4 Types Of Stocks That You Should AVOID Investing In !

Successful stock investing requires a lot of discipline. Thousands of stocks are listed on Indian stock exchanges, and you have to find 10-15 good stocks to invest. For the remainder, you only have to say ‘no’.

Rule #1 of Stocks that you should avoid

As a primary rule, avoid investing in companies you don’t understand. If you can’t figure out how the company is making its revenue, what is the company’s business model, what are the products / services offered by the company, or what is the use of the products — avoid investing in that company.

4 Types Of Stocks That You Should AVOID Investing In !
4 Types Of Stocks That You Should AVOID Investing In !

For example, if you have zero knowledge of semiconductors or microelectronics, and do not understand the use of Zener diodes, MOSFETs, amplifiers, etc., avoid investing in semiconductor companies that manufacture these products. There is no way that you can understand market demand, product quality, future prospects, or even competitors.Instead, invest in companies you can understand. Some common industries that one can understand with very little effort are consumer goods, FMCG, automobiles, utilities etc.

4 Common Types of Stocks That You should Avoid Investing In:-

Also read :Investment Risk

Low liquid Companies

There are some stocks whose prices may fall continuously, but investors are not able to sell that stock just because there are no buyers. Getting out of a less liquid company can be quite stressful. Avoid investing in companies with low liquidity.In general, stay away from companies with a daily average trading volume of less than ten deficiencies. The higher its volume, the better. (If you are new to the concept, check out the versions of some of your favorite companies on Moneycontrol or other financial websites to get a good idea of daily trading versions.)

Also read :Trading

High debt companies

In companies, debt is like a big hole in a ship. Until and unless, these holes are filled — the ship cannot sail far. Avoid investing in companies with high debt. As a rule of thumb, stay away from investing in companies with too much debt and more than 1 debt / equity ratio in your balance sheet.

Falling knife category companies:

Do not try to catch a falling knife! Investing in companies whose share prices are constantly and substantially decreasing (eg- Gitanjali Ratna, Yes Bank, PC Jewelers, PNB, Suzlon Energy, etc.) is never a good idea. There is always a reason why the prices of these shares are continuously falling, and the market is punishing that company.Apart from this, there are thousands of listed companies in the Indian stock market that you can search. Trying to catch a falling knife usually injures your own hand if you are not trained to do so.

Low visibility companies

There are some companies in the Indian market whose information is not easily (and transparently) available on the Internet or financial websites. This is mostly the case for small and micro-cap companies.Researching such companies with low visibility can be a daunting task for investors. In addition, information manipulation is also likely if you cannot cross-reference the data or when reference sources are not reliable. Therefore, avoid less visible companies.

Also read :Investment

(Beginner's Guide) How To Start Investing In Stocks - Quick-Start Guide

Investing is one way in which you are busy in life and money works for you so that you can fully get the returns of your labor in future. Start Investing in Stocks. Investment is a means to a happy ending. Veteran investor Warren Buffett defined investment as “the process of investing money now to get more money in the future”. 1 Investment aims to make your money work in hopes of one or more types of investment vehicles. Your money is increasing over time.

How To Start Investing In Stocks
How To Start Investing In Stocks

Let’s say you have a set of $ 1,000 apart, and you’re ready to enter the world of investment. Or maybe you only have $ 10 extra a week, and you want to invest. In this article, we will walk you through how to get started as an investor and show you how to maximize your returns while minimizing your costs.

How To Start Investing In Stocks

  • Investment is defined as money or capital for an effort, with the hope of earning an additional income or profit.
  • Unlike consumption, investing money for the future, hoping that it will grow over time.
  • However, investment comes with a risk of loss.
  • Investing in the stock market is the most common way for beginners to gain investment experience.

What Kind of Investor Are You?

Before you make your money, you have to answer the question, what kind of investor am I? When opening a brokerage account, online brokers like Charles Schwab or Fidelity will ask you about your investment goals and how much risk you’d like to take.

