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Friday, 28 August 2015

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6 things to avoid while Stock Market Trading

6 Things to Avoid while Stock Market Trading-money classic research
Stock Market is a lucrative source of Income for Many Traders. Many traders believe that they can extract good profits from stock market by following proper strategies. But many traders have also incurred heavy loss while trading in the stock and commodity market.  For new traders as well as experienced traders there are many things, which the trader should avoid. Some of them are described below:

1) The trader should not start trading directly in the beginning stage. In fact the trader should take a proper knowledge about the markets and the strategies involved.

2) The trader should not trade randomly without any strategy. The trader should form some strategy and then only jump in to the stock or the commodity market.

3) The trader should not start trading without verifying the strategy. The trader should paper trade on the strategy and then only should start trading in the market with real money.

4) The trader should not trade without using stop losses. The trader should use stop loss as it helps a trader to prevent from incurring heavy losses. Also the trader should keep proper stop loss levels for trading.

5) The trader should not panic while trading. If the trade goes in the opposite direction as expected the trader should keep his calm and should keep his emotions in control.

6) The trader should not trade too much. The trader should keep the emotions and greed in control and should try not to over trade.

Trading is no doubt a lucrative business but there are equal possibilities and risks of incurring losses also. Thus a proper knowledge about the facts and figures as well as the tactics for Share Market Trading should be acquired. An experienced trader will be able to tackle the thinks well and try to avoid difficult situations easily as compared to a novice and beginner trader. 

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