Hot Topic "STOCK MARKET"

Stock Market is now-a-days are like a political party. Everybody has something to say about it. Today's world condition and spread of COVID-19 in all over the world has made stock market a CASINO. Only God knows what will happen next. Market is very much under the influence of various external factors. In our country majority of the people loves to play casino and unfortunately loses their money. In reality, stock market represents the various aspects of the economy.

One's Expectations From The Stock Market?

When one  starts doing trading or investing in stock market. The person has a perception about it. The maximum amount one can loose is the total amount that person has used for trading and investment but there is no upper limit how much that person can earn. 

This cheesy thought attracts people towards market and they end up loosing their entire capital several times which became a reason for the destruction of their financial health. 

This section of people never earn money in market forget about making the wealth from it. Exceptionally, if they earn X amount they end up loosing 2X amount. In the end they blame market for every thing.

The other section of people who want's to learn, do analysis and then to invest in the market. The only problem is that they want to learn some Holy Grain setup but the thing like this doesn't exist in the market. This is the most common problem with all the newbies who are entering in the market. Any proprietary trading firm in the country doesn't have any holy grain setup. They may be having various strategies, algorithmic trading, semi-algorithmic trading for different conditions and events in the market. Stock Market is dynamic so that the strategies. It also required alternation with respect to the market and needs to evolve them.

How To Earn & What To Do In The Stock Market?

Firstly, the basic and the foremost thing you need to do is to survive in the market. By survival, I mean not to loose entire capital in stock market. The only possible way to do that is just to take stop loss. Before taking any trade or doing any investment you need to decide how much money you are going to loose on this trade or investment and prepare your mind for it. Never loose more than 2%of your entire capital in a single trade and never invest more than 10% of your capital in a stock. No matter how good the stock is you just need to follow this rule. This is the fundament rule of investment and especially to make wealth in the stock market.

Regarding the earning prospective from stock market, there are various segments like Cash & Derivatives Market . It allows us to do various forms of trading like futures trading, options trading, hedging, speculation and several others. This is not the correct platform to know completely about them. As it requires a lot of hard work and training. Many of the people don't want to do this they simply want to invest to generate some income and create their wealth by investing for long term in the market. To do that you just need to learn some few things:

1. Psychology

You just need to invest in businesses you personally feel has a growth and you understand various factors related to it. You should have faith in your investment. Track it on regular basis and keep updated yourself on the news related to your business. Never do panic buying and selling. Never invest your emergency savings in the market.

2. Money Management

If in the worst case scenario you loose 50% of the capital invested in a single stock. You just loose 5% of your total capital which you decided to invest in the market. Money Management is the only key to ride trend in the market and to make big money from market. It is always suggested to do staggered buying in the market. Never invest 100% of your capital at once.

3.  Defend The Capital

Stock Market is a place at the end where we can't control everything. The only thing we can control is how much money we have to loose in the market. Last but not the least luck also plays quite a significant role in the stock market. 

                         All The Best For Your Journey In The Stock Market.