How to Start Investing in Stocks

Some investors want to take an active hand to manage the growth of their money, and some like to “set it and forget it.” More “traditional” online brokers, like the two mentioned above, allow you to invest in stocks, bonds, exchange-traded funds (ETFs), index funds and mutual funds.

How To Buy And Sell Stocks/Shares For Beginners 2021

Before reading this post, you need to know what is share market and how to open an account to invest in share market, if you already have Demat account then this post will be helpful for you.

Important:- This post is for beginners. Which is interesting to have knowledge of share market. "How to Analyze the Stock of any company before buying it and how the shares of any company are bought and sold"

How To Buy And Sell Stocks/Shares For Beginners 2021

Before buying shares of any company, you should know about that company very well and this is possible only when you know how to do analysis well. Which company would you like to be a partner of, it depends on all the points mentioned below, the company whose products are better and whose services are also better and the future of that company is bright, you will invest in that company.

  • 1. The company whose shares you are about to buy. What does that company do and how is its future going to be.
  • 2. You have to know about that company that how much return that company has given in the last 6 months or in 1 year and 5 years. Then you should think about investing in that company.

Analysis Share Market

There are many websites on the Internet, with the help of which you can keep an eye on the market. But here I will tell you about 2 trusted websites.

MoneyControl

National Stock Exchange OF India [Nifty 50]

Tickertape - On this website, you are given the option of screening, with the help of which you can screen the entire market and keep an eye on them. In this, you are also given filter options like:-

  • Nifty 50
  • NIFTY Midcap 100
  • Nifty 100
  • NIFTY Smallcap 100
  • Nifty 500
  • Stock Universe - Investing Blog and Tech Stock Portfolio

Top 10 Nifty 50 Companies For Analysis
Top 10 Nifty 50 Companies For Analysis

You can select your accounting from these. As I selected Nifty 50 then the list of Nifty 50 top companies will be shown in front of you. And the entire share market depends on it. From here you will get the details of any company like company name, sub-sector, market cap, close prices, etc.

For Example

Here I want to know about Reliance Industries Limited Companies then first of all I will click on it now you can see Reliance Industries has given 0.81% return in last 1 month and -1.50% in last 1 year . (Means if you had invested Rs 1 lakh in it in the last 1Months, then your return would have become 1,68,000.) - STOCK CALCULATOR

Reliance Industries Ltd
Reliance Industries Ltd

  1. Go to - https://www.tickertape.in/ 
  2. < Tool of the trade < Screener 
  3. Stock Universe <Select Nifty 50
Click Reliance Industries LTD

Reliance Industries LTD [1 Day Analysis]

Here you can analyze it in more details by clicking on the arrow . So friends, here I told you the basic about the top Nifty 50 companies, from where you have to analyze a company, which company is giving good return, which is a trusted company and some basic knowledge about the company such as its sector what is the name of company. ETC

Here we have seen the analysis of the last 1 day of Reliance Industries, if you want, you can also see 1 month, 1 year.


Stock Market Sector Wise Performance and Analysis

Friends, if you want, you can also do sector wise data analysis of the company here, as if you want to analyze a health company, then you should do the health care filter. Now you will see a list of some health care companies that deal in health.

Sun Pharmaceutical Industries Limited Analysis

The way we have analyzed Reliance Industries company, in the same way we can analyze all the companies and see their graph. Last 1D, 1M, 1Y, MAXIMUM
  1. Go to - https://www.tickertape.in/ 
  2. < Tool of the trade < Screener 
  3. Sector <Health Care

For example, Here (Sun Pharmaceutical Industries Limited ) we have to analyze the company, then click on it, now you can analyze it for the last 6 months and 1 year, click on the arrow to know more deeply. Then the graph will open in front of you.

Market Mood Index (MMI)

Under the Screener option, you see an option here and MMI (Market Mood Index) by clicking on it, you can see the Market Mood Index.

