Seven years ago, I was looking for a way to invest in stocks in my own country (Philippines). So, I’ve read and searched so many books and sources online and here’s what I found.
Invest in the Philippine Stock market by following these tips. Some of these strategies are fundamental to your success.
The tips we are giving here are not for day traders.
1. Buy Cheap Stocks (Not cheap – Buying at a price below the value of the company)
Look for companies that are cheap to buy based on fundamentals. You can develop our strategy here to find stocks today. One of the mistakes you can do has been buying expensive securities!
You can also backtest by using data here.
2. Buy Companies with Good Fundamentals
Only select companies that have earnings growth in the last five(5) years. On the other hand, there is only a handful of fundamental analysis which you can use. A lot of them are crap!
3. Buy Securities with upside Momentum
Buying stocks that do not move is foolish. We invest in stocks that do have enough volatility. Use Vix Fix indicator here.
4. Get a good Broker
We have discussed this below. What will happen to your money if your broker becomes bankrupt? Always safeguard your investments. Also, use a reputable company. For example, Philstocks and Colfinancial are good brokers.
5. Don’t day trade if you have a job
If you’re too busy at work, how can you monitor your trades? Do not do this to yourself. Also, How will you concentrate at work if you are continually trading?
6. Control your emotion
Only take the trade when you have established your entry and exit points. Also, when you do this, your fear will go away because you have a system or strategy.
7. Exit at the right time
Find a good exit strategy by backtesting with Amibroker. How will you know when to sell?
Why a newbie lose money?
A trader who doesn’t have a strategy with an edge always lose in the market. He also trades that is too big relative to his account size.
Benefits in Investing in the Philippines
As a Filipino, you can contribute to the growth of our country. In addition, Helping our local companies to grow has always been my goal. Also, by investing in stocks, we can increase our wealth because of the Philippines growing as fast as six(6) percent per year.
Getting a good broker
Safeguard your investments by getting a good broker first. Also, you do have to choose a reliable company to put your hard earned money to work for you. I use Philstocks for testing my strategies.
You can also use these apps to monitor your stock portfolio.
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