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Choosing the right share tips for stock trading in Indian stock market specially covering major exchanges NSE and BSE is of utmost importance. Share tips provided by stock market experts should be research based and should be logical too in terms of risk is to
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Quality Investments = Excellent Returns An ISO 9001-2008 Certified Company Wealth maximisation through systematic investing StartingAge Monthly savings Accumulated savings at 60 years (assuming 5% rate of inflation) assuming 20% return assuming 25% return 25 years Rs 5,000 Rs 19 Crore Rs 66 Crore assuming 20% return assuming 25% return Rs 8 Crore Rs 21 Crore 30 years Rs 5,000 assuming 20% return assuming 25% return Rs 3 Crore Rs 7 Crore 35 years Rs 5,000 “The early bird catches the worm”
Share Tips • Share tipscome in various forms and from sources. Their abundance and easy availability makes it easy for investors to fall for fake or spurious tips that can possibly jeopardize their investments. There are several ways of finding out whether these shares are worth relying upon. Double checking the share tips you are provided will not only ensure your success in share trading but will also save you incurring losses.
Research: • There is no substitute to research and analysis for effective trading in the stock market. In fact it is the basis on which the whole trading mechanism of the stock market functions. Research means identifying stocks that have potential of earning returns. By checking their financial background, business prospects, managerial team, etc. Various investment appraisal tools like EPS, EBIT, profit earnings ratio help in identifying stocks that serve investors with returns.
Keeping a tab on stock price trends: Stock prices are highly volatile. They change every now and then based on domestic and international forces of demand and supply. If the share price of a company has been steadily increasing over a period of time it can be owed to its growth and indicates economic wellness. However, on the other hand if the stock prices fall in price and deplete over a period of time, it means that the company will soon lose all its capital and bankrupt.
Monitoring industry trends: Industry trends or indices are a great way of knowing the business climate of an industry. The index shows an overall picture of the industry depending on which investors can evaluate their investment strategies. If the share tips indicate a rosy picture of a company whose industry is in the decline it is better to dispose such stocks as they will decline in the future causing significant loss.
Referring to financial journals Financial newspapers and journals are the main communicators of business happenings in an industry. They tell to the outer world in a layman’s language what benefit or peril that particular news can bring to an investor. They also offer stock selection guides and investment awareness programs that enable users to select the right kind of stocks and secure a steady investment portfolio.
Checking the credibility of sources: • Like any vital information checking the source of stock tips that you receive is also very important for decision making. Ensure that the tips come from a reliable source that has credibility of providing authentic and real tips that can be relied upon. The research and analytical methods of such sources should also be checked into before making stock buying or selling based on them. There are lot of stock related forums and communities where one can seek guidance and inquiries for such tips and authenticate whether they are deserving to be trusted with your precious savings.
Watch and notice how the Stock Trades. To have a bold move, Go back in and place another buy stop to protect your downside of the investment. Investors can protect themselves from Volatile markets and prevent from losses by using Sell Stops, Sell Stop Limits, Buy Stops and Buy Stop Limits. You should adapt the way you are comfortable with. Use them prudently to be on the right side of Stock Market.
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Sample Recommendations/Tips format Example:-Buy XYZ Above 180 Stoploss 178 Target 185 and CMP is 179.80.Or Sell ABC Below 1005 Stoploss 1012 Target 985 in intraday. CMP is 1008. • In case of Buy order you can place order at 180.10. • As soon as Stock XYZ touches 180.10 your order will be executed. (Where as in the case of short sell you should place order at 1004.90.)
Importance of Script Levels • All Levels are provided after serious research and analysis. • Levels represent a breakout for further stock movement. • If Levels are not followed, movement can be involuntary and vague. *All Recommendations are to be considered as executed only if levels are followed carefully.
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