Best Time to Invest in Stock Market
One of the questions I heard from various places as well as social media is, “Best time to invest in stock market“. No doubt it is a valid question from people interested to invest money in stock market. Do you have same question? Here is the best answer!
At the beginning, I would like to say that, a lot has been written and answered about the stock market investing timing! Repeating the same seems boring, but I must repeat the same, there is no particular timing to invest in the stock market because no one can predict the future of stock market or its movement!
In other words, it is merely impossible to predict the market movements! It is also an answer for the famous question, “When is the right time to sell in stock market”.
However, there is a successful approach to buy or sell in stock market. Want to know? Then, here you go.
Before entering to the subject, I would like to say that, it is not a ‘great’ read but a must read.
Basics of stock market
There are variety of investments available for public to select and invest, regardless of country where investors living. Stock is one among those! When investing in gold or real estate, an investor owning a piece of gold or Real estate to his or her portfolio in the form of paper or physical.
Stocks are not different from that. When investing, whether lots or little, investor getting a chance to become an owner of that business! “Yes that’s the truth! If you have stocks of a company in your portfolio, you are a partner in that company!” Great to proud right?
The myth of investing
Investing in stocks mean you are investing in different businesses and being a partner of that business! If I am not interested in construction or telecom, then do you think I invest in construction or telecom businesses? No way! Selection of business to invest is exactly like that.
Why to invest in stocks?
Investing in stock market is not buying one or two stocks of few companies. It must be done patiently and prudently. A good investor would create a portfolio of 10 to 15 stocks from different sectors to achieve the goal. It may take time, but such portfolio would be sufficient to meet the goals.
Things to remember when investing in stocks
Like any other investments, stock investment have its own risks. Prudent investor must be able to identify and analyse the risks related to the stocks. Sector risk is one of the major in that. To avoid common investment mistakes, get an idea on the most deadly mistakes of investors from this article. It will help you to avoid investment mistakes.
Finally, to the point, best time to invest in stock market
As an investor, you must learn that there are no particular time, day or month to invest in the stocks. So the question “Best time to invest in stocks” must be considered as null and void. It is because, when stock markets are its peak, doesn’t mean all the best stocks are overvalued. As an investor, you still have options to find the best stocks in the market irrespective of bull or bear phases there. In reverse, same is applicable. when all the stock prices are down, doesn’t mean all the stocks are cheap!
Experience and knowledge would help investors to pick right stocks during bull or bear market. This is the reason every investment guru’s are suggesting to read maximum to gain knowledge on successful investment strategies. In other word, must educate self first.