Monday, July 6, 2015

The growth path of the stock market

The Shanghai Composite rose 88.99, up 2.41%; Chongbai rose 2.29%, up 0.58 yuan per share;

Today, in the national anti-stock relief, the Shanghai Composite Index closed in the red, but there are still 1,000 shares falling to the limit. In addition to the rumors of stamp duty, other bailouts have come out one by one. Taiwan, even surprised, but the stock market still did not buy it, and there were still nearly 1,000 shares falling to the limit.

At present, the stock market has entered a bear market, and the stock market will rise in the future, which should be called a rebound. Many stocks on the small and medium-sized board will return in value in the next few years, and then go through a long period of bottom precipitation, waiting for the outbreak again in N years. The crazy performance of the GEM finally ended in a crazy way.

It will be very difficult to participate in the market outlook, and countless stocks will fall more sharply after rebounding, so you should be very cautious in stock selection, and once you make a mistake in stock selection, you may step into a long bear market.

Looking back on the ten-year stock selection process, a handful of bitter tears.

First, the first stage: listen to the news and select stocks

When I first entered the market, friends, relatives, and colleagues were its sources, and the Daxian in the QQ group was also the source of everyone's stock selection. This kind of brainless way of speculating in stocks has just entered the bull market, and it has seen its effects immediately. Sweet, very addictive, very crazy, at this time, the money-making effect is crazy, and the stockholders at this time can be in the infancy of the stock market.

Second, the second stage: watch TV, newspapers, online stock selection

As the stock market rises, friends, relatives and colleagues in the hands of individual stocks dry up, frequent risk warnings, but as the money-making effect continues, begin to search for stocks by themselves, when they see the stocks recommended on TV, newspapers and the Internet rise sharply, especially when some gods spare no effort to boast about how powerful, they will be eager to try these stocks, at this time, he is like a toddler, eager to explore the mysteries of the stock market. At this time, the shareholders are in the childhood of the stock market.

3. The third stage: buying books, researching, and learning to select stocks

The index rose, but the stock market fluctuated violently, and the adjustment was getting bigger and bigger. In the fall, he also suffered heavy losses, and the pain of loss made him slowly realize that others are unreliable, or rely on himself. So I bought stock books and taught myself. The stock market rose again, giving him a chance to practice. During this time, the so-called stock selection indicators, K-line charts, and stock selection theories are absorbed in large quantities at this stage, but they are often used independently, and will not be integrated, staggering forward, losing and earning, learning and enjoying themselves, and investors at this time enter the growth period of the stock market.

Fourth, the fourth stage: thinking, introspection, and forming your own stock selection style

Unconsciously, the stock market entered a bear market, and was trapped, and as the losses became more and more serious, he began to think about the process of stock speculation, summarized himself, and gradually formed his own style. At this stage, investors enter the maturity period of the stock market.

5. The fifth stage: find your own stock selection model.

After experiencing the tempering of countless failures, the road is simple, boiled water is the best water, and the elephant is invisible. Deciding stocks is no longer K-line, indicators, news, etc., but can see the things behind the stock through the performance of K-line, funds, etc., and form a seemingly very simple stock selection method, which contains a lot of knowledge. At this time, investors enter the stock market harvest period.

The above is my own summary based on my own growth experience, I may still be in the fourth stage, and there is still a long way to go before entering the stock market harvest period.