Saturday, January 10, 2015

Things to AVOID When trading in Stock Market

  • Greed; being greedy can be a problem as it corrupts wisdom, 
  • Making the same mistake twice, 
  • Following the crowd, as the loss at the end is of the individual and not the crowd itself 
  • Putting all your ‘eggs in one basket’. You should diversify and spread your investment, 
  • Using rumors as tips, as this can result in losses. A tip can end up as a ‘pit’ 
  • Emotions; being emotional can effect reasoning. Traders should use research backed by fundamental reasoning. 
  • Impatience; patience pays, perseverance gains, 
  • Over borrowing; loan repayment is not an investment.

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