answersLogoWhite

0


Best Answer

Let me start by apologizing and then saying - I hate questions like this.

It depends, are you a long term "buy and hold" investor? In which case, maybe anything in the Dow Jones 30 would be a good buy - they're the largest 30 stocks, and when they fall "out of favor" they're removed and another is added. Have a bent toward tech stocks? Pick a top stock in the NASDAQ 100 (leans more to tech than industrial). Or, save some trouble and just get the index tracking stock (pays dividends, acts like a stock, optionable, can use sell stops) for the index you like and you won't suffer as badly if one stock takes a beating from news (ex ENRON).

Index tracking stocks commonly traded dia (diamonds - the Dow Jones 30), qqqq (nasdaq 100), spy (s&p 500).

The reason you can't just answer this question with "Sell short XYZ stock" and go long "ABC" stock - is that it changes. Industry groups rotate in and out of favor. Certain stocks are watched for certain technical indicators but then reach a certain point (or fail to start doing what you thought it would) and an "amateur" is not going to know when to exit when he's wrong, or exit when he's now putting his profit at risk and the run is over. There are moves that are missed everyday, no one can watch them all, so the best way to find them is to watch the charts, learn some basic technical analysis, use sell stops when you're wrong.

A good basic book for beginners is Technical Analysis for Dummies. A good online brokerage will have a charting system included, and should allow you to scan for ticker symbols with certain characteristics (like "outperforming other industries for the past 18 weeks, or "low p/e (price to earnings ratio)".

User Avatar

Wiki User

12y ago
This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: What stocks would you recommend to buy long or sell short?
Write your answer...
Submit
Still have questions?
magnify glass
imp
Related questions

Can open end mutual funds short stocks?

The vast majority of mutual funds do not short stocks. Whether it is an open end or closed end fund is irrelevant. If a fund can short stocks, this strategy will be described as a "long-short" fund or something similar.


Is wealth maximization long term or short term?

Buying stocks is normally a long-term investment strategy. The idea is that since there is always inflation, the value of your stocks should go up with time.


Is shareholder wealth maximization short term or long term?

Buying stocks is normally a long-term investment strategy. The idea is that since there is always inflation, the value of your stocks should go up with time.


Wher is the best place to stash $50000 as a Long Term Investment ?

I would recommend a 401k or a short term investment fund. This is a great investment that is short term and you can gain double on your investment.


I would like to know if stock option investment have something to do with investing in stocks or just telling you about your finances.?

Stock option investment has to do with investing in stocks and with finances. It can be used for both long and short term investing. It is based on stock prices but is bought and paid with your own finances.


What is better for retirement stocks or bonds?

If you're a long way from retirement, stocks (riskier) is probably better. As you get closer to retirement, high grade, short term bonds (less risky) are better.


What is the basic difference between a stock and a bond?

1)stocks are in units, whereas bonds are for number of years. 2)stocks are the number of units for the companies whereas bonds can be for short or long term


What is the ISBN of Stocks for the Long Run?

The ISBN of Stocks for the Long Run is 9781556238048.


When was Stocks for the Long Run created?

Stocks for the Long Run was created in 1994.


Does menu have a short or long vowel?

long. short would be umbrella


How can one assess what stocks to buy?

It is very important for someone who is going to begin buying and selling stocks to assess which stocks to buy. Some are for long term holding, and others are for short sale. The investor needs to understand their investing goals. Individuals need to assess their own stocks, however for help on assessing stocks they can check sites like: etoro, Fidelity, or Vanguard.


Why positions in trading called long when buying and short when selling?

The terms "long" and "short" in trading refer to the direction of a trade. A "long" position means buying an asset with the expectation that its value will increase. On the other hand, a "short" position involves selling an asset that is borrowed, with the hope that its price will decline, allowing the trader to buy it back at a lower price and profit from the difference. These terms originated from the old practice where investors would physically hold or "go long" on an asset they bought, and "short" sell assets they did not yet possess.