Apple is one of the most valuable companies in the world. For over four decades, Apple’s quotes have shown that it is a technology company that has the potential to continue generating great profits. In this post, we will show you step by step how to buy Apple stock. You will find the best way to make your buy decision, strategies and very useful tips.
Although this post is about buying a particular stock, we recommend you diversify your portfolio so that you do not take unnecessary risks and structure profitable investment plans. In this sense, we recommend Capitalist Exploits financial services because it will allow you to have a broader view of the market. In fact, Capitalist Exploits provides information and analysis into investment opportunities that have the potential to provide impressive gains without taking on additional risk.
Buying shares of stock of a company can be a risky business, depending on the company and the state of the market. Even so, there are some tech giants whose growth seems to be never-ending, offering an opportunity to generate profits, and Apple is one of the biggest in the game. Throughout this post, we will show you step by step how to buy Apple stock, teaching you all the things you need to know before executing the buy order.
How To Buy Apple Stock
When it comes to buying stocks of any company, there are a series of general steps and measures you should always take to minimize the risk of losing your investment. These steps are depicted below:
- Research The Company You Want To Buy:
Analyzing Apple or any other company will allow you to avoid risks because it will give you the certainty if the company has had a good performance in the market and if it plans to continue to be a good choice in the long term.
- Analyze Factors Relevant To Trade:
Every time you research a possible investment you should find some factors or statistics about market liquidity, volatility and volume because it will allow you to see the degree of market acceptance of the stocks you plan to buy.
- Select The Most Suitable Broker:
The broker is your platform to buy and sell financial instruments in the stock market. We recommend that you make a careful choice so that you are calm and safe with your investments.
- Learn Trading Strategies:
This will allow you to choose the best way to carry out your investments. Take into account that the goal of investing is to get the highest possible return with the minimum risk.
- Learn The Most Common Types Of Indicators:
We recommend that you carefully analyze the company that you are going to buy. Invest in the financial market when you have the best chance of winning.
- Seek Financial Advice From Professionals:
We recommend that you do not make decisions lightly that could put your capital at risk. For this reason, we recommend that you complement your investment strategies and decisions with professionals.
- Trading Stocks:
After having done an analysis and listened to the recommendations of experts the last step is to buy Apple stocks.
Now, let’s go in-depth into each of these steps and let’s see how they apply to buying Apple stock.
#1 Research The Company You Want To Buy: Apple
Apple Inc. is an American technology company. In the stock market, you will find the company with the ticker AAPL. The ticker is an abbreviation that is used as a stock identifier. Apple Inc. specializes in the design, manufacture and marketing of computer hardware, software and music supports. Net sales break down by family of products and services are as follows:
- Telephone products (54.7%): iPhone brand
- Computers (9.9%): laptops (MacBook, MacBook Air and MacBook Pro brands) and PCs (iMac, Mac mini, Mac Pro and Xserve)
- Peripheral devices (9.4%): screens, storage systems, printers, video camera, memory cards, server, switches, etc.
- Music support (8.2%): music readers iPod and iPad and accessories
- Other (17.8%): software, maintenance service and internet access service, etc.
Net sales are distributed geographically as follows: the United States (39.3%), Americas (5.6%), China (16.8%), Japan (8.3%), Asia/Pacific (6.8%) and Europe (23.2%).
Some Relevant Elements About The Company That You Should Take Into Account:
- Apple made its first public offering in 1980. At that time, the stocks could be bought at around $0.5 USD. If you take into account that the stocks have reached $360 USD, this means that in almost 40 years Apple stocks have increased by 71,900%.
- The company has continued to produce and innovate despite the innumerable global events that have destabilized other companies in the same sector.
- Throughout four decades Apple has diversified its products and has even been one of the most outstanding engines of technological change in the world.
- During the first 30 years in the stock market, Apple stocks did not show significant growth. But, starting in 2007 with the launch of several of its revolutionary products, Apple’s stocks grew significantly. This factor is important because the company maintains the same strategy today.
