How to determine blue chip stocks

How to determine blue chip stocks

Posted: DJON Date of post: 14.06.2017

Don't buy stocks only because some numbers told you to do so.

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Be sure to understand the difference between market capitalization and the value of the company itself. Please read the recent annual and quarterly reports of the company SEC Ks and Qs.

Read all possible analyst reports and make your judgement. Trading stocks is not an easy thing for a beginner.

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You have to be sure that everything you make is legal and won't harm you in the future. In some countries if you sell a stock back in less than six months you would have to pay additional taxes apart from the fees to the trading system.

If you use an online broker, always compare the fee againts its competitors. You have to know all possible costs before you send them an initial deposit of funds.

Look for all full-service brokers, discount brokers and normal online brokers and find one that suits you the best.

Try to estimate if all transactional fees are not higher than your predicted gain from the stock. You don't have to buy all stocks that you consider to be blue chips. Blue Chip Companies Your guide to the world's best stocks.

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How to buy blue chip stocks 1. Study the company you want to trade Don't buy stocks only because some numbers told you to do so. Study all legal and tax requirements Trading stocks is not an easy thing for a beginner. Understand your trading system If you use an online broker, always compare the fee againts its competitors. Start slowly You don't have to buy all stocks that you consider to be blue chips.

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how to determine blue chip stocks

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