Why are most of Traders in Stock Market making losses?

If you are an investor for long term in stock market, then it is a matter of time, which will decide the profit of your investments. But when it comes to trading, it is the matter of cutting your losses quickly which decides the profit of your trading.

 Investing and Trading are both different ball game in Stock Markets. Stocks Markets are always bullish in the long run. So any Investor will get his chance of making profit in the Market. But for Traders, odds are always against the trader. First he has to make a right entry, and then he has to make a right exit. The odds will not be in favour him to make a right entry.

Against this odds, if he makes a right entry, then he has to make a right exit. Even after seeing a good profit in paper, if he doesn't book profit at the right time, his trade may still end up in loss. But if he uses a proper trailing stoploss, he ends up in a small profit or a big profit. But in case of loss, he needs to be careful. If he doesn't cut his loss quickly, he will end up in loss, if not he will end up losing his capital.

 So cutting losses quickly is the key to your success in trading. So enter the trade with a clear cut stop.

Will there be a boom in Indian Economy?

Economic growth cannot be kick started in single decision or by strong government alone. It is a collection of decisions towards the growth taken at the right time. Building or breaking an Economy may take long time. The base for economic growth, we saw in India from 2003 to 2008, was established by Narasimharao government and Vajpayee government. The base was made for more than ten years for the 2003 – 2008 growth.

UPA-1 and UPA-2 reaped the benefits of this base. Now, the economy is contracting. After an expansion, the contraction phase will follow. This contraction phase will surely take its time and its course. In this period, a strong government can only reduce the impact a little bit.