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Newbie stock market mentality

The stock market has been booming recently , and it has risen a lot! Many investors are returning and there are also many newbies on the road. The editor of Jintou Stock Network will tell you how to put your mind on it! What should a novice stock market mentality pay attention to?

The rush to make money is the biggest demon

The “rush to make money” is a psychological state of wanting to accumulate huge wealth in the shortest possible time. Among all the psychological disorders related to investment, the most common and most harmful is the “rush to make money. Novices are most likely to make this mistake.

In this psychological disorder, the core is “urgency”, a kind of anxious, restless, vain, and greedy psychology. No matter who it is, no matter how noble or despicable his psychological motives, no matter how famous or unknown his previous reputation, no matter how powerful his strength is, as long as he becomes anxious, he will inevitably attract other All kinds of woes and failures.

The reason why many novices will appear in the mental state of “rushing to make money” generally cannot escape the following reasons.

Reason 1: There is a bias in the understanding of things

As a result, “making money” will inevitably take a period of time. Although this period of time is affected by the investor’s own role and influence, this influence is extremely limited. In addition to itself, there are countless other factors in the world that play a role in it, even a decisive role.

Once investors start to speculate in stocks , they make a decision to buy or sell, whether to make money or not actually depends not on themselves at all, but on the combined force formed by all investors buying or selling. The only thing that can be determined about the operation state of this joint force is its “law of uncertainty”. Trying to make money in a short period of time has fundamentally violated the basic laws of the market, and the outcome is conceivable.

Reason 2: The nature of the investment market blinds people
The investment market, especially the stock and futures market, is generally considered to have the characteristics of “high risk and high return”. Influenced by this perception, many people set themselves unrealistically high goals once they start entering the investment market, in an attempt to make a lot of money in a very short period of time.

Reason 3: Greed

This is the most fundamental reason. If there is no strong greed, the above two reasons will not work.

It is for these reasons that once an investor has a certain amount of capital and some so-called investment opportunities that he identifies, he will be eager to make big money in the short term.

Because they are eager to make money, they tend to be prejudiced in the face of market trends. They only see the side that corresponds to their own thoughts, and they turn a blind eye to other situations. They fall into the trap of subjectivism, and then draw wrong conclusions and make mistakes. decision.

Because they are eager to make money, their hearts are full of impatience, and they often ignore the huge risks hidden in opportunities. When these risks become a reality in the future, it is too late to regret.

Because of the eagerness to make money, when implementing investment strategies, they often ignore reality and are too aggressive, investing most or even all of their funds at the beginning. Once the market suddenly changes, investors will be immediately caught.

This is just a thought of “urgency”, and a million barriers are opened.

And what you have to do is to establish the idea of ​​”protracted war”: stop thinking about getting rich overnight, make a little progress every day, as long as you can constantly surpass yourself and accumulate continuously, you can slowly change your own investment performance.

Armed with the mindset to fight the long battle, you’ll be better equipped to deal with change. Making changes step-by-step is the key to success.