Trading Guides

The best stock in the market – stock screening software and how to use it

For investors who favour a fundamental approach to investing, there is plenty of help available from software programs that crunch the numbers they need – digesting and comparing companies’ reported sales revenue, cash flow, earnings, dividends, assets and liabilities. Programs such as Stock Doctor, Conscious Investor, Value Gain, Bourse Data and MetaMarket+ have made it…

Use these 5 ratios to unearth superior stocks

We all want to find the next Rio Tinto, but long before it’s trading at $100 a share, or Google when it was a tiny IT company with only a vision. But how do we know that a company will be a superior player over the long haul? What key ratios unlock the secret to…

Is your share portfolio a dud?

It takes a while for investors to cotton onto the fact that investment booms are happening every day – somewhere around the world. By the time the last property boom had run out of puff in Australia, the commodities bull was well into the swing of things and canny investors had already smelt out profits…

Does the strategy to buy and hold really work?

One of the most straightforward sharemarket investment strategies is ‘buy-and-hold’ investing, where you simply buy a portfolio of stocks and hold them for the long term. If you stay in the market long enough, the theory goes, you minimise the risk that your portfolio may lose its value and you allow compounding to get to…

Guide to analysing stocks – part 1

Academics and researchers have spent considerable time searching for the secret to making it rich on the sharemarket. The trouble for investors is that – when every supposed ‘expert’ yells from the rooftops proclaiming the secret to successful stock investing – it’s almost impossible to separate the researched theory from the pure sales pitch. For…

Starting a share portfolio from scratch

Many newcomers to share investing spend a couple of agonising months tossing up which stocks to buy, and after taking the plunge into their first share purchase begin snatching up stocks at an increasing rate. Stock picking is where the action is, and the consumer in us is compelled to buy up big and fast….

Capitalising on price movements in reporting season

I am currently a new trader and I’m playing the Sharemarket Game and over the weeks I closely analyzed all the companies. To my complete surprise one of the companies (Downer EDI) went from -0.81% on the 20 Feb to 14.29% on the 21 Feb and there were no announcements prior to this. The day…

Trading the top 200 Aussie stocks with an eye on the SPI or the XJO, but never both

I have been trying to understand why the SPI and XJO follow the same intraday and daily trajectory. I have asked a number of people but have not yet obtained a satisfactory answer. On any given trading day a multitude of people trade the top 200 Australian stocks, with little or no concern for the…