Understand what you are buying

The market is always unpredictable. TA might not work when there are sudden macroeconomic factors at play. There will be times when the market plunges and we need to be prepared for such scenarios.

If you understand what you buy - the fundamentals of the company - you are less likely to panic when it dips and will even see it as an opportunity to buy more.

If you do not understand what you buy, you will be at a loss of what to do. Do you cut loss? Do you average down?

By understanding the fundamentals of what you buy, your mental state and actions will be more rational during dips and you are less likely to make emotional decisions you regret.