Step by Step Guide for share Market?

It's good to see that you are thinking of investing.

There are different methods of investment in the stock market. In my opinion, It is very risky without proper knowledge of the stock market.

The first thing you should realize is that YOU have the biggest stake in your financial future. So.... Listen to advice, but always, always do your own independent thinking and research!

Prior to direct stock investment, you should know your time frame and investment focus. Well amount of time required to deep research and study well about the stocks using the well defined fundamental analysis methods by legend investors.

Buy low. Sell high

- When you hop on the band wagon, it's already too late to sell/buy
- diversify
- think of it as a long-term investment
- buy blue chip stocks
- look at the price per earnings ratio of the company as a measure of a good buying price.
- don't invest your life's savings.
- invest only what you can afford to lose.
- invest only what you can afford to forget about for a long time. that way you're not tempted to sell at a loss when you're in a panic.
- You would be better off investing in a mutual fund that is managed by experts if you're not well versed in how the stock market works.

Always keep in mind, asking For Free Off-The-Street Advise Is a Highway to Disaster!

If people can trade the stock markets successful by posting questions like this, why are lots of people still poor? There are quite many things you need to learn previous to you can even start thinking about the stock markets...

1. First, you need to understand how the stock market works and what it is accurately about.
2. You need to know different styles of trading in stocks and shares.
3. You need to study about why lots of people lose their shirts in the stock markets so that you can avoid their mistakes and also make a decision if this is a risk you want to take.

After you have all the above point out knowledge, you need to ask the following golden questions previous to you can decide whether a stock is worth buying or not:

1. Why are you of the opinion that this stock will increase?
2. What is your expected entry price? After what price would your expected profit margin be too thin to enter upon?
3. Is your opinion valid in the first place?
4. When are you expecting it to increase? Can you hold on for that period of time or longer?
5. Where is your projected profit taking point? What is your profit taking point based on?
6. Where is your expected stop loss point? What is your stop loss point based on? Where will you tell yourself that it is time to take a loss and get out?
7. Does the way you are buying the stock allow you to hold on until your expected profit taking point?
8. How much of your money should you dedicate to this one trade?
9. What is your cash flow need? Does your cash flow need permit you to hold the full lifetime of the stock?
10. What is the level of primary, secondary and idiosyncratic risk you are undertaking when deciding how much of your fund to use?

So, as you can observe, success in the stock markets is not easy at all the little knowledge you have, the more risk you undertake. I lost hundreds of thousands in the stock markets previously to I become successful.

After you are sufficiently armed with the fundamental concepts and ideas, you need to know how to find money-making stocks to trade or invest in. You can do that the simple way by subscribing to stock choose services https://www.trifidresearch.com/ or you can learn to use daily and weekly news updates on my blog page to find excellent stocks with parameters that you can pre-define.

Take heed and good luck.

 

Very informative. Always go for quality sock, fundamentally strong with good management with clear vision. As mentioned taking advice from unknown is very dangerous

 

Yes Dear,
I really agree with you. This is really nice information. Every new trader is very confusing for money invested in the starting level. But this type of information can guide him.

Thanks,

 

Rajnish Sir, you explained stock market process expertly and I appreciate your post, I am pretty much sure it will be very helpful to all new traders, and the question you fired are very important, every trader must know the answer to these questions.

Thanks You,

 

Thanks Niharka Jain,

I hope these tips will help online trader.

Thanks
Rajnish

 

Stock market trading is both art and science. Some pre decided logics if followed as it is helps in earning good profit.

 

I read your full story about the step by step guide for share market. I found this very informative for me and for every beginner also. Thanks for sharing good information. Thanks