Don’t invest everything you have in securities
First, create a financial safety cushion – set aside 3-6 paychecks on a deposit in the bank. And only then start stock trading. Invest the amount with which you are prepared to accept the loss.
Do not take chances – take training
If you decide to trade on the exchange market on your own, be sure to receive training on https://telegram-store.com/catalog/product-category/channels/business. Most brokers will offer courses for new investors. Trading programs often have a demo mode, in which you can try your hand without the risk of losing money.
Resist your emotions
Impulsive action can lead to many mistakes. If you are a novice investor, you should not jump at the chance of a slightest price movement on the stock exchange. But you must act decisively if the price changes significantly.
Set a limit on how much you are prepared to lose: let’s say, if assets are down 20%, you must sell and, as they say on the stock exchange, fix your losses. The desire to wait – in case the price rebounds – will be great, but do not give in to it. Otherwise you can lose even more.
Don’t put all your eggs in one basket
It’s better to buy securities of companies in different industries, in order to diversify risks. For example, if you invest in securities of only oil companies, the risks of loss will be very high. For example, when oil prices fall, shares of all companies in the oil and gas sector usually fall in price. If you buy securities from companies in various sectors, such as chemicals, engineering, and telecommunications, it can help reduce the risk of losing your investment.
Do not believe promises to earn 500% a day
Only charlatans can guarantee anything on the stock market. And a responsible intermediary should warn you about the risks. The situation on the stock market is volatile, and you alone are responsible for your decisions.
