Rules

20 Simple Rules

  • Trade with trend not with hope.
  • Don’t do overtrading.
  • Don’t add on loosing positions. Reverse averaging are mostly lose making.
  • Don’t search for top and bottom. Search for Trend reversal, Break-out & Break-down levels.
  • Looses are part of trading, don’t worry about that. What really matter overall profit.
  • Diversification is simplest and most effective tool for traders and investors.
  • Don’t exit in panic and don’t buy in excitement.
  • Don’t hold too many positions. Diversify but not over-diversify.
  • If trend is not clear, don’t trade.
  • Don’t trade on invest on borrowed money. Only invest what you have and what you can lose without any big financial problem.
  • Don’t follow rumors and news. Only follow genuine analysis with reasons.
  • Withdraw some profit every month.
  • Never Lose more than 2% of you capital in 1 trade or Investment.
  • Plan your investment first before taking any positions.
  • Trade / Invest in active, fundamentally strong companies only. 
  • Don’t change your plan if market or scrip is moving on right track.
  • In Trading, timing is more important than time. In Investing, Time is more important than timing.
  • In trading, Check News & Technical’s, In Investment check Fundamentals and economy conditions.
  • Buy what is rising and sell what is declining, it works 70%.
  • Don’t love your stocks, love your money