Trading Stocks?

I began learning fundamental stock trading about 30 years ago. That is when you look at a company's performance to decide whether the stock will increase in value or decrease in value.

One of the parts of this is Value Trading, where you look for companies that have fallen out of favor and are now trading below their actual value and will eventually move up in price. Often this involves buying as it continues to fall, dollar cost averaging into the stock, then profiting as it turns to the upside.

Stock Chart

I learned technical trading about 20 years ago. That is when you look at a stocks chart to determine whether or not the stock will continue running up in value or will continue falling in value or maybe just drift sideways.

There is a hybrid of it where you look to see if a stock is moving up or moving down and then you look closely to find an Optimum entry point.

I have used all of these in my stock trading. An example of hybrid is Lumber Liquidators. Some of you may remember several years ago when there was an expose on 60 minutes of how they were falsifying tests which allowed them to have much higher levels of formaldehyde than they are allowed by the EPA.

I saw that 60 minutes segment, so first thing Monday morning when the market opened I sold Lumber Liquidators short. When I saw that the momentum was losing its push I covered the short, took my profit, then bought a long position expecting it to increase. It did and I made a profit on the upside. I continued buying and selling on the see saw ride down.

This is one of the many things that I teach in creating your own business. No matter what kind of business you want I can teach it to you. Fill out the form on this page to get a FREE Consultation.

Rob Hoerntlein
 

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