Which Sector Are You in ??

There are alot of stocks to invest in ?
How do you decide which one to pick ?

The best way to start is to decide which sectors to invest in. Decide for youself which sector you think you like and is going to do well in the near future. Once you pick the sectors you like, look into sub-sectors. Now inside this sub-sector look for companies with good EPS, P/E, PEG and market capital.

Everyone should make a like it - dislike it list, and STICK to it.

I will go through few of my personal ones and also would add some reasoning as to why.

Like it...

* I like Gold/Silver stocks.
Love it, hate it but can't ignore it. I am talking about Gold. When the dollar becomes stronger, gold will see a downslide. Gold prices tend to fall when energy prices drop, as the yellow metal is generally seen as a hedge against oil-led inflation. With the dollar becoming week, the gold and silver prices will go up. Gold/Silver stocks are definitely top priority.

* I like Tech stocks (companies with unique products, brand, outsourced cost cutting operation)
Tech stocks with unique, amazing products always do good. Lets take Apple as an example. With the advent of iPod they changed the way people listen to music. Same goes for Vista from Microsoft. Cool products always sell and companies make money. Also tech companies that outsource their work to cheaper places always end up saving more money. This basically means there is more cash in hand for them to involve in more products.

* I like Semiconductor stocks (manufacturing chips for prefered consumer products)
Chips are getting smaller and smaller and more features are added to it. Designing such chips is not for everybody. Again designing special types of chips is again a niche market. For example Micron Technology makes memory chips. Now this is a niche market. Memory is always in demand, and year after year the demand for memory grows.

* I like Health Care stocks (with strong sales)
Everyone loves to be healthy, but not everyone is lucky. Health products are more in demand than ever. I see strong growth in this sector.