Dangerous mistakes Needs To Avoid In Share Market

Many people think making money in stock market is very easy and simple but over 90% of traders, investors lose some or all their money in share market. Beginners of the stock market always think I will buy the stock @ xxx and then I will sell that @ xxx that’s all, they do this without any knowledge of market condition and trend at last they end with loses. It is one of the many reasons why traders lose money in share market. Specially retail small investor and traders are not the one who is making money in the stock market? And the reason is –

(1) Attachment to money. (2) Under capitalization. (3) They are among the last few people to enter into the Bull Run. (4) He keeps on changing a single stock. (5) Never put the Stop Loss in the System. (6) Always the first one to exit from stock which are in Bull Run, with minimum profit. (7) Don’t have a Habit of trading by Robotics mechanism. (8) By doing the emotional Trading, Holding the positions in Loss and cutting down the positions early in profit. (9) Lack of home work before entering in a stock. (10) Lack of resources about the movements and news which affects the Stock market. (11) Too much greed from a single Stock. (12) Day dreaming in stock market also makes him suffer huge losses. (13) Never traded with the trend of the market. (13) Fear in going shorts in stock. (14) Was not able to stay away from the market when it is sideways. (15) Didn’t invested money in sectors which are outperforming the Index. (16) Listening to rumors and investing money there. (17) Unwillingness to accept you are wrong.

Change your habits and trading style like professional traders and inverters in case you want to make money in stock market first think you have to do is keep yourself away from rumors you can get trapped very badly any time in the market because of this. Here are few qualities of good trader or investors witch is required for making money in the stock market.

Understand the true realities of the markets. (2) Keep Losses Small. (3) Be responsible for your own trading destiny. (4) Trade with trend not against trend. (5) Write Down Every Trade. (6) Never Average Down a Losing Position. (7) Never do Over trading for covering your losses or for making big profits.