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Patience is Crucial for Investing

Patience is crucial for investing

Investing is the process of putting your money to work for you, with the expectation of earning a return over time. Investing can help you achieve your financial goals, such as saving for retirement, buying a house, or funding your education. Investing can also help you grow your wealth, beat inflation, and create passive income.

However, investing is not a get-rich-quick scheme, nor a gamble. Investing requires patience, discipline, and a long-term perspective. Patience is crucial for investing, as it can help you overcome the challenges and uncertainties of the market, and reap the rewards of compounding and diversification. In this article, we will discuss some of the reasons why it is crucial for investing, and how to cultivate it.

Patience helps you ignore the noise

The market is full of noise, such as news, opinions, rumors, emotions, and events, that can influence your investing decisions. However, most of the noise is irrelevant, misleading, or short-term, and does not reflect the true value or potential of your investments. Patience helps you ignore the noise, and focus on the signal, such as the fundamentals, trends, and quality of your investments. It helps you avoid making impulsive, emotional, or irrational decisions, such as buying high, selling low, chasing fads, or following the crowd. Patience helps you stick to your investing plan, and act based on facts, logic, and analysis.

Patience helps you benefit from compounding interest

Compounding is the process of earning interest on your interest, or returns on your returns, over time. Compounding is one of the most powerful forces in investing, as it can exponentially increase your wealth, especially in the long run. However, compounding requires patience, as it takes time to accumulate and grow. Patience helps you reinvest your earnings, and let them compound over time. Patience helps you avoid withdrawing your money prematurely, or switching your investments frequently, which can reduce your compounding effect. Patience helps you harness the power of compounding, and achieve higher returns with lower risk.

Patience helps you diversify your portfolio

Diversification is the process of spreading your money across different types of investments, such as stocks, bonds, commodities, real estate, or cash, that have different characteristics, risks, and returns. Diversification is one of the most effective ways to reduce your portfolio risk, as it can protect you from the volatility and unpredictability of the market. However, diversification requires patience, as it means accepting lower returns in some periods, or holding some investments that may underperform or lose value. Patience helps you diversify your portfolio, and balance your risk and return. Patience helps you avoid putting all your eggs in one basket, or chasing the best-performing investments, which can expose you to more risk. Patience helps you optimize your portfolio performance, and achieve more consistent and stable returns.

How to Cultivate Patience for Investing

  • Set realistic and long-term goals: Patience for investing starts with setting realistic and long-term goals, such as saving for retirement, buying a house, or funding your education. You should have a clear and specific vision of what you want to achieve, why you want to achieve it, and how you plan to achieve it. You should also have a realistic and reasonable expectation of the returns and risks of your investments, and how long it will take to reach your goals. Setting realistic and long-term goals can help you stay motivated and committed, and avoid disappointment and frustration.
  • Do your research and due diligence: Patience for investing also requires doing your research and due diligence, such as studying the market, analyzing the investments, and evaluating the opportunities. You should have a sound and rational basis for your investing decisions, and not rely on hearsay, hype, or speculation. You should also have a thorough and objective understanding of the strengths, weaknesses, opportunities, and threats of your investments, and how they fit your goals, risk tolerance, and time horizon. Doing your research and due diligence can help you build your confidence and conviction, and avoid doubt and fear.
  • Review and monitor your progress: Patience for investing also involves reviewing and monitoring your progress, such as tracking your portfolio performance, measuring your results, and adjusting your strategy. You should have a regular and consistent schedule for reviewing and monitoring your progress, such as monthly, quarterly, or annually, and not too frequently or infrequently. You should also have a clear and relevant benchmark for comparing and evaluating your progress, such as an index, a peer group, or your own goals. Reviewing and monitoring your progress can help you learn from your successes and failures, and improve your decision making.

Conclusion

Patience is crucial for investing, as it can help you overcome the challenges and uncertainties of the market, and reap the rewards of compounding and diversification. Patience can help you ignore the noise, benefit from compounding, and diversify your portfolio. Patience can also help you set realistic and long-term goals, do your research and due diligence, and review and monitor your progress.

Patience is not easy, nor natural, for most investors, as it goes against the human nature of wanting instant gratification or avoiding pain and loss. However, patience can be cultivated, practiced, and improved, with the right mindset, attitude, and habits. Patience can make the difference between success and failure, wealth and poverty, happiness and misery, in investing and in life.

