Being on strike and not having to mark, take time to assist students, and prepare labs, has left me a lot of time to do research. It has also allowed me to check out some of the trends in the world today, that will affect stocks and financial markets. It has been a very interesting and informative several weeks. It has also been quite profitable.
I can’t say enough about how important research is. It is also not that hard to do. I often get the question from new Micro Investors. “What should I invest in??” My suggestion is listen to the news, and check out stocks in the areas where you have some back ground. For example.
In Canada, legalizing marijuana and medical use of marijuana is a hot topic.
Are marijuana stocks a good buy?? They have been. Are some stocks better than others? I think so. There are countless companies out there competing for a license. There are more companies than licenses. But there are a bunch of companies out there at already have a license and SALES right now. Some of those companies are even making a profit. These, in my opinion. are the best stocks to start with.
How do you find them? GOOGLE them. (I’m not kidding!) Then go onto their web site, or research them through your trading platform. I have owned/own the following. AABCN, ACB, OGI, ATT, HEMP, CMM, APH. I have made some of my best profits this year off these stocks. I have also sold some of them way too early.
What else is going on in the world? How about Electric cars and Storing Electricity? Think that might be a growing market? What companies would be involved with that kind of stuff. I am sure you have all heard of Lithium Batteries. Google the ingredients of a Lithium battery.
You will find that two of the main ingredients are Lithium and Graphite. As you do your research you will find that the current production of both of these elements is behind the demand. What happens to anything that is in high demand and short supply?? The price goes up. Might Lithium miners/producers and graphite companies be good stocks to look at? I sure think so.
If you are looking for a short term gain, you need to look at companies that are producing the products right now. They will reasonably see the fastest and largest gains. Companies that are still exploring, or drilling for feasibility studies, are a much longer term investment.
Who are some of these companies? GPH, GLK, ECS, AAL, AZ, LLG, NMX, just to mention a few I have owned, or currently own.
We have all heard of the Crypto Currencies, like Bit Coin. Most of those actual currencies are a bit pricey for my budget. But what about the technology that is behind this stuff. It is called Block Chain. Are there companies in this field? Sure are. Once again just Google it. There are some excellent Block Chain explanations on TED Talks.
Examples are XAU, BLOC, CODE, HIVE, BTCS. There are not as many as this is a reasonably new technology. Do these stocks go up and down? Yes! That is a great thing. In the days leading up to the Canadian government announcement about when they wanted to begin legally selling Marijuana, every single marijuana stock was climbing. That made sense. I thought that when the actual date was announced the stocks would continue to climb. But they fell, as much as 20-30%. It was great time to buy more.