How to maximise your returns in stocks

For maximising my returns you may follow the guidelines metioned below:

~ Research a stock before entering -- do not buy RNRL, RPL, Essar Oil etc because they do not have any track record
~ Keep a buy price -- buy only when the shares you have identified are available at the price you wish to purchase them
~ Sell on reaching the target -- selling is key to making money if you do not sell you gain nothing
~ Do not sell on a weak day -- when all the stocks are falling never ever sell
~ Buy in weakness -- these are days when the Sensex loses 5 per cent on either side so buy when market is losing
~ Sell in strength -- When the market goes up by 10 per cent or so it is time to sell
~ Keep at least 25 per cent of your portfolio in cash
~ Research and apply in initial public offerings, IPOs
~ Do not listen to what they say on TV channels -- they are paid for it
~ You will lose more money in day-trading and gain more if you can have a one-month holding capacity

Courtesy :: Rediff