How can I become a good investor in the stock market?

#1

What steps I should take and knowledge I need to acquire for becoming a successful investor?

#2

Here are 2 most important steps to become a better investor in the stock market:

1. Read, Read and Read

Warren Buffet once told that he read over 500 pages per day. That’s what it takes to become successful. Which was the last book that you read?

Also read: 10 Must-Read Books For Stock Market Investors.

2. Implement

You cannot learn to swim if you won’t get inside the water. Similarly, if you want to become a good investor, you need to start investing and implementing the things that you learned in step 1.

Another way that can kick-start your journey to become a successful investor is to find a mentor. A mentor can save you a lot of time and energy to learn everything from scratch. Find a friend, family, relative or anyone who has a good knowledge of the stock market.

If you do not know anyone close to you who invests in equity, then find a virtual mentor. Read the blogs of the investors and learn their investment strategy. Or read the books written by successful investors.

In addition, here are few other tips to become a good investor in the stock market:

  1. Do not invest based on ‘tips’ and recommendations.
  2. Avoid ‘Herd mentality’.
  3. Do not let emotions cloud your judgment
  4. Have Patience.

I hope it helps. #HappyInvesting.

#3

To become a successful investor, you must want to keep learning about investing in the stock market. First, read blogs and books, attend webinars, and watch videos to understand the basics of the stock market. After that, you evaluate your investment goals and risk tolerance. Only then will you know which stocks will help you achieve your investing goals. To pick stocks, you will analyze the underlying company holistically from a fundamental perspective. Consider reading research reports, annual reports and financial statements of the company. Then, invest in that company’s stock, where you see fundamental triggers for growth. Have patience, and avoid herd mentality. Consider opening a Demat account with Mydhanush powered by Ashika Stock Broking to access top-notch research reports.