If you really start investing in stocks in India you can easily start today without any problems. First, you need a Demat account, where you can hold your stocks in this account. Like your money hold or save in bank account.
After opening an account you need some knowledge about the stock market. Don’t worry here I am for giving some rules free how you can succeed in the stock market & how stock market big players make billion’s of dollars in the stock market.
Always think like a businessman.
Take an example here, you have own company. If your company have not any strong customer or client base and the company has only debt now you think your company can survive in the industry. No, because you have no good product & good customers and on a monthly basis, you have to pay your debt. How you make a profit from your business.
So, In stock market always find those stock which has no or low debt & strong database of customers & their competition is also low from this mindset you can find your stocks for investing purpose. If you short term trader you can also use technical analysis and there are many good indicators available and take help from this you can buy & sell stocks like RSI, MACD, demand & supply method.
Value of stock in the stock market.
Value of stock means the stock is good or not based on the other Big player mindset. The goal of any investor to make a profit in stocks. If big players mean FII’s are continuously investing in a particular stock, that means they are bullish on the stock. If you follow this rule you can easily make millions of dollars in the stock market.
Hold for the long term.
Never forget that buying a stock is just like a car, mobile phone, T.V., AC, etc. If you invest in good stocks they give you a good dividend on different-different time periods. If you buy Wipro 100 share in 1980 with investment only Rs. 10000 today this investment worth about Rs. 700 crore. Yes right, if your investor buys stocks with proper analysis.
How can one start investing in stocks in India?
First, you want to save money while working if you have some financial problems in the family. I had worked hard for my money and I had a brilliant idea that I wanted my money to work for me. You can open an account within Rs.10000 and bought some shares of the top 5 companies of nifty 50. You had always known your limitations.
How do I buy and sell shares online in India? How much does a broker typically charge?
You have an active Demat account if you don’t have you can open here. According to me, Zerodha is the best broker in India. If you take delivery of any stock there no broker charges taking from Zerodha. You have to just pay stamp duty and stock exchange transaction fee, it is very low if you buy the stock of Rs. 50000 you just need to pay Rs.100-200 fees.
Which is the best way to learn about stocks?
If you find the best way to learn about stocks, observe the market. When the result declared how stock reacting on it if the event occurs in the future you can watch other stocks when the same event occurs in other stocks. Learn strategies from the internet and applied that strategy. Learn about technical analysis and their indicators, backtest top stocks.
What is the best way to start investing?
Learn from successful as well as the worst investor. We have just listed one such effective investor, whose methods should be studied closely. Benjamin Graham’s writings and teachings have inspired many investors. Perhaps his greatest and most enduring contribution to the investment profession is the concept of “margin of safety.” In general, Graham used objective measures such as the book value of a stock (the net value of the company as reported on its balance sheet) and its price/earnings ratio (the price of a stock compared to its annual earnings— i.e. its P / E ratio) to help quantify the true value of a company. His recommendation was to buy stocks only when they were priced to that value at a significant discount.
I shared a pdf file you can download from here.
While viewing the stock market, Graham said, you can believe that you are in business with “Mr. Market,” and that a stock price merely reflects the expense of an entire company’s ownership of a certain amount. Mr. Market will be exceedingly happy some days and offer you a ridiculously high price for your stock and he will be painfully pessimistic and quote an unreasonably low price on other days. You should only take advantage of Mr. Market at these levels and consider what he has to say. Otherwise, it is best to forget about the competition and focus on the operational and financial fundamentals of a business, according to Graham.
What is the minimum amount needed to buy shares of India’s company?
It totally depends on you which stock is best for you. If you do the analysis properly you don’t ask anybody how much amount you need. Let’s take the example of Reliance Industries, your analysis said this stock performing well in upcoming days, you have 10000 rupees, you just invested Rs. 5000 in reliance industries and other is used for another stock from different sector.
How should a person in their early 20s invest their money?
You should only trust in what you know and what you understand. It is just that Peter Lynch is a particularly talented guy. He actually knows and understands better than you when making the tough calls comes down to it.
On the other hand, the statistical approach adopted by Ben Graham was in fact designed with the individual investor in mind. A broadly diversified stock portfolio with low P / E ratios and low price-to-book ratios still yields excellent results and is fairly easy to emulate. Graham thought you did not need to do extensive research if you owned twenty or thirty of those statistical bargains. You just don’t. Reading Graham’s work and studying it is how I first became fascinated by the stock market. I’m also following his ideas, wherever I can. It’s just that you can do much better than Graham’s more proactive approach if you’re able to do some of your own research, pick your spots and dig in areas where others don’t search.