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Day 4: When to enter and exit a trade?

 

Buy low and sell high

You might be hearing the same thing from years. It’s true to make profit we should buy low and sell high. This is a very simple concept. However, the tough question is  How to find out when a stock is selling at a lower price and when it is selling at high or in other words When to enter and exit a trade?

Concept of support and resistance line

Normally, if we see this in our daily life. We shop more if commodities in near market is selling at a very low price and we stop consuming them when prices are too high. In other words we can say that simple theory of price,  demand & supply relationship  works in every market. I the above video I have tried to explain support & resistance level.

So, it is suggested that you should buy near support and sell near resistance. But, before that have a look at the above video.

 

Thank you for reading. We’ll be mailing you the next day lesson on:

Day 5: Where to place the right exit or stop loss ?

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