Trade Nivesh Investment Advisor Has Been In The Stock Market For 8 Years We Deals In Equity, Commodity And Forex Segments of Stock Market Of All Major Exchanges Stock Listed.

1. A Journey into Stock Market
In this article I will be focusingon the following points:
 Tips for investinginstock market
 Some basic terms
 Other factors affectingstock market
* Read the article very patiently,stepby step analyze the pointsand in case you feel stuckstart
readingit again from the beginning.
So let’sstart with it:
Introduction –

2.  The lure of moneyhas always thrown investorsinto the lap ofstock markets. Howevermaking
moneyin equitiesisnot easy. It not only requiresoodlesofpatience and discipline,butalso a
great deal ofresearch and a sound understandingofthe market.
 Addedto thisis the fact the volatilityin the market in the last year has leftinvestorsin a state
of confusion.They are ina dilemmawhetherto invest,hold or sell in such a scenario.
 Althoughno sure-shotformula has yet beendiscoveredforsuccess in market, here are some
goldenruleswhich iffollowedprudentlymay increase your chances of gettinggood return.
Monitor Rigorously –
 We are livingin a global village.An important evenhappeninginany part of the world has an
impact on our financial markets. Hence we needto constantly monitor our portfolio.
 If you can’t reviewyour portfoliodue to time constraints or lack of knowledge then you
shouldtake helpof a good financial planneror someone whois capable of doingthat.

3. Investment –
 If you want to take risk in a volatile market then investmentshouldalwaysbe from surplus
funds.
 Let’s say Mr. X earns Rs. 20,000 p.m. If he lavishlyinvestshishard core earnedmoneyin the
share market without having a sound knowledge aboutthe company in which he is going to
invest,this mightcreate problemin his personal life.
 So it’s betterto step out only whenyou have surplusfunds.

4. Do not let Emotions cloud your Judgment –
 Many investorshave beenlosingmoneydue to their inabilityto control emotions,particularly
fear and greed.
 In a bull market,, the lure of quick wealthis difficulttoresist. Greedaugmentswheninvestors
hear storiesof returns beingmade ina short periodof time.
 This leadsthem to speculate,buy sharesof unknown companiesor create heavy positionsin
the future segmentswithoutreally understandingthe risk involved.
 Instead ofcreating wealth these investorsthus burn theirfingersvery badly the moment the
sentimentthe market reverses.
 Thus the fear and greedare the worst emotionsto feel wheninvesting.

5. Understand the company –
 One ofthe reasons why an investorloseshis moneyis he investswithouthaving sound
knowledge about the company.
 You shouldhave all the knowledge fromthe Directors to the EPS of the company.
 Understandwho are the promoters,who all have investedinthe company, Equity structure,
etc.
 Understandthe Debt obligations,Restructuringsetc.
 Only after thisinvestin the company.
Analyze –
 Various ratios e.g. Stock, Debtors, Creditors,Debt,etc.
 EPS of the company with previousyear EPS.
 Quarterly resultsof the company..
 Various Balance sheetitems.
 Other factors.

6. News –
 Update yourselfdaily regardingwhat is happeninginthe world.
 Newsregarding Acquisitions,Mergers playsan important role while investing.