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The Perks of Dividend Investing

Dividend investing is a strategy that involves buying stocks of companies that pay regular dividends to their shareholders. Dividends are payments that companies make from their profits to reward investors for owning their shares. 

Dividend investing offers several benefits

  • Steady income: Dividend stocks can provide a consistent source of income that can supplement your earnings or help you fund your retirement. Unlike interest payments from bonds or savings accounts, dividends are usually not fixed and can grow over time as the company increases its profitability and dividend payout. Dividend income can also help you cope with inflation, as dividends tend to rise faster than consumer prices.
  • Capital appreciation: Dividend investing can also help you increase your wealth over time. As the company grows its business and expands its market share. During poor market conditions, these are also the companies most investors look to invest in. The reliability of dividends can help boost their stock price.
  • Diversification: Dividend stocks can help you diversify your portfolio and reduce your risk. Dividend stocks can come from various sectors and industries, such as energy, consumer goods, healthcare, technology, and utilities. By investing in different dividend stocks, you can spread your exposure and hedge against market fluctuations. Dividend stocks can also perform well in different economic conditions, as some dividend stocks are more defensive and resilient, while others are more cyclical and growth-oriented.

How to Invest in Dividend Stocks

Investing in dividend stocks is a long-term strategy that requires patience and discipline. To invest in dividend stocks, you should follow these steps:

  • Do your research: Before you buy any dividend stocks, you should do your homework and analyze the company’s financial performance, dividend history, and future prospects. You should look for companies that have a track record of stable and growing dividends, a strong competitive advantage, a healthy balance sheet, and a sustainable payout ratio. You should also compare the dividend yield, which is the annual dividend per share divided by the stock price, with the industry average and the market average, to see if the dividend is attractive and sustainable.
  • Build a diversified portfolio: You should not put all your eggs in one basket and invest in only one or a few dividend stocks. You should diversify your portfolio by investing in different dividend stocks across various sectors and industries, as well as different market capitalizations and geographic regions. You should also balance your portfolio between high-yield and low-yield dividend stocks, as well as dividend growth and dividend value stocks, to optimize your returns and minimize your risk.
  • Reinvest your dividends: One of the best ways to grow your dividend income and compound your returns is to reinvest your dividends. You can do this by using a dividend reinvestment plan (DRIP), which allows you to automatically buy more shares of the same company with your dividend payments, usually without paying any commissions or fees. By reinvesting your dividends, you can increase your share count, boost your dividend income, and benefit from the power of compounding over time.
  • Hold for the long term: You should not invest in dividend stocks if you are looking for quick profits or short-term gains. Dividend investing is a long-term strategy that requires you to hold your stocks for years or even decades, to enjoy the full benefits of dividend income and capital appreciation. You should not be swayed by short-term market movements or emotions, and stick to your investment plan. You should only sell your dividend stocks if the company cuts or suspends its dividend, or if the company’s fundamentals deteriorate significantly.

Conclusion

Dividend investing is a rewarding and proven strategy that can help you achieve your financial goals and secure your financial future. By investing in dividend stocks, you can enjoy steady income, capital appreciation, tax advantages, and diversification. To invest in dividend stocks, you should do your research, build a diversified portfolio, reinvest your dividends, and hold for the long term.

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What are Bull Traps and how to Avoid Them

For any trader with experience, bull traps are the worst. One minute, a stock could be rallying after a breakout. Then stops are suddenly hit only a couple of hours later as prices plunge downwards. Bull traps happen pretty frequently. It’s a part of the reality that traders have to face.

For traders who haven’t encountered this annoying market behavior yet, it would surely pay to learn more about it. Let’s dive into what exactly bull traps are and the countermeasures we can take!

Bull Traps

A bull trap is often known as a “false signal” in the market. As the name suggests, they often trap buyers – forcing them to close their positions as their cut loss points are hit. Bull traps can take many forms. Bull traps commonly appear as false breakouts. However, they can also come in the form of reversals that fail. Generally, you can identify bull traps when you see bullish technical patterns that appear to be working, only to fail in the following candlesticks. 

SPX counter-trend rally bull trap

A recent bull trap that occurred was in one of the U.S. stock market indices, the S&P 500. The gist of this was that everyone thought the inflation-interest rates fiasco was over. Players in the market assumed the Fed already turned dovish. As enthusiasm filled wall street, stock prices rallied. The general 4,200 level was the major resistance to break. Although prices broke past, the breakout immediately failed in the following week. As prices failed to hold, this only proved that the breakout was but a mere bull trap.

