Unemployed housewives can make use of the Internet to make money through online stock trading. Utilize your free time intelligently to make extra money.
In the earlier days, we had to depend on the brokers to buy or sell the shares at a price determined by them. The arrival of Internet has transformed the investment climate a lot.
Online share trading is very easy if you have surplus money to invest in the stock market. Start with a small amount. You need not be too rich to enter the stock market.
You need to have a telephone and latest computer with faster Internet connection. You can use the telephone to call the broker incase of payments, problem with Internet trading site and to clear your doubts. Some times you have to call the broker to enquire about crediting of shares into your demat account. You can also send an email or chat through the messenger.
Open a trading and demat account with your local broker or a well-known bank, which offers online share trading facility. Choose the bank that offers three-in-one savings account. You can transfer the funds prior to initiating trade to your trading account. You can sell the shares after considerable appreciation. You can transfer funds back to your savings account after 4 days of selling the shares. It is very easy task.
Prior to opening a trading account with a broker or a bank, enquire about the brokerage for intraday and delivery trades. They charge you less for intraday trade.
You can buy and sell the shares on the same day.
You can buy the shares today and sell on another day after considerable appreciation.
The stock exchanges offer two types of stock trading such as futures or options trading and individual stock trading. You need to buy or sell the shares in lots in the case of futures trading. In case of individual share trading, you can buy or sell shares of a particular company in small or large quantity. Choose the suitable option considering your risk appetite.
Prior to investing in shares try to learn how to buy and sell the shares using demos offered by the brokers.
Learn about the company prior to investing in it for long time. You need to invest in fundamentally sound companies only. Seek the help of a broker or stock analyst prior to buying or selling the shares.
You can also learn equity analysis using various articles available on the Internet or through books. Master the equity analysis to earn handsome profits.
Start the trading with small amount. Increase the amount after you gain confidence and experience in share trading. Don’t forget to apply stop loss for all your trades. You will lose only a small amount if you apply the stop loss. Many external factors such as geopolitical conditions, national economy, rumors, results of the company and financial situation of the company may affect the market suddenly. You need to be careful about your investment. If you hear any bad report about the stock, which you are holding, exit immediately.
Candle Stick equity analysis is very helpful to understand the market trend.
The stock exchanges are also offering currency trading. Remember to gain sufficient knowledge prior to entering any stock trading.