Friday, December 21, 2007
volatile market
Dont put your entire money immediately in buying the shares you believe will do well, what ever be the reason behind it for your investment dont put all your entire money in one investment do it periodically , this will save your investment and also reduce the risk. Go for the stocks of those companies that are fundamentally strong and has a good track record and do the investment in those sort of shares periodically.
No Single share can be said that it is strong and good to buy just because the price of the share is increasing in the market,when you locate such share dont run immediately behind those shares and invest indeed do some research and find the background for the rise and the companies compatability and then go for investing.
Never keep on changing your strategy because switching frequently you will lose the ground of your reasoning and chances of going for junk shares are more so stick to your strategy, and the main thing that will help you to increase or help to earn from share market is "Diversify your Investment",keep diversifying your investment so that the risk of losing your investment is less always.
Friday, December 14, 2007
Rules Rules and Rules
When you are investing in market donot enter the market with certainities, think always in terms of probabilities, certainities will never help in share market.
When you want to invest for long run see for the fundamentals of the company and invest but when you want to invest for short term and day trading you should see for the technical analysis .
Never bring your emotions inside the market emotions cannot be strategies and they will never help in your investing.
Never try to go against the market that is not recommended even by the big guns
Keep watching your holding always you just cannot hold a share which is not at all useful to you or going against the probabilities, be ready to gain or be ready come out of the market immediately when you smell danger.
Try to analyse your stay in the market and the business done by you atleast every month and learn the plus and negatives, reviewing your lose, and profit will help you to plan further in the coming month.
Tuesday, November 13, 2007
what do you do on week ends saturday and sunday
What do you do on the week end saturday and sunday ?
Sunday, November 11, 2007
Trading is it risky?
So nothing in the world is free and nothing in the world is easy and especially you just cannot sit in the easy chair enjoying your coffee and paper and earn, that is totally wrong.If you learn the basics of what you are going to do and plan your things with certain goal and approach things according to your plan it is not hard,everything in the world is attainable if you approach it with a plan
Wednesday, October 31, 2007
Drop your tips and comments please
Ok , friends will you give me your tips and your comments,
Lets make this in BIG BIG WAY
DO DROP IN
Monday, October 29, 2007
India's Curbs May Inhibit Efficiency, Paulson Says
``Administrative restrictions of capital flows are blunt instruments and can have unintended consequences,'' Paulson said at a conference in Mumbai today. ``They tend to inhibit inefficiency and lose their effectiveness over time.''
go for the complete story of this interview below
Monday, October 22, 2007
Some points to ponder in day trading
Generally intraday or day trading means - you should buy low and sell high,
or you should sell high and buy low this is basic factor of daytrading
to make good money.
But in reality almost all of them trade in a hasty way in day trading and lose money
instead of earning, there are two important factors you should possess to be a successful
day trader, 1.Discipline, you should trade when you find the winds are favour for you
and if you feel that is a good trade rather than becoming a trader of compulsion, when
if you feel it is favouring as you wish there is no need for you to go to the market at all.
2.Cut your losses - this is the most important factor that most often offered as advice
to all traders in all type of trading and the most neglected one on the otherhand, unless
and until you learn to cut your losses to as much as possible the profits you are going
to get is less.
Develop your knowledge of markets by going through lots of newspapers, articles, reports,
experts reviews, and other resources and most of all make a habbit to watch the market.
As for as tips are concerned it cannot be assured because to give the tip what sources
the tipper had analysed and all we dont know and more over no tipper in the world will give
you 100% assurance about his tip, so , it is advisible after you receive a tip you do the ground
job and a small research for yourself to find out the worth of the tip before investing.
Trading market has got two feelings 1. Greed 2. Fear, you trade with greed and quit with fear
but if you trade in the reverse, that will give you some good results ie., trade when others fear
and quit when others are greedy.
Sunday, October 14, 2007
The Important donots of Share Trading
2.Don't go for an investment/sale with that - don't be impulsive.
At times when you happened to receive such tip about a stock, rather than taking a drastic move on your own go for the first hand news about that you can check the news with the following sites.
1.http://www.nseindia.com
2.http://www.bseindia.com
3.http://www.icicidirect.com
4.http://www.indiaearnings.com
These are some of the important official and non official sites that you can rely upon for the important News, announcements, dividents pay off, any corporate move by any company over other company,moves of the top managements,anouncement of their earnings, and other important things happening in the market. These sites will give you the hot and the current news exactly, so whenever you receive any tip about the market it is better you check with these sites for the genunity of the tip before taking any move.
An important clue that works
This is an important clue for all those interested in share trading , almost all those who trade might definitely know CNBC TV 18 and Mr.Udayan Mukerjee. During the CNBC Market Opening Bell (From 10:00 AM to 11:00 AM on trading days), Udayan interviews CEOs of atleast two to three companies which are in the news for various reasons. Recently they have started picking a small cap stock daily to interview the management.
