Exo has excellent advice there...
The only thing I would add is that you need to learn to invest counter-cyclicly (sp?). With this stock you're talking about, it's probably been pumped lately and now it's ready to pop. Don't look at something and go "Jeez, it's gone up X amount lately, it must be good."
Invest in solid, mid-cap companies (especially when their stock is actually going down a little), not in what's "hot". It's not as exciting, but will yield much better returns in the long run.
For whatever reason, people just seem to want to ignore the reality that growing wealth is actually kind of a boring, methodical process. The average investor looks for what's "shooting up" in the market and the last one's on the bandwagon are always left holding the perverbial bag.
My advice... don't be average.
-FreeMan
|