Market Mood Index (MMI)
Market Mood Index (MMI)
  1. Go to - https://www.tickertape.in/
  2. < Tool of the trade < MMI

  • Extreme Fear - If the mood of the market is extreme fear, then you have to buy more and more.
  • Fear - In this you buy a little less stock
  • Greed - In this you buy less stock than fear
  • Extreme Greed - In this you do not have to buy stocks/shares.

By clicking on this option, you can know about the stock of any companies like I will search here "Reliance Industries".

OVERVIEW - You can now see the overview of [1day, 1 week, 1 month, 1 year, maximum]

    Reliance Industries Overview
    1. "Energy" These companies deal in Oil & Gas
    2. "Largecup Company"
    3. "Low risk" is also less because it is a popular and trusted company, the risk is less in large-cap companies.
    4. "Forecast & Rating - 66% [8/11/2021]" is recommended to buy the stock. 66% trusted to buy stocks
    5. Company Profile (Brand) - It has 2 Brands <Reliance Jio, Reliance Fresh

    Money Control

    As soon as you visit the Money Control, click on the portfolio, now you can see here that you have been given suggestive.

    Note:- Beginners have to create their account on this, only then you will be able to see the portfolio screen.

    Here some companies name will show in front of you like and next you will get the options of Buy, Sell, Hold, Total. You can also select periods here.

    Stock Analysis - How to buy stock
    Stock Analysis - How to buy stock

    All [8] - This means that 8 researchers have suggested that you should invest in Sabai. It is the largest public sector bank. There are savings accounts in this more than 50 crores and it comes under Govt.

    ICICI - Similarly, you can also see the overview of ICICI Bank by visiting TKertapay.in. It is a very big bank in the private sector and its future is also bright.

    Friends, In this way you will do analysis and then take the decision in which company you want to invest and from where you can get good return.

    Whenever you do analysis So analyze 1 company with another company and also select their period. If you are looking at the share price of a limited company, then how many months do you want to see like 1 day, 1 month "Similarly you select the period of another company and compare."

    How To Buy And Sell Stocks

    After analyzing the companies, you have to buy the Stocks, suppose I want to buy the shares of ICICI company [Angel Broking] Here I will enter the name of the ICICI company in the search bar & then show you both the NSC and BSC stock market You have to click on it and then add them to the watch list.

    Note:- To buy and sell stocks you must have a demat account without which you cannot trade.

    How to Buy Stock/Share
    Buy Stock/Share

    IMPORTANT - Whenever you buy stock, you have to add funds before that, Now go to the market, now click on the company's shares you want to buy. Now you will have 3 steps to place the order.

    • Normal
    • Stop Loss
    • ROBO

    How To Stock Buy - Normal Order

    Buy Stock For Beginners
    Buy Stock For Beginners

    Action - Here sell and buy will be written, whenever you buy a share, it will be written as buy and when you do sell, it will be written as sell.

    Symbol - Here the name of the company and the symbol of the share will be seen like: - ICICI-EQ

    Price (0=Market Order) - Suppose the share you are buying is of Rs 370 and you want that the price of this share will be less than 360 then you have to put whatever amount is appropriate here and if you want here But if you put 0, then this share will be purchased in the same rupee as its price now, I think the price of this share will be low, so I will put 360 here and as soon as the price of the share is 360, it will be purchased automatically.

    Disclosed Quantity - If you do not want to buy 10 shares at once, you want these 5-5 to be purchased twice, then select 5 here.

    Exchange - Choose the stock exchange you want to buy the share NSC OR BSC, I Recommend "you always choose the NSC stock"

    Validity:-

    • Day - If you choose Day, then your share will be valid for the whole day.
    • IOC [Immediate or Cancel] - If you select IOC your share will be purchased immediately or will be canceled.

    How To Buy Stock [Product Type]

    Delivery

    Select Delivery if you want to hold the shares for a long time.

    Intraday

    If you want to buy the stock in the morning and sell it in the evening, then select Intraday.

