Human Psyche behind Buying Below Rs 10 Shares

1. A stock trader can be a millionaire if he can control his emotions like fear and greed. However had it been feasible every body would have had been atleast a millionaire.

2. Now I dwell on the reason that why individual buys into below Rs 10 stocks as first of all he feels that he is paying lesser price for the face value whereas the face value needs to be deliberately seen in Economic times as one may get duped due to ignorance and it may turn out to be a RS 1 face value shares.

3. Human mind is ready to lose a small amount like 500 rs (say priced Rs % and buys 100 shares) for a small scrip.

4. Mind says that stock will double early as it has to just Rs 5 to become double and says "Paanch Rupai Kya Hota Hai, Jaldi ho jayega"

5. A human mind can force an individual to leave rational judgement and can make him buy irrational stock.

6. However a word of caution is that post nuclear blasts in India good scrips were quoting below RS 5 value and I quote a few of them:
Prakash Industries-Rs 8
IFCI-RS 5
Autolite-RS 3
RPG transmission-Rs 3

7. I have quoted a few scrips and it is the eye of the jeweller to find the right scrip which can make you a millionaire but chances of getting doomed are large in below RS 10 scrips as during a melt down these are most hit hard.