TOP 10 REASONS WHY DO PEOPLE FAIL IN STOCK MARKET

WHY DO PEOPLE FAIL IN STOCK MARKET

1. QUICK MONEY: First and foremost reason of failure is that people come in market by seeing other profit stories. They want to be rich quickly. They don’t see truth or hidden story behind any profit.Where as share market is like any other business which require lot of dedication and hard work to convert it into profitable stories.

 

2. LOOKS FOR TIPS AND CALLS: Nobody can predict market if someone is  guarantees you means either he is god or fooling you. I fail to understand how can someone believe on such tips and call. If someone so sure about his calls and tips, why  would he give  you? Don’t you think he will make money himself . Who don’t love to make money. Now you are wise if someone giving tips and calls to you what will be his motive, to make you rich or otherwise?

 

3. DEPEND ON INDICATORS: Indicator are merely indicate the current trend but stock trading is about the future move. If indicators were the recipe for success in the market, everyone would have been rich today. But this is not true and everyone knows the truth, very few people are able to earn here.

 

4. WORK ON OTHERS STRATEGIES: Trading strategies in stock market are developed by people based on his or her past experience. Like in football somebody learn out of his experience that particular shot or style will work in particular situation. But can you guarantee that his strategy will always work,   chances are of  50-50.When he himself is not sure of success how can you believe on him for success. Even if you don’t take guidance from anybody, 50-50 chances of success is always there in market. Road to success will always be different  to different people. So how can somebody's else hard work will pay you?

 

5. LACK OF KNOWLEDGE: Like any other field this filed also required professional study to understand fine nuances of the game. Professionalism is required to excel in any field. But when comes to market people don’t take it seriously which lead to permanent exit and than they blame market is betting market

 

6. DIRECT INVOLVEMENT OF MONEY: It is the only business where you get profit and loss immediately, this causes adrenaline rush result in difficult to control emotions. Making investment decisions based on emotions, such as fear or greed, can result in poor choices

 

7. GAME OF PSYCHOLOGY: understanding the psychology of the stock market can help investors make more informed decisions and manage their emotions better.

 

8. ULTIMATE AND THE SUCCESS MANTRA CUT YOUR LOSS: Failure to manage risk,not managing risk can lead to significant losses. Investors need to be aware of the risks associated with each investment and take appropriate steps to manage those risks.

 

9. INABILITY TO HANDLE VOLATILITY: The stock market is volatile, and some investors may panic and sell during a downturn, resulting in significant losses.

 

10. LOSS AVERSION: Investors tend to feel the pain of losses more strongly than the pleasure of gains. This can lead to selling stocks too early or holding onto stocks for too long in the hopes of recouping losses.