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Author Topic: New To the Stock Market?  (Read 3422 times)
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Temmie10
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« on: April 10, 2008, 09:24:53 AM »

Are u new to stock investing or hav little/no idea?
Typically, you can read about the whole idea of stock market investment from scratch here: http://money.howstuffworks.com/stock.htm

In a Nigerian context, you need to get a good stockbroker and all other issues on what stocks to buy are discussed on the mother thread, "stock market tips for nigerians" daily, u can also make other enquiries about ur situation on that thread.

Anyone with good material for beginners should post here too.
Remember when stock market investing sounded like latin to you too? that is b4 u became a guru/guguru
« Last Edit: April 10, 2008, 09:27:22 AM by Temmie10 » Logged

In a protracted bear market, the worst thing that happens is not the money that you lose, its the opportunities you miss...because when the market does pick up...enormous wealth would have been made in an instant by those well positioned for the reversal
New Nigerians
« on: April 10, 2008, 09:24:53 AM »

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bigboylarry
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« Reply #1 on: April 10, 2008, 11:24:23 AM »

@Temmie10

 Nice one bro keep it up una fit visit this site ooo www.investopedia.com
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ability to think is also to investigate.
hama
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« Reply #2 on: April 10, 2008, 01:00:52 PM »

Looking at prices, how they rise and fall and linking them to news in circulation can make clearer the link between everyday life and stock prices.

Take this link for price charts.  http://www.cashcraft.com/pricemovement.asp

Pick a stock from list and extend date range as you wish to observe price fluntuation.

You may find that these fluctuations tie in nicely with release of quaterly and year end results and other news (e.g bonuses, strategic positioning etc).
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Never a dull day!!!
Minnie

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« Reply #3 on: April 10, 2008, 08:29:04 PM »

Thanks omoge for requesting for tutorials for the new ones like me. It gave birth to this idea from Temmie10.
And this....... is just perfect.
Thanks, y'all for your help, for sharing.
Thanks in advance for more.
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dollyp1cute
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« Reply #4 on: April 11, 2008, 04:22:41 PM »

My own 2b kobo

Have an exit price in mind e.g. I want to make 20% gain in this stock or 100%.

Stick to your exit price as much as possible unless you hear good information e.g. a fantastic result that waver you to hold on a bit more.

Don't be too greedy

Don't beat yourself on a loss, it's a learning process.

Apart from what you hear anyone recommend do a quick googling to get some info on the company you want to buy.

Try not to borrow someone else's money to buy stock, if you do be sure your broker is superfast to sell and buy otherwise heart attack is coming o.

Same for Trading a.k.a CICO (which basically mean you do more of buying and selling to make quick profit) your broker must be sharp to execute your order if he is slow forget CICO.
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Maranatha
bigboylarry
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« Reply #5 on: April 11, 2008, 06:14:26 PM »

DO NOT EXPECT MIRACLES OF MAKING IT IMMEDIATLY NA SMALL SMALL U GO REACH THE PROMISE LAND.BE BOLD BE COURAGEOUS TAKE STEP AND THINK! BE IN CONTROL FOR LONG TERM OR SHORT TERM THE BALL DEY UR COURT... HAPPY INVESTING.
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ability to think is also to investigate.
Mcshawn
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« Reply #6 on: April 13, 2008, 07:28:23 AM »

@All... i was once a novice ..but thanks to all for your help and support... attach is a beginner guild.

[attachment deleted by admin]
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Man Jiro
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« Reply #7 on: April 13, 2008, 12:04:58 PM »

All,

Attached are some Pdf that might be valuable for beginners. As time goes on I will place advanced materials.

Cheers

[attachment deleted by admin]
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Life is not doing a sum, Its more like painting a picture: You can ALWAYS make it better
Man Jiro
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« Reply #8 on: April 13, 2008, 12:08:23 PM »

@ Loma
Can only attach two files at a time?
We need to have ability to attached zipped files


Anyway, here are more:


[attachment deleted by admin]
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Life is not doing a sum, Its more like painting a picture: You can ALWAYS make it better
Man Jiro
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« Reply #9 on: April 13, 2008, 12:11:33 PM »

More files



[attachment deleted by admin]
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Life is not doing a sum, Its more like painting a picture: You can ALWAYS make it better
Omoba3
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« Reply #10 on: April 22, 2008, 08:23:59 PM »

To all those new to investing on the NSE, this is the best period to learn, and learn well from the mistakes of others. Especially in this BEAR season.

Investing in the stock market involves two seasons; Bull and Bear seasons.