Bitcoin intra-day bull-trap

Just recently, Bitcoin also staged a rally. While the trend is still intact, prices created a bull trap scenario for intra-day traders. 21,800 was proving to be a resistance point that needs to be broken. Prices suddenly surged past the level, only to fall back quickly in a matter of hours. Again, the move trapped breakout buyers.

ACEX ongoing retest

This one is still an ongoing case. Will $ACEX hold above its resistance-turned support, or will it become a bull trap? Again, prices broke out of a major resistance level (17.00). Currently, prices are still retesting the level. If 17.00 fails to hold, the move can then be labeled as a bull trap. However, as the level still holds we can’t determine yet if the move was only a sucker play, or if it still has short-term potential.

The market psychology behind bull traps

As always, we need to understand the market dynamics behind certain behaviors. For shortable markets, these moves happen when bears start to take control. Since breakout strategies are already common, advanced market participants take advantage of creating false breakouts in order to get better prices for shorting. They are also able to short a bigger amount as breakout buyers put more liquidity into the market. 

For long-only markets, bull traps often take place during bearish environments. There will always be outliers in every market. However, not all breakouts tend to stay strong. Traders who are aware of this often make the adjustment of selling early into the breakout. While most retailers are still buying in hopes of a jackpot, seasoned veterans are already selling. In effect, this creates bull traps.

How do you avoid bull traps?

This begs the question, how do you avoid bull traps? Like all other losses, it’s impossible to fully avoid all bull traps. Breakout strategies are still strong tactics that can be used in trading the markets. Although not all can be avoided, you can take extra precautions or certain adjustments to avoid getting caught all the time

Look at the macro view of the market

As mentioned, bull traps often happen when the overall environment is bearish or when bears are in control. Hence, it would make sense to look at the bird’s eye view of the market. For example, if the index of the market you are trading is bearish, you can expect bull traps to happen more frequently. From there you can start to look at how you can make adjustments.

Selling quickly into strength

If you already know that the broad market has turned bearish, adjustments need to be made. There is a wide variety of tactics that can be employed. Selling into strength is one of the simplest, yet effective ways to avoid bull traps. Rather than trying to follow an uptrend, you can opt to sell profits quickly after a breakout. This entails lower risk-to-reward ratios, so you have to tweak your strategy to suit your style of trading better.

Buying tranches at support

As rallies are more short-lived in bearish environments, shifting tranches bought closer to support levels can be a viable adjustment. This will also let you get better risk-to-reward ratios if you choose to sell into strength after breakouts. However, keep in mind that you are also exposing yourself to the risk of breakdowns. 

Finding the right strategy

There are limitless variations in how you can adjust the way you trade. What was mentioned above are only just examples of adjustments you can make. As different market conditions demand different needs, you need to be flexible. This is where experience and preparation come in. Through being consistent with doing the hard work, such as studying your trading journals and reflecting on charts, the better you will be at anticipating possibilities and adjusting your strategies in your own unique way.

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How does the Fed work?

The U.S. Federal Reserve, more commonly called the Fed, serves as the central bank of the United States. The Fed has the authority to manage monetary policy, regulate banks, and implement currency controls through market activities. However, with great power comes great responsibility. The Fed has the capability to stimulate the U.S. economy, but it also has to balance many factors to ensure the sustainability of the economy’s growth.

Federal Reserve System was founded on December 23, 1913, when President Woodrow Wilson signed the “Federal Reserve Act” into law. According to federalreserve.org, it performs five general functions to promote the effectiveness of its operations and the U.S. Economy.

  1. Conduct the nation’s monetary policy – The Fed has to manage the country’s financial policies that unemployment rates are low in terms of data, while keeping inflation rates at modest and acceptable levels. 
  2. Promote the stability of the financial system – The Fed has to make sure that systematic risks is mitigated through active monitoring of the situation in the U.S. along with any global issues that may affect the economy.  
  3. Promote the safety and soundness of individual financial institutions – The Fed acts as the “lender of last resort.” It is in charge of dealing with any emergencies and also acts as the central entity that handles the loans of banks from a higher point of view.
  4. Foster payment and settlement system safety and efficiency – The Fed is also responsible for ensuring that payment systems are swift and secure from any possible flaws or breaches in security.
  5. Promote consumer protection and community development – Lastly, the Fed is also responsible for overseeing how consumer demand in the economy is moving. Since it is in charge of stimulating the economy when needed, the Fed needs to be aware of the economic developments happening in the country. 

