Category: Money tips Release Date: 2007-06-24
90% of Chinese and foreign stock market investors are loss-making state, each have their own reasons, typically the following:
First, do not stop in time. Many do not understand this truth, that is, Xintai Ruan, could not make hands. An absolute must have stop-loss point, because you can never be aware that this stock will go down more deeply. Set stop-loss points, or stop bits, it means that you bought the stock mounted a "fuse." If the stock price fell losing streak, but you can only burn (loss) on a "fuse" (stop price). I think that whether a person can do a securities investors, which must have the basic quality of mind is not a clever, mentally alert, but a stop-loss of courage.
Second, always wanted to pursue profit maximization. Mainly in the following three aspects.
1. Have been through the fundamentals and technical side has been chosen one had to stock movements can be, but rose more slowly, or to make a strong finishing, it lost its patience, by listening to news or read the disk, tried to grab the hot stock just before do something in a short bad, and then Jianhui the original shares. The results are often left to suffer ---- slap in the face. Such idle for the operation itself is difficult to express the great and inevitable to bear the two kinds of risk: when you find hot stocks are bound to already have or may even be down; fundamentals, technical after a slightly better stock up or finishing strong at any time after will pull Changyang, throwing easy to Ta Kong. Once the short-term failure, without a timely stop-loss, the latter is bound to miss the opportunity.
2. Many people recognize the high toss buy low, rolling operation may be relatively large profits, is also determined to do so. Could be a year down, but can not scroll up, there is no reason for this is patience, calm and so, after throwing his back, then be tempted to want to grab the first look at hot spots, making a short poor results with just the opposite.
3. Throughout the year is always full of warehouses. Showed significant fluctuations in the stock market cycle, down cycle, more than 90% of the shares did not profit opportunities. Can be a lot of investors just do not believe this evil, watching the disk on the rosy stock on the Shouyang, the total reported are chances that they would be strong contrarian buy the stock hit a short bad, every day Mancang. Wanted to increase capital utilization, can often be bought on the set - do not stop - the depth of stuck. After all, only a few can be strong contrarian, but also in down cycles are often weak today, stronger tomorrow, it is difficult to operate. In addition, often full of warehouses will make people physically and mentally tired, loss of sharp market sense, missed a real opportunity. Many investors are so put the money in their hands do not live three days for fear of Ta Kong, the psychological study is to maximize profits. This type of investors, whether large, small investors, are all losses.
In fact, several times a year so long as to seize the opportunity for a period of quite considerable income down, so only 30% of Buffett's annual revenue has become a master. If you are bent on the pursuit of profit maximization, it will break with both hands like a blind bear corn and eventually tend to the contrary, profits are minimized.
The stock market is one of opportunity, full of temptations, but also a place full of traps, we must learn to resist the temptation to give up some opportunity in order to seize the opportunity to work.
Third, do not believe in themselves, but gullible people. Many individual investors through learning, and also obtained a lot of analysis methods and techniques, there is a certain level of analysis. But when his carefully study a stock, ready to buy credit card, just listening to casual investors next to "the stock is not good, not as good as there are themes ......", XX immediately abandon the purchase, or Changes to XX shares. Baffling! And when you choose your stocks rose up, only regret was left out of.
Fourth, has been open for short messages or themes. Even though they all know that see good ship can be a lot of retail investors (including some of the old shareholders) When you see a company's annual report or a restructuring of the fine was announced when, or tempted to buy in the afternoon before the market opened for lodging, the daily limit price that day would like to buy The next day when the opening shot up more than 80% thrown ...... results: high immediately stuck. It is undeniable that the market now is still not standardized, performance excellent annual reports, the main force was aware of prior to the announcement has a significant stock price increases. If you are a dealer, not ship waiting for? Even if true would also like to make up will be quick to call them to follow up the retail sedan chair do? Since there are so many people to accept the goods, why not a better price out of the first part to be back again Jianhui also came to a rolling operation?
5, 4 inquire about the news, the stock selection based on hearsay and rumor as. Most likely to become a dealer when the victim fled. Network of high-tech stocks during the first half of 2001 fell sharply before the rumors in the four, who would believe that whoever stuck high.
Of course, we read the first few chapters later that these errors will not be repeated - as Kudan master-set is not simply wrong, but the grandmaster is also the time to go Hunzhao, so the stock market psychology practitioners should always remember in mind.
A well-known Wall Street Trader said: "The stock market to make money quickly, but lose money quickly, but each time I make some money and lose money, mostly occurred after the time when the self-satisfied."
