From livmore's point of view, an investor can do two things: be sure to be strong, not to move like a mountain! It is probably the most important thing to be able to manage the momentum, which is difficult to make if you lose money, while timing is less important. The main methods of analysing stock market developments are as follows:
Economic data
The economy is macroanalytical, with a long-term relationship with the stock market, with limited short-term impact, and the stock market is usually ahead of economic indicators. The main economic data include GDP growth, unemployment, money supply, investment, exports, total household consumption, etc. The analysis of these data requires a strong theoretical basis for detecting patterns of increase and decline by comparing the money supply with the m2 with the index, while rates directly affect the willingness of the population to invest, and investment, export and consumption data reveal investment opportunities in some sectors。
Policy orientation
China is a democratically centralized country with a very strong policy impact on the stock market, commonly known as the policy market, which is dominated by monetary and fiscal policy, which primarily controls the size of the monetary stock, while fiscal policy regulates the balance of the structure. There are, of course, stock market-specific policies, such as entrepreneurship boards, science boards, registration systems, etc., all of which are important factors influencing the momentum。
What's the rate
Interest rates have a direct impact, with interest rates having a gravitational effect on the economy as compared to 10,000, and when the economy is depressed, the government will stimulate the economy by lowering interest rates, both to lower enterprises and to channel capital to the real economy, with the stock market being the largest destination。
• valuation
It is possible to understand that the different types of investment are comparable, with buildings, stock markets, bonds, trusts and insurance being higher, while the basis for the return on the stock market is valuation, the lower the valuation, the higher the value for money。
Of course, valuations can also be compared vertically, i. E., by placing historical valuation data on a map, with a broad concept of the current valuation at a low level, as is done by mainstream investors in the market, thus creating synergies that can drive stock-market booms and falls, which is also an important factor influencing the momentum。
Market trends
Markets themselves have a tendency, i. E. An analysis of large-scale trends, which is the dominant method of big judgements, with a much simpler vision of the future than the past, and a much simpler judgement of long-term trends, especially as to the probabilities of long-term trends. The longer the cycle, for example, the more reliable it is, the 20-year line is the bottom of the trend。
