Market price is a mechanism which coordinates partial knowledge and emotions of many individual participants . In truth we trade our belief system not stocks and test them in markets. Markets gives us the feedback by rewarding or punishing us thereby we continuously evolve our belief system.In our experience we see that to anticipate individual stock prices is a futile task instead one should continuously update and trade the general direction of the market.By taking market feedback we have to make attempts to be less wrong each time.
Market is efficient in its own way and equilibrium is only theoretical concept. Market extremes models crowd behaviour wherein price conveys illusion of hopes and fear of the traders.Modern tools of finance are misfit to reality and makes one life unnecessary complex.
we navigate markets by simple heuristics and Thumb rules .These rules are not arbitrary in fact time tested proven methods. One such common wisdom is to cut your losses in order to make profits but rarely you find walk the talk people.
Risk is not a bad word for us. We strive to make a community/workplace where risk takers are nurtured.To eliminate risk in life is to make oneself devoid of all the pleasures which Life has in its chest instead we should manage risk. Though we understand that reward is not a linear function of risk which means more risk necessarily does not mean more reward.
Only those rules and trades which we back with our own hard earned money are relevant to us We aspire to share these rules with our associates to make for each of us a happy social and professional life.