Trading Rules

 

• Always Trade with a STOP loss 
• Chose Carefully before selecting a Share of low price
• Try to take profit at regular interval
• Don't Buy or Sell on rumours
• Check for Reasonable profit amount before selling shares
• Chose carefully to Sell a Stock if its highly priced
• Never buy a stock to get dividend
• Always divide your risk in 10 equal parts
• Never follow crowd and always trade with the trend
• Be in your limit and use the right orders only

 

Golden Rules

• Don't buy unlisted shares
• Don't buy inactive shares
• Don't buy shares in closely held companies
• Keep Educating yourself
• Rebalance your portfolio
• Buy When Others Sell and Sell When Others Buy
• Value Stock Based On Future Growth, Not Past Growth
• Give Investments Time
• Automate Trading
• Select a company with high sales and a long term growth rate
• Compare profit of company with Net worth before buying shares
• Consider Price to Earning ratio and dividend yield
• Cheap stocks can be expensive and high price stocks have better value
• Invest in IPO carefully
• Set loss limits and stick to them
• Don't under or over diversify
• Long term investment is always a better choice.

 

Mistakes To Avoid.

• Don't be overconfident and put aside your emotions.
• Don't set an amount you can afford to lose
• Trading without planning
• Falling in love with your Stocks
• Changing plan during market hours and not following your strategies
• Trading Blindly on friends and relatives suggestions