HOW TO BUY STOCK
A demat and trading account is required to buy shares first.Who can open a bank (HDFC BANK, ICICI BANK, UNION BANK etc.) or any broker like Zerodha in Angel Broking Sharekhan.Demat & trading account opens simultaneously And are interlinked.The fees for opening demat and trading accounts range from Rs 300 to Rs 1000.Some brokers open for free, but 500 to 1000 rupees is always a condition to be kept in the account, which is told after the account is opened.After opening an account you can trade (buy and sell shares) using your broker’s website or mobile app.
There Are Two Ways To Buy Stock
1. PRIMARY MARKET – IPO
As is clear from the name itself, the primary is the first MARKET where any company is sold for the first time to shares, PUBLIC, for the first time the issue of shares by the company is called IPO i.e. INITIAL PUBLIC OFFERING Is also known,
Any company in India which wants to get capital by selling its SHARE to PUBLIC has to tell the common PUBLIC about it to the common PUBLIC in order to sell the capital to the people fulfilling the conditions as per the rules of SEBI.For IPO (INITIAL PUBLIC OFFERING),
The general public can buy shares or stock directly through such IPO
Advantages Of Buying Stock From IPO
- The prices of SHARES are already fixed in a PRICE BAND where the minimum and maximum price is already decided?
- SHARES prices are usually found at a lower price in IPO before being LISTED,
2. SECONDARY MARKET – STOCK MARKET
SECONDARY MARKET is actually called Daily and Regular Trade on Stock Exchange where the shares are available to buy and sell all the time.Once Shares Primary Market is listed on Stock Market it is available for everyone to buy and sell all the time and this is what we call Stock Market or Secondary Market.This way Secondary Market can buy Share or Stock general public anytime Share for Market price
How To Book Profits On Stock
Traders and investors in stock markets are often advised to book profits immediately ie to secure their profits as soon as possible.But most people say that they are long term investors and will not book profits yet.While it is important to be a long-term investor, it is more important to have a long-term investment strategy.You can save yourself from loss by booking profits immediately so information is being given to book profits on stocks through this article.
What Is Profit Booking
Profit booking is also called taking profit.Liquidating holdings to capitalize the profits made through stock is called profit booking.This is important if you want to benefit from investments made in the stock market.
When To Book A Profit In Stocks
1.It is believed that a company has launched a new product which is a superhit or this company has contracted extensively so people start buying the stock of this company.Raises stock prices due to excessive buyers and purchases.In this situation many people reach their set goals easily and they sell shares and book profits.This situation causes a temporary slowdown in stock prices.
2. Profit booking can be done in case of a sector similar to the company.This is when a good news comes for a sector, just like a company
3.The exit of economic data is a common reason for profit booking.As soon as the news comes that there may be a decrease in GDP then you are ready to sell shares.You benefit from a share only when you book a profit to make a profit.
What Is The Type Of Trading In Stock Market
1. INTRA DAY TRADING
TRADE which are completed within a day ie the same day of buying SHARE or STOCK and selling on the same day is called intra day trading like – buying stock after opening MARKET at 9:15 AM and same You sell it before closing of MARKET at 3.30 pm it is often seen that an INTRA DAY TRADER does 5-6 TRADE in a day in such a way, the time to hold STOCK is in a few hours.
2. SCALPER TRADING
Such TRADE which are completed within a few minutes that is if it is sold within a few minutes to buy SHARE or STOCK then it is called SCALPER TRADING like – buying stock after opening MARKET at 9:15 AM And making small but instant profits by selling it within 1,2, or 5-10 MINUTE of purchase it has often been seen that such TRADING is AMOUNT too much
3. SWING TRADING
Such TRADE which are completed within a few days weeks or months i.e. after SHARE or STOCK keep it with you for a few days weeks or a few months and wait for its correct price to increase like -JANUARY Selling a purchased stock in 2017 till February or April May is called buying such stock BUYING at SHARE DELIVERY
What Is Stock Trading
Trading in the stock market means the purchase and sale of a stock in the hope of making a profit.Like, bought a company’s stock and then sold it after some time its price went up.This time can be from a few minutes to a few weeks.This time can be from a few minutes to a few weeks.Yes, it is possible to buy and sell shares in Stock Market even in few minutes.Because there are good and bad news about companies that are traded in the stock market throughout the day.
Due to which the prices of the shares of those companies in the stock market keep changing many times even in every second.Taking advantage of this, many people buy and sell shares within minutes.But this purchase sale can happen in such a quick way that the profit in such purchase sale can happen in minutes in the same way the loss can happen in minutes.
Understanding Share Market Risk
You must have heard many such stories about how someone became rich by investing in stocks overnight.You may have also heard how the share of a company was multibagger and in a short time it has doubled tripled or multiplied.On the contrary, one must have also heard how one has incurred huge losses by investing in the stock market.
Our aim should be to balance such gains and losses so that we can consistently get such a return on our investment so that our investment is not risked.