Understanding user behaviour

I have been recently thinking about markets and there is this basic metric which keeps coming up always which shows the fictionalization of savings/retail participation of retail people in Indian stock market seems to be very low compared to countries like usa. So, i have been asking people around the following question
What makes you double your investment per month into the stock market ? Is it knowledge gap or is it something else which is lacking ? what can give you that confidence to double down on your bet ?

looking forward for insights from this? thanks in advance.

Point 1 - Forget the thought of doubling your money. (that too you mentioned 1 month which is 99.999% not possible). Always have low expectation because you might be disappointed at the end.

Point 2 - When you have high expectation / target you become greedy. So if you want to double your investment every month/year then stock market is not the place to do it. Remember that making money is not easy.

Point 3 - Knowledge is certainly an imp thing. But just be reading some thing or drawing few lines on your chart will not make you successful.

Point 4 - Your mind matters. Don’t let your emotions take over you. If that happens then managing a trade is impossible.

Point 5 - Accept the fact that you will make mistakes. You cannot be profitable 100% of the time. Let profits run and cut down losses. Do not give up just after 1 loss. Stock market is a the place where you should not feel defeated for a loss. When such things happen, you will even be afraid to place an order next time cause of your previous loss.

Point 6 - Do not ever forget 4th point. Without controlling your emotions/mind all the strategies/ technical / fundamental analysis are useless. Without controlling your mind there is no proper execution.

Finally, stock market is like the survival of the fittest.

Hope it helps :slight_smile:

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Stock market is the last place to make easy money.

There is no magic formula. And doubling your investment is a far dream if you are beginning. You are lucky if you are breaking even.

knowledge is only 10%. Biggest part is trading psychology. Listen to this youtube video , you will understand

Everything is possible even 100% a month, but it takes efforts…it’s obvious tho

*pick a niche such as ficancial Market & start from it’s basics
a strong base is foundating of success

*forget about spending hours upon psycholgy…as long as you have a calm mind & you think before doing…you’re good to go

*Knowledge above all ( knowledge backs psycology stuff as you can remain calm & think rationally only when you your stuff at it’s core or else it will be like “shit! should i sell or hold” )
you are in domain where knowing what you’re doing is very important, also it’s where the professionals lunch

*80% of things on internet be it course, youtube channels, Blogs, Social Media especially Twitter, Books
are unnecessary

*Experience naturally ocurrs
whenever you ask successful people on what course they took, books, blogs you follow etc…8/10 times they say their only source of learning is experience which is partially correct. You don’t have to focus solely on experience as it will take too long…instead focus on what, why, when, where, who, how.

*a 17 year old teen makes million by high leverage trading forex, when asked how & what he did his reply was i learned a lot from youtube & his strategy was when the trades go in favourable direction he holds, moment it gets to opposite direction by xyz metric he sell, plus basic indicators are includes too.
rat makes money, Monkeys make money, heartbeat traders make money…you’ve probably heard of these project stories, which are certailnly true, but a random folk with a decade of trading expericence finding it difficult to sustain in market why?
so why are you putting so many hours learning stuff in depth, because it uplifts you chances to minimise risk by several digits & helps you take proper sleep at night

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Impulse is the main enemy in the market. trades done on impulse are sure shot recipe for failure. panic is the other villain.

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Yea, this is pretty much everything. Nicely written @Lalit_Kishor

100% true.

i wish i could have added more value,
like experiences of trading at prop firm

You were a proprietary trader ? @Lalit_Kishor

No, i had internship to know my domain in more depth, My uncle had great links in prop firm as he served as support head for technologicial problems & all the comuter related stuff, it was way before 2010

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proprietory trading usually requirs no degrees, certification etc unlike hedge fund
you just have to show them you’re profitable with your strategy, what i understood working with them is there is god person for whom you trade, you get portion of profits (mostly), losses in a row (negative sign), culture is very unofficial there at prop firms, there were people who did intraday, swings. funds are systematically distributed
degree & certification isn’t required for trader but there were people above them who managing portfolio, risk, analist. jack of all person is found at every prop firm

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idk how pro trading is these days, but concept remains same

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@Lalit_Kishor : Lalitji u an active trader? plz share ur knowledge n experiences.