How to avoid bad stock

[Oluwasegun purpose]

most investor often fall in the simple trap of believing someone who tells them that a particular stock represents the next winning bet. However, you should be very cautious when examining the possibility of investing in such a promising stock..

 an example of a great looking stock is the one that looks absolutely healthy from the outside, but it is usually hollow and unprofitable in it's core.most investors that are attached by these shiny stocks eventually find out that the companies that have issue them are not profitable and financially sustainable.these stocks are easily forgotten after a short period of time.

Another example of a bad stock is the one that is tied to the cycle of the business.this means that it's price is very vulnerable to the changing cycle of the market.if you purchase the stock at a time when it's price was high (due to high demand), you Will soon end up with a worthless stock because of the change cycle of the market.

sometimes a stock may be really very profitable and a viable investment.. However, you have entered the game too late at a point where the market has increased The price of the stock to a high level. No matter how good the stock May be if you buy high you will soon feel the losses......

 

[Jasz]

You've probably heard this before, but it's worth repeating: bad stock is truly a game of chance. The stock market tends to be... volatile. Because of the dramatic changes that happen on any given day, you really need to look for a few signs that the stock is bad before jumping in with both feet and buying shares.

Conversely, when the stock market is booming, even stocks that are trending downward may look like a good bet. But when one or more of the following signs are present, you can trust that what you're looking at is bad stock.

Look at stock history

Try to find a clear pattern of ups and downs over time (even if they're not necessarily frequent). If there's no clear trend or a history of losses, consider this a red flag and move on.

Ask an expert

Investing in stocks can be risky business and it pays to have someone who knows the industry well on your side. If you're looking for advice about stocks, consult with someone who specializes in investments before making a purchase. Here's how to find an investment advisor near you! And here are some tips for finding the right financial advisor!

 

[Bluejettravel 70]

most investor often fall in the simple trap of believing someone who tells them that a particular stock represents the next winning bet. However, you should be very cautious when examining the possibility of investing in such a promising stock..

 an example of a great looking stock is the one that looks absolutely healthy from the outside, but it is usually hollow and unprofitable in it's core.most investors that are attached by these shiny stocks eventually find out that the companies that have issue them are not profitable and financially sustainable.these stocks are easily forgotten after a short period of time.

Another example of a bad stock is the one that is tied to the cycle of the business.this means that it's price is very vulnerable to the changing cycle of the market.if you purchase the stock at a time when it's price was high (due to high demand), you Will soon end up with a worthless stock because of the change cycle of the market.

sometimes a stock may be really very profitable and a viable investment.. However, you have entered the game too late at a point where the market has increased The price of the stock to a high level. No matter how good the stock May be if you buy high you will soon feel the losses......

its hard to pick a good one! recommend that start a low expensive one than you can graduate a higher one. But a stock market is unpredictable