In the United States federal reserve system, the country is divided geographically into twelve districts. Each of these districts or banks are incorporated as a reserve bank. The twelve federal reserve districts operate independently but are supervised by the Federal Reserve system. The photo below shows the different districts:

(FederalReserve, Sep 2021)

The Fed is powerful enough to decide and control the distribution of money and credit. In addition, it also regulates the financial institutions and heavily influences the economy’s direction. The federal reserve enjoys a unique public/private partnership structure that functions within the government. In a way, the Federal Reserve is setup like private corporation to isolate itself from political pressures or political agendas by politicians. 

Inflation

When the inflation rate is above average or is rapidly surging, the Fed will implement higher interest rates in order to combat inflation. Inflation is a burden to everyone as it devaluates the money someone has. For example, if 3 packs of gummy bears were worth $10 in the year 2000, 1 pack of gummy bears would already sum up to $10 today. The Fed solves the issue of prices rising too fast by raising interest rates in order to cut down demand and slow down the rise of prices

Effects of the Fed on the Economy

The Fed’s control on the monetary policy of the U.S. also affects the availability of money. If the Fed sets low interest rates, it would cause money to flow into the economy, favoring the public and promoting economic growth. A low interest rate environment lets companies borrow money for a cheaper rate. As credit becomes more available, small and large companies alike are able to embark on more ambitious projects that help stur the economy and promote employment. 

However, we have to keep in mind that interest rates need to be set at the right level, where economic growth and inflation are balanced. Having interest rates that are too high for long would most likely cause economic recessions. On the other hand, interest rates that are too low for a long time would also cause the economy to overheat and inflation to rise aggressively. Borrowing from Ray Dalio’s analogy, central banks (therefore the Fed) act like the drivers of the economy. They have to press the gas just at the right level, where the economic vehicle is neither over speeding nor going too slow. 

Effects of the Fed on the Stock Market

Since the Fed has a lot of power over the direction of the economy, it would make sense that it would also have an impact on the stock market. It is worth pointing out that turning points of the stock market are often affected by decisions of the Fed. The great Stanley Druckenmiller went as far as to say that the main thing investors and trader should look at when trading stocks is how central banks move. Liquidity remains as the number one factor that moves asset prices. As the Fed holds power over how much money circulates in the economy, they also hold the power to move the markets. Keep in mind, however, that balance still needs to be maintained. Pushing a lot of liquidity in the economy will do wonders for the stock market in the short-term, but will have severe consequences in the long run as inflation might go out of control. 

Whether you’re a passive investor or a full-time trader, it will always be important to look out for how the Fed is steering the economy. Fed decisions often act as indicators for many financial institutions and hedge funds. Knowing how the economy might be affected by Fed decisions will help keep you a step ahead in predicting where the broad market will head towards. 

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Featured Trader of the Week: @RomeTroy

Congratulations to @rometroy for being the featured trader of the week! Warren Buffet once said “Invest in companies you believe in.” In the case of @rometroy, he believes that his stock picks are not for short-term trading but a long-term HOLDING that will be profitable in the long run. 

@rometroy has been sharing his thoughts to the Investa community ever since 2015! He’s also a popular trader in the community as he has over 4000 followers.

A week ago, our featured trader posted his analysis on $SSP, a hot stock in the local market. $SSP recently reached a 52-wk high at 1.56 and closed at 1.5 on July 20, 2022!

As the stock recently surged through a reversal trend, @rometroy charted its support, resistance,  MA, EMA, and RSI on the chart, bound for a breakout as he believes in its fundamentals. @rometroy felt an opportunity to have a good entry near the support and HOLD for a while.

TECHNICALS OF THE TRADE

Technically, the $SSP reached a 52-wk high recently at 1.56 and is bound for consolidation or breakdown. After breaking out at the 1.18 level, SSP’s volume surges along with its RSI. The MA crosses the long-term length of 200. On the other hand, others are falling and consolidating. SSP is showing strength in terms of volume as it continues to consolidate after breaking out at 1.18ish. It came from a 52-wk low at the 0.92 area before surging and breaking the 1.18ish area. There could be a retest in the next few weeks in SSP. Technically speaking next resistance of SSP could face is the 1.6 level onwards. Furthermore, SSP will retest whether it will surge more or will be back being more bearish.

