Share market or stock market or equity market is a market where buying and selling of stocks or shares happen when companies publicly hold their shares for sale over money or exchanges. Share market tips that are sure to come in handy are:
1. The share market allows investors to hold shares of a company and be a part of their financial achievements. Whenever a company makes a profit, share market investors get their returns through dividends. Dividends are given by the company. But, investors need to be aware that in case the market performance goes down and the company share price falls, they incur losses too and the shares are further sold at a loss.
2. Investing and making good returns in the share market is not an easy task. Investors need to have sound knowledge of the market, do constant research on any kind of fluctuations and most of all, have lots of discipline and patience because such trading does not yield results overnight.
3. When a company gets registered to put out its shares for public offering to raise capital, this share is a part of the primary market. This is the first stage when the company goes public and investors can buy shares. Once the new stocks have been sold out, the shares move on to the secondary market. This is the time when the investor has the choice of exiting an investment and selling the shares that he/she bought in the primary market. This is the point where investors can make profits depending on the market performance and buy or sell shares to one another accordingly.
4. The National Stock Exchange and the Bombay Stock Exchange of the Indian share market has their own indices to help measure the performance of the market, Nifty and Sen sex, respectively. Depending on which platform investor choose to trade in, a basic understanding of the index calculation and share trading tips is good to have.
5. The value of stocks and share keep changing constantly depending in the market condition. It is difficult for investors to set a certain price. This is when derivative instruments come to the rescue, which also one of the share market strategies. The instruments help one trade in the future at a certain price that is fixed today. The amount of the trade is decided at the point of agreement.
• Commodity trading tips
• Nifty trading tips
• Equity trading tips
• Nifty options tips