BASIC GUIDELINES FOR SELECTING A PROFITABLE SHARE.

BASIC GUIDELINES FOR SELECTING A PROFITABLE SHARE.

Selecting a profitable share shouldn’t be soo difficult  if you follow the following guidelines.

1.Adhere to your written down plan for buying and selling of shares.

2.Make sure that the last highs in the share price have all been higher than the one the day before.Do this for a minimum of 3-5 days consecutively.

3.Plenty of liquidity,meaning a good volume of shares has exchanged hands recently.

4.Buyers outnumber sellers.

5.Recent news or ruours of news i.e takeovers,profits,only good news of course.

6.Directors buying shares (not selling) in the last 2-3 weeks.

7.The trendlines show a definite trend upwards .If in doubt don’t trade.

8.A visual look at the most recent chart ,preferably over the last month.