@rometroy was confident that prices would go up as he indicated in his chart the supports, resistances, MA, EMA, and the RSI. He charted a good entry near the support and possible resistance. He will also hold the SSP for awhile while planning for a take-profit price and his trades. 

FUNDAMENTAL CATALYST

SSP takes the spotlight in the local stock market, reaching a 52-wk high of 1.56 and closing at 1.5 on July 20, 2022! SFA Semicon Philippines Corporation is a semiconductor company that supplies Samsung Korea. SSPs are engaged in the assembly and test of memory chips and devices for computers, laptops, and servers, as well as micro SD cards for mobile phones. 

Furthermore, $SSP has been a trend recently, and the volume from the locals and foreigners is increasing. In addition, $SSP recently has a buy-back program which could be an indicator for a BUY SIGNAL. It is still unknown whether $SSP will push further or be back on track on the bearish side. Thus, it is best to observe $SSP and plan a good entry. In addition to that, semiconductors are facing higher demand. Thus, in terms of global, semiconductor chips are having shortages. Further to that, it is best to consider the market sentiment. In addition, consider the technical indicators and the financial statements as they are vital parts of the stock.

WHAT SHOULD BE MY NEXT MOVE

As the stock recently breakout from the 1.18ish area, it would be wiser to observe and wait for what $SSP might do next before riding in. In addition, this stock is wise for long-term holding since semiconductor stocks are increasing yearly. The demand from consumers is continuously surging in terms of data. However, it is still unsure whether $SSP will continue to go up, so it’s best to wait for a consolidation, pullback, or a good entry near its support for a better risk-to-reward trade. In addition, it is best to have alternative stock picks that are more profitable and good to trade alternatives like bottom picking stocks or stocks that could surge due to global demand or sectors that could be more profitable.  Furthermore, it would be advisable to trade lightly and in tranches.

Once again, KUDOS to @rometroy for being this week’s featured trader! Enjoy your 14-day InvestaPrime Access and continue to be an inspiration to the trading community.

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How to find the market that fits you

Did you know that there are a ton of markets you can engage in? With the multitude of options available, which one’s the best for you?

The entire global economy is full of opportunities, failures, growth, and success. What matters the most is finding the market that fits your needs. There are a lot of platforms that offer products and services that meet your specific need; you just need to go through them to find the market that fits you best. You can even go to our platform should you want to learn more on how to trade and invest. There are multiple tools, ranging from charts to watchers that help you navigate the markets no matter what your current knowledge is.

            There are various choices and these include the following:

1.       Stock Market – The stock market broadly refers to several exchanges and other venues in which shares of publicly held companies are bought and sold. (Investopedia, 2022)

2.       ETFs – An exchange-traded fund (ETF) is a type of pooled investment security that operates much like a mutual fund. (Investopedia, 2022)

3.       Forex Market – The forex market allows participants, such as banks and individuals, to buy, sell or exchange currencies for both hedging and speculative purposes. (Investopedia, 2022).

4. Commodities – A commodity is a basic good used in commerce that is interchangeable with other goods of the same type. Traditional examples of commodities include grains, gold, beef, oil, and natural gas. For investors, commodities can be an important way to diversify their portfolios beyond traditional securities. (Investopedia, 2022)

Since technology is inevitable, platforms globally are offering accessible products and services to trade/invest with your preferred market. All you need are the following: information about yourselves, funds, and an internet connection. Furthermore, these markets offer advantages and disadvantages.

Which market is suitable for you?

If you’re a day trader, the forex market could fit you best. The investment amount required is minimal (On an average of 100$). In addition, this allows individuals to trade or invest in global currencies, indices, and commodities. Furthermore, the forex market is simply the exchange of currencies (e.g USD to PHP, USD to Yen, USD to Euro, etc.)

According to Investopedia, generally there is no commissions in the Forex market, but a spread is being paid and serves as charges. “Spread, forex spread is the difference between a forex broker’s sell rate and buy rate when exchanging or trading currencies.” Furthermore, forex is a high leverage trading wherein it involves high risk and reward.

