To be a successful trader, a person needs to face up to the below mentioned psychological obstacles and master his own mind. Without resolving these issues success in trading is inevitable. 1 Greed, the urge to make as much money as possible, and fear that he will lose it all. 2 Low confidence in himself or… Read More »
Movements in equity prices are driven by many factors, such as the economy, government policy, earnings, interest rates and valuation. But we think tactical moves (<3 months) are often better explained by sentiment, positioning and technical. While macro, policy and valuations matter, sentiment has worked well in recent years as a contrarian tool to identify… Read More »
Hope in reality is the worst of all evils because it prolongs the torments of man…Friedrich Nietzsche Take an old pair of jeans and cut a hole in one of the pockets. Now, start pouring sand into that pocket. What happens? Sand runs down your leg and to the ground. What do you do? Keep… Read More »
Human Emotions plays vital role in trading success and failure. Emotional trader can never be able to trade profitably as An emotional trader is likely to act impulsively and make trading errors. Emotions of Greed can come when you are in good profits instead of booking you get overpowered by your emotion and move away… Read More »
During my interaction with traders during my trading course,I came to know most of traders who loose money will keep changing their trading system the day it give them a loss. Till its milking money traders stick to it, but if 2-3 trades goes wrong they will keep the trading system on back burner and… Read More »
by Van K. Tharp, Ph.D. One of the best article read in recent times, sharing with the readers. In my work with traders and investors I believe the most significant work that anyone can do to increase market returns is self work. Really understanding yourself and how you think can give you an edge that… Read More »
Its Febuary and People will be rushing to Buy Mutual Funds so as to save Rs 1 Lakh, Please go through the tricks the MF sellers might use to lure you. Consider fund ‘X’, which was one of the worst-performing funds from the markets’ January 2008 peak to their March 2009 bottom. During this period,… Read More »
Today we will start discussion on widespread misconception that are floating around the trading community and gets lodged into traders minds. I have been talking to many traders every week, during our talks the misconception will finally come up. A lot of these are inaccurate and ineffective ideas,which lead traders into a cycle of bad… Read More »
How to make money trading stocks/Commodities (a) Identify the reason for the trade (b) A Stop Loss (c) A profit target or trailing stop mechanism (d) The point at which you accept that the trade is not working even if the stop did not hit. (e) Number of shares / contracts that you will hold.… Read More »
Interesting Article complied from en.wikipedia.org/wiki/List_of_trading_losses #10 Under the leadership of CEO Heinz Schimmelbusch, German metals and engineering giant Metallgellschaft was on the brink of bankruptcy after losing $1.3 billion on speculative bets. The firm bet on an increase in oil prices in oil futures markets, but oil prices dropped instead. Full Article #9 Robert Citron lost $1.7 billion for Orange… Read More »