Sunday 28 October 2012

How to Invest In Stock Market for better profit



At present stock market is a very popular term. Most of them aware to the stock market so we can say that to investing in stock market is not a big deal. Many people think trading is the simplest way of making money in the stock market but they are completely wrong. For new investors or beginner, to earn profit in stock market is very difficult because they don’t understand the market phase or market type. If anyone want to do trade in stock market then it is essential that investors are aware from few things.
What is Stock market…???
Type of stock market
Difference between share and stock etc etc

Stock market
Stock market is a place where we bought or sold the share of companies or we can say that Stock market is a virtual exchange of securities like as share and debenture of companies. Stock market is a word that cannot be readily in a sentence. To well understand market you should have a lot of experience. If you want to earn money from this market then don’t invest your money without knowledge taking Stock Tips is helpful for you to earn money.
In India, there are two stock exchanges:
  • National Stock Exchange (NSE)
  • Bombay Stock Exchange (BSE)

Basic need for investment
To invest in stock market, Demat account is essential. You can open your trading account with an authorized broker. After opening of your account you have allotted a certain client code, which you can use every transaction. Once you open your demat account you can easily start investment in this market.

Strategy to make money

  1. Don’t get emotionally involved with your stocks. Follow a set of buying and selling rules, and don’t let your emotions change your mind
  2. Always cut your losses at 8% below your purchase price.
  3. As a new investor, be prepared to take some small losses.
  4. It is important to know what phase the market is in trending and trading phase. In a trending phase, you go and buy/sell breakouts, but in a trading phase you buy weakness and sell strength.
  5. First strategy is if you would like to save your money then you must go for online stock trading.
  6. When you are thinking of to investing in the market then you need to go for a professional broker or consultant and also get some stock tips based on BSE and NSE take advice. Because they have a lot of experience about the market and they also know when market will be up or down.
  7. For more profit you fix your target and stop loss. If you are not capable to fix it then you consult a professional person
  8. Do not trade during the first half-hour of the session. Most experienced traders simply watch the markets for the first half of the day because they try to understand the market condition and then start investment.
  9. Watch each and every moments of the market and try to understand the actual condition of the market. When you understand that what phase is going on then you invest.
  10. Don’t expect too much profit, be happy whatever you earn.