1. Buying on tips and rumours
A friend, a group chat or a video says a share will "double". By the time you hear it, the price has often already moved. Check the company's numbers yourself.
2. Putting everything in one stock
If that one company has bad news, all your money suffers. Spread across several companies and sectors.
3. Chasing shares at their upper circuit
A share that is rising fast attracts attention. Buying after a big jump often means paying the highest price. Read how circuit limits work.
4. Ignoring the fundamentals
Look at profit (EPS), price compared with profit (P/E) and book value at least once before you buy.
5. Having no plan for losses
Decide before you buy how much loss you accept and when you will sell. Without a plan, hope makes the decision.
6. Using borrowed money
Borrowing to buy shares multiplies losses as well as gains. Beginners should not trade with money they must repay.
7. Overtrading
Every trade has a broker commission and other charges, and taxes on profits. Frequent trading can turn a small gain into a loss.
8. Panic selling
Prices fall for many reasons, and some are temporary. Selling in fear locks in the loss. Practise watching prices move before you risk real money.
9. Not understanding what you own
Know what the company does and how it earns money. If you cannot explain it in two sentences, learn more first.
10. Skipping practice
Many beginners put real money in on day one. A few weeks of paper trading lets you make mistakes for free. Open a free practice account and test your plan first.
For education only. Not investment advice.