    Margin

    If you want that you should buy more than 10 shares, buy 20 shares and you do not have enough funds to purchase, then you select on margin, this will give you 20 shares. This would be called taking a loan from a kind of company. [If you have less money in your account and want more shares, then select Margin.]

    Now you have to click on submit, now the order preview window will open in front of you & then you have to confirm. Now your order has been placed.

    How To Buy Stock - Stop Loss

    Stop loss means to avoid loss, you can select stop loss in both buy and sell orders. If you add stop loss in buy then it will mean that you will buy share at low price and if you add stop loss on sell then it will mean that you will be saved from loss.

    How To Buy Stock - Stop Loss
    How To Buy Stock - Stop Loss

    Action - Here we are teaching you to buy stocks, so you have to stay on the buy

    Symbol - Here the company's symbol will appear.

    Quantity - Select the quantity of shares you want to buy

    Trigger Price

    It is close to this [Price (0=Market Order)] Let's say there is a share of Rs 370 and I think the value of this share will come down to Rs 367.58 then I will put 367.58 value in trigger price And as soon as the share value comes down to 367.58, the trigger price will be activated and this share will be purchased.

    Price (0=Market Order) - I have been told in place normal order.

    Now the preview window will open in front of you and now you have to click on confirm, now your order has been placed. This order will be executed as soon as the share price reaches 367.58. And these shares will be bought. Till the time this order is not executed, during that time you can also modify and cancel it.

    Net Position Of Buy Stock History
    Net Position Of Buy Stock History

    By clicking on the 'order<net position', you will know how much you have bought your shares and the share price has decreased or how much profit you have made, how much has been lost. In the order column you will see 2 options 1. SQR off 2. Convert

    Convert - In this option you can convert your shares from delivery to intraday or from intraday to delivery.


    SQR Off

    If you want to sell your shares then you should choose Sucker Off. How many stocks you want to sell, select the quantity at which price you want to sell the stocks.

    • 1. Limit Price 
    • 2. Market Price 

    You can also select the limit. Now you have to click on confirm & then your order will be placed.

    In the order book, you will be shown the history of your stocks, how many shares you have sold, how many have you bought 13.12 The number of stocks you sell will be shown to you in the funds.

    Portfolio

    In this you will get the information of current holding, how much money you have profited, how much has been lost, which company's stocks have been bought by you.

    Buy & Sell Stock - Portfolio
    Buy & Sell Stock - Portfolio

    • Red - Loss
    • Green - Profit

    If you have bought the stocks today, then the next day you will see them in the equity portfolio of the portfolio, from there you can also sell your shares.

    Stock Calculator

    Stock Calculator

    Brokerage Calculator

    Returns Calculator

    Investment Calculator

    Stock Market for Beginners | What is ShareMarket?

    Hello friends, today I will tell you about the stock market, how you can earn money in the stock market, this post is for those people who do not know about the stock market or for those who are new in the market, this post will be very helpful.

    Important - The stock market is not a Casino.

    I want to enter in stock market, how do I enter in stock market, What is stock market, how to invest in a good company, how to do company analysis, long term investment [Investment Management] and short term investment. All these questions hang in the mind of a beginner. And today I will tell you about stock market. I will tell you everything openly, just if you need to read the post completely.

    Stock Market for Beginners

    To Invest in the stock market, you have to focus only on the successful people and not on those people who have suffered losses or always maintain positivity in yourself.

    Stock Market for Beginners | What is ShareMarket?
    Stock Market for Beginners | What is ShareMarket?

    The stock market is always in front of you reality as a business man builds a very good business on the power of his knowledge.

    You do not need a commerce stream for the knowledge of stock market, no matter what field you are from, just you should have some basic knowledge about it or if you are interested in stock market then you will be called a #stockmaster.

    It is very important for a beginner to get a good direction of the stock market, then they can make their own according moves. How deeply you will know the stock market depends on you.

    Trusting The Stock Market

    1st Step

    You should have full faith in the stock market, trust is the first step in the stock market because many investors suffer losses in the stock market and then they mislead other people that do not invest money in the stock market. Often those people who have half incomplete information, those people are sure to suffer loss. Many people consider the stock market to be gambling, there is a very interesting notion behind it as to why it is gambling.

