How to Invest in Stocks

SPONSOR:
The trend is your friend! Click here to see the Top 50 Trending Stocks.



Picking a Stock Investing Approach
How you invest in stocks will depend on your philosophy for investing. Or, in other words, what's your personal, logical belief about how to approach investing in stocks? For example, do you like the idea of stocks that are increasing their earnings quarter after quarter? Then you will probably want to invest in growth stocks. If you want to be in a stock with a price that is continuing to move upward, then you want to invest in stocks that are trending.

That's one of the stumbling blocks to investors making really good stock investments: taking the time to decide on an approach. Don't worry, this is easier than it sounds, and Stock Trading Warrior is here to help.

Over 10 years ago I thought one of the best ways to invest money would be to subscribe to a newsletter, buy what sounded like the best stocks and watch my portfolio grow exponentially. Great idea, but it just wasn’t enough information to really succeed. I’ve also heard others say another way to find good stocks to buy is to pick up the Wall Street Journal and start investing in companies that sound interesting. That’s a great way to get started, but it’s just not enough to find good stocks to buy and to be really successful.

An investing approach is what are you going to be looking for in an investment. Here are the general kinds of approaches an investor can take:

  • Use Company Fundamentals (earnings, sales, debt, etc.)
  • Use Technical Analysis (the study of price and volume)
  • Use both Fundamentals and Technical Analysis Combined

Many investors use fundamentals as a way to find stocks they like and some of them only use technical analysis. As a suggestion, consider using a combination of both philosophies to improve your abilities for successful trading.

To expand on the basic approaches of fundamentals and technical analysis:

  • Both Fundamentals and Technical Analysis Combined
    • Any of one of the two categories above combined.

Whichever approach you decide to take you'll need a strategy to use to follow for picking great stocks. You may want to spend a bit of time reading about different stock investing approaches before you decide on one. You can look at a list of trading strategies with descriptions over at:

A List of Stock Trading Strategies.


Or, if you prefer, go on to learning about how to Create Stock Trading Systems in 10 Easy Steps. After you narrow down your stock investing approach, you can move on to the Secrets to Stock Market Strategies to identify the time you have to spend on stock market investing and a secret that will increase your ability to capture a profit.

Move on to the next Action Step to a List of Stock Trading Strategies.

Return to Secrets to Stock Market Strategies.

Return from How to Invest in Stocks to Stock Trading Warrior Home.









NEW!
Who wants a peek at DOW Jones Industrial Stocks that're beginning to trend?
Click HERE!

Learn Trend Trading!


Search Stock Trading Warrior
...and pay only $4.95 per trade!

Stock Market Software

Would you be surprised to know that there's a product that filters through almost an unimaginable amount of stock price data to reveal which stocks are the most profitable during specific times of the year?

Read my review of TradeMiner.

Free Subscription

Subscribe to the
Stock Trading Warrior's eZine Featuring:
  • Simple and proven strategies
    for stock trading success
  • Step-by-step and easy to understand methods
  • Increase your ability to earn gains on your investments

SUBSCRIBE to the STW NEWSLETTER

Stock Trading eBook

The Stock Trading
Warrior's Guide to...

ebook
All Stock Trading Warriors need a strong strategy in their arsenal - Find out more about what's inside this stock market trading ebook.

Free Videos

For a free market update:

Watch Todays 1pm Market Update
Presented by 30year Market Veteran Adam Hewison

What really makes a stock price rise? To find out watch:

What Makes a Stock Go Up?


Stock Market Insights


How a Simple Line Can Improve Your Trading Success

"How to draw a trendline" is one of the first things people learn when they study technical analysis. Typically, they quickly move on to more advanced topics and too often discard this simplest of all technical tools. Read more...

Is a Stock You Own in
a Trend?...
Find Out Now!

Online Stock Brokers

Find out why a discount broker can make a difference in the bottom line of your investing performance.

Read the online brokerage discussion...