Share trading tips are the best starting point for anyone starting in the markets, and for those that have probably been struggling with their trading. Share tips are given out by professional analysts who have years of experience in analysing the market, understanding market conditions and finding out the different aspects that affect the that particular stock. Some people trade the news reports or ‘tips’, but most often by the time you read it in the newspaper the market has already reacted to it. The recommendations are backed up by technical and fundamental analysis according to the market you want to trade. And, if you are planning to subscribe to any share trading tips service make sure you pick the right one!
Share trading tips can come in the form of buy and sell recommendations, or options trade recommendation. A quality provider will also manage the trade on your behalf with your prior approval of course. Each recommendation is supported with charts, a video, description of the trade and the strategy that being used for that trade. When you receive a share tips you would want to call in or place the trade straight away if the market you want to place the trade is currently open. For example if you are in Australia and the Trade is on the ASX and it’s during market open hours. Trade Recommendations would usually have an entry price and you’d want to get in at that recommended price. If you are in Australia and you receive the trade when the US market is closed and the trade is for the US market, you would have time more time to place the trade before the Trade Recommendation submission time expires.
Share trading tips videos are usually relatively short and straight to the point. You will need to know some of the trading terms that you would certainly find in foundation or market basics section covering those. Ultimately the main decision you are making from those share tips is about your portfolio risk management. You want to be in the market for the ‘long term’ whether you are in and out of the trade quickly or holding the position for longer. The key would be consistency, risking a large amount of your portfolio on one trade would raise your risk level and if things don’t go in your favour on that one trade, you might struggle to get your trading back up.
Diversification is also important when considering the share tips that you receive. Are you only taking the ones only in a particular sector? If that sector doesn’t perform well it’s your overall portfolio that will suffer. Instead with the recommendations that you receive a good risk management strategy would be to diversify the sectors that you’ll be investing in.
If at any point you have any questions about the share tips that you receive make sure that you give your advisor a call. They would be more that happy to answer your question making sure that you are confident in the decision you are making. Share trading tips are great but also important for you to have an understanding of the market and what you are getting involved with. Know the trading terms and the risks involved with the strategies that are used in the trade recommendation.
One thing that was previously mentioned and we should probably stress is that not all brokers will manage the trade for you. Often if you are calling your broker about a trade recommendation if they do manage the trade they will ask or let you know that this trade is being managed. Share trading tips websites offer share tips needs to be an authorised licensed company. The rules governing trading in Australia are very strict which is great for the legitimate companies and for their clients to be confident with their service level.