Share Market

Who don’t like to earn money sitting at home? Of course, we all do. These days online trading has become one of the convenient means of earning money direct sitting from home or office.

It is basically a stock trading system based on internet, where shareholders trade share through a website (offered by a broker). Before starting the online trading, one should know its basics and essentials. Also need to be patient, develop a good system and understand the market.

Let us have a look at the basics of online trading:

The primary things an investor should require before starting online trading are- knowledge of computer, fast internet connection, money to endow and online trading account. In addition, the investor will also need to know how to buy and sell the stock and the whole investment plan.

BUY OR SELL STOCKS

If an investor wants to buy/sell stocks in the stock market, he has to first place order with a broker or can make it themselves using online trading systems. When the order of the stocks is corresponds to the exchange, either NSE {National Stock Exchange} or BSE {Bombay Stock Exchange, The order stays in the queue of exchange and gets executed if the price of that stock comes to that value. The stocks purchased will be sent to the investor, either in physical or demat format.

CHOOSING ONLINE STOCK BROKER

Web is full of big and small stock brokers that offer low fees. But choosing a genuine is quite a difficult task. Select a broker who has good reputation and capability to deliver all the services that an investor expected.

SAFETY MEASURES FOR INVESTORS

• Do not share your password with anyone and change it frequently.
• Always understand the online trading software, before trading professionally.
• Get a training of usage of software from share market expert.
• Get ready for anytime’s profit and loss.
• Always log out after you have finished trading.
• Don’t place orders from cyber café or someone’s PC.
• Do not click on ‘Remember Me’ option.
• Do not open unknown files from the person you don’t know.

Once a trader have opened the account with an online stock broker, deposited money with them, picked the stock they want to buy, and the method of trading they are going to accomplish, all they then need to do is to press the mouse a few times and the buy/sell order for that stock is complete.

Online trading is much like gambling: you win some, you lose some. It is still in a growing phase and has lot of scope in future.