How my capital wipes in the stock market
Today I am going to share with you how I lost my capital in the stock market within a month. if you are a beginner, Please don't these mistakes when you are going to start investing in the stock market protect your capital first.
How my capital wipes in the stock market
As a beginner very first day of trading, I got a good profit of 1200 rupees in Bank Nifty with an investment of 600 rupees. I got this profit e Influvac I didn't follow any status and I don't know about the Stock market and I don't know about the Nifty and Bank Nifty and what is options and what is features simply just install and broke up and just I have only 1500 in my account and yes I entered at 9:15 Market opens Gap-up and I got 1200 profit on the day. so, I thought that the stock market is really very easy to earn money.
After that, I have taken another 1000 rupees from my friend and traded with two lots and three lots and I lost my capital in a week.
After losing my capital I have the only thing that has run through my mind is I want to recover my money back from my stock market because it is very easy to bring back my money from the stock market so I decided and waited for good capital and lost after 4 months I have seen few videos on YouTube I found a guy who can provide calls for very less price so I thought that if I joined the telegram group for the premium group so that I can earn money easily.
Only greediness in my mind which is I have to recover my 4000 rupees which I have lost previously so automatically I have called them and I have joined their premium group and but this time my capital is increased by 5X which I have invested before it is almost 20k
After joining the telegram group for getting notifications daily about calls Nifty and Bank Nifty calls and you all know if they give 4 calls a day only one call will get give you the profit but in their Pnl (Profit and Loss) they show only profits every Month.
I lost 2000 in a day and I thought that I have to recover this 2000,4000 total of six thousand money in the stock market. Investment of my 18k now so I increase my greediness without controlling myself I did multiple trades a day and at the end of the day, I have 15 to 20 trades as a beginner.
so, now here I have to pay brokering charges, and my loss is around 1500 to 2000 approximately.
Points to Keep in mind Before Investing in Stock Market
First, you need to know about few things before investing in the stock market
know about Stock Market clearly
know about how the stock market works
know about stocks, indexes, equities, futures, and mutual funds what is the difference between these
The very first thing you need to keep in mind is don't come to the stock market with big Numbers in mind avoid greediness try to Build psychology.
Before entering the stock market if you are a beginner do paper trading for a few months.
If you are already a trained learn stock market course which is online or offline then at least you need to do paper trading for 1. 2 months or at least 1/2 weeks at least you need to check the status been backtesting Chart for at least one year or two years once you get the confidence on charts.
Don't follow multiple strategies at a time if you stick to one strategy for a while you will be an expert,
so waiting for the right entry and getting enter and perfect exit is a disciplined schedule
The most important thing in the stock market is to stop loss before entering the market Maintaining stop loss comes with stop loss going with the profit without a stop loss investing in the stock market is harmful.
Keeping at least 10 to 20 points And looking for profit 1:I1
1:2 1:3 in that ratio.
Most of the intraday traders or investors in the stock market will lose money very quickly around 90% fail only 5% of people will get a profit. how they get profit daily means they Invest with discipline that follows Profit.
Once you will be a disciplined trader then automatically you do not need to look for the profits it will follow you.
What is the discipline in the stock market?
Discipline is nothing taking the perfect entry and exit is also a discipline
keeping stop loss is a discipline
profit booking is a discipline
if you are a beginner doing only one trade for a day is a discipline
watching the market complete a day without single trade is also a discipline
looking for a perfect tree for the entire day is also a discipline
investing only 70% of your capital is also your discipline
don't do aggressive tradings is also a discipline
By doing this all things will make a perfect trader then you can go with big capital and a big number of trades and increasing the lot size will get good profits and make a profitable theatre.
In the stock market, it's definitely very easy to make money but the thing is all people come to the stock market with big Numbers in mind they lose their capital within a month and within weeks.