COMMON BUYING AND SELLING MISTAKES
“Inactivity strikes us as intelligent behaviour. We are quite content to hold any security indefinitely, so long as the prospective return on equity capital of the underlying business is satisfactory, management is competent and honest, and the market does not overvalue the business.”
WARREN BUFFETT (CUNNINGHAM, 2001-A)
IN THE PREVIOUS chapters I have discussed three important trading aspects of investing championed by top investors. First I explained how to trade different types of individual stocks. A second chapter was about general aspects of how to buy, hold and sell individual stocks. And finally, I looked into smart trading strategies over market cycles. All of these trading rules are pretty ...