Trading Tips for Beginners

Trading Tips for Beginners


Stock trading is actually just as popular and profitable as stock investing. However, stock trading activity takes more time to run.
Here are some tips that can be done for those of you who are new to the world of trading:


1. Understand about stocks

The first tip is to understand in advance how stocks work. When are the trading hours open, rest and close. After that learn about stock analysis, things that affect price movements, and when to buy.
Don't be happy, you are a bonus. It's a shame the money, especially if the capital is taken from personal savings, not funds devoted to investment.
In addition, it also changes the mindset about money. Although getting money in stocks is easy, try not to be greedy so that money is not easily lost.


2. Create a trading plan

When to enter and exit, this can be seen from the trading plan that was made before the transaction began. Traders must have careful planning and adhere to the plan, so that the results are as expected.
Set the right trading time, determine the maximum loss and profit percentage. When the time comes, a trader knows what to do.


3. Choose the right publisher

Don't forget to always consider the issuer whose shares you want to buy. It is recommended to choose stocks or blue chip issuers that are included in the LQ45 index to minimize potential losses.
This is because issuers included in both have large capitalizations and tend to be in demand by the market. Its performance also tends to be good, so stock prices that fall will certainly rise again in the near future.
In choosing an issuer, a trader also needs to pay attention to its financial statements. From this, traders know whether the company's financial cycle is healthy or being disrupted.

Trading Tips for Beginners



4. Controlling emotions

Stock prices are very volatile, especially fried stocks. In a matter of minutes, the price can be "flown in" by the city. And vice versa, can be taken down without any sign.
It is important for a trader to have good emotional control skills so as not to make wrong decisions. Do not let the stock price drop a little, traders do panic selling without thinking. In fact, the decline was just a city bluff.
Better to wait and see first. As long as the loss percentage has not reached the specified limit, there is no need to sell it. Especially if trading using cold money.


5. Be realistic

The focus of trading is to make a profit, regardless of the amount. Never expect a capital of IDR 1,000,000 to turn into IDR 10,000,000 in the blink of an eye. It took a long process to get to that point.
If expectations are too high, all that's left is the heart, the capital will stay. Another case if a trader is lucky enough on that day.


6. Avoid all-in

If you want to invest in stocks, avoid all-in. That is, buying shares at once with large capital.
Buy stocks gradually. Look at the performance of the shares that have been purchased, then analyze whether there will be an increase in the near future or not. From here, just decide to buy or sell.


Determine Risk Before Starting
Stocks are high-risk investment instruments. It is best to determine in advance the maximum acceptable risk percentage. If a loss occurs, you will not be stressed for long and can continue to invest.