Key thoughts on money management in stock trading

Money management overlaps with risk, trade, business and personal management, yet it has many aspects that make it distinctly different from all of these other areas of management.

Money management is usually not followed or is used only when things get real bad. Usually, it’s a bit too little too late unless you start from scratch including building up enough risk capital all over again.

Money management has some key aspects that in one way or another tends to have an influence on all aspects of trading. It also helps you to become a more consistent trader. Continue reading Key thoughts on money management in stock trading

5 Most common mistakes with investing and how you can avoid them

Mistakes are the only way to get ahead in life.

While trading mistakes can be expensive and perhaps even frowned upon, without these mistakes, we would not have good traders or investors. Still, the trading and investing community often prefers to talk about their successes than failures.

In this article, I want to highlight give most common mistakes one can end up making while trading or investing and how you can be wary about this and avoid making the mistakes. Continue reading 5 Most common mistakes with investing and how you can avoid them

Should you be day trading or investing?

Looking at it from the outside-in, day trading can seem intimidating. Day trading has paved the road to riches for many but you wouldn’t know where to start.

Even if you did, day trading is for someone else – not for you. Day trading is intimidating, and rightly so, but you probably have many of the misconceptions that those new to trading typically have.

In fact, many of these misconceptions might be keeping you from day trading for the wrong reasons. In any case, those who decide to day trade or swing trade and those who decide not to inevitably asked themselves the same question: “Why Trade?” Continue reading Should you be day trading or investing?

How to analyze mutual funds?

Before investing in mutual funds a proper analysis of what and where you will be putting your hard earned money is required.

Don’t make the beginner’s mistake of looking at past returns and letting that convince you into investing in a mutual fund.

While all the efforts at analyzing a mutual fund is aimed towards helping you maximize your returns and ensuring that the mutual fund you are investing in is closely correlated to your investing goals, it is equally about minimizing risks. Continue reading How to analyze mutual funds?