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What are the three guidelines for profiting from stock trading?
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[QUOTE="Jasz, post: 275583, member: 61772"] [FONT=Verdana]Good content! In addition, There are other rules to making money off of stock trading, which are: 1. Don't put all your eggs in one basket. If you invest all your money in one stock, that means that if the company goes down, you're out of luck. 2. Don't invest too much money into a single stock. It's best to invest a small amount at first and then increase it as time goes on if things go well. 3. Always diversify. This means that you should never just keep your money in one type of investment or security, but spread your investments around to different types of stocks and other securities like bonds and mutual funds so that you're not putting all your eggs in one basket when something goes wrong with one particular investment piece (such as if it gets hit by bad news). You need to understand how companies work, what their finances look like, and what their sales numbers are. You don't want to invest in a company that is going bankrupt or has bad financials. The third rule is patience! Stocks can take years before they start paying off for you, so don't expect instant results when you first start investing in them.[/FONT] [/QUOTE]
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What are the three guidelines for profiting from stock trading?
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