All you need to know while entering stock market: Have a look

Crucial factors of stock market:

You might have heard of it earlier also that how one may encounter big profit through trading. But some of the essential attributes must not be ignored.

What kind of trader are you?

Day traders: 
 Are you a day trader? Do you want to invest for a few minutes to a few hours. In this case the position is not left open overnight. And this happens in day trading. Timely execution of trades is necessary for the day traders.

Due to its queer investment style, checking the transparency of the data is important and it should be delivered on a real-time basis. Latest news and recommendations are also good if offered by the broker. For a retail day trader, all costs associated like high-commissions, maintenance fees and other cost associated (inactivity fee, transaction money, etc.) are important to look for, as they can affect the returns on the overall basis.

Investors:
 Investors in the market usually buy stocks and keep that for a certain period of time. Here, they don’t require perfect order execution system. They have the advantage to set trades in non-market hours too. The commission is not a matter of concern in such case. They do not trade frequently. But they are advised to check for the maintenance charges of the broker.

Look for the best stock broker in India, that may help you to grow as an astute trader. Turn your losses into profit with right broker. Enjoy accurate trading and raise your capital. With best brokerage plans, you can save upto 90% on brokerage part. Moreover you may also consider some other charges associated. For any query, you can take the help of the centralized help desk of a broker. Check if it is able to give the quick resolution anywhere through the multiple channels.

Some other charges to be checked:

· Securities transaction tax

· Stamp duty: state wise stamp duty

· Turnover charges

· Education and higher education Cess

· SEBI turnover fees

· Service tax

Get the idea of the following parameters of the stock broker

o Brokerage

o Trading Platform /Trading terminal

o Leverage and exposure

o Back office

o Company Credibility

o NRI Account facilities

o Market trends

o Product quality

o Customer support

Importance of trading platforms: Mobile trading app

Going hand in hand with the technology that is updating every minute is good for any firm. As the broker, one should be able to upgrade as per the market demands. Being a trader, now you are not restricted to only desktop/laptops any more. You can enjoy the trading on the go with the appropriate mobile trading app in your mobile phones. Moreover, the trading is made easy and quick through the different versions of trading platforms. You just need to download the app, sign in and get started into a new world of trading and investing. The process is quite easy now.

Look for the add-ons by the broker

You may be allowed to trade in the multiple products like equities, F&O, commodities, etc through the broker. But if the broker is providing some add on plans, its good to the different kinds of traders out there.

Fundamental Analysis of stocks:

Investing in the company share without knowing its fundamentals clearly is not fine for your trading. Here, the question arises, how to identify fundamental of strong company. You can check that by having knowledge of its current valuation, debit status, future growth prospects and the earning capacity etc.

Fundamental Analysis:

· Must for a long term investor

· NPM , Balance sheet ,Cash Flow, Earnings, Promoter Holding

· Not much fundamentals analysis for commodities

· Fundamentals don’t vary, depending on external news

Fundamental analysis on stocks for the beginners:

1. Understand the company

2. Check the debt

3. Utilize the financial ratios for initial screening

4. Study the financial reports of the company

5. Find the company’s competitors

6. Look for the future prospects