A Warm Welcome to the World of Indian Stock Market!!!
Investing in the stock markets requires a lot of a patience and focus. This needs to be done without getting distracted by the plenty of content available on the internet and other sources. To make a good investment you need to have the right knowledge and the right tools.
Knowledge and PROFISION are more important than having money when it comes to the stock markets. The reason for this is if your hard earned money is deployed without the right knowledge or analysis then that can hurt your pocket. Not only will your investment generate a negative return but you may also end up losing your confidence.
The next important thing for you to do is have "CLARITY" on your profile. Means you need to know who you want to be in the stock market ?
Some people come to the stock market with an understanding that money is lying everywhere, they try to do Day Trading, Swing / Positional Trading and also Investment. But this is wrong because a person normally tends to shift his profiles only when his positions are stuck.
This means you buy a stock for trading and then the stock instead of going up goes down which makes you shift the intraday trade to delivery. This normally is done with a view that at some point of time in the future the stock may come above your buying price and give a chance to exit with a profit. You need to know that every time you may not be lucky to witness this happening. Getting stuck into stocks which are not performing is the most common mistake that people tend to do.
You can be a Day Trader or a Swing Trader / Short Term Investor or a Long Term Investor. You may opt for any one or multiple profiles.
The below table will guide in your process of selecting a profile for your stock market venture :
|Intraday Trader||Yes||Low Investment||High||Low||Monitoring during Market Hours|
|Swing Trader / Short Term Investor||Yes||Medium Investment||Moderate||Moderate||Monitoring once at the end of the day|
|Long Term Investor||Yes||High Investment||Low||Moderate||At end of the day or Once in a week|
Note - Comments in the above table are in comparison with each other.
Important - Never shift your profiles in between your venture. Having Clarity on your profile is doing justice with your hard earned money.
We believe that your road map for going forward in your stock market venture should be as suggested below -