What happens in the stock market that the common investor does not know and sits at home after losing all his capital?

 What happens in the stock market that the common investor does not know and sits at home after losing all his capital?

Friend,

We have been keeping the truth in our answers. Let us try to keep the truth in this question of yours as well.

If we say that investors make losses without knowing and understanding, then it will be completely wrong because I believe that all the investors who make losses know what mistakes they are making and what mistakes they have made.

But the problem is that most of the traders have the glasses of greed on their eyes which let them remain hidden despite knowing and being intelligent.

Okay, don't be in doubt.. I will clear everything.

If we tell you that today I earned thousand rupees in the market, yesterday there was a profit of 5 thousand and the day before yesterday it was 2 thousand.

Without taking time you will say that Sir, then yesterday you had a good trade.

Is it right?

How did I judge that yesterday my trade went well just by looking at the profit figure.

It is possible that today I traded with only 100000. Yesterday with 5 lakhs and the day before yesterday with only 2 lakhs.

This is also possible.

That is, to reach a conclusion, we should know everything. But as soon as the profit figure reaches most retail investors, they start drawing conclusions.

You will find many such investors in the market. If you talk to them, you will come to know that in the first trade we are in profit but by the end we lose everything and even incur a loss from the original amount.

When you know that there is a profit in the first trade. Because at that time we take the trade with a free mind, then why the third trade?

And when the second and third trades are taken, then the risk should be taken keeping in mind the profit that was earned the first time, so that nothing is lost from the pocket.

While talking to some traders, you will come to know that after a wrong trade, in an attempt to convert it into profit, they end up making more losses. We understand that the market runs on sentiments and by fighting here we will win one day..not always. Then why this fight with the market.

The simple meaning of saying is that we understand everything. But greed does not let us accept it.

We know that to earn thousand rupees daily in the market one has to work hard for 8-10 hours in the office. But the same person wants thousand rupees daily in the market and that too without working hard, without giving time.

If the common investor grows with such aspirations then losing capital is certain.

I hope you got the appropriate answer.

Thank you