
Should you be faced with a market crash, instead of cashing out at a loss, buy more on the way down. This is call dollar cost averaging. If you buy while it's down, when it recovers again in some years, you'll make money on your crash-time buy ins while recovering equity value for the stocks you held on to.
So in summary, buy low or reasonable price stocks from reputable companies with long term performance history, growth in earnings and equity, little to no debt, avoid buying into the stock market at all if you're in a market bubble. Strong companies are able to sustain themselves during a market crash, when investment and funding is tight and can finance their own operations with cash and/or cash equivalent assets. If the market should crash and you were smart enough not to be one of the greater fools, buy on the drop in increments (20% each time), until the crash bottoms out. You will make 3-25 times you investment when the market recovers. Proof? Just look at any of the good stocks during every single market crash in history and see how much they recovered if you had invested during each crash. Examples: PG (Proctor & Gamble), RGR (Sturm, Ruger & Company), and an extreme example is PCLN (Priceline.com).
DO NOT BUY JUNK STOCKS!!! These rules do not apply to them. Junk stocks are purely speculation. I would recommend watching Preston Pysh videos on Youtube. He offers really good investment training for free and an affordable Amazon Kindle ebook that summarizes the book all investors should read, written by Warren Buffett's mentor, Benjamin Graham: The Intelligent Investor. But you don't have to buy his book, either. Watch his videos. I already knew a great deal, but I learned a great deal more watching his videos. And he interacts with his audience.
If a person has no knowldge and skills about Forex then it will be very difficult to trade in Forex. But if you use the right software you can make very good profit.
The best software is called "autobinary signal" http://trading-secret.keysolve.net
If you aren't a big expert this software is the only way to earn good money in Forex.
top stocks to buy in 2014
1) J.C. Penney
Price: $8.43
2) Radian Group
Price: $14.39
3) Photronics
Price: $8.30
4) Ur-Energy
Price: $1.15
5) Xerox
Price: $11.44
Yep. AT&T
Does anyone know of any good stocks to buy right now?
Anyone know of any stocks that they believe are going to increase in value in the future?
I know this is somewhat of a stupid question because if we all knew the answer to those questions we would all be rich but I'm just wondering if anyone knows of any good stocks to buy at the moment or has any good tips for someone who is just entering the realm of buying/selling stocks.
Right now, I have about $5,000 to invest.
Thanks :)
