Common Trading Mistakes Every Beginner Does (1)

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5 common beginner trading mistakes to avoid!
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Introduction

• We all make mistakes, and making mistakes is
  human. Like they say, to err is human. But, such
  errors for a long time may lead to consequences
  that might not look good. The stock market
  investment and losses are just like that. They
  come with consequences like monetary erosion.
• Stock market is volatile and to cope up with
  volatility beginners tend to make these 10
  trading mistakes.

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Common mistakes in stock trading

1. No Trading Plan Stock market is a valid
   investment instrument, but you should know when
   to back out and how much loss you can handle.
   Therefore, seasoned traders make sure they have a
   plan and keep entry and exit points ready. If you
   want to avoid losses, you have to start
   understanding your risk factor and keep an eye on
   the entry and exit point.
2. Ignoring the risk factor Understanding the risk
   factor is a very crucial aspect to focus on
   before investing in the stock market
3. Following Other investors blindly Every investor
   including you has different goals. Therefore,
   drop following the herd mentality and research
   for yourselves.
4. Choosing the wrong trading asset When you choose
   a stock based on their performance in the last
   3-4 years, you should also take into
   consideration their future plans and investments
5. No Diversification Diversification is the key
   aspect of the stock market to keep your losses at
   the minimum. You should start investing in stocks
   from different industries that can help you
   balance out the portfolio

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