These are basic risk management rules every beginner should know before trading in the stock market.
1. Stop loss is a Very Important Part of the Stock Market. Lots of Traders lose their Hard Money because they have Ignore Stop loss.
2. Risk Ratio of Stop loss minimum 1:2 Maximum 1:3
3. Money Management is the Most Important Part of the Stock Market, Remember Don’t Investment your Total Money on Single Stock, Always Choose the Best Sector & Best time & Best Price. Divide your Main Balance at least 3-4 Part, And also invest Different stocks, If one stock SL hit, another stock will be gain, If your analysis perfect, then you will be a win.
4. One Golden rules Always Buy on Support & Sell on Resistance.
5. Beginners often prefer large, well-known stocks such as those in the Nifty 50, because they are generally more liquid. This is not a recommendation to buy any stock.
6. Intraday Trading is high Risky, so If possible Ignore Intraday & trade on Swing Trading. (yet that’s time Market Situation is not stable, so Ignore Fresh Investment.)
7. Don’t follow TV News calls or Tips, & also don’t trade on my tips, Learn Technical Analysis & Find Your Best stock.
8. Only use your Extra Money or Savings Money, Don’t Invest your hard money in this market.
9. Learn the market first, and always manage your risk.
Disclaimer: This page is for educational purposes only and is not investment advice. Stock market investments are subject to market risk. Please do your own research or consult a SEBI-registered advisor before investing.