I am in my fourth year in the Uni and I have only been trading for about 1 week now to try to get a feel of the share market. I am just wondering how much research is actually enough to determine which shares have the most potential for gains.
As for me, all I did before deciding which shares to be purchased, I read heaps of finance news (such as, business section, smart investor and etc.) to get a glimpse of what might be the best shares are. Then I just compared various financial ratios such as EPS, quick ratio, current ratio, debt-to-equity and other ratios, look at the company past performance as well as future strategies and also financial forecast which are provided by CommSec.
With this mediocre research, my portfolio managed to perform quite well for the week (I must admit that a week is too short to judge the effectiveness).
But from the forum, I know that many of you are actually perform much much deeper research into the shares by making full use of charting and many other strategies. I am just wondering how much research is actually enough to determine which shares have the most potential for gains and how to be able to spot the rising / falling shares in the market. Thanks in advance for your response guys....