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Replies to #41669 on lowtrade

lowtrade

04/13/14 3:07 PM

#41673 RE: pasqualee #41669

You need to research those which are available and choose what you feel comfortable with. I just posted where one can do some research.

The thing about buying high is if your happy with the present dividend, you can always try to lower your basis, increasing ROI by adding during retraces. But do the math and understand if your in large at first, it takes large new buys to bring the basis down. If one starts small, say 1/4 of what the plan for investing in dividend stocks is, you can add 3 times on 3 retraces.

As with all investing, not swing trading, it's all in the numbers. So spend some time learning how a 4 step in strategy works vs 3,2 or 1 step and the advantages and disadvantages for each. It's just math.
By the way, lowering dividend stock basis is the only time I recommend averaging down !