The best thing about stock trading is that it will go on for a lifetime. Therefore, more and more people get attracted to it. You don’t have to work hard if you have a better market analysis approach. Furthermore, you can ask for professional help and buy some stocks and become rich in a short time. Although it seems like an easy job doing things practically is different from theory. You have to keep an eye on the stock market.
But wait, you have to learn about the stock and stock market first. If you are a beginner you need to be well educated about the things involved in equity trading. Only after that, you will be able to make profits. The first thing you have to do is to learn then implement it, either you make a profit or not. Try this.
samuelssonsrapport.se is the perfect guide for beginners to learn about stock trading. They will help you in making your portfolio. Furthermore, you will also have a complete guide to stocks and how equity trading works.
Source: Entrepreneur
Contents
So what actually is Equity trading?
Companies open themselves to the public and are called public trading companies. All the investment made in these companies comes from the general public. Anyone can invest in them by purchasing the stocks. So every seller will find the buyer.
How does the stock market work?
But things are not as simple as they seem. If the public trading company is performing well in its business, its stock price increases. The increased rate of stocks is because of more buyers than sellers.
For example, if you have 100 shares in Google and it is making a profit every second (everyone knows it). Now you have faced a difficult situation and need a huge sum of amount. The only solution you have is to sell your shares and get the money. So when the stocks reach buyers, they will rush to buy them because it will only give them profit.
So if the number of sellers is more than that of buyers, the stock price will go down. On the other hand, the increased number of buyers than sellers will increase the stock price. This is the basic rule of Equity trading.
Source: Medium
Getting into the Stock Market
If you are a beginner and get into equity trading, we have the ultimate guide for you. The first thing that you need to do is to educate yourself about the stock market and how it works.
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Getting stock broker account
A broker is the one who will have a firm grip over the market research or has efficient tools. You have to choose the broker based upon his qualities. You can either get yourself a broker. And if you are good enough and have experience in the stock market, you can become a broker yourself. Different brokers have different things to offer. For example, he might be good at doing market research or has knowledge of trading tools and platforms. The first thing you need to do is to open a broker account for yourself.
Source: NerdWallet
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Find a mentor
If you are a complete stranger in the equity market, it would be difficult for you to make more profit. Therefore, most of the beginners who come into this market have someone close who is already doing it. So the best solution for you is to stand by his side to learn more. Learning things from books and seminars isn’t as good as learning practically. So if your friend or relative is willing to keep you by his side, stick to him.
He will be able to tell you the useful resources to get help from. Furthermore, he will have more knowledge of the trading tools that are best for equity trading. Moreover, if you come across any difficulties, he will help you out and will answer your questions. To have a mentor or guide in the early days is the best thing to get successful.
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Study successful investors
Humans need continuous inspiration to keep on doing the work. Some things take time and people often lose hope. Therefore, if you feel down because you haven’t made much profit, read about the successful ones. All of the winners have lost several times during their early days. Therefore, always keep this thing in mind that consistency is important in getting success. If you are on the right track, keep on going forward as the result might be just ahead.
Source: Shutterstock
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Follow the equity market
You have to keep yourself aware of the stock prices and market position. There are certain times when a good company faces a difficult situation and lose its market value. Thus, the stock price goes down and wagers also try to sell their shares to prevent further loss. At such times, market research comes to your help. The people who have a grasp over the company situation are well aware that the company might get firm. Thus, instead of selling their shares, they buy from other sellers and incase their shares.
This is the most important point in decision making. Therefore, you have to keep an eye on the stock market performance. Furthermore, make yourself aware of how different companies work. You can get yourself aware of the ones that you find interesting. For example, if you are interested in the technological sector, you can get to know more about technological companies.
Getting social is the most important thing to get yourself aware of the market. You have to make contacts with people who will help you out with the market analysis. Therefore, the easiest way is to attend seminars and classes arranged by successful people. Furthermore, you should try to get along with the business community.
Source: foolcdn.com
Making friends is always better. They might tell you the inside stories. Furthermore, you will never be at a loss if you attend seminars and classes. The least that will happen is you will get more knowledge.
