Are Amateurs experimenting in stock market?

in LeoFinance2 months ago

With Covid-19 pandemic and lockdown in progress (that has really thrown out many from the work) there is really a boom on the creation of the trading accounts. It is noted that Robinhood itself added more than 3 million accounts during pandemic.

mark-finn-SgraLCyISWs-unsplash.jpg Source

Most interesting fact is that "amateurs" are testing waters without any formal education in the name of "buying the dip". But real question arises how they did find the "dip" without any education and experience.

In name of buying the "dip" some of the investors really purchased the shares of bankrupt companies like Hertz Global Holdings Inc. and J.C. Penney.

Most of people are out of work and investing their saving in name of buying the cheap stock. This can be really catastrophic when these stocks will further plummet and not able to recover .

Lack of knowledge about how the market work and access of complex financial tools to inexperienced players , really caused the suicide of robinhood customer

Are we going to witness something terrible in coming days?

Posted Using LeoFinance


Your current Rank (49) in the battle Arena of Holybread has granted you an Upvote of 19%

lol yes I am one of them

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I will wish you "Best of Luck" that your "gut feeling" proves right.

Cannabis stocks in Canada are all down

You make a really good point. Trading is something you need to know what you are doing and know how to follow the trends. Amateurs stand to lose if they are not very careful.

Thanks for stop by. It can be potential big issue in coming days.