Getting started

I am a retail investor and new to trading.

Please advise me some good articles on how to start investing in quality stocks/commodities and analyze

Thank you

Regards

Raj

Dear Raj

For starters, best is to invest in nifty bees (a group of to 50 companies) through SIP route.I mean buying every months at different prices.It is highly liquid in market.You can buy even one unit.In this way you will be saved from market’s ups and downs

Thanks

subhu

1 Like

Just observe the markets and invest in nifty 50 stocks.

Use a virtual account initially (NSE Paathshaala is good one) and get to know about markets in general.

In virtual account, do this

  • Initially buy stocks and try to sell in intraday, if you are in loss, hold it for next few days and see the trend.
  • Develop a discipline to put stop loss with a reasonable figure (stop loss should not get hit in normal during day movements, it should get hit only if your entire outlook (bullish or bearish) on the stock is wrong.
  • Develop patience.

Besides the given suggestions you may also want to read about markets here - http://zerodha.com/varsity/module/introduction-to-stock-markets/

Read a lot about trading, go to Zerodha varsity, also read some books, understand some concepts. Then do paper trading, don’t do real time trading with real money so soon. Get a grasp of certain strategies or rather develop your own strategies, this will take you lots of time and experience in the market. keep a daily record/track of certain scrips or your favourite scrips or index which you would love to trade later on with real money. When I say track, means see their O,H,L,C rates, see the charts, see company fundamentals, see when they give dividends, when they have quarterly results etc. & see how the scrip reacts to certain factors.

After doing this exercise, if you feel comfortable, then go for real trading with real money.

All the best.