The Bull Season is a season when all stocks seem to appreciate. The prices keep going up north and if at all it goes down, it's usually a temporary measure. In a bull season, everyone is a stock guru. Why? Because naturally stocks tend to do pretty well, and even without any analysis you can still manage to pick winning stocks. Please note that this does not make you a seasoned investor! A seasoned investor would have experienced both bull and bear seasons, and continues to learn and hone his or her investment strategies.

Investment strategies are the means through which you decide the best way to invest based on your knowledge of the market and how it operates. Your strategy will include whether to invest primarily in the Primary or Secondary market, or both. The primary market involves investing in public offers (PO's), Initial Public Offers (IPO's) or through Private Placements (PP's). These methods of investing do not require the use of a stockbroker.

Investing in the Secondary market involves buying stocks of shares listed on the NSE, through registered stockbrokers. Without the services of a stockbroker, you cannot buy stock from companies listed on the exchange, unless they have a Public Offer (PO).

Part of your investment strategy will be to decide when to enter and exit the market in a position of strength. A position of strength is buying a stock as low as possible and selling as high as possible, bearing in mind that you need to buy when others are willing to sell and sell, when others are willing to buy. This is a skill that requires fine tuning, because you cannot time the market, but you can study human behaviour, especially when it comes to investing. There will always be people whose greed gets the better of them, there are those who invest, ignorant of the fact that it requires a some form of knowledge, understanding and skill. There are those whose love of "Bonus Issues" makes then go crazy about buying shares of companies issuing, what they consider good or juicy bonuses. A bonus is when companies decide to give you more shares than you already own at a predetermined ratio (i.e. 2:5, two bonus shares for every five shares you own).

Based on this scrambling for "bonus" shares, other investors take advantage of the price appriciation that ensues. They learn to buy into the stock at the right moment (when there are thoses willing and interested in buying the stock) and exit (sell, before there are no more buyers, interested in the bonus issue) before the closure date. "Bonus shares" are not really bonus! This is the company dividing up the shares you already have into smaller pieces! i.e. dividing your 3 whole shares into smaller pieces of 6! Unsuspecting investors only consider the "fact" that they now own double what they previously owned and think in terms of the stock price. The assumption being that the stock price will either remain the same of even go up, not realising the true implication of a stock split, which is the correct name and not bonus! Related to this issue of "bonus issues", is the fact that companies that give bonus, are in essence diluting the number of outstanding shares, creating more mouths to feed! Creating more mouths to feed, means that come the time the company makes a profit they have a lot more investors to share the profit amongst and this means smaller profit portions (dividends) for all concerned.

The stock market requires that you continually modify your strategy so as to adapt to the investment terrain. Part of your investment strategy would be to either invest for the short, medium or long term, which is in turned determined by your risk appitite and how much time you have available to monitor the daily fluctuations of the market. Which ever method you choose will also be informed or dependent on your investment criteria. Your investment criteria are your reasons for investing, which could be as follows:

* For retirement

* To boost your income

* To finance a dream, wish or desire of yours i.e. buying your dream car or house

Take for example short term trading. I find this exciting, but this is a full time job in itself. You need to monitor your investments on a daily basis and this is time consuming! The risk element is much higher than if you choose to invest in the medium to long term range. I don't have the time required, but I have the risk appetite and my investment goals require that I maximise my investments in the shortest possible time. To this end, I have won thus far, that is untill this year. My losses to date starting January is N630K!!! If you choose to invest for the short term, be prepared for the losses that could equally result from your trades!!!

Take a look at all the recent posts on "Stockmarket Tips" starting 4 weeks ago if not more. The bears are on a rampage!!! Those mostly affected are those doing short term trades, especially if they have used borrowed funds or they have invested money they cannot afford to lose. If you are investing for the long term, you have nothing to worry about, unless that is, the company you invested in turns out to be a good investment turn bad, ala cadbury. Cadbury was/is a solid company, but they are no where near the previous status of being a fundamentally sound bluechip company.

Whatever investment route you take, to need to monitor the market and your investment as regularly as possible. This is to avoid waking up one day to discover your investment is no longer worth anything. WanajO said something recently, the bear market is a period one buys, while the bull market is essentially when you should look at selling. This period he implied is the best time to take out a loan, if you have the liver for it, but chances are in your favour, since you are buying when everyone is selling, and will be selling during the bull market, when everyone else is buying.

