|Methods and Instruments of stock picking
| How to Evaluate New Business Project
The process of evaluation of a new business project involves multiple steps. Some investors often find it challenging to accurately forecast the future outcome of a new project, especially when armed only with a business plan and company�s financials...
Share Buyback: What Does It Mean for Investors?
Share Buyback occurs quite frequently on the stock market (well, at least in good times). The decision to repurchase shares is made by persons who are well-informed about the company�s financial situation. Investors can also use this move to receive ...
How to Measure the Top of Stock Price?
How can we tell when the stock price has reached its highest point? Is there a way to figure out the stock's maximum possible growth? If the stock has increased by 100 percent in a single year, is there any perspective for further growth? Some invest...
Reading Financials and Other Company Information
Every investor eventually expects to receive the highest possible return on his or her investment. With over 9,000 companies available on the market, it can be quite challenging to make a rational investment decision.
Therefore, it is crucial to ...
Spotting Valuable Companies on IPO Stage
I often think that many blue chips used to be small companies. Although now I can only buy a few shares of their stock at hundreds dollars each, formerly they cost few dollars or even pennies.
Then how can I detect a blue chip before it becomes su...
Liquidity is something that any investor should be familiar with, especially when he or she is looking into a short term investment. Imagine the situation where the stock you bought really cheap increases in value significantly but now you are having...
Technical Analysis: Support and Resistance
You are already aware that the technical analysis uses stock price charts to determine a future stock price. This article discusses two important concepts that are applied in technical analysis. They are support and resistance levels.
What are su...
Fundamental analysis: company�s cash flows
If you decide to study an interesting company with fundamental approach, then the first documents you�ll need will be its balance sheet, income statement and cash flow statement. In most cases they are named in this very order, and for some reasons m...
I often ask myself how it is feasible that all techniques of stock analysis are combined into two methods: technical and fundamental analysis. Is it possible that two methods are sufficient for a profitable stock picking? In fact, it�s not. Recently,...
Technical analysis - Dow Theory
"...an investor who will study values and market conditions, and then exercise enough patience for six men, will be likely to make money in stocks."Charles Dow Technical analysis is not only about charts, pictures, lines and figures. In the whole bun...