Tuesday, October 16, 2007

Psychology - Knowing what you're comfortable with

Hello people!

The more that I look into the different methods of investing in the stock markets, the more it becomes apparent that there are some methods that I am comfortable with whilst others, not so much.

That fits in with advice offered from a large number of people, regarding picking strategies that fit in with your way of thinking, your psychology.

The psychology can also be extended a little further, investing in areas of the market that you know about will also give you a certain level of comfort when compared to investing in something that you know nothing about.

For those of you that have followed Graham Buffett, the above two comments won't come as a surprise.  I didn't mention this earlier, because I was in the process of making my own mind up, and as time has gone by, I can easily see how those things would help you to sleep a little better at night, after a trade.

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