Six reasons for losing money in stock speculation

Stock speculation is to engage in stock trading activities. The core content of stock speculation is to obtain profits through the stock price difference between buying and selling in the stock market. Here are six reasons why I lost money in stock speculation. I hope I can help you.

  1. Catch up and buy.

There is a saying that "there is a new high after a new high", so a considerable number of investors like to buy stocks that have soared. Many times, a stock has been trading continuously for a short time, and investors still like to chase up and buy in order to expect this stock to break out more energy. If you don't pay attention to catch a 10 times Bull Stock like Dongfang communication in early 2019, won't you make a profit?

In fact, this idea of "getting rich overnight" is not desirable. In terms of probability, bull stocks are difficult to catch, especially short-term bull stocks. In reality, most of the time, cattle are not caught, but are bruised.

Therefore, when a stock has risen by tens of percent from the bottom, we should carefully consider how high the risk of buying is and whether we need to wait for a correction before buying.

  2. Chase down the bottom.

It's not good for the stock to catch up with the high. Can't it catch up with the low? Doesn't that sound contradictory?

In fact, as a contrast, there is a saying called "there is a new low after the new low". Take the stock of all-round education as an example. According to the calculation of restoration of rights, its share price reached the peak of 99.93 yuan in 2015, while its share price reached about 24 yuan in 2016, with a decrease of more than 75%. If you think it has reached the end and buy at the bottom, how much is it now? Only more than 5 yuan! It fell by nearly 80%. Therefore, a stock has fallen much, which is not a reason to buy. Especially when it comes to the bear market in the second half of 2015, don't guess the bottom easily.

  3. Bo restructured and bought ST shares.

There is a common characteristic of restructured or ST stocks, that is, the price is very low and the performance is relatively poor. Either they basically don't make money or they often lose money. Therefore, a considerable number of investors will fantasize that if the stock has assets injected into backdoor restructuring and other things, isn't it "black chicken turns Phoenix"? For example, the integrated asset injection of Chengdu airlines in 2014 has increased 4 or 5 times in just a few months.

In fact, this is the same as catching bull stocks. The probability is too low. Fairy tales are beautiful, but reality is cruel. Bo restructured, St stocks often have the risk of delisting.

  4. I like listening to news.

Sometimes people around you will tell you the "good" news of a listed company from time to time, which is learned through friends of friends. Or someone in some stock bars tells you that a stock is ready to rise. If you buy a lot of inside information, you will lose a lot.

In fact, at this time, we have to ask ourselves two questions. First, where does this news come from? Second, divulging the inside information is a violation. Why should others risk telling you it? Therefore, there will be no pie in the sky.

  5. Frequent stop loss.

Some people will tell you that once you buy a stock and make a loss more than expected, such as more than five or ten points, you should stop the loss immediately. And call it iron discipline.

Is this right? In fact, these operation styles vary from person to person, and what suits you is a good way. Different investment ideas, different investment styles and different stocks determine different operation modes. For example, Buffett said that if the stock you buy falls by 50% and dare not buy again, it shows that this is not a good stock. That is to say, stocks with long-term investment value should buy more instead of stop loss as they fall.

The stock fluctuates every day, and the amplitude of three or five points every day is also very normal. Sometimes the requirements are too detailed, the vision is too short, and the stop loss is too frequent. If it is accumulated for a long time, it will be ugly on the book.

  6. Follow the trend.

The stock market has never lacked hot spots. For example, 5g concept, artificial meat concept, garbage classification concept and so on. If you follow the trend when hyping the concept in the market, can you buy a stock in the concept plate?

In fact, many times, leading stocks rise fast and fall fast. The following stocks tend to perform weaker. They not only rise slowly, but also fall very fast and miserably. "Stealing chicken can't eat rice", the gain is not worth the loss.