TRADING RULE ONE SHOULD MUST FOLLOW IN VOLATILE MARKET TO MANAGE RISK REWARD RATIO

GET TRADING TIPS IN LIVE MARKET JOIN US ON WHATSAPP 9039542248

One of the most common mistakes investors and traders make is to hold on to the weak stocks and average them on each dip and exit strong stocks in anticipation of a dip. This leads to poor performance regardless of how the markets behave. A maximum loss of 2 percent of capital in a single trade can be maintained in order to minimize the magnitude of the loss in any given trade. One should always trade once a pattern is confirmed as excessive volatility is bound to give false signals. This is a time to trade on smaller volumes as follow-up buying remains to be seen across all sectors.