Over the course of his extensive trading career, Action Alerts Plus portfolio manager and TheStreet's founder Jim Cramer has made mistakes and learned from them. And so he created a list of 25 Rules for Investing that can help you avoid the novice pitfalls that even he fell into on occasion.
And each day we'll release a new rule for you to digest and integrate into your trading strategies.
Cramer's mission is to help you find your own bull market. And you'll find it faster if you follow his rules.
So let's get going!
Rule #1: Bulls Make Money, Bears Make Money and Pigs Get Slaughtered
Basically, don't be greedy.
Cramer says that pigs are greedy and then they get slaughtered.
So how do you know if you're being a pig? Are you "intoxicated" with gains? You need to watch the video above to find out.
Because Cramer shares a lesson where he gave up on Amazon (AMZN - Get Report) because he needed to follow this exact adage. And while the stock went higher, the loss of that extra profit is much better than getting slaughtered!
He passionately talks about how his desire not to be too greedy saved him so he could live to play again!
So be sure to watch Rule #1 now!
Sign up and watch Jim Cramer's 25 Rules For Investing here!
A few more of Jim's Rules:
- Jim Cramer's Investing Rule #2: It's OK to Pay Taxes
- Jim Cramer's Investing Rule #3: Don't Buy Stocks All at Once
- Jim Cramer's Investing Rule #4: Buy Damaged Stocks, Not Damaged Companies
- Jim Cramer's Investing Rule #5: Diversify to Control Risk