Trading Lesson learnt
RULES
CHECKLIST
STRATEGY
RISK MANAGEMENT
PROTECT PROFIT
- Get full report or information before trading and decide the trading plan.
- Accumulation is good thing but at the same time chasing price is dangerous and put in the spot and leaves you with waiting/patience. Do not chase the price.
- Always keep the 35 % percent cash in hand.
- Loss comes from the emotion. Never invest in emotion.
- One bad stock can take away all your profits.
- Invest at right time. Even company is good and if overprices do not invest in emotions.
- Better to keep cash rather loosing by investing in emotion.
- Be careful with penny stocks. It goes up and down at the same pace.
- All you can loose is amount but you have the probability to earn 3 times ,4 times.
- No one can predict market direction. Use your senses and find out the value and invest.
- Do not do too much portfolio changes as it cost transaction fees and brokerages charges which reduces the profit.
RULES
CHECKLIST
STRATEGY
- Find out most shorted stocks with lowest value close to 1 or 2. Buy if "Days to cover " is more than 7-8 days of volume.
RISK MANAGEMENT
PROTECT PROFIT
