Wrong reasons to buy stocks

 Whether you’re a market newcomer or have been trading for five years without a clear strategy, most investors fall into the same two traps when hitting the "buy" button. While there are dozens of ways to lose money, these two psychological hurdles are the most common:

The "Discount" Trap: You see a stock that was once at $X, and now it’s down 20%, 40%, or even 60%. You think you’re getting a bargain. (Think: PYPL, UNH, or NFLX). The "Headline" Trap: You buy because a stock is constantly in the news, hitting fresh highs, or offering a tiny 5% dip after a massive rally. You buy the hype, not the value. (Think: NVDA, MU, or GOOGL). The issue isn't necessarily the companies—it’s the logic. Buying simply because a price is "low" or "popular" is a recipe for underperformance. In our next call, we’ll break down exactly why these strategies fail and what you should be looking for instead. Stay tuned.