Don’t quibble over 8s ad quarters
In the year 2006 there was an investor who wished to buy a stock that cost 35 dollars and 100 cents. He gave only 35 dollars because he wanted to save those 100 cents, but his transaction never got completed because the stock never went down to 35 dollars again. Coming back to 2020, the stock exploded to 56,000 dollars. If only he would have bought that stock 15 years ago.
Understand the stock more than the colours
You see companies like to emotionally attract you with colourful annual reports and balanced problems and profits that they like to have in their annual reports. You must read between the lines now, understand reality.
Don’t give much importance to the past of the stock
It might so happen that some others may be searching the history of a stock for it’ s present rate, which is completely wrong. As there is always a possibility that the stock in the past may have had a good value which is lost for the present.
Don’t follow fads
Following trends in the stock market just drags you away from reality. In the end it all just drops you into a dream that will last for a month or so. Don’t buy when everybody does nor sell when everybody is doing so.
Don’t diverse too much in too different stocks nor too many. Keep it as a limit and try to give more area to bigger stocks.