Important Things Before Starting Trading

1. Risk and Return go hand in hand. Higher the risk, higher the return. Lower the risk, lower is the return.
2. It is very important for any person trading to know when to exit first before entering.
3. Smartness of a trader is determined by his ability to reject a stock.
4. Never make a big loss. Always have a proper stop loss mechanism in place to avoid completely loosing the money and not being able to trade the next day.
5. If a trade reaches your expectation make profit with out greed.
6. Trend is your friend until it bends. Never try to go against the market. Go with the trend.
7. There will be losses 80% of the times, but it is very important to minimize losses. Always aim for low loss and high profit. Using this principle even though 20% out of 100% calls are successful, you will end up with a profit.
8. Gold and silver are known to be a relatively safer but the historical return on such investment has not been very encouraging.
9. Investor invests his money to beat the inflation.
10. If one is doing intra day trading, never take your trades to the next day.