Epic Research Investment Adviser support learning and understand the working of stock and share market and completely deny any rumor or myth about it. It is the knowledge and experience which helped us to know the reality of this wider world of opportunities.
As a common citizen of India, it is advised us to stay away from the stock market because of the myths people having. Thus it is very important to know the reality and took the decisions based on logical facts. Regardless of the wide opportunity of getting best returns there are common myths which often arise and put the traders and beginners in trouble. There are few which are commonly faced everyday.
MYTH 1 : Stock Market is a gamble
This one is the most common myth we have to listen everyday atleast once, and not a single trader is there who haven’t faced it. It is true that, this is nothing but a myth because generating profit is not a magic but it is based on deep analysis of the market and taking logical decisions at a particular point of time. Investors are continuously trying to access true information and constantly practicing on their segment. It took years for them to gain expertise even though there are few chances of loss. The best part of having knowledge and experience in stock market is, the traders are prepared for the loss and try to lessen them through different tactics.
MYTH 2 : Stock Market is the Club of Rich People
People thought that they might lost all their savings if they try their hands on first time, this will lead to the evolution of this myth that only rich people can survive because they can bear the losses but if you will choose a safe strategy and took right decisions then slowly but surely can earn the profit.
MYTH 3 : Once you loose then you get the profit for sure
This is same concept like if you failed in an examination at first attempt, you can pass it in the second one, but this is not possible if you didn’t do hard work and brush up your knowledge for the second attempt. In stock market, if you lost then it is necessary to learn it before making another attempt of trading.
MYTH 4 : The stock goes up must come down
This is not the thumb rule and thus it is a myth and only fools can believe it. There are few moments in the market when you notice an unexpected ‘hype’ for particular stocks which become normal afterwards but this is not true for every stock and also not in every trading session.
MYTH 5 : You can Do-It-Yourself
Having some knowledge is usually better than nothing but taking decision on that knowledge is not a good idea in the field of stock market. Having an adviser is a good idea to overcome the situation but do not rely them fully. It is always better to cross check or safely ask the substitute.
MYTH 6 : More is the risk, more is the profit
People generally put all their money once and call it ‘RISK’ but, there is a difference in risk and foolishness. Taking risk is a good decision only when you have some covers to overcome the losses.
Hence, it is better to leave the myths with the adoption of knowledge and learn about the market so that you can do well with your investment.