Most stock investors, if not all, have some bad habits that keep them frustrated and ineffective is market. “your investment is giving result or not”If you are also one One of those investors, you will probably like to improve your profit of your investment.
It is not tough to change your investing habit but you should change your habit little bit. You have to accept you would not able to buy all stocks that makes enormous price gains. No one does, and no investing system will help you spot every single huge gainers. But you can get enough of them to make a difference in your financial position, and in your life.
So now let’s think about mistakes dine by investors.
Mistake 1 :- Using too many different investing methods and styles
When we say you should decide on an investing style and stock with it, we would recommend growth investing, don’t mix it with some speculative stocks, some value investing and may some day trading for quick pop here and there. By mixing all these styles, you will just dilute your focus and dilute your result.
So pick a style and go with it. You will develop an experience and you will begin to recognize the better names and understand when to buy and when to sell them.
Mistake 2 :- Using so many sources for investing information
you should know all stocks are not equally created. Be aware of what they are really saying. Never buy a stock just because someone in media recommended it “pay no attention to parade of professional fund managers”. You have to do one thing , just watch the financial channels to get some basic news on what moving the market, but never watch for stock tips.
Mistake 3 :- Cluttering up your investing with layers of complexity
you know the saying: keep it simple stupid. But there are lot of people out there who seem to think they sound smarter by throwing around a lot of fancy sounding investing jargons centre around the “technical “or put simply, the price and volume movements of stock. You have to use tools. Chart is one of the best tool for stocks and it is effective. There really are only a few basic elements you need to understand we are here to help you with that at simple growth investing.
Mistake 4 :- Owing too many individual stocks
Ever notice how some individual investor have dozen of individual stocks in their portfolio. By limiting yourself to just a harmful of individual stocks you can easily have some key facts at your fingertips such as the date by holding only a few stocks at time its much easier to keep up with development that could have a big effect on the price.
Mistake 5 :- Believing that “ sell” is a dirty word
You don’t need to told that “WARREN BUFFETT” is one of the most amazingly successful investor in history. He is developed a phenomenal system that’s resulted in making billions of dollars in the stock market. For the individual investor, there is nothing wrong with selling as you see market weakness and simply parking your money in cash for parking your money in cash for a while, months if necessary.
Mistake 6 :- Fighting the Market Trend
This one goes along with the idea of selling. When the market is trending higher, it’s right time to be looking for stocks making fresh run-ups. Buy in an uptrend, be how do you know the general trend of the market? It’s pretty simple to determine, by watching whether or not the major indexes are moving up or down over the courses of several days or week, you also have to check trading volume on days when the indexes make significant moves. Because the majority of stocks move in same direction as general market, it’s absolutely crucial time you’re buying and selling to the way the indexes are trending.
Mistake 7 :- Not expecting to make mistakes and not fixing it quickly
Even the best investor make mistakes in the market, may be you buy a stock that doesn’t really have the kind of fundamental and technical strength that normally precedes a big uptrend. May be you bought a stock without a stock without noticing that it was due to report earnings the next day. Then bam! The report is disappointing and the stock slumps 15% in one fell swoop. Or may be in one fell swoop. Or may be industry events or economic events unfold that neither you nor anyone else could have anticipated.
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