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Tuesday, 10 November 2015

Easy ways to make more profit in stock market

Easy ways to make more profit in stock market
There are various ways in which the trader or the investor can approach the stock market. The trader can learn the technical analysis to anticipate the price movements. The technical analysis is a whole in-depth field in which the price and its momentum are studied. The price fluctuations of various stocks are plotted on the charts with one axis as the time axis. The scale of the time axis is user dependent and the user can view the chart with any time scale. For example the time scale can be 1 min, 5 min, 30 min, 1 hour or 1 day. There are many patterns which can be identified in the price movements. There are many patterns which are studied in the technical analysis. Head and Shoulder is an example of the pattern which is a reversal pattern.

The other way is to trade on the basis of news. The news based trading is an important way of the stock trading. The news has a positive and negative effect on the prices of the stock. Positive news will tend to increase the prices of the stock and negative news will make the prices of the stocks fall. The important point in news based trading is that the news should reach the trader at a proper time. The late news will have a reverse impact and will lead the trader to incur loss.

A yet another way of trading is to trade on the basis of self devised strategy. If the trader has a good strategy and good trading plan the chances of success in the trades become high. The advisory firm like Money Classic Research provides accurate stock market tips with proper stop loss based on technical analysis and above mentioned strategies. The concept of Risk Management and Wealth management are also very important in stock market trading. The concept of the risk management can be employed using the tools like stop loss. The stop loss is a tool which prevents the trader from incurring heavy loss. The stop loss gets triggered when the market moves in the opposite direction. The proper level of stop loss is also important for successful trading. The improper levels of stop loss may cause unnecessary loss to the trader. The stop loss levels should be neither too high nor too low. A very high stop loss will convert to a heavy loss if the trade moves in the opposite direction and a small stop loss will lead to losses by inherent fluctuation of the price levels.

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