There are certain people you can talk to that will give you more information in 3 minutes than you could get in 3 hours researching on your own.
When I was just getting into the stock market as a freshmen in college, I had no idea what I was doing. None of it made much sense to me. Meanwhile, I got talked into going on a hike with an older man from my neighborhood. My mom said he loved hiking and was looking for someone to join him on a long journey.
I was up for it.
A few mornings later, we drove we drove two hours up to the white mountains and hiked most of Mount Washington.
He had been retired for years and my mom told me he was an avid investor.
Up near the top of the mountain, the topic of airline stocks came up. He said, “Its all about fuel prices. When they’re high, airlines lose money. When they’re low, airlines make money.”
That’s it.
No fundamentals, ratios, or trends in the 30 day moving average. It was that simple. I’m not sure how valid that information is, but in his mind that was the one significant factor.
I don’t mention this as a way to give you investment advice, but instead to illustrate a point about simplicity. People with years of experience can boil down a topic to its core. When you’re just getting to know a field, you need to talk to these people. It’s comfortable to sit on your couch and Google things. It’s uncomfortable to send an email to a stranger complimenting their knowledge and asking for help, but those are the right connections to make.