A quick guide:
- Envy your friend who “told” you he made a lot of money recently in stocks.
- Start buying stocks without knowing what they mean. You don’t want to miss out on all that sweet returns.
- Listen to gurus on TV and buying whatever non-sense stock they proclaim to be the next multi-bagger.
- Witness your portfolio rise by a couple percentage points.
- Realize you are a genius and start pumping in money in stocks left and right. There are thousands of them!
- Sell the stocks that have grown by a fraction of a percent and hold on to the stocks that went negative to hell.
- Buy stocks that everyone else is buying and sell ones that everyone else is selling.
- When your portfolio goes into red, you panic and exit out of all the positions and take a trip into the mountains with your negative returns thinking that investing is a dangerous thing that isn’t for you.