Before taking a stipulated commercial break, Udayan will tell us which management he is going to Interview after the break. Purchase the stock after the announcement. Be vigilant during the Interview and Exit the stock after the interview suitably depending on the developements and announcements during the Interview. Often in 95% of the cases, these deveopements turn out to be positive and you will end up with a decent profit in your trade. But the catch is, you have to trade all the days, to negate the effect of remaining 5% losing trades. And remember, this is a very short trade.
This clue was given to me by one of an experienced trader while checking with this sort even I agree with what he told to me, but share market is unpredictable also.
Friday, September 28, 2007
kinds of traders
1.Investors 2.Traders 3.Speculators
Investors are those who are interested in investing their money in share on the assumption that it will be safe and the returns will be high in long run, ie., the investor purchases the share and holds it as assets hoping that his investment will give a capital gain in the long run he will not be interested in indulging in trading as a profession or they are not interested in short term quick income
Traders are those who on the other hand exactly the vice versa of the investors, these people are interested in making profit in the market in short term it may be for few minutes, few hours, or for few days, they always try to profit from the short term gains in the market.
Speculators are those who are ready to take high risks in for a high profit,they will be always prepared to take high risk with respect to anticipating future price movements for high large gains and normally they invest in the highly leveraged investments such as futures and options.
Here, normally an investor will always before investing will see for the track record of the company its product, its balance sheet and so on because their aim is only capital gains,and a trader is not at all worried about the company or its product or its track record but they are interested only technical analysis or charting which relate only to the stock price.
Precautions for trading
1.Investors 2.Traders 3.Speculators
Investors are those who are interested in investing their money in share on the assumption that it will be safe and the returns will be high in long run, ie., the investor purchases the share and holds it as assets hoping that his investment will give a capital gain in the long run he will not be interested in indulging in trading as a profession or they are not interested in short term quick income
Traders are those who on the other hand exactly the vice versa of the investors, these people are interested in making profit in the market in short term it may be for few minutes, few hours, or for few days, they always try to profit from the short term gains in the market.
Speculators are those who are ready to take high risks in for a high profit,they will be always prepared to take high risk with respect to anticipating future price movements for high large gains and normally they invest in the highly leveraged investments such as futures and options.
Wednesday, September 26, 2007
Share and its requirements
Share market is a place where these kinds of shares are being bought and sold and they are NSE and BSE which almost act as the back bone of the economic of our nation.Now a days the physical presence of a person in the market to trade has gone down a lot due to the massive advancement of internet any person can sit in anyplace in the world and can join trading and do trading.Normally when you want to buy or sell any share which you wish have to place your order through a broker or on their own thro on line trading.whenever a share is purchased that will be sent to the person either in physical or in demat form and now sending in physical is almost nil as it is totally taken over by demat form.
Demat is nothing but the short form of Dematrialization by which a person who bought the shares can get his shares converted into electronic form and that his account of this form will be maintained in the Depositary Participant in other words the DP.
DP's are nothing but those companies or the organisations that are involved themselves in this kind of services , they can be banks, financial institutions and brokers.when any body who ever interested in involving himself in trading or in investment should posses a Demat account and for opening the Demat account he should go to any DP and get himself an account,and it is very simple also, and once a demat account is opened all the investment made by the individual and all the shares on his hold will be shown in his account.So botheration of holding those share certificates personally and physically is being eased out by this .
"As per the extent rules of SEBI to buy and sell shares one must possess a demat account and that is COMPULSARY".
Allmost all the banks are now Dp registered , so you can very well open a Demat account from them, and to open a demat account the following documents are needed:
1.PAN card.
2.Voters ID for identification purpose
3.Ration card for address verification
4.IT returns
some time if you not able to produce 2,3,4 you can produce other documents like passport, driving license, telephone bill, electricity bill, or employee identitycard etc as these will serve the same purposed as stated above, but to open a demat account it is compulsory you should possess a "PAN card".
Once when you open a demat account you will be provided with a BOI number ie.,"Beneficial Owner Identification"number, with which all the transaction by the individual will be done here after.
Monday, September 24, 2007
online trading
Now, plenty of "common" people own stock. Online trading has given anyone who has a computer, enough money to open an account and a reasonably good financial history the ability to invest in the market. You don't have to have a personal broker or a disposable fortune to do it, and most analysts agree that average people trading stock is no longer a sign of impending doom.
Before we could go for a jump start to the diffierent types of online trading aspects it is better for us know about some basics of online trading. let's take a quick look at the basics of the stock market.A share of stock is basically a tiny piece of a corporation. Shareholders -- people who buy stock -- are investing in the future of a company for as long as they own their shares. The price of a share varies according to economic conditions, the performance of the company and investors' attitudes. The first time a company offers its stock for public sale is called an initial public offering (IPO), also known as "going public."
Then, the profit made by that business is being shared among the share holders in the way of dividents,normally the price of the share of a company varies with certain aspects,mainly, according to economic conditions, the performance of the company and investors' attitudes.In this the stocks that pay frequent income by way of dividents are called income stocks, the stocks that a company which reivests for the growth of the company furthermore are called growth stocks.
Here, the broker is a person who buys and sells these shares through an exchange for a commission charged from the consumer to do so,he may do this on the trade floor or or can make trades by phone or electronically.
How to start an online trading with this much information we will see in the next blog.