Connect with us

Business

2 Tips For Investing In The Stock Market

2 Tips For Investing In The Stock Market

The investor’s game takes you through a wide range of human emotions. Learning how to embrace and release fear, greed and hope, can help you stand out from the investing crowd.

Most stock investors allow their emotions to rule their actions. Greedy pigs hold onto stocks long after the stocks have topped out and suffer through sharp corrections. Hopeful investors refuse to sell after a stock has tanked for good and fearful investors rarely make any money as they panic and sell out just when their winning stock starts its ascent.

Cut Your Losses Quickly and Let Your Winners Ride

Learn how to cut your stock market losses quickly. Some investors suggest cutting losses when the price drops 8% to 10% below cost if you’re investing in fast-moving growth stocks.  Lose the idea of being hopeful or optimistic when your investment tanks quickly. Whether your stock drops 10% in hours, days, weeks or months after your purchase consider selling the stock immediately to prevent future massive losses.

2 Tips For Investing In The Stock Market

Practice letting your winners ride to maximize your profits. If a stock is up 20% or 25% from your purchase price consider taking some profits and allowing your investment to appreciate. Let the stock perform well to see the greatest returns. Don’t fear losing out on profits by quickly selling out when you’ve seen a quick 10% uptick. Don’t get greedy when you’re up 30% and refuse to take any profits. Simply set up a hard and fast rule that you’ll take some profits at the 20% mark but that you’ll let the stock value increase unless you see highly irregular behavior like a sudden dip or perhaps a 200% increase in hours due to some big development within the company or industry.

Practice Emotional Control

The stock market is ruled by a mix of fear, greed and hope. Fearful people sell out quick when their stock experiences a minor correction. Fearful people also hold on to a tanking stock in a nose dive because they fear missing out on a potentially prospering opportunity when they should sell immediately.

The market is ruled by greed when a large group of investors hold onto a stock through its meteoric rise when they should be selling in small lots to take a profit. Eventually, most of these high fliers fueled by greed crash outright or simply take a 50% or 100% correction which terrifies greedy bloggers.

Hopeful people hold stocks that drop 50%, 100% or more within a period of weeks or months. Even though the fundamentals of the company are terrible and the stock’s technical aspects signal a losing investment people who hope too much either go broke or their portfolio takes a serious hit.

Practice emotional discipline to see the greatest investment success. Disciplined investors are fearful when most investors are eternally hopeful or disgustingly greedy. Disciplined investors are hopeful when most in the stock market are fearful.  Learn how to spot fear, greed and hope in both yourself and in the collective consciousness of the stock market to maximize your profits.

Serious investors should visit http://www.trendsinvesting.com/trend-search to increase their earnings potential.

Continue Reading

Recent Posts

Tech6 hours ago

TheWiSpy Best Spyware for Android in 2020

Are you trying to find the ideal mobile phone spyware program for this year? We have the one for you!...

Lifestyle6 hours ago

Garden Shed Buying Guide

Are you searching for the best and attractive solution for storing the extra items of the house? Do you also...

6 Most Common Gynaecology Surgeries and Procedures 6 Most Common Gynaecology Surgeries and Procedures
Health1 day ago

6 Most Common Gynaecology Surgeries and Procedures

Have you been advised by your Singapore gynaecologist that to further examine a GYN problem, you need a procedure?  You...

3 Keys if You Want to Look Better 3 Keys if You Want to Look Better
Health5 days ago

3 Keys If You Want to Look Better

Are you generally happy with your look these days? In the event you said no, what steps can you take...

What Can You Do to Strengthen Your Business What Can You Do to Strengthen Your Business
Business5 days ago

What Can You Do to Strengthen Your Business?

Operating a business means you have a lot of weight on your shoulders to say the least. With that in...

Should You Buy Real Estate At The End Of 2020 Should You Buy Real Estate At The End Of 2020
Investments5 days ago

Should You Buy Real Estate At The End Of 2020

Experts analyzed the prospects and possible scenarios for the development of events. Residents of the US are warned about the...

How To Be A Confident Person How To Be A Confident Person
Life Hacks1 week ago

How To Be A Confident Person

Attractive, confident, funny, charismatic. These are some characteristics that define an alpha individual. While we all know what the goal...

Why Do Cats Get Diarrhea? Why Do Cats Get Diarrhea?
Pets1 week ago

Why Do Cats Get Diarrhea?

If you’re a pet owner, then you’ll know that one of the most common problems you need to deal with...

Common Reasons For Visiting An Orthopaedic Surgeon Common Reasons For Visiting An Orthopaedic Surgeon
Health2 weeks ago

Common Reasons For Visiting An Orthopaedic Surgeon

Have you suffered regular knee or back pain? Do you feel tired or stiff for a long time after resting...

Best Wholesale Beauty Product Suppliers In 2020 Best Wholesale Beauty Product Suppliers In 2020
Business2 weeks ago

Best Wholesale Beauty Product Suppliers In 2020

Beauty products include a range of goods that are used to care and enhance the appearance of your face, hair,...

Understanding The Benefits and Uses Of Reusable, Washable Breast Pads Understanding The Benefits and Uses Of Reusable, Washable Breast Pads
General3 weeks ago

Understanding The Benefits and Uses Of Reusable, Washable Breast Pads

Breast pads are every mother’s best friend post the delivery. They’ve been a lifeline for various reasons and from numerous...

Big Things A Digital Marketing Business Conducts Big Things A Digital Marketing Business Conducts
Tech3 weeks ago

Big Things A Digital Marketing Business Conducts

The customary word “ad” is defined as a communication procedure between the group of onlookers and the imminent business moving...

International Shipping In A Global Pandemic International Shipping In A Global Pandemic
Business3 weeks ago

International Shipping In A Global Pandemic

The Covid-19 pandemic completely turned the world on its head, in more ways than one. Beyond the devastating medical challenges,...

8 Ways To Reduce Stoke Risk 8 Ways To Reduce Stoke Risk
Health3 weeks ago

8 Ways To Reduce Stoke Risk

Stroke is the fifth leading cause of death in the United States. To help you understand how severe and common...

Top Whey Protein Recipes To Lose Your Body Fat Top Whey Protein Recipes To Lose Your Body Fat
Lifestyle4 weeks ago

Top Whey Protein Recipes To Lose Your Body Fat

Losing weight and keeping the kilos off is not an easy thing to do. Everything from what you consume to...

Categories

Archives

Trending