Tips and tricks to increase the profit margin in the Stock Market

Stock Trading TipsThose successful traders who are investing in the shares and stocks, they use to follow some tricks to get the maximum returns of the amount invested. Here are few Stock Trading Tips to add more value in your trading strategy, nobody will suggest you these tricks except any successful investor or adviser-

If three positions are opened then no need to go for the fourth one

It is advisable to trade in parts. Divide the amount into four parts and invest only 50 % (in the form of 25-25 %) on the selected one. Now what about the remaining amount? You are watching the market and notice a wonderful opportunity in other stocks so you have enough amount to use and deal on that profitable one. But beware, don’t use all the remaining amount, go for only 50-70 % and again save 30-50 % for the future. This way you are having three open positions and the money is blocked. Thus never go for fourth position, save the money to overcome any unwanted situation or sudden need of fund for other purpose. Once you get the profit from that wonderful opportunity, again there is more amount (your traded amount and the profit). Pay the brokerage and be ready for another investment opportunity.

Be logical not greedy

It is better to start with small amount, learn about the market and then slowly move towards increasing amount of investment. People whose are having money in bulk go for a big investment which is a wrong method. Even if the investment opportunity is very profitable, don’t become greedy and put all the amount at one place. The uncertain behavior of the market may lead to a sudden loss of all the money at single trade.

No one can predict the market 100%

You cannot predict the market and any unnatural factor which may affect the various segments of the market. For example, few days back, Indian market is doing very well which gives a strong value to Indian Rupee and Gold price falls but due to Iraq’s internal problems with the terrorists gives rise to deficiency of crude oil and demand of Dollar in the market. This is very unexpected situation and no one can control its effect on other segments of the capital market. The only solution is the problem got solved soon and everything become smooth like before.

Therefore, no one can assure about the perfection of the research or analysis. If someone is doing so, it is a fraud company for sure.

The above Share Market tricks are used and experienced by almost every regular trader. So, always be alert while trading and earn fabulous amount with your knowledge and experience.

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