which is the best segment for new trader to trade in Indian markets? with some TA knowledge and a investment of 50K?
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Best place to start off is by doing equity delivery based trading. As you learn more, you can give a shot at first intraday equity trading, and after which you can try F&O.
You may start in the order of theĀ list below-
1. Equity
2. Index future(Nifty/BN)
3. Stock futures
4. Index options
5. Stock options
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Start with equity swing trading (buy the stock and keep for few days and sell it), profit could be very less but you will have earned it. In case the stock moves in oppsoite direction have a definite stop loss and do not let it fall further and take away your money. Investment in 3 to 4 stocks simulatneously so that if 1 falls others will compensate and so on.
Keep 10 k for intraday trading and start with shares which are in trading range. Initially put 5k as intraday investment and keep 5k as support for intraday. Do not aim for higher profits and try to use this intraday with fixed amount of targets in your mind. Have closer stop losses since your investment is only 5k. More or less like scalping.
Learn F&O and other strategies and observe markets for atleast 6 months during this time.
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Beyond doubt it is equity. As a beginner you must avoid buying or selling for very short terms. Please remember accepting loosing money while doing some trial trades also is a bad habit. So, whatever you do, do with winning attitude. Don't buy anything to try. For initial day's you should focus on large cap stocks. There is another way of knowing which stocks have potential from the holding patterns of mutual funds. Stock marketĀ for dummies give an out look on that.
In my opinion FnO segment is the best as you get good margin and you can earn decent if you are having a right trade.
Any segment u can choose as long as u get suited for that segment.