Stock Market is a place where public listed company stock are traded. the trading could be positional or intra day depends on the investors choice. a stock price is decided based on the demand and supply in the market.
- : Broker book the order either on behalf of customer (after confirmation) or for the customer in the stock market and the stock trade is executed in stock exchange through automatic process. Government has no direct role but regulate market through autonomous body SEBI which role is to curb malpractice and maintain transparency in market and banks will take care of the money transaction process after the trade.
- : Brokers are the bridge between exchange and traders. Exchange takes some deposits from the broker for providing broking license. Any dispute in the trade executed, first exchange settle the dispute with broker’s deposit to the counter party and the broker in turn should recover it from his trader.
- : The ultimate motive of people choosing stock market is to make money either through investment or through trading.
- : Yes, you can buy shares from one exchange and sell them on other exchange and vice versa provided the concerned share must be listed on the both exchanges.
- : if I quote high price to buy a stock compared to its current market price I'll become top most bidder and the trade will get executed
- : Order can be placed through a SEBI register broker who'll provide a D-Mat account and a trading platform for trade exchange. Types of order: Buy & Sell In case of long position the validity is as long as the stock is sold. In case of short position, the validity is until the end of the day. For derivatives the validity is the contract period at the maximum.
- : Long – Buying a share first and then selling the same is long position Short – Selling the share first and then buying is Short position Long Unwinding – Selling the shares to exit long position is long unwinding position Short Covering – Buying shares to exit short position is short covering position
- : If we do stock trading with right strategy, risk management, and good discipline it is business otherwise it's just gambling.
- : stock prices are decided by supply and demand cycle. if the demand is higher than supply the stock price will go up but if the supply is higher than demand then the stock price will go down.
- : Position trading is a long-term trading strategy that allows individual traders to hold a position for a long period of time, which is usually months or years. Where as Intraday trading means buying and selling stocks on the same trading day (between 9 - 3.30).
- : If traders sell stock before they buy, it is called as short. You can sell a stock say around morning, by evening you have to purchase the same stock at evening price. Say you sold a stock which was costing Rs 100 in morning and purchased it at Rs 90 in the evening - there you have made profit. But if the stock price goes up you have to book losses and purchase it.
- : A trading plan is a comprehensive decision-making tool for your trading activity. a trading plan is essential for Easier trading: all the planning has been done upfront, so you can trade according to your pre-set parameters More objective decisions: you already know when you should take profit and cut losses, which means you can take emotions out of your decision-making process Better trading discipline: by sticking to your plan with discipline, you could discover why certain trades work and others don’t More room for improvement: defining your record-keeping procedure enables you to learn from past trading mistakes and improve your judgment
- : The rise and fall of share price values affects a company's market capitalization and therefore its market value. The higher shares are priced, the more a company is worth in market value and vice versa.
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