Beta tester's words!
A friendly learning progress chart to help you become a stock investment expert.
Author's Note on the Revised Edition
Author's Note for the First Edition
Yoon Jae-soo's investment principles

Preparation yard.
Getting a feel for stock investing

Investment Story: Stocks and Companies Are Inseparable
01 What is a stock?
What is a stock?
Correlation between capital and stocks - capital increase and decrease
Are free and paid-in capital increases always good news?
Stocks can be bought and sold - distribution market, primary market
|Wait a minute| The meaning of face value, both mysterious and complex

02 How is the composite stock index created?
KOSPI index, which represents stock price trends
The standard for derivatives such as futures and options, the KOSPI 200 index
About the KOSDAQ index
KRX100 and KRX300, which allow you to see KOSPI and KOSDAQ at a glance
|Wait a minute| The stock market's upper and lower price limits and trading suspension system

|Investment Story| Should I invest directly or indirectly?
03 Why Stock Investments Are Better Than Accumulated Funds
Fund investment is indirect investment, stock investment is direct investment!
Reason for direct investment ① The target rate of return is high.
Reason for Direct Investment ② It is advantageous in terms of investment flexibility and liquidity.
Reason for Direct Investment ③ The joy of experiencing the fruits of investment is much greater.
But what if you still want to invest in funds?
|Wait a minute| What are DLS, ETNs, and ISAs?

04 Predict the timing of stock investment!
Economic fluctuations and stock prices move together.
The GDP growth rate determines whether the economy is good or bad.
|Wait a minute| What is GDP growth rate, and how do I find it?
Interest rates usually move inversely to stock prices, but sometimes they move in tandem.
The Corona Pandemic and the Donghak Ant Movement
Money supply moves with stock prices.
Exchange rates sometimes move inversely to stock prices, but sometimes they move in tandem.
Stock prices rise when the current account is in surplus.
Inflation causes stock prices to rise, while deflation causes stock prices to fall.
When corporate performance improves, stock prices rise.
Judging stock market trends using GDP gap and yield gap.
|Wait a minute| Stock Investor Code of Conduct When the Market Is Tough
|Wait a minute| When fear dominates the stock market, check out the S&P 500 VIX futures index!
|Muttagi| Judging economic booms and busts using the GDP gap
|Muttagi| Judging the Pros and Cons of Stock Investment Using the Yield Gap

05 5 Commandments of Stock Investment for Beginners
Commandment #1: Acknowledge that you can lose money investing in stocks!
Second Commandment - Lower Your Target Rate of Return!
Third Commandment - Don't sit in front of the monitor all day!
The Fourth Commandment - Always think of your account balance as your initial investment amount!
The Fifth Commandment - Manage Your Accounts!
|Wait a minute| How much spare money do I need to start investing in stocks?

First yard.
Let's start with stock investment and trading!

|Investment Story| Follow the Direct Investment Guide, Starting with Account Opening
Let's start by creating an account 06!
|No-frills| Just follow the instructions for opening an account
|Just a moment| Other matters requiring agreement
|Muttagi| Installing HTS
|Wait a minute!| Now trading stocks on mobile, MTS!

07 View prices using the home trading system
Explore the Home Trading System
|Muttagi| Customize the screen to your taste
|Muttagi| Load graph
|Wait a minute!| Chart analysis is possible with MTS!
|Muttagi| Examining the industry-specific indices

08 Types of trading order methods
Types of buy/sell order methods
|Wait a minute| Can I trade outside of regular trading hours?
|No-ttagi| Blindly following trading orders
|Muttagi| Smart Stock Investing on Your Smartphone
|Wait a minute| How much will the transaction fee be?

09 Things to note when placing an order
Let's buy in installments and sell in installments!
Always keep a certain amount of cash in your account!
Let's double check when placing an order!
Never engage in short selling!
|Wait a minute| Income tax on stock trading profits
|Wait a minute| What are deposits, margin, subrogation, and receivables collection fees?

Second yard.
You can make money if you choose your stocks well!

Investment Story: The Mistakes of a Securities Salesperson Who Ignored Value Investing
10 Value Investing: Finding the Pearl in the Dirt
Value investing is about picking out pearls from the dirt and investing in them.
Stock prices tend to match corporate value.
Why do stock prices move more rapidly than corporate value?
|Wait a minute| Why do individual investors prefer small-cap stocks and KOSDAQ stocks?

