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The psychology of stock-exchange

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Shrewd investments

To be making wise investments is first and fare most a question of getting incrased value out of your investment. You can buy when you think that the stocks are cheap. Wait for them to get worth more and them sell. This way you get to bring home profite.

Is that really all there is to it?

To buy cheap is not all that one must think of. The prices in financial intruments change all the time. Eventhough that they have a tendency to correct when the price has been too high or too low for a periode of time, there are many other reasons that the de- or increase.

How to analyse

There has in time been written a lot about how to analyse the market, focusing on the inherent dynamic of the financial pricemoovement. Usually the writters have used an approach called “Technical analacis”.

Do not do this at home

One can read a lot about different ways of placing one’s money. But do not thing that you can read it all in a book. This can be very dangerous, and you risk to loos all you have. If you do want to do some private investning a good advise is never to put all down at the same thing.

Written by admin

september 16th, 2008 at 9:41 pm

Posted in economics

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