What is Stock Market?
A stock market is a place where shares of public companies are traded. The primary market is where companies float shares to the general public in an initial public offering (IPO). If a company’s founders opt to stay private, they can sell their equity in the secondary market instead of selling shares via IPO.
Investing in the stock market can be a way for individuals to grow their wealth over time, but it also comes with risks. The value of a stock can be influenced by a variety of factors, such as the performance of the company, changes in the economy, and global events, and can fluctuate rapidly.
It's important to have a solid understanding of the stock market and to carefully consider the risks and rewards before making any investments..
How to invest in stock market?
We need to Open a trading account for investing in equity. In the trading account, you place buy and sell orders on securities. The broker or the stock brokerage platform then performs the transaction based on your financial instructions in the form of trade orders.
Example:
When you invest in a company, you become part owner of it. For example, if a company has 500,000 shares, and you buy 5,000 of them, you own 1% of the company.
How to start Stock Market as a Career?
Investing in the stock market can be a great way to build wealth over time, but it's important to understand the basics before investing. Following are the tips for Beginners.
1) Educate yourself: First understand how the stock market works. There are many resources available online, including Online classes (https://am-trading-institute.business.site/), articles, videos, and books, that can help you learn about investing.
2)Write you Goals: Decide what you want to achieve with your investments and what your risk tolerance is. This will help you determine the right types of investments for you.
3)Open a brokerage account: You will need to open a brokerage account in order to buy and sell stocks. There are many online brokerage firms to choose from, and you should compare their fees, features, and investment options before making a decision.
4)Start small : It's a good idea to start small and to diversify your investments by buying a variety of stocks in different industries. This will help to minimize risk.
5)Regularly monitor your Trade Journal. Write down the improvement needed.
How to control emotions, greed and fear in Stock Market?
Practice, Practice n Practice is the Mantra.
If you learn driving. Initially you will be in fear and anxiety while driving. What exactly you use while driving accelerator, break, clutch, gear , steering wheel, mirrors right? To control the speed you keep on changing the gear with the help of clutch and break. So this is only set of steps to follow for driving. But still initially we will drive with fear and anxiety for n number of days..
Trading is not fixed. It has n number of possibilities are there. So you need to develop trading strategy which will suit you and easy to follow. Even after developing trading strategy, you need to practice for n number of days to come out of fear and anxiety.
Example for DAY trading we need to follow the steps as follows.
1) Need to select high volume stocks.
2) Trading in first 1 hour or last one hour.
3) TImeframe required is 1min, 3 min, 5 min.
4) Pre determined SL and TARGET
5) One should Technically sounds good.
6) RISK : REWARD RATION = 1:3
7) Only 2 trades per DAY.
How can I learn Market from Zero to Hero?
Since there is no particular degree for Stock Market, you need to spend your time and money for practicing, researching.
More you practice, you become stable, but one very important thing is to find any strategy which works for you and easy to follow. Practice that strategy everyday and note down all the outcome in a Journal. By doing so, you will be a successful Trader.
You can opt for coaching classes also. You can do research and opt for the one who you feel good and one Who provides you live trading, more practice session.
Stock Market is completely a new Subject or we can consider it as a degree. We spend 4-5 years of education for Engineer or Medical and spend time for training/practice. Same way Stock Market is completely a new professional degree. If you study Stock Market Wizard book by JACK D SCHWAGER, everyone who is successful took almost 4-9 years of time to become a full fledged stock market Wizard. This is reality.
NOTE: Start with low investment , learn and be successful.
What is Trading strategy :
If you want to achieve a goal of finishing 10K RUN. you will create a routine where you will eat certain food, get up early , do mindful practice everyday . Basically, you will create a conducive body using all the methods to achieve a goal of finishing 10K RUN. So, technically, to achieve a goal, we need to do the things in a particular way.
Trading strategy is a set of rules one needs to follow to achieve consistent profit in a market like analysis, trade Entry, trade exit, time frame.. For that we need to do back testing . Timeframe varies for DAY TRADING, short term and long term.
If you choose Day TRADING, required conditions are
- 1) Need to select high volume stocks.
- 2) Trading in first 1 hour or last one hour.
- 3) TImeframe required is 1min, 3 min, 5 min.
- 4) Pre determined SL and TARGET.
- 5) One should Technically sounds good.
- 6) RISK : REWARD RATION = 1:3
- 7) Only 2 trades per Day.
What is a breakout trade?
What is a Breakout? A breakout is a stock price moving outside a defined support or resistance level with increased volume. A breakout trader enters a long position after the stock price breaks above resistance or enters a short position after the stock breaks below support.
What is a Symmetrical Triangle Breakout and what is the Target if the breakout happens?
A symmetrical Triangle is an Oscillation of the price between two trend lines .
In this pattern, a breakout can happen on both sides either uptrend or downtrend.
what is the Target if breakout happens?
We can expect the Target length to be the length of the First wavelength.
#Chart Patterns #Triangle Pattern Trading system
What is the difference between fundamental and technical analysis? How can they be used together to improve trading profits?
For DAY Trading and short term Technical analysis is sufficient.
For mid term and long term , We need both Technical and Fundamental analysis.
Technical analysis involves analysis of price action, charts, Indicators and Volume.
Fundamental analysis is to read the Financial statements, profits, losses, earnings, Dividend and debt.
For Long term Investment, if we analyse both technically and fundamentally, we can book good percentage of profit.
What is your opinion on technical analysis and stock trading strategy?
Technical analysis involves reading of the charts, using different indicators like moving average, volume, pivot points to find out the probability of next movement of the stock price.
Stock trading is like Ocean .If you create a set of rules , you can survive in the stock market. If you do not have a set of rules , you will be lost and its like you keep on learning one after another strategy and you wont land anywhere. That set of rules we call it as Trading strategy. You can back test with predefined trading strategy from others or you can create one which will give u consistent profits.
Most of my videos I create are for Day trading and short-term trades. you can subscribe to my videos to get the latest updates .
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