First look at the fundamentals of * *. I generally choose * * with clear main business, only one main business and no more than two main businesses (unless it is a comprehensive capital platform that can operate across industries). I never consider * * having more than three main businesses.
The second is to find a leading, monopolistic * * or a large share of * * in the market segment.
The third is to examine the top management of the target and the credibility of its operation. The general investor relations department is responsible for communicating with the shareholders of tradable shares when * * is listed, and I often communicate with my favorite * * through the Internet or * *.
Fourth, in terms of industries, look for industries with turning points or good development prospects.
The fifth is to understand the degree of capital involvement through the K-line chart and the entry and exit of circulating shareholders. We retail investors don't have the financial resources and energy to conduct on-the-spot investigation and understanding of each company. It is best to get involved in stocks that some funds have been involved in on a large scale or at least the top ten tradable shareholders have recommended for funds and several highly credible research institutes.
Sixth, look for undervalued stocks, and know the reasons why the stock price is undervalued or why the stock price has fallen. It needs to be explained here: underestimation does not mean that the stock has plummeted. Good stocks generally don't get you deep.
Seventh, the timing of intervention. Generally speaking, underestimating the rise of stocks will not happen overnight, and there will be several waves of downward exploration. We can intervene after 2-3 waves fall; For stocks that are at a high level, you can wait until the adjustment.
Eight, because of the small amount of funds, the stock of 1 is generally chosen for long-term intervention. Only in this way will you be forced to work harder to understand all aspects of the stock you are involved in. Don't spread a small amount of money over a large number of stocks.
Nine, we must have psychological control, do not choose suspicious stocks, choose stocks without doubt. I believe the stock you choose will make money for you.