Share Trading...

[BlasterBates]

If you buy individual shares which will give you the best return on average, you need to buy investment analysis form somewhere. Standard & Poor for example is of high quality. You also need to understand some basics. The P/E ratio is extremely important, but also you need to understand P&L and balance sheets, comparisons with competitors so that you can evaluate the risks and opportunities. The professional analysis will give good pointers.

[mrdonuts]

in my experience small and mid cap stock prices dont necessarily correlate with this type of "accountants (are w ankers)" analysis, they tend to be based more on perception and trends

[BlasterBates]

By acquiring Accountants "W***kers" knowledge you can avoid 2001 style calamities. I know a lot of people who bought CISCO or other shares at p/e ratios of 90, using their "gut feeling" and "perception".

If you were to invest in a property (sensibly) you'd look at its income, its position, potential tenants (i.e. in a business district). The same is true of shares, too many regard it naivley as a gambling casino and then screw up their savings, without any possibility of making in the longrun.

[Jog On]

I’m booked on a course that teaches covered calls (selling call options) where you can make 3-6% a month. Quite a good short term way of making money.

[sasguru]

The P/E ratio is extremely important, but also you need to understand P&L and balance sheets, comparisons with competitors so that you can evaluate the risks and opportunities. The professional analysis will give good pointers.

This is very good advice. I used to write accountancy software so my basic understanding of P&Ls and Balance Sheets has been v. useful.

[DimPrawn]

You are sounding more and more like Threaded every day.

[MrRobin]

I’m booked on a course that teaches covered calls (selling call options) where you can make 3-6% a month. Quite a good short term way of making money.

Don't short calls have limited gains & unlimited risk??

[sasguru]

You are sounding more and more like Threaded every day.

Can't help it if you're a bit of an unaccomplished dolt.