#2 How To Buy Apple Stock: Factors Relevant To Trade
There are a couple of elements that could influence asset prices when you work as a trader. The most important ones that you should take into account are:
- Market liquidity: It is important because it shows how easily and quickly you can enter and exit positions.
- Volatility: Refers to the speed with which the price moves. If high volatility is expected during the day, movements can create many profit opportunities. You can take advantage of volatility when you encounter many price rises and falls during your work session.
- Volume: This is a measure of how many times assets are bought or sold in a given period. The high trading volume shows a lot of interest and is useful for identifying entry and exit points.
#3 How To Buy Apple Stock: Select The Most Suitable Broker
Operating the financial markets can be a great challenge due to the multiple factors that can affect the price of financial instruments. Although the financial risk is part of trading as a profession, the experience and quality of a broker’s service can help you optimize your strategy.
Factors To Consider When Choosing A Broker
- Background, trust and reputation: good record and experience in the market are necessary.
- World leader: an industry leader with high performance and innovation is key.
- Regulated: the trading provider must have authorization from the corresponding regulatory bodies.
- Ongoing support: a wide range of hours for customer service and various points of contact, such as direct chat, phone and support, are essential.
- Simplicity: platform adaptable to different devices and with an appropriate degree of customization and configuration will offer great advantages.
- Offer: The variety and quantity of assets and products available to operate the market is a determining factor to diversify the investment portfolio.
When it comes to choosing a broker, we believe that the best one as of writing this post is Capital.com. It is a zero-commission broker that excels in all the right places and will be the perfect tool for you to begin trading Apple stock in record time.
Read this Capital.Com review where you will find an exhaustive analysis of this wonderful broker. We believe that Capital.com will allow you to diversify your portfolio internationally thanks to the large number of alternatives it offers. Plus you also save hundreds of dollars in commissions.
#4 How To Buy Apple Stock: Trading Strategies
In the trading world, there is no single method of earning money. That means some strategies adjust to each financial objective. In this section, you’ll learn how to choose the strategies that best suit your way of thinking.
Investors try to make a profit by studying the direction of prices. If the trend is bullish (there is a maximum price), investors will take a long position and buy the asset. If the trend is bearish (there is a minimum), investors will take a short position by selling.
It consists of taking advantage of short-term price patterns. In this sense, these investors are more interested in small reversals in the price movement of a market. In other words, they try to detect small reversals in advance and operate to benefit from small movements.
The strategy is to carry out a large number of operations that remain open for a very short time. It is a short-term trading strategy that allows you to obtain small but frequent profits, since it focuses on achieving a high rate of profit. Scalping requires a very strict exit strategy since losses can quickly offset benefits.
Criteria To Consider When Selecting The Type Of Strategies
- Available Time: Different styles of trading require different periods. That is why you must be aware of how much time you really to trading so that you can choose the strategy that best suits your lifestyle.
- Initial Capital: The shorter the operating time, the less money you will need to achieve a significant gross profit.
- Risk Aversion: The trading profession is a risky activity in which you can earn or lose money. You must define how much money you are willing to put at risk.
- Personality: It is important to determine which characteristics of your personality are adapted to each strategy to achieve better performance.
#5 Learn The Most Common Types Of Indicators
It is not enough to see the evolution of prices for you to make buying or selling decisions. It is also necessary that you do a financial analysis or technical analysis that allows you to find the best opportunities. Below you will see the most common:
Moving Average Convergence/Divergence (MACD)
This indicator has the function of identifying changes in the trend and direction of prices. It consists of the evolution of two moving averages with different periodicity to determine patterns of changes.
Relative Strength Index (RSI)
The RSI determines if the market is overbought or oversold. Analysis is very important to establish whether there will be a reversal in the price trend. The index works with exponential averages. If the RSI is above 70, the market is overbought, but if, on the contrary, the indicator is below 30, the market is oversold.
Average True Range (ATR)
The indicator takes into account the closing price of the previous day with an exponential average, and depending on the market trend (bullish or bearish), it subtracts the high or low of the current day from the closing price of the previous day.
