sir wt is the mesure for bottom how to find bottom do u think market can go down still or wt u think market

jillybeansisme answered one year ago …

It is important to understand that market timing does often work because it is very difficult to do it accurately. You can look at trends, but to know where the "bottom" is would be a calculated guess, and most do not guess correctly. There are too many variables.

Look at the 52 week high and the 52 week low for a particular stock. Where is it currently trading compared to those prices? What is the market doing in general? Most of the time you are just better off dollar cost averaging (purchase a certain dollar amount of the same stock OR a certain number of shares of the same stock at specific intervals for a set amount of time until you have as many shares as you planned to purchase) and holding onto the stock until it just doesn't make sense to keep it. Reasons to sell: taking profits, management change in the company, stock lost 25% of its value since purchase . . . etc. You need to look for what cycle we're in. Right now energy, alternative energy, staples are good. Financials aren't so good . . . but they'll turn around, so buy them or an ETF (Exchange Traded Fund such as XLF) soon and hold onto them. Also, the market can always go down further unless it is at 0 points. It can also always go up! I suggest you continue to do your homework before you invest too much and get a feel for things by paper trading investments that seem good to you. Or, if you can't stand to do that, go to a site like Sharebuilder where you can buy as little as one share of whatever interests you. Just remember to add the cost of brokerage commissions to your base price!