Market Mantra- Basic Rules For Trading

MONEY	Never trade with money you cannot afford to lose
TREND	Always ride the trend and never try to decide a trend
SELECTION	Always select the stocks, for there are always bullish stocks in a bearish market and bearish stocks in a bullish market.
TIMING	Never initiate your trade at the opening bell, wait for a market to make initial high and lows
QUANTITY	Always while trading keep the amount same in each trade and not the quantity, ex: if have trade 50000/- in one, trade 50000/- in another rather than trading 100 shares in each trades
LEARNING	Blaming market is trying to hide your mistakes from yourselves,making fool of one’s self, thereby losing an opportunity to learn, markets are never wrong, the blame lies with trader.
INTROSPECTION	Always introspect at the end of every trading day, next day will work wonders.
R/R RATIO	Never ever enter a trade where the risk to reward ratio is less than 1:4
NO OF TRADES	Always trade in 2 to 3 stocks at any given point of time, how lucrative the market be, be master of some than being jack of all, keep buffering profits, you’ll find stock markets a wonderful place to be in...
STOP LOSS	Stop loss is essence for trading, never trade without a stop loss
AVERAGING	Averaging has no place in day trading, either u get out of the trade with the stop loss getting triggered or get the target
SUCCESS	Always use trailing stop loss, when the trade initiated, starts bearing results, to get maximum profit.
GREED	Always be ready to take the profits home, if the initial trades have worked for you, be ready to go home , do not trade for the broker
CONFIENCE	If the markets are not making you confident do not trade, just for the sake of trading , wait for clear signals
RUMORS	Never trade on news or rumors, always follow the levels, remember, news does not make levels, it just triggers levels.
LEVELS	Never get panicked or exited by the happenings on the screen, stick to the levels and stop loss, else you’ll always end up loser
PSYCOLOGY	Never follow the mass [the people sitting besides u], for 95% of them do not understand market
DECISION	Be ready to book loss if the ship starts to sink, do no pray , just jump.
PATIENCE	Patience is the name of the game, always exercise patience and restrain during the course of trading, for if a couple of trades have worked against u, take a gap and try to get the trend.
SPECULATION	Check on the speculative tendency, every rise or fall has a logic behind it, just do not speculative, without logic.
FAILURES	Always treat failures [losses] if any, as an learning opportunity, for every failure opens the doors of success, failures should be used as a source of motivation rather than depression.