Ten rules to remember when trading stocks.
The purpose of trading stocks is to make money, whether it is a bull market or a bear market, remember these "ten rules of trading stocks" and guarantee profits without losses:
1. Follow the market trend, do not follow others.
People who truly understand stock trading will not follow others. Otherwise, you will appear very passive. Follow others to buy stocks, but they may be able to anticipate when they will lose money and sell in time. You, on the other hand, do not know and can only trade stocks blindly. It's strange if you don't lose money.
2. Do not trade frequently.
Many people bought a stock, but after two or three days, they found that the stock did not rise. Impatient, they sold the stock. Then they bought the stock again, and so on, engaging in frequent trading. However, Jiafeng Ruide's financial planner wants to remind everyone that frequent trading not only may not make money, but also incurs a lot of commission fees.
3. Put the eggs in different baskets.
The stock market is risky, which I believe everyone knows. But many people want to take a gamble and hope to make more money. However, remember that it is best to put eggs in different baskets to diversify risk. It is recommended to initially purchase 3-5 stocks, then eliminate the inferior ones and select the high-quality ones. You can also pay attention to some investment products indirectly involved in the stock market, such as preferred increment funds, which can also achieve relatively high returns.
4. Do not purchase too many stocks.
When many people choose stocks, they see a stock that has risen and buy it. Over time, they end up holding dozens of stocks, which causes their attention to be scattered. They have to deal with the market fluctuation of dozens of stocks every day, which makes it difficult for them to focus and easily miss important information.
5. Do not hesitate when selling stocks.
Many people hesitate when selling stocks. They may already feel that the market of a certain stock is showing a lot of momentum, and there may even be losses, but they still believe that it is impossible for the stock to fall, and it may even rise. They hesitate and are indecisive about whether to sell. But you should know that maybe while you hesitate, your stock has already fallen to the bottom.
1. Follow the market trend, do not follow others.
People who truly understand stock trading will not follow others. Otherwise, you will appear very passive. Follow others to buy stocks, but they may be able to anticipate when they will lose money and sell in time. You, on the other hand, do not know and can only trade stocks blindly. It's strange if you don't lose money.
2. Do not trade frequently.
Many people bought a stock, but after two or three days, they found that the stock did not rise. Impatient, they sold the stock. Then they bought the stock again, and so on, engaging in frequent trading. However, Jiafeng Ruide's financial planner wants to remind everyone that frequent trading not only may not make money, but also incurs a lot of commission fees.
3. Put the eggs in different baskets.
The stock market is risky, which I believe everyone knows. But many people want to take a gamble and hope to make more money. However, remember that it is best to put eggs in different baskets to diversify risk. It is recommended to initially purchase 3-5 stocks, then eliminate the inferior ones and select the high-quality ones. You can also pay attention to some investment products indirectly involved in the stock market, such as preferred increment funds, which can also achieve relatively high returns.
4. Do not purchase too many stocks.
When many people choose stocks, they see a stock that has risen and buy it. Over time, they end up holding dozens of stocks, which causes their attention to be scattered. They have to deal with the market fluctuation of dozens of stocks every day, which makes it difficult for them to focus and easily miss important information.
5. Do not hesitate when selling stocks.
Many people hesitate when selling stocks. They may already feel that the market of a certain stock is showing a lot of momentum, and there may even be losses, but they still believe that it is impossible for the stock to fall, and it may even rise. They hesitate and are indecisive about whether to sell. But you should know that maybe while you hesitate, your stock has already fallen to the bottom.
6. Take profits when things go well, and try to protect the principal as much as possible.
Take profit when the stock price is good. For example, if you bought 2,000 shares at $20 per share, and now the stock price has risen to $30 per share, you have already earned a profit of $20,000. If this stock has no further increase in price, or even a slight decline, Jiafeng Ruitai's financial planner suggests that you take profit and try to preserve your investment principal.
7. Set a stop loss point.
If the stock incurs losses, be sure to set a good stop loss point. Don't let losses “fall in love”. Stop loss is much more important than profits, and preserving capital is always the top priority.
8. Do not buy problematic stocks.
When buying stocks, check their fundamentals and see if there are any concerns, especially key indicators, to prevent sudden changes in the fundamentals. Therefore, be cautious about entering when the fundamentals are not good, and stay alert at all times.
9. Treat rumors and insider information as references.
In the stock market, there are often authoritative figures who conduct stock market analysis and predictions, which many stock investors like to listen to. Although listening to expert analysis of the stock market situation has a certain effect, financial planners suggest that you take expert advice as a reference, but do not fully believe in so-called rumors and insider information, as they may be "smoke bombs" released by others.
10. Consider selling after gaining 20%.
Not all stocks will continue to rise, some growth stocks can be considered for selling after gaining 20%. Investing this way four times, even if one is correct, will not result in losses.
In a bull market, remember the above 'Top Ten Rules for Stock Trading' to ensure you profit without loss. In addition, Jiafeng Ruidi financial planner suggests that investors who do not understand the stock market should not blindly follow investment trends. It is better to allocate some low-risk products, such as stable profit selected funds or fixed-income products with an annual return of around 10%, such as Yishengbao, which also have good returns. For those who are good at trading stocks, they need to constantly summarize experiences and lessons, accurately grasp the form of the stock market, keep up with the rhythm of the stock market operation, and truly become winners in the stock market.
Take profit when the stock price is good. For example, if you bought 2,000 shares at $20 per share, and now the stock price has risen to $30 per share, you have already earned a profit of $20,000. If this stock has no further increase in price, or even a slight decline, Jiafeng Ruitai's financial planner suggests that you take profit and try to preserve your investment principal.
7. Set a stop loss point.
If the stock incurs losses, be sure to set a good stop loss point. Don't let losses “fall in love”. Stop loss is much more important than profits, and preserving capital is always the top priority.
8. Do not buy problematic stocks.
When buying stocks, check their fundamentals and see if there are any concerns, especially key indicators, to prevent sudden changes in the fundamentals. Therefore, be cautious about entering when the fundamentals are not good, and stay alert at all times.
9. Treat rumors and insider information as references.
In the stock market, there are often authoritative figures who conduct stock market analysis and predictions, which many stock investors like to listen to. Although listening to expert analysis of the stock market situation has a certain effect, financial planners suggest that you take expert advice as a reference, but do not fully believe in so-called rumors and insider information, as they may be "smoke bombs" released by others.
10. Consider selling after gaining 20%.
Not all stocks will continue to rise, some growth stocks can be considered for selling after gaining 20%. Investing this way four times, even if one is correct, will not result in losses.
In a bull market, remember the above 'Top Ten Rules for Stock Trading' to ensure you profit without loss. In addition, Jiafeng Ruidi financial planner suggests that investors who do not understand the stock market should not blindly follow investment trends. It is better to allocate some low-risk products, such as stable profit selected funds or fixed-income products with an annual return of around 10%, such as Yishengbao, which also have good returns. For those who are good at trading stocks, they need to constantly summarize experiences and lessons, accurately grasp the form of the stock market, keep up with the rhythm of the stock market operation, and truly become winners in the stock market.
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only.
Read more
Comment
Sign in to post a comment
晚风吹 OP : If you are in doubt, you can leave a message in the comment area, or you can trust me privately! Here I wish you all the stock market Changhong!