In this article, we will talk about the factors and reasons that affect the movement of stocks.
In the stock market, the prices of some stocks rise and others fall, and there are several factors that may cause these fluctuations,
Including, for example, the quantity of supply and demand, reports of financial results, and subscriptions.
first :
Try to understand the causes of fluctuations, and remember to remain calm, because panic selling is the worst thing you can do, and getting the right diversification in your investment portfolio, including diversifying stocks by sectors, and diversifying assets such as bonds, gold and cash, reduces the risk of loss.
secondly :
Do not over-watch the market or lose performance
The portfolio on a daily basis, if you check the performance of the portfolio on a daily basis, you will find yourself naturally inclined to adjust it by buying and selling according to market fluctuations.
It may lose the ability to focus in the long term, which explains why many large investors adjust the portfolio only twice a year, for example.
Third :
A volatile market can provide a profitable buying opportunity in the long run, and it may be better to invest in ETFs, as it ensures diversification of assets and reduced risk with low fees compared to investing in individual stocks.
Finally, make your investment decision to buy shares based on a good search for the company's fundamentals. Good company management, a strong balance sheet, and the company's performance level during the financial year may be good indicators that the company will be able to withstand volatility and low stock prices.
Finally, I hope you will benefit from this article
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