Investment Stories | Successful Investment Stories Through Value Investing
11 Undervalued stocks make money!
4 Ways to Pick Undervalued Stocks

12. Selecting Undervalued Stocks Based on Return on Equity (ROE)
Criteria for Selecting Undervalued Stocks ① Return on Equity (ROE)
|Muttagi| Picking Undervalued Stocks Based on Return on Equity (ROE)

13. Selecting Undervalued Stocks Using EPS and Price-to-Earnings Ratios
Criteria for Selecting Undervalued Stocks ② Earnings Per Share (EPS) and Price-Earnings Ratio (PER)
How to Find Investment Indicators like EPS, PER, and PBR on HTS
|Wait a minute| What impact will the adoption of IFRS (International Financial Reporting Standards) have on valuation indicators?
|Muttagi| Picking Undervalued Stocks Using EPS and Price-to-Earnings Ratios

14. Picking Undervalued Stocks Using EV/EBITDA
Criteria for Selecting Undervalued Stocks ③ EV/EBITDA
|Muttagi| Picking Undervalued Stocks Using EV/EBITDA

15. Selecting Undervalued Stocks Using Price-to-Book Ratio (PBR)
Criteria for Selecting Undervalued Stocks ④ Price-to-Book Ratio (PBR)
|Muttagi| Picking Undervalued Stocks Using the Price-to-Book Ratio (PBR)
High ROE and low PER, EV/EBITDA, and PBR are good.
|Wait a minute| Let's also check the price-to-sales ratio (PSR)!

Investment Stories | Case Studies on Buying Blue Chips and Good Stocks
16 What are good stocks?
There is a difference between good stocks and blue chip stocks!
What you need to know to pick good stocks
|Wait a minute| Capital size and industry breakdown
|Wait a minute| Before investing, it's essential to check whether a company is suffering from capital erosion!
|Just a moment| About the exchange delisting system and the K-OTC and KONEX markets.

17. Choosing leading and theme stocks
To pick good stocks, choose leading stocks and theme stocks!
|Muttagi| 3 Tips for Identifying Leading and Theme Stocks

18. Follow foreign/institutional investment
What is a foreigner?
Four types of foreign investment
Are the investment patterns of domestic institutional investors different from those of foreign investors?
How do I refer to foreign and institutional trading?

19 Follow the money-making information gathering tips
Is there jade in information?
Money-making information ① Hidden in public notices
Profitable Information ② Securities firm research data on industries and companies
Money-making information ③ Subscribe to the newspaper
|Wait a minute| Want to know about corporate disclosures?
|Wait a minute| Will AI-powered investment advice really make you money?

20 Follow the corporate analysis with HTS
Essential Checklist for Listed Company Analysis

21. Comprehensive summary of the principles of stock selection
Register in the interest window
|Wait a minute| How investors can directly predict market conditions.

22. Follow the diversification strategy
Why should you diversify your investments?
Three Types of Diversified Portfolios
Stock research is essential when diversifying investments.

23.
Follow the overseas stock investment
Why You Should Include Foreign Stocks in Your Portfolio
Overseas stock investment: Which country and which stocks should you invest in?
Investing in the US stock market
Major ETFs in the US stock market
US stocks of interest
Investing in the Chinese stock market
Domestically set overseas ETFs
Open an overseas stock account and trade
Transaction tax, capital gains tax on capital gains, and tax on dividends

Third yard.
Charts predict stock prices

|Investment Story| Identifying Trading Points with Charts
24 Charts Predict Stock Prices
If buying pressure is strong, it is a bull market; if selling pressure is strong, it is a bear market.
The most representative technical analysis method is charts!

25 What is a candlestick chart?
What is a bar chart?
How to draw a peak
|Muttagi| Drawing a peak

Predicting Stock Prices with 26-Bar Charts and Connecting Bars
Examining Trading Strategies with Candlestick Charts
Examining Trading Strategies with Connecting Bars
|Wait a minute| A few things to keep in mind when looking at candlestick charts.
|Wait a minute| What is a gap?
|Wait a minute| Red Three Soldiers and Black Three Soldiers

27 Identifying trading points using trend lines
What is a trend line?
|Wait a minute| Trendline reliability
4 Trading Methods Using Trend Lines
|Muttagi| Investment decisions based on trend lines
|Muttagi| Determining trading timing using trend lines

