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What is your goal?

+5
CSE.SAS
Kithsiri
hariesha
sriranga
Asoka Samarakone
9 posters

Go down  Message [Page 1 of 1]

1What is your goal? Empty What is your goal? Mon Dec 12, 2011 8:14 pm

Asoka Samarakone


Expert
Expert

What is your goal?


If you want to learn more about the stock market you should start by asking yourself how you view the stock market and what you plan on doing there. Different people have different objectives, but it is important to realize what your objectives really are before you start investing money. Otherwise you might end up making unwise decisions that do not serve your goals. Stock market doesn't care who you are and it's certainly not there to help you. So expect no mercy from it; in fact, think of it as something that is there to take away your money, unless you take steps to protect yourself.

How many people actually earn money in the stock market? How many poor people lose money in stocks? The stock market can be a great place to make money; it can also be a great place to lose money. Don't just invest in something without completely thinking it over. Invest in good stocks. Don’t follow any one blindly. Finding the stock portfolio that best fits you for the capital that you are willing to spend will truly help you out in the long run. Stock market is a Daily Motivator for those people who understand the value of staying positively focused on a day-to-day basis, and who also understand the value of investing in their own personal development.
Slow down and think before acting. Sadly, today for most people performance is merely about completing the task fast and not achieving the best results. For some people knowing or thinking before acting is perceived to be a waste of time.’ Wasting' time to achieve better results is not bad at all and in fact is the right thing to do.

As we all know that any investment is not free from risk. Making profits in shares is not in your hands, but avoiding mistakes is definitely up to you. As long as you can get rid of certain mistakes, you can enjoy trading smoothly and have benefits in the end. No trader can flee from making a mistake. You may be very well-versed or experienced; still you will go wrong at some point or the other. It’s just that you need to be careful about not repeating your mistakes.

Everything that goes up comes down. So is the story with the share market. Boom and bust are two things that appear with great regularity in share markets. In bull phases share market records a great gain. Bull phases in share markets are often followed by a stock market crash. Often we hear a number of stories on how share prices doubled in a couple of weeks and investors made handsome profits. Every one starts talking about a great rally in the making. Over priced stocks is the first indicator of an impending stock market crash.

Buying stock in a company is relatively easy once you've researched the stocks you're interested in. But selling we need to think lot, at any time over decision will be right or wrong. So at the time of selling the stock keep in mind following points. Consider selling if the price has dropped substantially or remained stagnant for several months.
Think about selling if the price has risen to or beyond a target that you established when you bought the stock. Even if the stock price is sluggish or, for that matter, has hit new highs, you might want to hang on to the stock if fundamentals remain sound and growth prospects look good.

You must learn to sell - for two reasons. First to protect your initial purchase and second to keep from giving back profits you have made. The secret is an exit strategy: knowing when to sell. Unless you learn to sell you will not be successful in the market. Selling is the great secret you will never hear from any one.
Every trader is going to go through times of being right and being wrong. People are most afraid when they encounter novel and unforeseen situations, Successful trading is about damage control when you’re wrong and pressing it when you’re right.
As a successful trader, you must control your emotions. The first half-hour of the trading day is driven by emotion, affected by overnight movements and hangover of the previous day's trading. Most experienced traders simply watch the markets for the first half of the day for intraday patterns and any subsequent trading breakouts.

Do not to panic if the value of the shares comes down rapidly. It is not advisable to sell them to avoid further plunge. A strong constant fact about the share market is that it is subject to ups and downs. The price of the shares would rise all of a sudden, and selling would only make it difficult to recoup your portfolio to meet your financial goals. Successful trading is about managing trades once you are in them, regardless of where they came from. A great trader could probably turn a profit taking random trades, as long as he manages them well.

Don’t buy all the stock at one time, buy a small amount at first and see what happens. Spread out your buying time over days or weeks. Practice with using small amounts. That way you will be able to see how to play the stock market without losing If it goes down a little, buy some more. If it goes down a lot, you may want to get out limiting your losses. In this market, you can make a lot and/or lose a lot of money very quickly. Invest in more than one or two stocks so that lose in one stock can recover from the profit in another one. Buy stocks that you will feel comfortable holding. Resist the temptation to dump a stock the moment its price drops a few points. Give it a chance.
Great success does not require hard physical labor. In fact, you need to do mental work. You should have a specific goal. You have to be sure that you really want to achieve your goal. You need to have a clear mental image of your goal. You need a strong desire. You need to disregard and reject doubts and thoughts about failure. Show confidence and faith and persevere until you gain success

Trading is intrinsically motivating. Its fun and exciting, Learn how to budget your money and to spend your earnings wisely. You must decide how much you are willing to risk before you buy. Set your goals based on your financial position and a stock-picking strategy. Buy stocks that you will feel comfortable holding. Invest in what you know and produce profits... if you know where to invest. No matter what you hear in the news take comfort in knowing you’re still able to profit during these events.

By
Asoka Samarakone

2What is your goal? Empty Re: What is your goal? Mon Dec 12, 2011 8:26 pm

sriranga

sriranga
Co-Admin

Good one.
Really appreciate your contribution.
Thanks a lot.
Keep it up.

http://sharemarket-srilanka.blogspot.co.uk/

3What is your goal? Empty Re: What is your goal? Mon Dec 12, 2011 10:31 pm

hariesha


Vice President - Equity Analytics
Vice President - Equity Analytics

Really Interesting. Thanks.

4What is your goal? Empty Re: What is your goal? Mon Dec 12, 2011 11:02 pm

Kithsiri

Kithsiri
Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics

Good stuff and keep them coming regularly. Very Happy

5What is your goal? Empty Re: What is your goal? Wed Dec 14, 2011 5:50 am

CSE.SAS

CSE.SAS
Global Moderator

Good work..keep writing

6What is your goal? Empty Re: What is your goal? Wed Dec 14, 2011 11:54 am

Trillionaire

Trillionaire
Manager - Equity Analytics
Manager - Equity Analytics

Good post! Learned something from it! Thank you!

7What is your goal? Empty Re: What is your goal? Wed Dec 14, 2011 11:58 am

Kumar

Kumar
Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics

Good one. Keep it up.
Thanks for posting.
Good luck.

8What is your goal? Empty Re: What is your goal? Wed Dec 14, 2011 5:44 pm

tanzanite

tanzanite
Senior Equity Analytic
Senior Equity Analytic

Thank u very much for your thoughts and advice. It was well written.

9What is your goal? Empty Re: What is your goal? Wed Dec 14, 2011 5:55 pm

bakapandithaya

bakapandithaya
Vice President - Equity Analytics
Vice President - Equity Analytics

very good article. good for everyone. Thnkx

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