First of all, you need a DEMAT ACCOUNT to invest in the stock market.
There are two types of brokers. One is discount brokers and another one is full-service brokers.
Discount brokers:
they charge less brokerage
and on the delivery, Upstox broker takes zero brokerage
🔴 Free Demat account in UPSTOX 👇
https://bv7np.app.goo.gl/TFVw this is a discount broker.
Full-service brokers:
they charge a little more brokerage but they give you service.
They teach you how to trade.
How to execute orders.
They give you almost a beginner guide.
And also they take online and offline classes for their clients.
what is the stock market?
A stock market is a place where you can buy a company's shares and you will be a shareholder of that particular company.
A company performs good or great then the stock price of that company will rise and your share price value also rise.
So this is the way a shareholder makes profit in the stock market.
What you should do first in the stock market?
Learn the stock market how it works, watch the live market so that you will have some idea how stock prices falls.
Learn candlesticks patterns, chart patterns, fundamental analysis, technical analysis.
Check past record of the stock market, it will help you to understand stock market behaviour.
what is a good time to invest in the stock market?
The good time to invest in the stock market is now.
Another time to invest in the stock market is when the market falls,
Buy shares at lower prices but don't buy junk stocks at lower prices.
You should focus on quality stocks.
Do not buy penny stocks at your starting journey, because you don't have much knowledge at starting.
Understand the Risk in the stock market?
This stock market is very risky and also a good rewarding instrument. but new investors and traders do mistakes because they want to get rich quick.
Always have a fixed amount to invest, do not take high leverage, debt to invest or trade in the stock market.
which stocks are good for investment?
Focus on these points to buy stocks:
- Sector leaders.
- good business.
- high market share.
- zero debt or less debt.
- consistent in profit, etc.
long term investment.
Always remember, long term investment is not getting a rich quick game, you have to give focus and have the patience to hold stocks for years.
SIP MODE?
Systematic investment plan - it is good for every small investor who wants to invest in the stock market.
When a small investor buys shares every month with a small amount that is called SIP.
If you don't have big capital / big money then you don't need to worry, just select few quality stocks and start to invest a small amount every month.
Benefits:
you can average at every downfall of the stock market.
you will get shares at lower prices.
Disadvantage:
you buy shares at high prices too so after the end of the investment journey you will get less return.
LUMP-SUM MODE?
Lump-sum is when you have a good amount and you want to invest it at one time.
The benefit of a lump sum is that you will get more returns than a sip.
The disadvantage of lumpsum is if the market falls after your investment then you can not average at a lower price because you have already invested.
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