Stock Market Investor ka ba o Trader?

Defining who you are is very important just as defining your strategy in the Stock Market.
Are you an Investor? Or a trader?
If you are into Stock Market then you should be able to identify yourself if you are a Trader or an Investor.
What is the difference of being a Stock Market Investor and a Stock Market Trader?

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Let’s define each of them first (www.investorwords.com)

Investor
Is an individual who commits money to investment products with the expectation of financial return. Generally, the primary concern of an investor is to minimize risk while maximizing return

Trader
1. One who buys and sells securities for his/her personal account, not on behalf of clients.

2. An investor who holds stock and securities for a short period of time (a few minutes, hours or days). The goal is to  profit from short term gains in the market. The stock selection is generally based on technical analysisor charting which relate only to the stock price rather than a fundamental evaluation of the company as a business.

“ A trader differs from an investor because a trader will hold assets for a shorter period of time and tends to capitalize on short-term trends. ”

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Personally I have tried both. Yes, you heard me right. I have tried to Invest and Trade.

I have been investing for quite a few years already and I attended a lot of trainings, read books about investing ad trading.

Investing minimize the risk especially when you are practicing “Diversification”

Trading is also very risky, if you don’t have a clue on what you are doing.

By the way, Trading is very different from guessing “Hulanalysis”

What is my recent Trade and How much I earned?

See the screenshot below:
2GO
Just to clear things out, I didn’t posted this gain to boast or para magyabang.

I posted this to show you how trading + knowledge + trainings + having the right friends and mentors can give you an edge when it comes to trading.

 

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What advice can you give me if I’m willing to take risk?

If you want to minimize risk when you are trading then you should at least know the following:

  • CHARTING / TECHNICAL ANALYSIS
  • P/E , MACD / RSI AND OTHER TECHNICAL INDICATORS
  • SUPPORT AND RESISTANCE
  • ATTEND STOCK MARKET TRADING SEMINARS (TIP: ask your stock broker for technical analysis training, stock brokers gives free trainings on technical analysis and others topics about stock market)
  • HAVE AN ENTRY AND EXIT STRATEGY
  • And the most Important is find Mentors and right friends who can teach you

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The last one is the most important- Find friends who are trading and find mentors.

Connect with the right people and they will generously share their knowledge and experience with you.

Who are my Mentors for trading?

You can find them by looking for Traders Apprentice Pilipinas facebook group page.

Thank you to my friend James Magsumbol and the rest of the CF and TAP friends.

If I don’t have much time to monitor the Stock Market, Can I be a trader? NO, trading in a speculative stocks requires time and monitoring. If you are working 8-6pm then you can’t trade at all. Unless you are trading while you’re working (not recommended, your boss will be very upset)

“Winners are not afraid of losing. But losers are. Failure is part of the process of success. People who avoid failure also avoid success.”
-Robert Kiyosaki

If you like this post and would like to learn more about trading and investing then Subscribe to my blog Super OFW Investor and leave a comment below.

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Nolan Lazaro
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2 Comments
  • riza sengcor
    Posted at 19:45h, 23 January Reply

    Where did i get the right idea to know more knowledge if i decide to enter the stock market world?

    • Administrator
      Posted at 21:29h, 23 January Reply

      Hi Riza! that is a very good question. I always advise our blog readers “Aral muna bago invest”
      This is my advise to them because It is very important to know where you are putting your hard earned money.
      Regarding your question, I sugest you read a blogs about Financial literacy. Look for mentors. Read good books, listen to podcast and seminars.. subscribe to thisblog to receive emails from us regularly. Lastly, never hesitate to ask questions. very important un sa learning progress.

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