MFs are really good for those who can't afford to give time for market analysis. As rightly said, a wise man never keeps all eggs in one basket. MFs are best for us
Do not go on buying the shares of the same company,when the price is falling to make a better average price.It may fall further again and again.If you keep buying to avoid loss, you would find that you have invested more money in this stock and deprived yourself the money that could have been invested in some other stock which would have given you better returns.Put a stop to this sort of buying.
Buy a stock in small quantity.If it performs well buy more. There is an upper price for every stock beyond which the increase will be very slow and fall,when it occurs could be rapid. Do not lock too much of your money in such stocks. When you feel that the particular scrip has reached maximum price,sell a major portion of your holding, if not all.
