How to Invest in Energy Stocks

Step 1:

Oil has been plummeting in price during the past couple months. This price drop has brought down with it all stocks related to energy services.

Step 2:

Now is the time to buy! Please use discretion before purchasing a stock, especially in this volatile market. Do extensive research on any company before you buy its stock. But below I included a few stocks that are definitely worth considering.

Step 3:

A list of some top performing energy stocks to possibly invest in (with the ticker symbols in parenthesis):

Exxon Mobile (XOM)
Chevron (CVX)
Headwaters Incorporated (HW)

Again, research is critical. I recommend typing the ticker symbol into Yahoo Finance and then clicking on the "Analyst Estimates" tab on the left. This will show you what the analysts covering the company expect them to earn next quarter and next year. I good rule of thumb (although it may seem counter-intuitive) is to buy the stock when everyone is saying there is no way it can go up. That's when you look for a good buying opportunity. Similarly, sell the stock when everyone is saying that there is no way it can go down.

Feel free to go to http://investmentstrategies101.com/ to learn more about investment strategies for beginners.