9 mistake which beginner should avoid in trading

     Many of us trade in intraday trading but all people could not successful in intraday. We must ask a question our self where we are doing mistakes because mistakes teach us lot of things. Some people have no idea that what to for do avoid losses in intraday trading. So here we will discuss eight mistakes which people often does in intraday trading and how we should avoid them.  We can avoid these mistakes while make trade in intraday trading. First thing we should avoid in intraday trading

1. Trade without identifying the market trend

      Remember guys that trend is friend. We always make mistake to identify market trend. Firstly we need to learn to identify the market trend. Once you identify the market trend you will get right scenario for your day trading and also you will know whether to go for a buying side or the selling side. For that firstly you should identify the market trend which trend is alive in the market is an uptrend or downtrend. Doesn’t trade as soon as market open. You have to give some time to market to know right direction.

2. Don’t know about exit point

    Sometimes we make good entry but we don’t know where we must exit. Here we noticed that lot of people became little greedy and waiting in a stock full day for stock go up side but this not happen. When will stock go up one or two percent that time we doesn’t book profit and sudden stock started to fall down. For example you buy a stock xyz at 130 target price is 140 SL is 126.50 once stock move to 135 or 136 sell and come out with good profit. Never wait for 140 to reach. After maybe it will be started to fall down side.

      So guys that time please be aware in this situation. You should book your profit at the right moment and always keep your profit point at the exit. One or two percent is too good for an intraday stock to get profit. You should always keep the stop-loss and limit your losses and exit at the safe and profitable point. Don't wait unnecessarily for a stock. When market will be choppy or it will be range bond there will not any movement and you think that there is no chance successful trade that time you should follow no trade day. This is better than take big loss.

3. Trading without stop loss

      We can explain in simple word that trading without stop loss is like a drive a car without break. So people who thing themselves market hulk and trade without stop loss it sign that people like that will be out of market soon with a big loss. Stop loss is important to manage your risk and reward. You can use trialing stop loss ones your stock looks in profit mode you can change the stop loss at least to your buying price Don’t think that I will manage all that this false belief can create problem for your trading career.

     To use stop loss it means not that you are taking loss or you fear to taking risk. it means that you care about your fund, it means you can manage you risk.

 4. Lack of strategy

     If you don’t have any strategy to trade in share market it may be cause of your losses. Lot of people are having lack of strategy and this is not good sign of good traders. Your trading strategy make consistence profit and it also develop your trading style and accuracy in trading.

5. To be emotional

     This is important point lot of us can’t control emotion while trading and they jump to trade. Sometime we trade emotionally to cover a loss and instead of cover loss we take big losses due to lack of emotion control while trading. We should train our mind set to trading and should learn control emotion while make trade in share market. You should have passion and trust  about share marketing that time your mindset will be support you in every design.

6. Over trading

     Over trading is another big mistake which we always do in intraday trading. By seeing some loss you lose emotion and start to cover loss and keep to trading in whole trading session. End of the session you found that I did over trading and still you are end your session with loss.

     So guy please don’t do over trading do only one or two trades per day  because market give many opportunity cover losses but ones you lose you capital and confidence of trading  you cannot survive in share market.

7. Not having a trading plan

     Right guys to be not prepared for your trading session is must be big mistake because if you don’t have any trading plan so it may be reason of your loss. Trading plan gives a right way to trading session and when we follow a specific plan that time chances are very low to lose our capital.

8. Trade without knowledge of market

    Now day SEBI changes many thing and that thing affect intraday trading. We must have knowledge all thing our knowledge is matter while make intraday trading. Try to learn new things like new technology in share market, your analysis method, knowledge about fundamental and technical analysis if you never try to learn new thing about market may be you lose quality trade.

9. Blind trade on rumors and news

     Every beginner did mistakes at beginning of trading career. Many time people blindly follow news or tips in specific stocks when people make buy position after that stock started to falling and after that people don’t have any option without book loss. So guys please don’t follow tips and news media. Make your own strategy, do fundamental and technical analysis before buy stocks or index. Always that remembers rumors never make profit in intraday trading.

   This is all the mistakes we often do in intraday trading try to avoid mistake. Remember that no one is perfect if you practicing consistently on it one day you will be achieve your perfection.