Simple Moving Average (SMA)
They are ideal for smoothing price data series and making identifying the direction of trends easier, which is especially useful in volatile markets.
It consists of two standard deviation lines, which indicate support and resistance levels. If the price touches any of these bands there is a possibility that the trend will suddenly change.
#6 Seek Financial Advice From Professionals
Keep in mind that trading is a complex profession that requires you to choose the best investment strategies. For this reason, you should not buy financial instruments lightly, or because everyone talks about its evolution. You should always do an analysis to make the best decision. However, to do the analysis you need information and you need to learn from experts how to interpret that information, which is where financial newsletters come in.
There are many different newsletters out there that will help you learn how to make sane trading decisions in order to become a profitable trader, but we believe that the best one out there is Capitalist Exploits. We suggest our post “Capitalist Exploits: A Measured Approach To Achieving Asymmetric Returns” where you will learn everything this newsletter has to offer in terms of expert advice and the world of investments.
Below you can see a summary table with the main features of Capitalist Exploits:
|How do they select investments?||Capitalist Exploits seeks investment opportunities worldwide through in-depth analysis, market research, and investment networks. |
The team looks for the best investment opportunities in different sectors, industries and global markets.
Then they determine if the opportunity can be safely seized. After identifying opportunities, they estimate the risk associated with each investment to select the best risk-capital ratio.
The next step is to identify the most appropriate way to allocate capital in each scenario. In this way, investors can adapt to possible changes.
|Are the recommendations diversified?||Yes, they provide a high level of diversification because Capitalist Exploits seeks investment opportunities worldwide in and out of the stock market.|
|Do they help you analyze each recommendation?||Yes|
|Do they generate free content?||Yes, the company offers free content and a blog with highly relevant podcasts and opinion pieces. Capitalist Exploits also offers a private Telegram channel called “Hedgies Uncut”.|
|What type of investor is it for?||Anyone with any level of experience or geographic location can use the service. It is ideal for both long-term and short-term investors who are looking for investment opportunities in and out of the stock market. For example, shipping, energy, natural resources, Bitcoin and many more.|
#7 How To Buy Apple Stock: Purchase Order
The idea of having gone through the previous steps is that when it is time to buy Apple stock you are sure of your decision. Usually, when people invest they try to think about all this just before clicking the buy button. If you are clear about the business of the company you plan to buy, you have clear investment strategies and you have carefully analyzed the company’s quotes, then this step is simply a protocol that will allow you to get returns.
How To Buy Apple Stock: The Bottom Line
Summarizing, we recommend taking the following steps into account when buying Apple stocks or any other company:
- Research the company you want to buy.
- Factors relevant to trade.
- Select the most suitable broker.
- Learn trading strategies.
- Learn the most common types of indicators.
- Seek financial advice from professionals.
- Trade stocks.
When it comes to choosing your broker, you’ll be hard pressed to find a more flexible, user friendly and professional option than Capital.com. It’s probably the best option out there for both beginners and aged traders alike.
We also suggest you take into account the following elements:
Diversify your portfolio. Don’t invest in a single asset, think of Apple stocks as part of your investment portfolio. You can also buy diversified instruments that contain Apple. For example, you could buy an ETF that tracks the performance of some major market indexes. This will help you diversify your portfolio.
Avoid liquidity risk. Do not invest money that you will need in the long term. This will prevent you from selling the stocks ahead of time due to the need to meet current expenses.
We recommend that you seek the counsel of a reputable and reliable investment advisor. If you are just starting in the investment world, or are already a professional, but don’t want to be exposed to high risks, we recommend that you join Capitalist Exploits today for three reasons:
- The first is that Capitalist Exploits provide an incredible amount of information about financial markets that help beginners learn.
- The second is that Capitalist Exploits is focused on identifying high-return, low-risk investment opportunities, which is exactly what someone who is just starting out on business needs.
- Finally, the level of diversification offered by Capitalist Exploits will allow you to create more efficient portfolios to achieve your goals.