Trade with confidence along the 28 moving averages.
The meaning of moving averages and how to create them
How to Use Moving Averages ① Use them to determine stock price direction.
How to Use Moving Averages ② Use them to determine buy and sell points.
How to Use Moving Averages ③ Use them as support and resistance lines.
|Muttagi| Investment Decisions Based on Moving Averages 1
How to Use Moving Averages ④ Use long-term and short-term moving averages to make investment decisions.
|Wait a minute| What are Golden Cross and Dead Cross, and how do you use them?
|Muttagi| Investment Decisions Based on Moving Averages 2

29 Identifying trading points through pattern analysis
What is pattern analysis?
Investment points by pattern
|Understanding Trading Points with Pattern Analysis

30 Feel the power of the forces with volume analysis
Gain insight into trading volume analysis
|Muttagi| Feel the power of the forces through trading volume analysis

31 Using auxiliary indicators
Understanding auxiliary indicators
Trend Analysis Indicator - MACD
|Wait a minute| Mesh chart
Momentum Analysis Indicator ① Stochastic Fast & Slow
|Muttagi| Identifying trading points with stochastic
Momentum Analysis Indicator ② Separation
|Muttagi| Finding the right trading spot using the gap rate
Momentum Analysis Indicator ③ Investment Sentiment Line
Momentum Analysis Indicator ④ P&F Chart
|Understanding Trading Points with P&F Charts|
Momentum Analysis Indicator ⑤ Renko
Market Strength Indicator ① On-By-Value (OBV)
|Wait a minute| What is the cyclic curve?
Market Strength Indicator ② Selling Price
|Understanding Support and Resistance at Each Price
Comprehensive summary of chart analysis
What if the chart is ambiguous or sending conflicting signals?
Finding Buy and Sell Points

Predicting Investment Timing with 32 Charts
Tips for Judging Trends ① Judging with Graphs
Tips for Judging Trends ② Judging with Elliott Wave Theory
|Muttagi| Examining Stock Price Adjustments According to Elliott Wave Theory
Tips for Judging Trends ③ Judging with Dow Trend Theory
|Muttagi| Examining the Dow's Six Phases
|Wait a minute| What does the term financial market tax or performance market tax mean?

33 Comprehensive summary of trading principles for stocks of interest
Four Principles for Choosing a Buying Point
|Wait a minute| How do you predict the target price for individual stocks?
Five Principles for Choosing a Selling Point
Stop-loss is necessary to maximize profits.
|Wait a minute| Should I do the water ride or not?
|Wait a minute| When is it a good time to cut your losses?

Fourth yard.
Follow dividend investing

Investment Stories | The Joy of Dividend Investing
34 Dividend Investments That Build Wealth
Dividend investment is gaining popularity as a means of wealth creation.
Tips for Selecting Promising Dividend Investment Companies
Tips for Choosing Companies with High Dividend Yields
When is the right time to invest in dividends?
Income ETFs: A New Emerging Trend in the Low-Interest Rate Era
|Wait a minute| About dividend payment timing and taxes
|Wait a minute| Promising dividend investing companies and minimum investment amounts

Fifth yard.
Follow short-term and long-term investments

Investment Story: CEO Yoo Won-chik Earns 11x Returns in 10 Years
35 Long-term investment that is higher and safer than bank interest rates
Large-cap stocks are characterized by stability, while small-cap stocks are characterized by growth potential.
Stock Investment Returns - Are Large-Cap Stocks or Small-Cap Stocks More Advantageous?
Invest long-term in companies with economic moats.
Criteria for selecting a small number of promising stocks
Even when making long-term investments, you must keep an eye on changes in corporate value.

|Investment Story| Understanding Short-Term Trading
36 Short-term trading done by a small number of professionals
What is short-term trading?
Short-term trading is done when the market is good.
Consider stock market supply and demand to analyze market conditions.
|Wait a minute| What is the Philadelphia Semiconductor Index?
Four Principles for Selecting Short-Term Trading Stocks
Five Principles for Selecting Short-Term Trading Timings
|Just a moment| Other notes for short-term trading

Sixth yard.
Follow the Futures and Options Investment

Investment Stories | The 9/11 Terrorist Attacks and Options Investment
37 What are derivatives?
What are derivatives?
Derivatives are secondary assets that are derived from the underlying stock.
Why is Derivatives Trading Necessary?
What are the characteristics of derivatives?

