In equity markets, whatever precaution one might take, the probability of a mistake of getting stuck with a wrong stock cannot be ruled out. The only difference is that the probability of that goes higher, when stocks are being bought at a time when even bulls don't know why they are so bullish, which was the case till very recently when there was a mad rush to buy mid and small caps. So, mistakes are an integral part of the learning curve of the stock market. But then there are mistakes and silly mistakes, just try to avoid silly mistakes. How ? Stay away from stocks where there is a narrative that this sector will do well because of XYZ reasons or the company will get such and such orders worth this much. There is enough evidence in history to show that more than anything else, checks and balances are most important at a point of time when valuations are high and yes despite the recent correction they are high.