To be able to survive in the fast changing stock market, the best weaponry is to have the right strategy.
This is not limited to just one but also a combination of other strategies.
What is important is that you are able to employ it effectively and efficiently.
Although there can be many approaches that can be utilized, the deciding factor which one is better over the other is the amount of risks it is trying to deal with.
While risk is one factor, another thing to consider is the amount of the venture.
The first strategy is called "buy and hold" strategy.
In here, the buyer will purchase long term stocks and just let them hang for such a desired period.
Most people think that it is the safest way to put money because the companies engaged in that are called "blue chips".
They are named that way since they are very stable companies.
This strategy is recommended for new members since they are not yet adept to the system.
Next is "top down" strategy.
This consists of three steps where in the buyer's first task is to find a market of choice to invest.
Secondly, select the segment of the market.
And then, obtain the finest stocks from that.
The deciding factor to be considered here is timing.
The third strategy is the "bottoms up".
Contrary to the second type of strategy, this will not require examination of the market and its sector.
This is done by just picking the best stocks in the market wherever market they belong.
Apart from the basic strategies stated above, there are others which can also contribute to the primary strategy.
However, since these are just minor strategies, it is important to continuously seek for new and more viable options in the market.