My today's post is centered on traders, when I started my stock market career as a trader I also suffer such kind of problem, today I am going to discuss such problems with you. Which always comes to my mind, and I believe that these problems will always come in the mind of every trader. And the point of fun is that when the trader suffers from these problems, he feels like these problems are happening only with him. While this does not happen.
When a trader works in front of the screen, often these questions appear in front of him. Even when I started working in the stock market, I felt like it was happening only with me. But when I went ahead in this area, I realized that it is not only happening with me but also with everyone, and that which is happening with everyone can not be coincidence. So if this is not a coincidence, then it means that there is something quiet behind it, which is important to know.
So let's know about the tragedies of a trader with whom he swings. When I talked about the misery of the trader, it does not mean that he has any suffering, but it means that these are problems.
When I buy stock its began to fall and when I sell stock its began to grow.
This is a problem that happens to everybody working in the stock market. I used to think this way in the beginning. Whenever I buy a stock, it starts to fall, like someone is watching me with a camera or someone is watching my screen. But when I tried to know about this problem, then I realized that it is not only me but every person who is connected to the stock market. Therefore, I did not say it coincidence because the things that are happening with everyone can not be coincidence. The solution to this problem can be traced by a trader by keeping his knowledge and conscious. That's why every trader needs to learn, as much as you learn, the less problems you face.
I gain less and the loss is too big. Why?
This is the second common problem with me or a trader, whenever I have the profit, then it is slightly, but when there is a loss it is very big. And this loss is not only big, but it also take my profit which I made. Whenever a trader has made his first profit, then it is a good feeling in itself. But when a huge loss takes our made profits, then it is the moment of downfall for a trader. If it is happening with a trader, it means that he is losing anything or something like that. In such a situation, a trader gets compensated for his loss, and starts aggressively trading to take revenge from the market.
When all the stocks are going up, My stock either stays or falls down.
This is the third biggest problem of trader. When the market starts moving upwards, all the shares start moving upward, but the stocks taken by him either stand or move towards the bottom. This is a situation where market shows handsome movement like 10%and all the shares are showing up 10 to 20% movements, but his stock is either stands up or showing hardly 1% movement. This is a fun situation for the trader, before buy the stock is going on with a good move, but after buying the stock by trader, his move ends, and he stand. Even if any trader has any expertise, he too had to face such a problem.
When we believe in the news, then it is proved wrong, when we do not, then it still proves to be wrong.
This is such a situation that when the trader trusts the news, he takes the loss, and when he does not, then he also takes the loss. Understand this example, suppose any good news related to any stock is published, upon believe that news trader takes his position in that stock, but share neglect that news and not shows any movement in such condition trader book his loss . On the other hand, when there is a good news like bonus shares in a stock, and the trader avoid that news and does not take any position in the stock, and the stock welcome that news and jumps up to 20%, and the trader misses making profit in it.
Whenever there is a large drop in the market, you are completely invested.
By the time the market falls drastically, investors are fully invested. However, when a small decline occurs, then more than half of the invested by the investor in the market with the hope that the market will move forward. But it is inverted, and when there is a huge drop in the market, investors have invested the entire money in the market. An investor should understand this fact very well that the market never goes down without spending your entire money, often the market goes down only when you have put almost all of your money in the market.
Every time you realize your mistake, and repeat it every time.
The market shows a trader his mistake every time. Every time market tells him that you have suffered loss due to this reason. And the interesting thing is that every trader accepts his mistake, but its second truth is that the same trader repeats the same mistake again. I have experienced this in my trading career that people do not make new mistakes they suffer from their old mistakes. The market often comes in front of a trader in the same situation, and repeatedly the trader keeps repeating the same mistakes.
Wherever I put my stop loss it goes hit.
This is a big problem with the trader. Whenever a trader puts stop loss in any of his trade, the market first hits his stop loss, after which he leads to the target. Wherever they put their stop loss order. The market always cuts off its stop loss. The market is more sensible than the trader, he knows very well where a trader put his stop loss. The market also knows that if a trader is taking a stock, then how much he has the power to lose money. In a stock, there is a particular area for the stop loss, where stop loss is placed, which can be detected with the help of a technical chart.
I have tried to explain a traders problems in front of you. And control of these problems can only be curb by full knowledge and good understanding. Such a mistake is repeated by a trader in the absence of knowledge. If you are also struggling with such kind of problem, you can inform me through a comment box below, I will do my best to diagnose your problem. Happy Investing ☺
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