Basics of stock trading in india
Backed by positive cues from around the worldthe Indian benchmark indices closed the week with a gain of 1. The on-going talks to ease the trade war between US and China eased the pressure around the globe and Indian and Asian markets responded accordingly. Going ahead, the first trading week of the new financial year unfolds and investors should keep watching the global trends which were driving the market sentiments for a while now.
The March month auto sales basics of stock trading in india and the rupee and crude oil price movement are also important.
Although the indices reacted positively last weekthe short term trend still remains down. Whats important to watch is whether the indices can break the key resistance conclusively. Basics of stock trading in india key resistance points or the Nifty and the Sensex are poised at 10, and 33, These are key hurdles and as long as the indices trade below these levelsit would be difficult to judge whether there is a confirmed uptrend or not.
As expected, the markets were influenced by global cues last week. The week that passed by witnessed the global markets skidding on the prospects of a trade war. Another factor that contributed to the downfall of the markets was the resultant rise in crude oil and gold prices. It is to be remembered that both the Nifty and the Sensex had registered a 4. Going ahead, the basics of stock trading in india term trend continues to be down.
The Nifty closed below 10, basics of stock trading in india the first time since last October and it has breached the day moving average which was poised at 10, The Sensex too, has breached all the immediate support levels including the day DMA.
It would be unrealistic to expect any strong positive movement this week considering that the March derivatives expiry is coming up.
A further fall in the indices will reinforce the downtrend and bearish sentiments will become more and more prominent. The equity basics of stock trading in india will be shut down on Thursday and Friday basics of stock trading in india account of Mahavir jayanthi and Good Friday. Going ahead, the US fed meeting is the big event coming up. Experts say that a rate hike is possible. The crude basics of stock trading in india price movement is also important to watch.
As far as the Nifty is concerned, it is hovering just above the day moving average at 10, Multiple closing below the moving average can basics of stock trading in india the index down to 9, levels in no time.
So traders need to be extra cautious in taking positions. For the week ahead, we expect the Sensex to trade in a range of 32, and Nifty in a range of — A bullish momentum is hard to come in the present scenario. Led by the continuing carnage in PSU Banking stocks, the India benchmark indices — the Sensex and the nifty closed at 33, and 10, The selloff in metal stocks and weak global sentiments further added fuel to the Indian markets making the sentiments bearish.
Going ahead, there is a slew of economic data to be released and the market movements are likely to be influenced by these numbers which includes — IIP data for January and inflation numbers for February.
The markets are also likely to be influenced by the outcome of the GST meeting that concluded on last Saturday. Other factors that are likely to influence market movements include — crude oil movement and US CPI data for February.
Overall, the present scenario does not look cheerful. The stock indices show a downward tilt and it is likely to continue the downward movement in the short term. You can get the latest posts delivered to you for free via Email or RSS.
Website developed by Toobler Technologies. Financial Discipline for all. Articles New to investing? Try our Beginner's Lessons. Bearish sentiments to continue. Macro data to drive the markets ahead… by J Victor on March 12th, Led by the continuing carnage in PSU Banking stocks, the India benchmark indices — the Sensex and the nifty closed at 33, and 10, Choosing a Broker and opening Demat Accounts Make your debut!! Valuation of shares Futures and Options - The basics.
About Jins Victor Jins Victor is the founder of www. Based in Kochi, he heads one of the leading financial consultancy firms in Kerala.
He is an avid follower of stock markets and invests in his own account. Through this website, he shares his experiences and knowledge and teaches how to make money from share markets using solid rules.
New investors taking their first steps towards learning the basics of stock trading should have access to multiple sources of quality education. Just like riding a bike, trial and error coupled basics of stock trading in india the ability to keep pressing forth will eventually lead to success. One great advantage of stock trading lies in the fact that the game itself lasts a lifetime.
Investors have years to develop and hone their skills. Strategies used twenty years ago are still utilized today. The game is always in full force. Open a stock broker account Find a good online stock broker and open an account. Become familiarized with the layout and to take advantage of the free trading tools and research offered to clients only. Some brokers offer virtual trading which is beneficial because you can trade with play money see 9 below.
A great basics of stock trading in india for comparing online brokers can be found at StockBrokers. Basics of stock trading in india books Books provide a wealth of information and are inexpensive compared to the costs of classes, seminars, and educational DVDs sold across the web. Here on the site we have a basics of stock trading in india list of 20 great stock trading books for investors to consider.
Read articles Articles are a fantastic resource for education. Our free Stock Education page here on StockTrader. Recommended websites for investment education are investopedia. Find a mentor A mentor could be a family member, a friend, a past or current professor, co-worker, or basics of stock trading in india individual that has a fundamental understanding of the stock market. A good mentor is willing to answer questions, provide help, recommend useful resources, and keep spirits up when the market gets tough.
All successful investors of the past and present have had mentors during their early days. Forums can be another source for question and answer. Two recommendations include Elite Trader and Trade2Win. Just be careful of who you listen to. The vast majority of participants are not professional traders, let alone profitable traders. Heed advice from forums with a heavy dose of salt and do not, under any circumstance, follow trade recommendations.
Study the greats Learning about the greatest investors of years past will provide perspective, inspiration, and appreciation for the game which is the stock market. Basics of stock trading in india of my favorite book series is the Market Wizards by Jack Schwager. Read and follow the market News sites such as Yahoo Finance and Google Finance serve as a great resource for new investors.
For in depth coverage, look no further than the Wall Street Journal and Bloomberg. By monitoring the markets each day and reading headline stories investors can expose themselves to trends, 3rd party analysis, not to mention economic concepts and general business.
Pulling quotes and observing fundamental data can also serve as another good source of exposure. Beware though, over time you may find that a lot of the investing shows on TV are more of a distraction and are overall full of junk recommendations.
This is a natural evolution; you are not alone! Consider paid subscriptions Paying for research and analysis can be both educational and useful. Some investors may find watching or observing market professionals to be more beneficial than trying to apply newly learned lessons themselves. There are a slew of paid subscription sites available across the web, the key is in finding the right ones for you. View a list of the services I use use myself. Two well-respected services include Investors.
Go to seminars, take classes Seminars can provide valuable insight into the overall market and specific investment types.
Most seminars will focus on one specific aspect of the market and how the speaker has found success utilizing their own strategies over the years. Examples include Dan Zanger and Mark Minervini. Not all seminars have be paid for either. Some seminars are provided free which can be a beneficial experience, just be conscious of the sales pitch that will almost always come at the end. When it comes to classes, these are typically pricey, but like seminars, can also be very beneficial.
Buy your first stock or practice trading through a simulator With your online broker account setup, the best way to get started it to simply take the plunge and make your first trade. If trading with real capital is not possible initially, consider using a stock simulator for virtual trading. A variety of online brokers offer virtual trading for practicing.
One of the most common mistakes traders make is to go all-in and try to score big with a full portfolio position out of the gate. This basics of stock trading in india an often painful mistake and why many new investors suffer big losses early on. Proper portfolio allocation is extremely important. For more tips of wisdom, see my article, 60 Stock Tips for Investment Success. For the majority, trading will be losing proposition.
Warren Buffett, the greatest investor of all-time, recommends individual investors simply passive index instead of trying to beat the market trading on their own. Interested to see what stocks Warren Buffett recommends for your portfolio? Sign up for our free market recaps Join over 22, other investors and receive our weekly posts via email using the subscribe box below or on the sidebar.
I invite all new investors to make StockTrader. Read my page interactive course, The Interactive Guide to Technical Analysisand learn how to read stock charts. Enter your email address.
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