I will stop so far, hoping others will continue to share their knowledge and wisdom on the NSE
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Temmie10
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« Reply #11 on: April 28, 2008, 12:15:41 PM »

if u want to understand the main principles behind fundamental analysis or u want to learn the ropes anyway...i suggest you get your hands on the following two books that are readily available in most business bookstores.
It gives u the big picture...what its all about...u can now adapt it to the situations u see....i read these books as an undergrad and i have never looked back since.

1. the Intelligent Investor....probably the best book on investing ever written...read until u get it....
http://www.amazon.co.uk/Intelligent-Investor-Benjamin-Graham/dp/0060555661
2. the warren buffet way...this is a very easy read so u can easily start with this one
http://www.amazon.com/Warren-Buffett-Way-Investment-Strategies/dp/0471177504

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In a protracted bear market, the worst thing that happens is not the money that you lose, its the opportunities you miss...because when the market does pick up...enormous wealth would have been made in an instant by those well positioned for the reversal
frankiriri
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See It Beleive It Acheive it


« Reply #12 on: May 13, 2008, 07:58:14 AM »

if u want to understand the main principles behind fundamental analysis or u want to learn the ropes anyway...i suggest you get your hands on the following two books that are readily available in most business bookstores.
It gives u the big picture...what its all about...u can now adapt it to the situations u see....i read these books as an undergrad and i have never looked back since.

1. the Intelligent Investor....probably the best book on investing ever written...read until u get it....
http://www.amazon.co.uk/Intelligent-Investor-Benjamin-Graham/dp/0060555661
2. the warren buffet way...this is a very easy read so u can easily start with this one
http://www.amazon.com/Warren-Buffett-Way-Investment-Strategies/dp/0471177504


If you live in Lagos you can get them at Laterna Ventures at Oko Awo street, VI
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See It Beleive It Acheive it
Man Jiro
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« Reply #13 on: May 14, 2008, 08:59:46 AM »

Attached are some pdf for Candlesticks
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Life is not doing a sum, Its more like painting a picture: You can ALWAYS make it better
Man Jiro
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« Reply #14 on: May 14, 2008, 09:06:08 AM »

Market indicator analysis
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Life is not doing a sum, Its more like painting a picture: You can ALWAYS make it better
peegee

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« Reply #15 on: June 04, 2008, 07:33:09 PM »

Hello NNS, I am a beginner who has learnt alot from the posts of others on this forum, please keep it up. Newbies like me have really learnt alot.
@Manjiro & MCshawn Pls could u forward the previous attachments that have been deleted by admin and any other helpful stuff (MACD,Candelsticks,RSI etc) to my mail box peet_ahatyahoodotcom.
Thanks pple.
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Man Jiro
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« Reply #16 on: June 19, 2008, 06:00:19 PM »

Hello NNS, I am a beginner who has learnt alot from the posts of others on this forum, please keep it up. Newbies like me have really learnt alot.
@Manjiro & MCshawn Pls could u forward the previous attachments that have been deleted by admin and any other helpful stuff (MACD,Candelsticks,RSI etc) to my mail box peet_ahatyahoodotcom.
Thanks pple.

I dont remember the file names o.

@Admin

It might be a good idea to leave the files names for future reference
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Life is not doing a sum, Its more like painting a picture: You can ALWAYS make it better
depthsheights
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« Reply #17 on: June 28, 2008, 04:00:24 PM »

Guys,

I think it might also be a good thing to understand how the market is regulated and governed.

http://www.sec.gov.ng/
http://www.nigerianstockexchange.com/

Good luck!
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Ap@che
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« Reply #18 on: September 02, 2008, 08:51:37 AM »

this link will also help. you can read through and see mistakes people have made in the past and try your possible best to avoid them.

http://www.stockmarketnigeria.com/forums/other-stocks-investment-strategies/652-mistakes-you-have-made-while-investing-nigerian-stock-exchange-10.html
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Advice is one thing that is freely given away, but watch that you take only what is worth having
chrisadam2

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« Reply #19 on: August 17, 2010, 07:27:34 AM »

You need to have your basics clear. Unless you do?.you will be wasting your time and loosing money. You need to be crystal clear of each and every aspect of Investments, stock options, Stock Trading, Company, Shares, Dividend & Types of Shares, Debentures, Securities, Mutual Funds, IPO, Futures & Options, What does the Share Market consist of? Exchanges, Indices, SEBI , Analysis of Stocks ? How to check on what to buy?, Trading Terms (Limit Order, Stop Loss, Put, Call, Booking Profit & Loss, Short & Long), Trading Options ? Brokerage Houses  etc.

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