If you want to know how stock markets are like ,they are like women.
Dynamic and unstable. Changing and unpredictable.
What's the definition of a knowledgeable person?
A person who knows more than others and not a person who knows everything.
Similarly, in markets profits and losses are not different. They are linked. They are the same. They are a part of the game.
It is not possible for any trader/investor to earn only profits and incur no losses in Capital markets.
This can be grasped as a universal truth.
Capital market is no gambling business. However, there were people in the history whi manipulated the markets then by their tremendous buying and selling power especially the big brokers who were in the market since generations. But now, it is difficult to do the same as SEBI's work has become much transparent and supporting people's interests for securities has become the first aim of SEBI. So it is difficult for an individual to manipulate markets now and be so-called as ‘market-operator'.
If you are a newbie trader and you think you earned many profits without a loss, WAIT FOR A WHILE.
So no matter you come from any walk of life, no matter you invest millions of dollars in the markets, no matter you have super solid sure shot tips from a hotshot broker or investment consultant, you are bound to incur losses in your career.
Try to accept the loss and move forward as without that you cannot survive in the markets. The markets can be so ruthless sometimes that they can eat your whole capital and leave you in a lurch, leave you heartbroken, pissed off, discombobulated and frustrated.
Always worship markets. Accept that if you lose money, its your fault and not the markets'. Market is never wrong. We are.
A lot of people ask me to tell only the entry and exit point in the market. They don't want anything else but just want the entry and exit point.
Imagine if a person knew the exact entry point and exit point for all the scripts, he would have become a zillionaire by now. He would have surpassed Warren Buffet also.
Let me mention that Warren Buffet, Rakesh jhunjhunwala and Peter Lynch who are considered as the best investors in Stock markets also suffered huge losses in their feat to achieve success.
A Perfect entry and perfect exit doesn't exist according to me. you might say I did a perfect entry and perfect exit once but that may be a fluke.try to do it 10 times in a row gaining the maximum profit from that company and you won't be able to. There is no pre-known entry and exit level in the market. It need to be practiced regularly and develop by experience. Knowledge is not everything my friend. You need experience which is cardinal.
BY ABHIRAM DAPKE
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