When trading market should be a planned strategy for maximum profitability in the medium term.

There are no miracles, and get rich in a short time in the stock market is very difficult. The large “balls” is rarely given and only the rich accumulate large profits. But it is quite feasible for small and medium investors to obtain an interesting profitability in the medium term, taking into account a number of basic principles.

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When a beginner investor takes his first steps on the stock market usually buy ‘at random’, without prior planning or follow an investment strategy. In this way, it’ll end disastrously, losing money. However, it is easy to learn and study without an economic race to acquire the rudiments to earn some money in equities. Is exciting and addictive just read about this subject, and gradually acquired much knowledge.

Basic advice when opting for a strategy

In the digital age there is a lot of information in business journals, blogs and articles about the best options for investing the time. It should read as much as possible, but is also very important not to trust anyone and take all the data ‘with tweezers’. All reporters and analysts may be an interested party, as in the stock market everyone wants to make money through the system to increase the demand for their titles. Therefore, before obeying a tip ‘blindly’ and buy a stock that will suddenly revalued worth examining the reality and see the recent evolution of these titles. Many insiders in fact false.The experts and gurus who appear in the media capital are managers of their customers are also investing in the market, so they have interests.

A small investor has it hard in finding the magical value, but has a better chance if the long term aims, values ​​and hopes that they can be gradually appreciating. There may be crises, and major crashes, but when you get older, the shares have finally risen.According to all analysts, it is always better to opt for companies that pay dividends. If they do, it’s usually an indication that a problem exists.

Simple investment strategies

The simplest investment strategies consist of buying a broad index at regular intervals. It is acquiring shares in an index fund, with values ​​representing the entire stock market. You can go shopping every month or every three months by investing more or less money in terms of prices. This will make money, but in the long term.A variation of this strategy is to purchase shares representing an index, for example, the same number of shares of the 10 or 15 of the greatest values ​​that make up the IBEX 35. The investment will increase at the same index.

Intermediate investment strategies

Among the highlights intermediate strategies is known as “Dogs of the Dow (the Dow Dogs).” It is buying the 10 most successful stock earlier this year the index Dow Jones. The following year, most of the titles will still be up. Those who are no longer among the top ten, sold and replaced by newcomers. It is not necessary to heat a headache following this tactic, which is extrapolated to the CAC 40, Dow 35 or other indices, because according to studies, also brings profitability. All investors use before or after the option to “Buy in times of stock market crash.” Is to wait to have a crack in the stock market. At that time, prices are low. It expected a season to go back up and sell.

The more sophisticated investment strategies

When an investor already has some experience, and managed in Stock Exchange, may be planning to use more complex strategies. For example, investing in small companies is not available to everyone. You can get higher returns because these entities evolve somewhat independently of the major economic trends, but requires access to information and always be aware of how titles evolve.

The investor can also opt to sell Put options, which are rights to sell, acquired the option to sell shares of a particular company to a specific date at a price that does not vary the price. You can also choose to trade call options, purchase rights for a specific price until a certain day.It requires some mastery invest in cyclical companies, those that usually follow a process of falls and fall over time. Should carefully analyze how they evolve, to buy at the lowest point and sell it as close as possible to the top of the cycle.