What is stock market, stock exchange, how it works,how to invest?
What is stock market?
A stock market, equity market or share market is the aggregation of buyers and sellers of stocks.
What is stock exchange BSE NSE Sensex?
A stock exchange, securities exchange, or bourse is a facility where stockbrokers and traders can buy and sell securities, such as shares of stock and bonds and other financial instruments.
Nifty and bse
NSE: National stock exchange
BSE: Bombay stock exchange
You may wanna know about nifty 50 and sensex
then you have checkout ETF
What is a stock/share?
Shares represent the proportion of ownership in the company while stock is a simple aggregation of shares in a company.
Stock market vs stock exchange
Stock market is a common term for all kinds of stock trading, while stock exchange is the entity that facilitates such trading. It is an integral part of the stock market.
Who is stock broker
stock broker is a member of stack exchange. /Stock market.
stock market vs share market
When a number of shares are put together, it is called stocks
stock market, also known as the stock exchange, is a place where stocks, equities, and other securities and bonds are actively traded.
The share market is a market where a company offers its shares to raise funds and continue the growth of its business. It is a place where an investor can buy part ownership in any company
How stock market /exchange works ?
Operating much like an auction house, the stock market enables buyers and sellers to negotiate prices and make trades. … Investors can then buy and sell these stocks among themselves, and the exchange tracks the supply and demand of each listed stock
How to invest in stock market?
buy a trading account at stock broker,(mostly banks sbi cap,icici securities, hdfc, )
also from discount brokers like zerodha,Sharekhan etc.
it’s important to know which demat/trading account to take.(discount broker vs full service broker)
once I got a trading account , you can go to market, just one tap /click on mobile/desktop.
place a order to buy or sell. Which stock to buy, how to buy is other topics needs a little time to learn.
Stock market timing
Pre market 9 to 9.15AM
to control volatility.
Market hours 9.15 to 3.30
After market 4PM to 9AM
3:30 to 4PM ,(big deals,mf etc fii ,dii,)
You can place order anytime but it’s excuted in market hours.
Members of stock market
Brokers: sbi cap,icici securities,hdfc, zerodha
Issuers: companies
Investors
RII retail individual investors (below 2lakh shares
HNI High networth individuals holdings worth of(above 2 lakhs worth of shares)
DII domestic institutional investors mutual funds
FII foreign institutional investors
Stock market past performance in india sensex graph
What is IPO primary and secondary market?
IPO intial public offer by a company, when it’s listing stock exchange.
This called primary market.
secondary market where selling / buying not a first time of company’s share.
Orders & order processing
Intraday: within 1 day sell or buy automatically. Square off at market close.
Delivery trading: buy /sell anytime.
T+2: excustes 2 days from trading date.
Market Order,: buying at current market price to excute order quickly.
Limit order: buying at specific price .
Ex: if stock price swinging around 100-150.
you may place a order 130₹, your order can excute only when the market price reaches 130.
Taxes in trading is also different part.
equity vs debt vs commodity vs forex trading?
Equity= part of company share.
Debentures: bond between company with a guaranteed interest.
Commodity: buying /selling with contacts commodities like gold,cruedoil, meat, wheat to leveraging risks.
Forex trading: buying /selling currency of a country.
USD to euro, japan etc.
