| Due to current economic crises people are getting | | | | exchange website it self. |
| afraid of buying shares and are moving towards | | | | Once the sector or company is selected, the |
| less risky investments such as government bonds | | | | investor should investigate about the entire |
| and gold. Although investing in the stock market is | | | | selection. How is the company operating in current |
| risky but you can take the risk when the stock | | | | conditions? Who are the directors and |
| market is making new peaks. However, to | | | | shareholders in the company? How are the other |
| survive in the current market situation, I would | | | | companies in the same sector doing? The result |
| like to discuss some tips that will elaborate the | | | | of this research is that an investor will be able to |
| appropriate ways of buying shares in these tough | | | | find a good company to invest in. Sources can be |
| market conditions. | | | | company’s website, internet, stock exchange |
| You cannot earn profit all the time with all the | | | | site, company’s magazines and many more. |
| shares. The reason of fall in prices of stocks can | | | | Thirdly, the information about the companies |
| be global economic recession, company failures | | | | trading activity on the stock exchange is very |
| and many more. Many times a stock price falls | | | | important. A company’s trading history over |
| and never recovers fast. If this happens one | | | | a very long period of time, how often does the |
| should wait for the price they have bought the | | | | companies pay dividend? How is the |
| share for and sell the share as soon as they get | | | | company’s performance in comparison to |
| their money back. If one is stuck with a certain | | | | companies in the same sector? All of these |
| share then they should sell it and invest in other | | | | factors must be researched in detail before a |
| companies from which they can earn higher | | | | decision is made for buying share. |
| profits and recover their earlier losses. An | | | | Lastly, you should keep these key points in your |
| investor should have the ability to avail | | | | minds to avoid losses: |
| opportunities to make profits in stock market. | | | | - Do not hold a stock for a long period of time, |
| To avoid losses one should thoroughly research | | | | compare the performance of your stock with |
| about the company in which he is willing to make | | | | other stocks. |
| an investment. Never buy on sources: do your | | | | - Always do some research on the progress of |
| own research first. There are many areas on | | | | the company before buying a share. |
| which research can be conducted. | | | | - Research the entire sector of a stock exchange. |
| Firstly, one should study the whole stock market. | | | | - Select a company from the sector and study |
| Which sector is doing well? Which sector is paying | | | | the entire details of the company. |
| well even in the time of crises? Which sectors are | | | | - Research the trading activity of the company in |
| adversely affected? What is the current | | | | the stock market. |
| economic health? This study will help an investor | | | | Above mentioned were some appropriate ways |
| to purchase profit giving shares. Information about | | | | of buying shares. Consider the above mentioned |
| these questions are available on news papers, TV, | | | | information before buying shares in the current |
| political publications, websites and the stock | | | | market situation. |