ETFs

If you’re onto ETFs, this could be the market you can engage in. Another thing to consider as day traders is ETFs or Exchange-traded funds. They will allow the trader to engage in currency moves by making trades on the stock exchange. In an ETF, there are advantages and disadvantages. One advantage ETF can produce is that it can be leveraged or underleveraged depending on the risk appetite of a trader or investor.

ETFs are also available in markets of oil, gold, silver, or stock indexes. Furthermore, this could be the best market for you if you’re into stocks. The day trade can also engage in the global and local stock market. Wherein you can long/short the stock pick you have. In the market as a whole, there are multiple alternatives you can engage. On the other hand, locally in the Philippines, the only available instrument for stock trading is longing.

Cryptocurrencies

Cryptocurrencies are popular nowadays because of person-to-person transactions. A lot of people transact using cryptocurrencies to date.  When trading cryptos, you can easily access it on any exchange platforms wherein the platform offers multiple products and services like forex, CFD, crypto, etc.

Commodities

Commodities such as gold, silver, or platinum are alternative investments you can make. Most investors globally are engaged in these commodities when there is a piece of bad-driven news in the market where investors and locals are switching their portfolios to more diverse commodity picks.

Stock Market

Of course, we also have to consider the stock market. If you’re into the safer side of trading, blue chip stocks are the best stocks you can choose to invest in. Blue Chips is a term that comprises the top companies representing one’s indexes. In the Philippines, the PSEi is known as the “Philippine Stock Exchange Index” and represents the top 30 companies that majored in the market.

Importance of selecting a market

The best market for you will depend on your needs. Thus, this will depend on the risk appetite you have. If you’re a risk-taker, go with high leverage markets such as Forex, ETF, and Volatile stocks. On the other hand, if you’re on the safe side of trading or investing, you can go with growth stocks and non-volatile stocks or market options. Again, this will depend primarily on what type of trader or investor you are.

With that, it is essential to know that there are different alternatives and options in the market. The markets has a lot to offer. What matters the most is how you do your trades or investments. Before you engage in trades or investments you must be knowledgeable about the products and services that the market has to offer.

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Featured Trader of the Week: @themidastouch

Let’s give a round of applause to @themidastouch for being this week’s Featured Trader! 

@themidastouch has been a member of the Investagrams community since June 2020 and has been very active recently, he is always sharing his thoughts and his trades.

A few days ago, our featured trader posted his technical analysis on $ICT, a hot stock in the local market. $ICT has been on an uptrend and recently reached 52-wk highs at 236.6 ish!

As the stock is on an uptrend, @themidastouch predicted its support, resistance, and trendline on the chart that were bound for buy low, sell high play. @themidastouch felt that this was an opportunity to make a profit by considering technical indicators such as S&R.

TECHNICALS OF THE TRADE

Technically speaking, $ICT has proven to be a strong stock in the Philippine Stock market (A part of the PSEi). While others are falling, $ICT is showing strength as it continues to move upwards strongly. It came from a breakout at the 130 area before surging to 230 area onwards. There was also a retest in the 176 area as ICT recently reached a 52-wk high at 230 area. Furthermore, ICT will retest whether it will continue its trend or this could be a sign of reversal.

@themidastouch was confident that prices will further go up as he indicated in his chart the supports, resistances, and the trendline. He found a good entry for a buy low, sell high play while considering the technical indicators mentioned.

FUNDAMENTAL CATALYST

International Container Terminal Services, Inc. is a port management company. Historically operating the Manila International Container Terminal, ICTSI is now in the business of acquiring, developing, managing, and operating container ports and terminals worldwide. Thus, $ICT has been on an uptrend while the demand from traders and investors is strong enough to push the price upwards. It is still unknown whether $ICT will continue its trend or not. Thus, it is best to observe $ICT while considering the sentiment of the market, as well as the technical indicators and the financial statement.

WHAT SHOULD BE MY NEXT MOVE

As the stock recently reached a 52-wk high, it would be wiser to observe and wait for what $ICT might do next before riding in. It is still unsure whether $ICT will continue to rise, so it’s best to wait for a consolidation or a good entry near its support for a better risk-to-reward trade. In addition, it is best to have alternative stock picks that are more profitable and good to trade.  Furthermore, it would be advisable to trade lightly and in tranches.

Once again, KUDOS to @themidastouch for being this week’s featured trader! Enjoy your 14-day InvestaPrime Access and continue to be an inspiration to the trading community.

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