1. First we should see the index how it is behaving that is when it is making an intermediate high than we should see where it is taking its first major support at this point we should buy shares of a particular company that is most liquid stock of the Market.
2. Suppose the price of a compay's share at its recent peak is $100 than Buy its share a $62 from the fund you got. Note invest only 25% of your fund at a time and wait for some time where the market is going if the market rises than book profit when the price reaches at $80.
2. Suppose the market falls again and the share price reaches at $50 than again Buy shares of the same company with 25% of the remaining fund. Then see how the market is behaving and book profits accordingly.
3. Never invest all your money at a time.
4, In this way you should make you major buying or selling decision and book Profits.
By this technic you will always earn profit and will never loose money.
Saturday, August 30, 2008
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