Investing successfully requires more than reading a few articles and following trends. Effective investment means taking the time to craft a thoughtful plan accounting for personal objectives and external factors, then tailoring a strategy to fit. These four time-honored tips can help any self-directed investor formulate that plan and reach their goals.
Tip #1: Plan for Success
Markets are dynamic – there is no way to predict their behavior with 100 percent accuracy. That makes it even more important to develop a plan that accounts for a variety of factors like personal goals, tolerance for risk, and timeline, then invest accordingly. Creating a plan with diversified assets and portfolio percentages and sticking to that plan in bull and bear markets means investors can better weather the inherent ups and downs of market behavior and maximize returns.
Tip #2: Do the Research
While market behavior is unpredictable, research gives investors the information they need to make informed decisions and increase their chances for success. Self-directed investors benefit from looking beyond surface level observations like stock market performance or mutual fund fees and digging deeper into material like a fund manager’s background and investment style, annual fund reports, and more. Investors can then analyze how a prospective investment fits in context with their goals before making final purchasing decisions.
Tip #3: Think Rationally
Stocks on strong bull runs can be intoxicating – after all, all investors want to beat the market and earn hefty returns. But following the hottest stocks of the moment and basing financial decisions on their current trajectory often leads to disadvantageous behavior, followed by weaker performance. The same applies to downturns in the market, when emotional decision-making can lead some investors to jump ship early – with harmful future ramifications. This makes it vitally important for investors to lean on their heavily-researched plans in good times and bad, trusting that they have accounted for negative and positive trends. By articulating clear goals and backing them with research, investors can avoid fearful and emotion-driven behavior.
Tip #4: Stay the Course (But Be Open to Changes)
Self-directed investors that have done the research, developed a well-considered plan, and back their decisions with data are already setting themselves up for success. The final piece of the puzzle is equally important: investors must be willing to reevaluate their goals and periodically adjust the plan to meet them. This means rebalancing the portfolio to reflect shifting markets, while also trusting the overall strength of the plan no matter how the market behaves. Thorough planning, thoughtful research, data-based decision-making, and regular reevaluation can set any self-directed investor on the path to sustained success.
Bonus Tip: Use Algorithms and A.I. to Help You Formulate Investment Ideas
Tickeron has developed user friendly Artificial Intelligence tools to help new and experienced investors generate investment ideas. Tickeron’s A.I. is capable of evaluating a portfolio and providing a “Diversification Score,” to tell the user how well-diversified their portfolio is. The A.I. can you allocation ideas based on your risk tolerance, investment objectives, and the investment options available.
But there’s more. Tickeron’s A.I. is capable of performing a multitude of functions:
And much more. No longer is AI just confined to the biggest hedge funds in the world. It can now be accessed by everyday investors. Learn how on Tickeron.com.
SPY saw its Momentum Indicator move above the 0 level on February 10, 2025. This is an indication that the stock could be shifting in to a new upward move. Traders may want to consider buying the stock or buying call options. Tickeron's A.I.dvisor looked at 70 similar instances where the indicator turned positive. In of the 70 cases, the stock moved higher in the following days. The odds of a move higher are at .
The Moving Average Convergence Divergence (MACD) for SPY just turned positive on February 13, 2025. Looking at past instances where SPY's MACD turned positive, the stock continued to rise in of 51 cases over the following month. The odds of a continued upward trend are .
SPY moved above its 50-day moving average on January 17, 2025 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for SPY crossed bullishly above the 50-day moving average on January 27, 2025. This indicates that the trend has shifted higher and could be considered a buy signal. In of 12 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where SPY advanced for three days, in of 364 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 454 cases where SPY Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 5 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where SPY declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
SPY broke above its upper Bollinger Band on February 13, 2025. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
Category LargeBlend