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Important Stock Market
Rules
Every day there are a dozen new HOT stock
market tips that guarantee your financial success. Every day there are
hundreds if not thousands of people that jump on the bandwagon, and
every day, each of those people are disappointed.
When it comes to popular stock market tips, there is no golden ticket to
striking it rich. So I'm going to show you how to make your own HOT
guidelines that will ensure you stay on the right course-the one that
leads to success.
Stock Market Rule #1: Play Your Game
Develop a set of rules that you can follow. Whether they include some of
the tips in this article or are strategies you've always lived by, STICK
WITH THEM. An inconsistent, but more importantly an undisciplined trader
will never make a profit. Chasing stock market tips won't make you
money. Your rules are your money. Again, there will always be hot stock
market tips that ensure success, but if you continue to whole-heartedly
practice your own tips, you'll see profits in no time.
Stock Market Rule #2: Control Your Risk
There are many adventurous traders out there…and those are the ones that
loose their fortunes. If you always look out to protect your capital
base you'll ensure your financial safety. Now one of the most important
stock market tips I can give you is to continue to let that capital base
grow. That way, even if all of your investments fail, you won't be
jeopardizing your previous profits. As a general stock market tip, never
risk more than 3% of your portfolio on any one trade.
Stock Market Rule #3: The High Road in Cutting Your Losses
Things happen. People lose money…LOT'S of money. So don't be one of
them. Basically this stock market tip means don't be stupid. If one of
your investments turns sour don't stick around hoping it will right
itself. Have a set target loss percentage where you can cut and run.
Again, it's about being disciplined, remember? Set it no higher than 15%
of your opt in, and you'll have a save exit with every trade.
Stock Market Rule #4: The Sky's the Limit
In contrast to Stock Market Tip #3, if a stock is rising beyond belief,
don't jump out in fear of it suddenly falling back to reality. Instead,
ride it out as long as humanly possible. This is how the biggest and
most talked about gains are made-this is how FORTUNES are made. This
stock market tip will ensure that you give yourself the best chance
possible of striking that gold mine. Now if the stock does in fact start
to fall, go ahead and opt out. It'll be worth more to you to risk that
little loss in the end for that huge gain you'll make.
Stock Market Rule #5: Back to School
You know the saying, “Learn one new thing every day?” Do it. Seriously.
Our stock market is ever-changing, diversifying, and adjusting, and YOU
need to do your homework. It takes a lot to stay on top of it all. So if
you come across something that you're not familiar with just look it up.
If you think you know it all…go LOOK for something. One of the easiest
ways to accomplish this stock market tip is to know all of the trading
vocabulary. That's also the easiest way to ensure you're prepared to
take on any obstacle that comes your way.
Stock Market Rule #6: How to Bring Your “A” Game
Stock market trading isn't only about successful financial advancements.
Well actually it is, but you're not going to be able to do that every
day if you don't have the emotional strength to pull it off. This stuff
is supposed to be fun. If you're not at your best psychologically,
you're not going to be focused, you'll make poor judgments, and most
importantly you won't make money. Just think about the meaning of this
stock market tip. If you're enjoying yourself, it's no longer work, so
you are free to “work” in a mentality that will, in fact, play to your
strengths…and wallet.
Stock Market Rule #7: Staying Above the Curve
You don't have to make a fortune with every trade you make. You don't
have to become a millionaire at the end of every trading day. Here's
stock market rule #7: You won't. The people that shoot for that glory
every day are the ones that are losing fortunes, not making them. What
you need to do is play above the curve. Don't be average, but don't be
extraordinary. Extraordinary has WAY too many risks to worry about.
Fortunes are made gradually. It takes discipline and
consistency…something the “average” trader lacks. |
