UNDERSTANDING STOCKS PART 2

As mentioned in the first chapter, a strategy is a plan that helps you determine what stocks to buy or sell. If you are new to the stock market, it’s best to keep an open mind before choosing a strategy. | PART TWO MONEY-MAKING STRATEGIES Copyright 2004 by The McGraw-Hill Companies Inc. Click here for Terms of Use. This page intentionally left blank. CHAPTER Want to Make Money Slowly Try These Investment Strategies As mentioned in the first chapter a strategy is a plan that helps you determine what stocks to buy or sell. If you are new to the stock market it s best to keep an open mind before choosing a strategy. If a particular strategy seems to make sense to you take the time to do more research. It can take a long time before you find an investment strategy that not only makes sense but also increases the value of your portfolio. Keep in mind that you aren t limited to only one strategy. Some investors and traders use a variety of strategies whereas others are comfortable using only one. No matter what strategy you use here are a few things you should remember 1. A strategy is only as good as the person using it. In other words no matter how brilliant and ingenious the strategy you can still lose money. 2. Not all strategies work during all market conditions. 69 Copyright 2004 by The McGraw-Hill Companies Inc. Click here for Terms of .

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