Lubna K P wrote:
[quote]Thanks to all for sharing all these information.With the money getting from boddunan I have to take a share!![/quote]

all the best

The basic preliminiaries to entering share market are opening a demat account and a trading account with a stock broker. A demat account is like a bank saving account with the difference that this records share transactions instead of cash. The purchase is added and sale is deducted in the demat account. The share broker maintains trading account for share transactions. He will execute orders for purchase and sale of shares. The delivery will be given by transfer document enabling entry in demat account. Similarly delivery on sale will also need signing of some document that will enable the buyer to add the script to his Demat account and your demat account will deduct the share. The role of broker is to effect transcations and deliveriers. He is member of stock exchange.

I also wish to study about this and take some shares soon.Thanks for initiating such a discussion.

Abid- It is okay to learn the procedure of share market. However, this is a full time engagement. You need to make study of the industry and commodity, companies. You need make a fundamental analysis and technical analysis of scrips. The govt. policy, events- national and international- affect share prices. If you are engaged in full time job, it is not worthwhile to indulge in share trading. Over indulgence in stock market can adversely affect your main job and career. Taking mediclaim policy, accident policy and term life insurance ( low premium high coverage) should be first priority.

gulshan kumar ajmani wrote:
[quote]The basic preliminiaries to entering share market are opening a demat account and a trading account with a stock broker. A demat account is like a bank saving account with the difference that this records share transactions instead of cash. The purchase is added and sale is deducted in the demat account. The share broker maintains trading account for share transactions. He will execute orders for purchase and sale of shares. The delivery will be given by transfer document enabling entry in demat account. Similarly delivery on sale will also need signing of some document that will enable the buyer to add the script to his Demat account and your demat account will deduct the share. The role of broker is to effect transcations and deliveriers. He is member of stock exchange.[/quote]

thanks for the information

@ Gulshan Kumar Ajmani..

Thanks for sharing the information on stock market. I am eagerly waiting to learn the basics of it

What is the minimum investment to trade in stock market?

Dharanidaran wrote:
[quote]What is the minimum investment to trade in stock market?[/quote]

There is no minimum amount to start in stock market. But for some companies, we should buy some minimum shares. That is the only restriction

Buy low sell high- This is the golden principle. Invest and not speculate- I suggest watch nespaper for stock market prices for about a month. Short list ten most active shares. These will be in A group. Pick up about five shares only. Do not bother about price variatios in short run. Go on buying at regular intervals. Buying the most active shares regularly over a period of time will give you (1) dividends (2) bonus shares (3) caoital appreciation over a period of time. The improtant thing is pick only most active shares, buy regularly and hold for long time.

gulshan kumar ajmani wrote:
[quote]Buy low sell high- This is the golden principle. Invest and not speculate- I suggest watch nespaper for stock market prices for about a month. Short list ten most active shares. These will be in A group. Pick up about five shares only. Do not bother about price variatios in short run. Go on buying at regular intervals. Buying the most active shares regularly over a period of time will give you (1) dividends (2) bonus shares (3) caoital appreciation over a period of time. The improtant thing is pick only most active shares, buy regularly and hold for long time.[/quote]

Thank you gulshan for providing the info. What do you mean by regular intervals?