Posts Tagged ‘Stock trader’

Minimizing Stock Losses – What to Do?

Thursday, July 8th, 2010
Robin Hood statue in Nottingham
Image via Wikipedia

People often enter the stock market with a dream of making millions overnight; this is just a myth so snap out of it. Being a part of the stock market means dealing with risks of losing an investment on every step you take. You need to know when to enter and exit a trade if you want to minimize your stock losses. Opportunities keep on coming and going but you cannot put your money in every one of them; hunt for the big fish and once you catch it, sit back and relax for a while.
Minimizing stock losses means playing the trade game in the right manner. People often take it as gambling and trade just by assuming things feeling lucky; such people end up losing everything and finally get out of the market. You need to do careful calculations and have a plan behind every trade you make; if you find after calculations that a lot of risk is involved in a particular trade then don’t go for it. Don’t be stupid and act like Robin Hood that you can put everything on the line; remember, investing more then you can actually afford is not trading, it is gambling. When you look for stocks, find a company that has been successful for a long time and still is quiet stable and growing.
You can also hire a reputable stock market broker if you can easily afford one; it can be of great help in taking advice, suggestions, and knowing everything that is going on at all times in the market. You should be able to understand the level of risk that comes with every trade you think of making. Sometimes these are the fortune opportunities but again; do not trade blindly trusting your instincts. You need to analyze, check on the stock’s history, company’s history, and such things; if the calculations fit straight then do the trade.
Being frustrated and undisciplined makes people confront a lot of stock losses because they simply lose the ability to think and keep on making wrong trades. Always remember that even pros go through stock losses in the market, this is something that is a part of the game. You go through a stock loss, forget about it and focus on the next fish. You can even do stock trading from the comfort of your home being online since many people get confused in the environment of stock market. Stock losses cannot be avoided but can be minimized so be alert and remain in senses at all times while trading.

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Suicidal Stock Trading Mistakes – Some Highlighted Ones

Thursday, July 8th, 2010
NYSE's stock exchange traders floor before the...
Image via Wikipedia

There are a bunch of stock trading mistakes that can be said suicidal as they can make you lose a lot of investment in a short period of time. It might be a fact that may be you already know them or may be not but knowing about them prior to falling behind can save you a lot of money, grief, and time.
First thing which must keep within you mind as a stock trader is never to trade with the money that you cannot lose at any cost. This might sound stupid or rare to you but this mistake is being made by numerous stock market traders; it can be said as desperate trading too. You cannot put the money on trading that can get you out of the market if the trade goes down. Traders also make another common mistake of making trades without having any strong stock trading plan in mind. Just like no one can start off a business without a business plan if he or she wants success; same is the case with stock trading as well. You need to be creative, organized, maintained, and stay side by side with your trading plan no matter what. People in the stock market can spend an hour thinking what to eat in supper but do not spend even a few minutes planning on their next trade. You cannot just shoot from the hip, this is the stock market; not having plan means game over.
You should not at any cost keep unrealistic expectations. People who are new in the trading business can seriously end up facing a lot of frustration only because they were expecting something unrealistic. You might have seen people making stock trading look like a child’s play but they are professionals, they have years of experience and expertise, you are new and amateur; learn things. You cannot just day dream that tonight you will walk off with a million dollars.
Another suicidal mistake traders make is, not carefully understanding the risk involved in a particular trade. As a new trader, it is alright to go for small hits and not worry too much about risk but it cannot be ignored all the time. Even the most successful stock market players go through a chain of losses and so would you at some point; a wise move would be to understand the risk involved ahead of time.

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All You Need to Know about Stock Quotes

Tuesday, June 8th, 2010
NEW YORK - NOVEMBER 05:  A trader works on the...
Image by Getty Images via @daylife

Stock quotes can be simply summarized as a piece of information regarding the price of a stock at a certain or specific time. Stock quotes are basically denoted or displayed by decimals or fractions and show the most valuable piece of info regarding the stocks and also the significant changes that occur within the stock market as well. When the traders are about to execute trades, stock quotes come handy as they can be primary tool that can assist in their decision making. There are other derivatives as well for which these quotes are available such as forex currencies, options, futures and etc. There are various categories or groups in stock quotes as well such as real time stock quotes, delayed stock quotes, and historical stock quotes.

When a trader wants to know about certain stock market changes and price changes before a particular time period, he can make use of historical stock quotes. These are very helpful when it is about understanding stock trends periodically. There are stock quotes that portals, journals, various institutions, etc provide the traders with; these are usually free and are known as the delayed stock quotes. They are called delayed since they are 15 to 20 minutes late. The small scale traders along with several investors in the stock market make good use of these stock quotes. Then there are streaming stock quotes or live stock quotes generally known as real time stock quotes, these quotes have a delay but of less then a minute and are produced by trading systems in the market or other specialized quotes sites. There are traders who trade online and on daily basis; they use these stock quotes to make the decision considering the smallest stock price changes.

The ways in which these stock quotes are presented is very diverse. They may come in the form of graphs having values, a simple phrase line having alphabets or decimals, or even tables with values. Looking at the theory’s perspective, there is a set of stock quotes with every stock as ask price and bid price. There are a few resources from where a stock trader can get these stock quotes. Yahoo Finance or MSN Money can be the choice of online stock traders or the stock broker websites can be considered for the purpose well. Stock quotes are of high importance for stock traders in order to make adjustments or decide whether to enter or exit a trade at the last moment. They can help traders avoid losses at the last minute or make use of a last moment opportunity as well.

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