Consider the following strategies in order to trade and invest successfully in share market.
To be successful in making money in the share market, just you have to follow the trend of the market. That is take a short position(sell) when the market is falling and take a long position(buy) when the market is heading upwards.
No professional or experienced person can predict the exact movement of the market or price of a particular stock. So it is better not to invest all your money at one stretch. Instead invest in phases so that you can have average price.
Never invest all your money in one sector. It would be very risky. Diversify your investment across sectors, so that in a given time even if one sector does not perform well others may perform well. Thus it restricts your loss.
While following a trend with the market better fix a target and stop loss. As soon as you achieve your target, it is better to exit from the market. Sometimes you may come across a situation where the market goes against you. In such a scenario your stop loss comes handy and restricts your loss. Exiting from the market at appropriate targets and stop losses is nothing but your trading discipline. To be a successful trader for a prolonged period it is necessary to follow trading discipline.
If you are interested in a particular stock keep a close watch on that for any important announcement by that company. The news flow may drive the stock price upwards.
As a trader, it is better to invest in stockswhich have more liquidity, so that you can enter and exit whenever you want
Do not over trade at all, for the cause it may erode a large portion of your capital.
If you are a long term investor it is better to stick to the companies which have very strong fundamentals whose stock price rises gradually contrary to the momentum stocks where there might huge swings in the stock price.
Never blindly follow the advice of your friends or your stock broker. Do your own analysis and research before entering into a trade.