38 What is stock index futures trading?
Gaining a feel for futures trading
What is stock index futures trading?
Stock index futures trading system
|Wait a minute| Strengthening the qualifications of derivatives investors!
|Wait a minute| How do I open a gift account?
|Understanding the margin requirements for futures trading
|Understanding Index Futures Products|
|No Deposit| Find out how many contracts you can buy with your own funds.
Types of futures trading
Gift trust system
Futures theoretical price
|Wait a minute| Check the current price window for futures
|Wait a minute| What are stock futures?

39 Four Investment Techniques for Stock Index Futures Trading
Futures Trading Investment Technique ① Hedging
Futures Trading Investment Technique ② Speculative Trading
|Muttagi| Calculating a complete hedge
Futures Trading Investment Technique ③ Arbitrage
Futures Trading Investment Technique ④ Spread Trading
|Wait a minute| What is program trading?

What is Stock Index Options Trading?
Getting a feel for options trading
KOSPI 200 Index Options Trading System
Find out about the settlement month for |Muttagi| options
|Muttagi| Find out the option price

41 Stock Index Options Trading: 6 Investment Techniques
Option Trading Investment Technique ① Buying Call Options
Option Trading Investment Technique ② Call Option Selling
Option Trading Investment Technique ③ Buying Put Options
Option Trading Technique ④ Selling Put Options
Options Trading Technique ⑤ Buying and Selling Straddles
Options Trading Technique ⑥ Strangle Buying and Strangle Selling
Options and Risk Management
How to manage the risk of options
|Muttagi| Learn about index options investment strategies

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“What matters is an unwavering commitment to stocks!”
Create your own investment principles that will help you succeed without losing money!
The fundamentals of stock investing that remain unshaken even in times of crisis

After the stock investment boom of 2020-2021, the stock market froze over in 2022.
With various media and experts talking about an economic recession and crisis every day, even the stock market and real estate market are facing a crisis of endless decline.
But the author, a true expert who has been watching the stock market for over 40 years, says:
In times like these, I advise you to focus on the basics and study properly to protect your current assets and prepare for the upcoming bull market.
To do that, it is most important to establish your own investment principles.
This book contains the author's practical advice on how to navigate challenging market conditions, including the fundamental principles of stock investment that ensure stable returns even in times of crisis.


“If you are a complete beginner, build a solid foundation of basic knowledge step by step!”
From opening a stock account to buying stocks and analyzing charts, we've got you covered!

This book provides step-by-step instructions for beginner investors, from how to install HTS and MTS to creating a screen to suit your taste and loading graphs.
It also explains candlestick charts, link diagrams, trend lines, moving averages, pattern analysis, and volume analysis, providing detailed guidance on how to interpret data and identify optimal trading opportunities before investing in stocks.


“If you are an intermediate investor, become a value investor!”
Complete mastery of ROE, PER, PBR, and EV/EBITDA
Dividend investing, foreign stock investing, and even futures and options investing!

This book contains helpful content even for intermediate(?) investors who have some experience with stocks.
It reminds you of the investment principles that can be shaken while investing, and allows you to re-examine ROE, PER, PBR, and EV/EBITDA, which are essential for value investing.
It also provides information on safe dividend investment and overseas stock investment methods, as well as futures and options investment techniques, helping you experience a variety of practical stock investment strategies.

A four-part corner structure that enhances learning ability while readers find answers on their own!

For those who always give up on studying stocks because they find it difficult to understand, we've created a 4-step learning corner!

Investment Stories: A novel-style compilation of significant real-life events in KOSPI history, illustrated with illustrations.
· Just a moment: A corner that supplements information not fully explained in the main text and clearly answers various questions.
· Know: Stock-related terms and basic information explained in an easy-to-understand manner.
· Just Follow: A corner where you can try out various mock investments.

Includes content on the latest market-leading themes, including secondary batteries, defense industry, and nuclear power!
〈20 Promising Theme Stocks〉, a selection of key stocks from rising and falling themes.

In the special appendix, “20 Promising Theme Stocks,” the author, who has been watching the KOSPI market for nearly 40 years, has carefully selected 20 promising themes.
By reading through 20 promising stocks in each theme, including secondary batteries, defense industry, nuclear power, solar power, wind power, gaming, and even the recent Neom City/Ukraine reconstruction, and identifying investment points, you will be able to develop an eye for reading market trends.
However, since the author has collected information on specific companies from HTS, various mass media, and the stock market, it should be used as a reference when selecting theme stocks. However, for actual investment, various methods should be considered as explained in the book.
The author also promises consistent updates based on market conditions, ensuring readers always have access to the latest information.