Thursday, November 1, 2007

Earning money consistently from stock market required lots of knowledge, patience & experience. Without having proper information about Stock, one’s invested capital may be lost in quick time.

  • There are so many technical analysists who provide share & stocks tips on Investment, Day Trading. But one must take care before trying out.
  • It would be good for every new investor to know Fundamentals of a Company before investment. Otherwise, investors may burn their fingers in Stock Market.

Following important points may be considered before investment/trading in Stock Market to minimize risk:-

  • Don’t but any stock because it is low priced.
  • Find out intrinsic value of stock through fundamental analysis.
  • Follow Quarter-by-Quarter results, at least for last three quarters.
  • Look for higher EPS (Earning per share) scrip.
  • Always keep a reasonable stop loss.
  • Try to diversify investment instead of investing in one scrip.
  • Always buy in Crash, Panic Selling & exit in Hype, Rumors.
  • Buy or investment for longer period.
  • Best way to invest is to invest in small quantity regularly.
  • Avoid Speculation Buy or Sell.

Disclaimer : Any action you choose to take in the markets is totally your own responsibility. I will not be liable for any, direct or indirect, consequential or incidental damages or loss arising out of the use of this information.