HOW TO INVEST IN STOCK MARKET

AS YOU HAVE SEEN IN TITLE THAT I AM HERE TO SUGGEST YOU HOW TO INVEST IN STOCK MARKET. 

                   LET'S BEGIN.... 

First I would like to tell you the definition of investing as I have seen there is myth in market that if you want to invest you have wait for long time to get profit. I want to tell you that it's wrong. 

Now some basic rule which you should keep in mind before you invest in any company. 

1) THROUGH ANALYSIS. 

You should first analyse graph of last five years of the company in which you are going to invest because of that you will be able to know that is the company is making profit or not. 

2) ADEQUATE RETURN. 

It means that how much you are getting returns from your investment if it is 5%to 6%  then now need to invest because you are getting more than it in your bank only. 

So you should keep in mind that the returns should be approximately or more then 13% to 14% so you will get a good profit there so Adequate return is most important. 

3) SAFETY OF PRINCIPAL. 

Before investing in any you should make a margin of safety means if a stock of any company has it's fair price of (100 rs) then don't by its stocks in ₹100  just try to buy it in ₹85 or ₹90 so you will be safe and after few days when it's price rises then sell it in this way you will have a large profit. 

NOW AT THIS STAGE MOST OF YOU WILL HAVE A COMMEN QUESTION THAT WHO IS A GOOD INVESTOR? 

 Here I would like to tell you that one who buy stocks when the market was down is a good investor. I said this because I have seen that the company's whose current asset is more then there current liability they bounce back very fast in market so there is very less chance that the company  would face any type of loss in future. 

 SO FRIENDS THANK YOU FOR READING MY BLOG AND I THINK THAY YOU MAY GET YOU ANSWERS FOR WHAT YOU WERE SEARCHING. 

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