Business & Finance Stocks-Mutual-Funds

How to Start Trading Stock

Stock market is a place where you can earn more money, provided you hedge with minimum risks and go for average returns.
Most of them go for aggressive buying and expect more profits which will ultimately results in loss.
Before start trading in stocks, please ensure that
  1. You do not have any debts or loans
  2. You have a stable income and can meet your daily financial requirements
  3. You have enough savings and have more money which you are planning to invest in stocks.
Once you satisfy the above criteria, you are advised to invest in stocks or if you have any debts or loans, please close them before and make enough savings before you invest in stocks.
If you are a fresher in investing in stocks, then initially you can try Mutual Funds.
Mutual funds are companies which get money for a particular funds from us and then they invest in stocks for us.
Once they generate returns, they give dividends to the investors.
This is a good way to learn investing.
Once you have invested in Mutual Funds, start watching the daily movements of the price of the Mutual funds units, stock index and the factors and reasons that lead to such movements.
Once you analyze such things and if you are clear, you can start investing in stocks.
Most of them "Burn their Fingers" by doing aggressive investment or "Speculative investment".
You should invest in stocks by clearly analyzing the fundamentals of the company.
Mostly common people go for long term investments for getting stable returns.
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