So, im 20 and it has been a year since i have been trading. And note, i later understood that i am not investing but trading. I really want to learn investing with the stock market the right way so i can provide my parents a better living, but i am struggling at this point if i should scrap it all. So now im feeling worried.
My family is not rich and had to struggle to get some cash, and since my job is shitty i decided its time to think in a different way. If you want to retire with more capital i figured investing early will give a huge advantage over time. And although i did manage to go up at some point in my portfolio, i am down now. Hardest part in all this is dealing with emotions knowing you lost some money.
I've went through all the mistakes one could imagine - gambling on high flyers and losing money; buying high, selling low chasing a running stock; buying stocks i had no clue about; impatience and selling within days if not hours; having many eggs in one basket, you name it. Starting with just 10% of my money i went in minus having LNKD and other stocks dragging it in june last year, and since then i was up to +11% this march having invested almost all, 90% of my money...and from there i managed to end -5% on my total account (basically down 15% from the top).
Basically for now i understood that i made a common mistake of having too much invested in each egg, and having too much money on the table i am more worried about the sum i lost in total on the account for the day, than understanding how big of a percent it is. I am limited to trading larger US stocks (no pot stocks), some fonds and etfs, although i dont buy etfs as i am not quite into them yet. With this i noticed that my stock trading account went from -10% to 0% to -20% while my funds account went to +20% and now down to 5%. 2013 was a good year and i managed to not rake in a lot during that year, and now i am worried as i see 2014 not being that of a good year and i am already -2-4 monthly salaries or 5% of my total money (-15% from top)
Each time i sell an instance of something it goes up the next day (and i am not joking, that is 90% of time - my friends and relatives say i am unlucky guy) and if it is fonds then once i execute a sell order the funds go down a lot that day and go up the next day. I get a lot of frustration from entry and exit positions and i can't figure out what am i doing wrong. I get angry when i see that after selling a stock at -3% for the day (for me it was -15%) the next day it goes up 8% (if not the next minute). How to deal with this situation? With the emotions? Is it just because i gamble too much money? Cause i know it is possible to do better, but i can't figure out how is it possible to lose on so many decisions.
I am also confused with the fact that fundamental predictions of others are hard to keep track of and it is hard to believe just someone saying buy or sell. I tried various different ways to enter, and in any case i ended up lower...and then i get into this dilemma - some say cut your loses, some say that markets go up and down and that i should keep for long. I see these conflicting ways of handling stocks, but most of all i am even unsure how people keep with investing money and not micromanaging their portfolio? How does one buy linkedin for 200 or higher and leave it off to see it being 140 now. Or if you put a stop loss and it sells/or you sell and then it goes up - how do you deal with that? Can't figure this one out. Thanx to all who can provide an opinion and share some advice. Best of luck to you all!
PS - only thing i am sure now is that funds worked out better for me than stocks, but yet again it was biotech and won a lot and lost a lot.
Submitted April 29, 2014 at 01:37PM by touse http://ift.tt/1fu4Xfo
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