like this year volatility It reminds us that investors need a strategy to deal with both emerging markets and Bear markets. One of the keys to successful stock investing is making sure you have a sound — and doable — routine for investing in stocks through good times and bad.
Backed by time-tested rules on when to buy, sell and hold, this three-step approach can help you navigate anything market indexes an act. Depending on the current market conditions, you will see how these rules and this routine apply to stocks like Amazon.com (AMZN), nvidia (NVDA), Tesla (TSLA), the alphabet (The Google), Microsoft (MSFT) And the apple (AAPL).
The routine below guides investors through three basic steps to help you grow and protect your money. You will find a file Sort tools And the Stock Lists You need to follow these steps quickly and confidently.
Investing in stocks based on sound rules and stock valuations It will help you stay profitable, protected, and prepared in any market environment.
Find and track the best stocks to buy and watch
This three-step process also helps you track and act on strong market trends, as well as bear markets, choppy periods and times. Sector rotationDuring upward and downward cycles, stock growth, technology stockAnd the energy Play, retailersOther industries and sectors will go in and out of Wall Street.
While checking out the general trends of the stock market, be sure to also keep track chart patterns In individual stocks as part of this routine. This helps you identify potential buy points And the buy areas For capabilities and modernity penetration stock. watch like Technical Analysis It also helps you avoid swaying any noise or hysteria in the headlines. This approach helps you stay grounded, and keep Investor psychology Under scrutiny and stay focused on what the market and leading growth stocks are actually doing.
Keep in mind that the direction of the stock market can change quickly – for better or for worse. And there will be times when certain sectors, such as technology stocks, will perform poorly, while others, such as oil stockshow strength.
take a minute to Watch the video And go through the routine and Purchase List And the Sale Checklist. You will see how the tools work together, and how they can help you become a more successful investor. You can also use a file IBD stock checking device To focus on stocks to buy and see what fits your criteria.
Study stock charts to find the best growth stocks to buy and watch
nvidiaAnd the MicrosoftAnd the TeslaAnd the apple stock and the Stock FANG – ID pads (FB) (formerly known as Facebook), AmazonAnd the Netflix (NFLX) And the Google stock They are just a few examples of stocks that have shown exceptional performance across many market cycles. These stocks have also gone through turbulent periods of heavy selling.
To study these winners, take a look at the daily, weekly, and monthly charts for Alphabet, Amazon, Tesla, Nvidia, Apple, and other top-grossing stocks. (If you are new to Technical AnalysisCheck out our three-part series on How to read stock charts.)
And if you are looking for the best long-term investments that have outlived many volatile periods, look for stocks that will make the cut Long-term leaders of IBD. You’ll find names like Microsoft, Alphabet, and Swimming pool (Swimming pool) And the Epam systems (EPAM).
How to invest: the 3-step investing routine
1. Check current market trends with the big picture and market pulse
Under the Market Trends tab on the Investors.com website, go to: The Big Picture
The first step is to know what kind of market we are in right now. Is it time to buy stocks, or is it time to play defense and protect your profits?
Find out by checking out market pulse Inside the big picture to see which of the three possible phases the stock market is going through right now.
• The best time to buy stocks
|high under pressure
• Proceed with caution
• Be prepared to take defensive action
• Avoid making new purchases
• Protect profits and reduce losses
• Build a watch list for the next uptrend
See also: stock market today (Updated multiple times during each trading session)
2. Find the best stocks to buy and see lists of IBD stocks
Under the Stock Listings tab on the Investors.com website, go to: Stock Lists
Usually the best performing stocks are shown Seven common traits In the early stages of their big moves.
Use IBD SmartSelect Ratings and exclusive Stock Lists Like IBD 50 and sector leaders, you can quickly identify stocks that strongly demonstrate these same characteristics at the moment. You can also use IBD stock checking device To find stocks that fit your custom criteria.
What top-rated stocks are in or near the buy zone right now?
Just scroll through the IBD screens to find features Top-rated stocks in or near potential buy range. It’s a simple, effective and fast way to create your watchlist.
3. Evaluate your stocks and plan your trading operations by checking stock and IBD charts
What is the most effective way to maximize your profits and reduce risks? Always check the “basics” of the company (eg sales, profits, products, industry trends) and the “technical elements” (eg price action, volume, support and resistance in the chart).
who – which Mix It gives you a huge advantage over investors who are only looking at one or the other.
Stock screening gives you pass, neutral, or fail ratings for the most important stock selection criteria. Just enter the indicator to get an instant diagnosis of your stock. (Learn how to diagnose your stocks right away.)
Is it time to buy, sell or hold?
Additionally, before you buy a stock, use the IBD charts to make sure it’s in an appropriate buying territory. Use the charts to know when to take your profits and reduce your risks.
How to invest: Find the best stocks to buy Before they erupt
IBD Stock Lists Help you speed up your search. You’ll also find alerts for Stocks in or near the potential buying zone In the analysis of the graph provided for each name on IBD Sector LeadersAnd the defect 50And the IBD Big Cap 20And the underwriting leaders And the Spotlight on stock.
Check these screens Regularly It is a proven way to help improve your investment results by quickly creating a high-quality, actionable watchlist. Using this simple three-step routine will also help protect your profits and keep any losses small in weak markets.
Follow Matthew Galgani on Twitter at Tweet embed.