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Showing posts from January, 2020

How to Do A Fundamental Analysis of Stocks

What are the key things to look for while buying a stock? It’s easy to make mistakes in the stock market, and it’s not just the first-time investor but even traders with some reasonable experience are prone to miscalculate. Some of the most common investment slipups include putting money in a stock while being clueless about how the company in question is generating or planning to generate profits. Looking for short-term gains rather than viewing stocks as a long-term play is a common failing of a lot of investors. Some end up tying all of their hard-earned savings to the same industry or company instead of spreading out one’s options, which is certainly a less risky option. The more one gets emotional, the less rational one gets. So it’s advisable not to let strong feelings (e.g., fear, greed) and gut instincts take control of key investment decisions. In any kind of investment, there is a scope for poor decision-making but a fundamental analysis of stocks can certainly help