Tuesday, January 1, 2013
Don't be addicted to Stock Market
Happy New Year for all, to start fresh in the year 2013, I found an article talking about on the stock market addictive subject, I think it is a good article for sharing, to become a trader that always peace in mind, first thing should be that you should not addicted to the stock market, here are the article that I wish to share with,
Stock market addiction is common in Stock markets. An investor suffering from stock market addictions tend to over trade in the stock markets. But Stock market addiction is different from other addictions like Alcoholism or Smoking or Drug use. Unlike other addictions like drug use or alcoholism, where the person's body is dependent on the addictive, in the case of Stock market addiction, the investor mind is more dependent on the addictive. In Stock market addiction, an investor is addicted to trading on day to day basis or hour to hour basis or even within minutes in the stock markets. He could not pass the day without seeing the intermittent green and red icons in the trading platform of the stock markets. Stock market addiction can also be called Day trading addiction, or Intra day trading addiction.
In stock market addictions, an investor can't miss the offices of the broker where he is going on day to day basis. On the day of holidays, he is thinking about how he can pass the time?. He is eagerly wait for the working day of the stock markets. A typical investor who is suffering from stock market addiction tend to over look his daily duties and his family matters and arrange cash from any source so that he can trade in the stock markets.
An investor who is addictive to stock markets tend to do more trades and he is not thinking whether the trade resulted in profit or loss. He is always thinking about doing trading in the stock markets. After the trading hours too, he is doing buy and sell of scrips in his inner mind. When the market closes for the day, he is feeling alone. Some severe stock market addicts, losses sleep during night due to the losses they are getting in the stock markets. When they gets profit, that also result in loss of sleep for the day.
General feature of stock market addiction is doing more and more trade in the stock markets on intra day basis. These addicts buy and sell the scrips even within minutes. If they got loss in the early trade, then they will over trade in order to get back the losses. But end result is more losses. The are not concerned about long term investing. They don't believe in investing. They want quick buck from the stock markets.
Stock market addict do actually gambling in the markets. They not risk averse. He can't resist trading in the markets even if his entire capital lost. Even after losing his entire capital, they will borrow money and come back into the markets with a hope to regain the loss. An stock market don't know when to stop. An stock market addict can't distinguish between trading and gambling. He is mentally shattered not because of losing his entire money, but of his resultant absence from the stock markets due to no money in hand.
Some stock market addicts prefer sitting in the brokers office, even if they have the all the facilities to trade in the stock market in home. They can't avoid the colleagues in the broker's office who are also more or less addicts. He can't miss the coffee and atmosphere of Broker's office.
Common motto of all stock market addictive is quick money. 8 out of 10 times they will fail in the trade. These stock market addictives are not thinking about the money. They are thinking about doing trading in the markets. For them the numbers in the position column of their trading account is merely numbers. They don't represent cash for them.