Clues That Share Prices are Set to Rise
The best time to buy Shares is just before they increase in value. “Buy low; sell high” as they say. What are the clues that Share Prices are set to rise? Are there any tips for everyday people investing in Shares? This article outlines some.
The investors who make large amounts from buying and selling Shares either uniquely have a sixth sense or they spend every waking moment researching the companies, products and services (what Shares actually represent and sometime forgotten) they buy or sell shares in. If you, like us here, don’t have that sixth sense or the time to read the Financial Times from cover to cover and carry out covert investigations, you’ll have to depend on a Financial Adviser. Thing is, especially if your Financial Adviser once worked for one of the financial institutions which didn’t know “A from a bull’s foot” it could be your Financial Adviser is totally useless! So what do you do in that case? We reckon you look for clues.
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Image via Wikipedia
Internet Research
It is amazing what you can find on the internet and, although it is largely rubbish, among it are valuable pieces of information. A company’s website gives some clues. Is it stagnant because the company is too busy making money or because it can’t afford a webmaster? (You’ll have to make an educated guess). Also, is the company recruiting? Active recruitment can suggest expansion but it can also suggest it can’t locate or keep the right people. Also, check out their competitors.
Telephone Research
This is slightly clandestine but (hey?) it’s your money! A sign that a company particularly an SME (Small to Medium Enterprise) is no good is in the person who answers the phone. If you have the gift of the gab you can illicit information out of disloyal and uncaring receptionists and if you can read between the lines and spot bulling sales people the same there. For example, if you call a sales Department and detect desperation that’s not a good sign; neither is the sales department that doesn’t return calls…
The Big Clue
The big clue is in the Gold Price. Historically, over the past 200 years it has been shown by DOW Jones (among others) that when the price of shares starts to rise the price of gold starts to fall. Look at the chart below for some proof of this.
Image via Wikipedia
Another Golden Clue
When Gold investors no longer want to buy Gold they know that Gold prices are about to fall or level off. They will start to sell, sell, sell! When they stop advetising for broken gold jewellery, something is afoot and it definitely is not a rise in the price of Gold bullion. Start looking for Shares to buy!
Image via Wikipedia
