No one doubts that the desire of all small and medium-sized investors is to obtain returns on their equity operations through various investment strategies. And the higher they are, the better. But do not give them false hope, and the truth is that a task not very easy to achieve. Almost there is always an operation that does not go according to your wishes, and in which you can lose many euros along the way.
Everyone knows that if this investment task were easy, they would have their future resolved, and they would even stop working to dedicate themselves entirely to the financial markets. Although what can be achieved is a strategy to optimize operations. And of course not to become a millionaire overnight., but yes at least to get a bonus every year. And that can be used to arrive in better conditions at the end of the month, and who knows, whether to indulge every so often: that suit that you liked so much, the next vacation, or even state-of-the-art audiovisual equipment.
From this general scenario, a few situations very conducive to achieving these desired goals. The only requirements that they will demand of you will be a great discipline to apply these investment strategies. And of course a in-depth knowledge of the behavior of financial markets. But little else, unless it is a good dose of luck that it will never hurt to carry out these performances that we are going to expose you next.
Take advantage of dividend payments
A certainly simple way to generate capital gains in equity operations is: buy shares in the days leading up to dividend payments by the companies of listed companies. To later undo the positions in the markets. However, you should know that this payment that they transfer to you is deducted directly from the price of the shares. Although they usually recover their levels weeks later, and in the worst case with a delay of several months.
If you apply this action, you will surely be able to expand your assets on a regular basis. Not in a spectacular way, but at least enough to give you a few small benefits that improve your standard of living. In any case, you will have to be very disciplined, and not lead by false hopes of accumulation. With the advantage that the dividend payment will be made on the same day that this payment is paid on the stock market.
There are many opportunities you have to take advantage of this very effective strategy. More and more companies are opting for this shareholder remuneration. Under amounts that range from 3%, and that have a maximum limit of 8%. And from all sectors: electricity, banks, highways, insurance, oil, food, etc. Both in domestic and international markets. And that they are received under different periodicities: quarterly, bimonthly or annually. Dividends on demand, in short.
Get on the bullish sections
The most favorable scenario for your personal interests is the one that develops under the bullish channels of the markets. It will be the best situation to open positions in equities with greater security for your savings. From this perspective, you can take advantage of these movements to take positions in the stock market. With a good degree of reliability to generate profits in your regular operations. The key will be in the levels where you sell your shares.
If you formalize an operation in the equity markets that is in an upward trend, you will have a good chance that your monetary contributions will increase during the next few weeks. It is very difficult to go wrong under these scenarios, since you have everything in favor. You will only need to detect the input levels, and of course verify that the chosen value is in this situation.
To the point that there is a highly favorable stock market figure for your interests such as the free rise. It does not occur many times, but if it does appear, you should not miss it under any circumstances. The free rise is when the price of a security no longer has resistance in its path, and it is before its historical lows. You have no choice but to go up, and in many cases without limitations.
If you invest your money in this scenario, you will be able to benefit greatly from the operation. The most difficult thing will be to identify when this movement occurs in the stock market. In fact the main financial analysts recommend taking positions aggressively when this upward escalation occurs. You will have the passport to successfully complete your equity operations.
Take advantage of the best times of the year
Although it may surprise you, there are always a few months during the year when the stock market is more likely to rise. Historically the first and last quarter of the year are more favorable for a positive evolution of the markets. Not surprisingly, this has happened in recent years, as you can see in a detailed review of the main stock market indices. With differences that can be very marked, and in which agility must prevail in your operations.
Nor should you forget the upward momentum that is generated in the so-called christmas rally. It is a time of year where generalized increases in values, even with great depth in their percentages. And that of course the most experienced investors take advantage of to take positions. Not surprisingly, they know that they have a good chance of improving their checking account considerably.
The summer months, on the other hand, are not good times to invest savings as a strategy to achieve objectives. What's more, they will be an opportunity to give you a break after doing so many numbers. One of the reasons for this is due to the high volatility with which the shares are traded. Above other more expansive periods. With few titles, prices can vary significantly. And what is worse, losing a very important part of your wealth.
Another rule that can be very useful for your interests is that you do not take positions during the last day of the week, that is, on Friday. This decision is due to the fact that investors generally take advantage of these days to be in liquidity during the weekend. And in this way, avoid any scare that may develop these days: elections, economic declarations, etc.
Opt for the hottest values
There is always a bunch of values, and for any circumstance, they are in unbeatable conditions to continue their price escalation. They are the ones you have to address to optimize operations in equities. The reasons can be diverse and of a different nature. From news that boosts their positions in the markets, to a bullish reaction due to the presentation of their business results.
It is said that it is a hot value when purchases are overwhelmingly imposed on sales. They are accompanied by new news that encourages them to continue with this trend during several trading sessions. And on many occasions, with increases developed with special virulence, which can even exceed 5% in their price quotation. Do not forget it when you are in a position to open positions in the markets.
Although you should also appreciate that they are later accompanied by strong corrections, which can make you lose part of the profits generated up to this moment. You must act very quickly, and when you see the slightest sign of weakness, take the opportunity to finalize the operation. It is another of the strategies that can compensate you for your dedication to the equity sector.
7 keys to improve your strategies
Through the information provided in this information, you will be in a better position to successfully channel stock market operations. Of course there will be no guarantee of capital gains, but at least you will be closer to achieving it. To support these actions, you should echo some useful tips that will help you achieve your goals. Emerging victorious from this battle you have with the financial markets.
- If you have many doubts about whether you should make an investment it won't be a good sign, far from it, and you better postpone your decision until you are confident about the prospects of your operations.
- Do not use in the investment any money that you are going to need in the next few months. Since it could cause you to make bad sales, with very important losses in your investment portfolio.
- Don't try to impose any deadlines of permanence in your operations, since it will be the only way for you to succeed in this challenge. Not surprisingly, in the long run you almost always end up winning, at least with the largest capitalization stocks.
- Propose some market exit prices, and so that in this way you can plan with greater guarantees a successful strategy that tends to give you extensive benefits. And in a way, protect savings with greater strength.
- Invest your savings in highly liquid securities, and that they have a large capitalization. They are the least manipulable on the market, and also the ones that you can best follow through the different media.
- You only have to open positions in bullish scenarios of the securities or stock indices, avoiding positioning yourself in the others: bearish, and even in lateral levels. This is a golden rule for the good investor.
- And finally, do not turn to a single value, and try to diversify your investments in several proposals, which complement each other. And in this way, you have more protected your financial contributions. It will surely help you to achieve your goals with greater determination.