How To Trade Stocks Without Emotions(12)

Rules and mistakes:


2) Buy strong stocks when they are down.

Do not buy them when they have some negative news or the sector has some problem.

Don't buy when the breakout is in doubt.


3) If good part of portfolio is down don't keep another losing position.

Such situation might be because the market is not healthy.

Also don't get into a stock without following it even if it is a new high or breakout.



By Jay Deb

How To Trade Stocks Without Emotions(11)

Rules and mistakes:

1) If day trading, close the trade same day unless it is strongly on plus side.

All the major losses for this year has come from keeping a day trade in loss.

I lost about $25000 from day trading AMZN and NSOL and keeping them.

Another big loss was on day trading RCNC of $8000.

Now I am having a loss of $10000 from HWP.

I initially wanted to day trade on it. Then I changed my mind and kept it.

There was a rumor of bad news on HWP and I ignored that.

A stock with bad news can go down any length.

Same about a stock with sector trouble.

As of now I have about $33000 loss this year from day trading and a net profit of a mere $25000.

Best is to avoid day trading all together.

By Jay Deb