Do’s and Don’ts – SV Stock Research

Do’s and Don’ts for Responsible Trading

As you are aware, the stock market is uncertain and highly volatile in nature. To ensure disciplined and risk-managed trading, we recommend following the practices mentioned below:

Do’s (Best Trading Practices)

Always use a Stop Loss: Essential for risk management and capital protection.
Place the Stop Loss in the Trading Terminal: Avoid keeping a mental stop loss; always enter it into the system.
Set a Target Order: Define an exit strategy by placing a target price to book profits.
Trade with a portion of your capital: Never invest your entire capital in a single trade.
Limit the use of leverage: Avoid excessive leverage to manage risk effectively.
Focus on capital protection: Long-term profitability is only possible through disciplined risk management.

Don’ts (What to Avoid)

Do not risk your entire capital: Diversification is key to minimizing potential losses.
Avoid emotional trading: Stick to your strategy and avoid impulsive decisions.
Never share your trading credentials: SV Stock Research will never ask for your D-mat/Trading account Login ID or Password. If anyone requests such details, refuse immediately and report the incident to our official email.
Do not rely on unauthorized recommendations: All stock recommendations will be provided exclusively through our official Mobile Application. Download it for verified updates.

Example for Better Understanding

Scenario: If an investor has a total capital of ₹10 lakhs, it is advisable to allocate only ₹1 lakh per trade. The rationale behind this diversification strategy is simple: if the trade moves against expectations and the stop loss is triggered, the overall impact on capital remains limited.

This disciplined approach enhances the probability of long-term profitability while reducing exposure to significant financial loss.

Final Thoughts

Following these guidelines ensures a structured and responsible approach to trading and investing. Disciplined trading, proper risk management, and a strategic mindset are essential for long-term success in the stock market.

For any queries or assistance, feel free to reach out to our customer support team.

Trade Wisely. Stay Informed.