Wednesday, 15 June 2016

How to save yourself from losing in the stock market?

The market is on a range of 7200 - 7600 level, the next possible resistance is at 7800 level that keeps our heart beating fast especially if you are day trading. There is always a chance of gaining good amount and losing at the same time. The Du30 presidency push a positive index and trust by the investors in our economy for the next 6 years. The FED rates stability policy to be on sideways add the positive momentum.




The main question, I keep receiving from newbies: How to save yourself from losing in the stock market?

Let me try to answer this question based from my experience.

First, Excitement. If a friend will show his portfolio in a green mode, you will be convinced that "There is a big bucks on Trading", on the other hand, the loss is big before he achieved that green port. It will take time to master a specific strategy and start earning a good amount. Newbies beware not everyone will show their true portfolios, usually the loss will be at the back of green portfolios.

Second, No valid reasons for buying a stock. You don't know what you are doing, sometimes you will buy a stock based on forums hype or recommendations from experts. Consider your hard earned money for future of your family, usually financial advisors recommend to invest only the extras. Check if you are willing to lose that extra, but double check the reasons why you are investing or trading.

Third, Do your own research for a specific stock. Invest by heart, you don't buy a stock because it's going up. You are buying because of knowledge and research you've done that whether short term or long term you will have a returns or green portfolio.

Fourth, Keep on guard. News are very important in this field. After you bought a stock, have an alert about any news that could affect the price movement or fundamentals of the company. This is one reason why many newbies get "IPIT", too late to get out and get in.

Fifth, Don't read a chart. If you don't know how to analyze a trend, charts, patterns then there is no reason to follow a recommendation. Learn it by yourself and do your own analysis after learning.

I'm looking for your financial freedom thru investing in the stock market.

Sincerely yours,

Jonathan Ruiz
NEWBIE Mentor

P.S. If you are looking for an app in the stock market, here is the link:
https://play.google.com/store/apps/details?id=com.athanruiz.pam&hl=en

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