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4 Trading Rules While Following any Tips Provider

Posted By On 11/27/2009 12:46:00 AM Under

As a thumb rule always have some unwritten rules to make money with any tips provider in the stock market. A few rules are as appended below which will help one to make money with a tips provider as same tips given to two different persons will produce different results due to trading biases, emotions and psychology.
  • Stop-loss levels are given so that there is a level below/above, which the market will tell us that the call has gone wrong. Stop-loss is an essential risk control mechanism; it should always be there.
  • Book, at least, part profits when the prices reach their targets; if you continue to hold on to positions then use trailing stops to lock in your profits.
  • Don't chase a stock, if you are unable to buy a stock because it hits circuit levels on successive days, don't buy that.
  • Trading involves considerable risk. Trade at your own risk to the extent you are comfortable.
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