The 5 L’s of Investing in 2019
We are only a few weeks into 2019, but experts already predict that this will be a great year for investors. There are new trends shaping on the market and they look promising. More investors are entering the financial markets too, plus there is a significant increase in opportunities within these markets.
To fully capitalize the potentials of this year, you have to invest like a pro. You wont become a pro trader over night so you need to do your research and learn what’s best practice and what must be avoided at all costs. If you’re willing to put the time and money in, we’re here to help.
Whether you are a novice trader or an inexperienced investor, here are the best tips to keep in mind in 2019.
Leverage the Uncertainties
We know that there are still some uncertainties affecting the market right now, but you should not let those uncertainties stop you from making the most out of your investments. In fact, there are ways to leverage market uncertainties and boost your ROI.
The forex market, for instance, is even more lucrative when it is volatile. Focus on tracking the fundamentals, stay up to date with the latest news, and you can fully benefit from the changing market using the right foreign currency pairs.
The investment landscape is and will be filled with new things. We’re not just talking about new investment instruments and opportunities either. New approaches and strategies are being developed in response to market changes.
Learning is a big part of becoming a successful investor. Thanks to new tools like social trading platforms, you can learn from the best while still making money on the market.
One of the key things you need to learn about is the different trading platforms that are available. You need to evaluate what all of them offer and rule any out that have multiple negative reviews. One of the most popular platforms is Tradeo which offers both social and automatic copy trading for its users. You can open a free demo account which will enable you to start learning through hands on experience. If you want to learn more about the pros and cons of this option, read this Tradeo review from InvestinGoal. Their guide goes into detail about how it’s regulated, where you can check the licenses and how to use its key features.
Look for Bargains
A bearish market isn’t the end of the world; actually, it is a fantastic opportunity to find bargains on the best shares and commodities on the market. If you have been investing conservatively and avoiding a bearish market entirely, now is the perfect time to take a closer look.
You can go short in various markets and still turn over a profit while the instrument you trade is going down. As long as you can read the market correctly, there is an endless supply of opportunities to explore.
Leaf Through the News
That brings us to our next tip: always stay up to date with the news. In a market as volatile as it is today, you cannot afford to trade on technical analysis alone. The more you understand the market, the better your trading decisions (and your profits) will be.
In the stock market, for instance, keeping up with changes happening in companies you invest in, or the ones whose shares you want to buy, allows you to anticipate market movements better. There are so many news sources you can rely on today and not benefiting from them would be such a waste.
However, you do need to be cautious with how much of the news you pay attention to. Not all news stories will have an impact on the market, so be wary of what’s going on but don’t change your strategy completely just because one story has spooked you.
Lay Out Your Plans
Last but not least, make sure you enter every investment you make in 2019 with a plan. Know exactly what your target profit and objectives are, figure out when and how to exit the investment, and lay out your plans in detail. That’s how you increase your ROI with every decision you make.
These 5 L’s of investing in 2019 are the tips you need to keep in mind if you are serious about growing your portfolio this year. They are useful even when you are just getting started with building your own portfolio.
By following this advice, you will slowly build yourself up to be a more professional trader with strategies that work. Your learning should stop here however, so ensure you do as much research as you can before you start investing. Even when you feel like you know the basics and get moving, don’t think your homework stops there!