5 Common Mistakes to Avoid in the Share Market
5 Common Mistakes to Avoid in the Share
Market
- Lack of
Research: Many
investors buy stocks based on tips or rumors without understanding the company.
Always research the business before investing.
- Emotional
Trading: Buying
in fear or selling in panic can lead to poor decisions. Emotions should never
guide your trades – logic and analysis should.
- No Stop Loss: Not using a stop-loss means you could lose a lot if the stock price falls suddenly. Always set a limit to protect your capital.
- Overtrading: Trading too frequently without a clear plan can lead to heavy losses. Patience and discipline are key in the market.
- Ignoring Risk Management: Putting all your money into one stock is risky. Diversify your investment to reduce the impact of loss from any single stock.
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