Share Market No.1 Opportunity To Build Money – Part 2

Indian Share Market Opening Time

The Indian Share Market is open 5 days a week and is closed on Saturdays and Sundays.It Open Monday through Friday from 9.15am to 3.30pm.

It is also closed on some other festivals or public holidays.

Concept In Share Market

The main indices of the Indian Share Market are Nifty 50 and Sensex.The Nifty consists of 50 companies with high capital. The Nifty index is based on these companies.

The SENSEX consists of 30 companies with high capital.The Sensex index is based on these 30 companies.

Capitalisation In Share Market

SHARE PRICE × NUMBER OF SHARE OUTSTANDING = CAPITALISATION

The types of companies that fall from capital are as follows:

  1. A company with a capital of over Rs 20,000 crore is called LARGE CAP.
  2. A company with a capital of over Rs. 05,000 crore is called MID CAP.
  3. A company with a capital of less than Rs.5,000 crore is called SMALL CAP.
  4. A company with very little capital is called a PENNY CAP.This includes a shop or a new small business.

Basic Of Share Market

Equity Market

You can keep the Share purchased in this mode for as long as you like.Also in this mode you have to buy the Share at the market price.

If the stock is purchased in (delivery) then you can keep it in the demat account for as many days as you want.But if you are doing (intraday) then you have to sell those shares before the market closes.

Derivative Market

In this mode Share was exchanged in two ways.In which CAll means increase of Share Value and PUT means decrease of Share Value.

This is the market that is most popular and gives the highest profit and loss in less time.

There are two main types.

  1. Option
  2. Future

Let above we look at the Nifty’s sectoral index.

First of all,I would like to mention here that there are two main indices in India, the first is the Nifty 50 and the second is the Sensex.

Stocks To Buy Today

In order to buy any stock, you need to analyze it so that you can sustain and increase your capital in the stock market.

Share Market No.1 Opportunity To Build Money Part 2
Share Market No.1 Opportunity To Build Money Part 2

So let’s see what analysis needs to be done when buying stocks.

Fundamental analysis

It’s just like the name basic analysis but it’s not that simple.

There are so many types it’s hard to say.As follows,

Investor mentality

It is important to know the mindset of the investor who is going to invest in the stock. Decide first why you want to trade and invest.

Company Basic Information

Also, get the basic information about the company you are buying now.

When was the company founded?
Who are the directors of the company?
What are the products of the company?
What are the feelings in the market about the product?
Is there any type of debit on the company?

Study the company’s profit and loss statement for the last 5 years.
Does the company have any future policies?
The market value of the company should also be checked.
Look at the cash flow of that company.
What is the business of the company? And whether there have been any recent incidents about it?

Check the company level frequently,
Look at the graph of debt level in it, look at the graph about the company’s income so that you can understand what the company is doing day by day.
It is important to look at the company’s profit growth rate.
Also, select the same stock in your watchlist so that you understand the daily updates on it.

This is the basic analysis, but there is technical analysis.

Technical analysis

It is a bit complicated but we can understand a lot of possible events from it.Here are some technical things to keep in mind.Understand open and close of stock, high and low price, PE ratio, trends.

There is a chart for this, considering the things on that chart, that chart gives you a lot of information For this, the type of candle formed on the chart and its meaning should be understood first.

Also many stock screeners are available for free in the market.Indicators that help you understand the meaning of the caddle.

There are about 150 indicators that provide you with accurate information when buying stocks.That way we can buy stocks with all these factors in mind.

In order to enter the stock market, it is equally important for you to know how the market works. For this, today we will learn about the types of orders and how to place those orders.

Delivery

By buying shares in it, you can keep it in your demat account for as long as you want.

Also, you do not get exposure from the broker when you buy shares in this way. The transaction is done entirely on cash. Delivery orders are made for 3 months ie short term and more than 3 months ie long term. Brokerage charges for delivery are very low, which means no. .

We can place GTT orders (Good Till Triggered orders) to take any stock at the price you want in delivery.

Intraday

In this case, it is mandatory to sell the shares bought today before the market closes today.If you forgot to sell it or for some reason could not sell it, your broker sells it through an automated system, for which a separate charge of Rs.50 is charged.You may have bought the stock and you think that if you want to convert that stock into delivery now, you can do so in converted equity.The highest risk is in intraday trading.

Therefore, new traders should take full information about this intraday.Otherwise losing money. The possibility of seating cannot be ruled out.

AMO Orders

This has provided a great opportunity for traders.This is especially beneficial for those traders who cannot track the price of shares in the current market.They can place orders today for the next trading day even if the stock market is banded through Amo order.This gives them some relief in buying shares at the right price. However, this type is only suitable for delivery as buying and selling while the stock market is open in intraday.

It is more convenient to do.

BTST Order (BUY TODAY SELL TOMMORROW)

In India, Bares brokers provide this facility for traders in which the shares can be bought today and sold tomorrow.

STBT Orders (SELL TODAY BUY TOMMORROW) 

Many brokers in India offer STBT just like BTST which allows traders to sell shares today and buy the next day.

BTST and STBT only work in delivery.

When a trader buys or sells futures or options, his broker pays him a certain amount as a margin for those traders.

There are two types of this margin in a match.

Span Margin

Margin derivative is widely used in the market.

This is mainly due to the margin of the shares being a loan for you from your broker so that you can buy more stocks without less available capital.

Exposure Margin

This mainly involves a process like a short term loan from the broker to the trader in a specific way. Using which the trader can improve his portfolio by trading more shares in less capital. It can be bought for tens of thousands.

But I will tell you all that exposure should always be used for your needs.

Learn More : Share Market No.1 Opportunity To Build Money – Part 3

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