Always research well before investing. Study about the company and closely look into its quarterly and yearly results, other fundamental parameters like P/E, EPS and other ratios before investing.
Check the stock’s current technical trend, especially if you are investing for a short period. Even if company fundamentals are good and stock is still in multi-months low, that means something is negative.
Cutting losses are more important than taking profits. Both are part of the game. So cut losses as early as possible and hold on to winners.
Have patience. Don’t have unrealistic expectations. Don’t take it as gambling. It is impossible to become rich overnight. Keep a good portfolio and be confident.
Don’t over trade and have a clear idea on the brokerages and other charges. If you over trade, these charges will neutralize most of your profits.
Don’t invest blindly on free tips or recommendations. Even if you want to invest based on tips from a reliable source, study about the company well before investing.
Don’t follow the crowd and don’t try to time the market. Have a clear idea of what you are doing and hold on to it. Success will be yours.
Happy Trading.