Recovery Ladder Concept in stock market

Recovery Ladder Concept in stock market

A Vicious Cycle

The stock market gives huge losses to most of the traders since we mostly fall into the trap of “Recovery Ladder Cycle”

1st Attempt in stock Market:

Lucrative and easy to make money.

Learn few things

Invest heavily to make huge profit.

Imagine to be so rich

but end with all capital means account blown.

2nd Attempt in stock Market:

After loosing in 1st attempt we try to learn the market.

Only few things click in mind and we again start to think make huge money with our previous lost money to be covered.

We manage more money then previously.

We take huge positions.

Since we could not educate ourselves then eventually end with zero .

3rd Attempt in stock Market:

Now We do the trading but with some extra knowledge without working on live market pshycology.

Now extra burden is there on use, the money we lost in first two attempt.

Our mind is not in control

Again

This phenomenon continues and we keep loosing and finally reach at the end of nowhere.

This vicious cycle of recovery never allow us to trade fairly and we are left with huge money lose and no learning.

If we follow the rules at below link most of our problem will get resolved if followed strictly

Trading as a Profession!! – Traders Fight

You may read: Treasury bonds in USA?

 

Leave a Comment