    Meaning of Stock Market - Stock Market is the place where we buy the stock of a company. [Stock means taking a stake in the company. Its direct meaning is that if the company will earn profit then you will also earn profit.] Therefore it is very important to have a right believe system in you.

    Important - When you invest in any companies, do complete analysis of that companies and invest for long term.

    • You start investing in the stock market regularly.
    • Invest in blue chip companies. Blue chip companies are those which are very prosperous company, the value of their shares never falls because these companies are very profitable.

    What should be the first step in the stock market? If you are going ahead to invest in the stock market. In this post, I will tell you about 5 very important steps. Friends, as I will tell you 1-1 steps, you will start knowing what you should learn in the stock market and what you needed. And when you come to the 5th step, you will get to know about the stock market.

    What is the flavor of the stock market, what kind of test is there, in this I will tell you about all these in details today. To know about the stock market, you have to continue this post step by step.

    What Are You Hire For?

    2nd Step

    Friends, now after understanding the 1st step of the stock market, you need to understand why you have come to the stock market. Many people consider the stock market to be gambling (Many people buy shares in the stock market because when the share price is low, they will buy the shares and then sell them as soon as the share price rises and earn profit.) Let me tell you in depth, people try to sell a stock before buying it, that means they keep only and only profit in mind.

    Friends, there is no such stock in the stock market that will make you a crorepati overnight, for this you will have to invest in good companies for long term, wait and those people earn profit. And those who think of earning profit overnight, only those who understand the stock market as gambling.

    Whether you invest or trade in the stock market, you have to keep your mind power clear that whether you invest or trade in the stock market, it can be your profit as well as loss.

    "You can earn a lot of money from the stock market, you just need to understand the power of the stock market, which depends on your interest, how much interest you show in this field, how soon you want to learn trading in the stock market".

    Just Don't Anyone Blindly

    3rd Step

    You must have heard about the stock market from many people on the internet or seen it in the news. But you get tips only and only from people.

    Often you get a message on the phone that buy this thing and you buy it and you do not even try to know from where this message has come, how much this item will be worth. You have invested money on a random item. If you get profit then you also tell many people about that item and if you lose then you start abusing the stock market.

    Friends, whether you are investing or trading, you should not need tips, you have to improve your own mind power, knowledge so much that you do not need any tip and even if you get a tip from someone, then you You will have to analyze yourself whether this tip is right or wrong.

    If you invest money in the stock market by taking a tip from someone, then you are wasting your money, it will be your big mistake.

    More Profit  More Knowledge

    4th step

    Friends, if you are investing in the stock market, then it is very important for you to learn fundamental analysis.

    If you are trading then it is very important for you to know technical analysis and if you do not know fundamental analysis & technical analysis then you should not think about investing and trading, this field is not for you. You have to learn this which will be a long process.

    Friends, it is not difficult to learn Fundamental Analysis & Technical Analysis, it is a very basic thing, but after learning them, you will have to learn many other terminology of the stock market, many people do it as indicators in the stock market. What are indicators and how are they used? Learning all this is very important for an investor.

    If you do not have any knowledge of the stock market at all, then the chances of earning profit are very less for you.

    Taste The Stock Market

    5th Step

    Friends, have you ever invested in the stock market? Have you ever bought shares of any companies? Friends, if you have never invested, then I will suggest that you buy the shares of a good company which you can get at a low price.

    Buy a share of Rs 100-200, this will enable you to buy. Friends, you will get experience from this, you will get to learn a lot from a small amount.

    By buying 1 small share, you will know how that stock looks in your portfolio, you will realize that the money will be spent or less for that share. If you do not know how to buy or sell shares, then for this you read this post of ours, here you have been given complete information from the details.

    Note:- It is very important for you to have a demat account (Open Demat Account Online) for Investing OR Trading.