Stock Markets Exposed

what points to be taken into consideration while investing in shares?

what type of movement can be seen in upcoming two monthss in the software industry? how will be the stock mkt will react to that?

Public Comments

1. I can give u some idea for your investing purpose not for trading. 1. First see whether company paying dividend in a consistence basis. 2. What is its daily average volume in market. I prefer to invest to such stock which has daily average volume at least 5 lac. May be consider less in case to case. 3. Take a look how much it is valued of its PE and compare it with other peer of companies. This will make u a sense whether the stocks are undervalued or not. Though it may not be true in some cases. Generally price which is most higher than its PE is reflect that investors has confidence in it and the stocks will do well. But if u get an undervalued stock and u are in a confidence that company will do better then go for it. 4. For investing also take stop loss in each day. This is an insurance at free of cost. If your stop loss triggered don't worry. It will go down further in two or three days and again get it in its consolidation period. And if stock no go down further don't hessitate to enter further if u have confidence in that counter. At least u will not sit on a huge loss on any counter. 5. Always stay on green never red 4. Take a look about company last 4 qtr result. Though it may be changed if management of the company takes some aggressive decision
2. Dont go for investing in the iT industry now..becoz of the two reasons..first one being the highly priced stocks..which will limit your investment and second being the growth, investing in IT stocks will slow down the growth of your investment when compared with other industries becoz of the rupee becoming stronger etc... Regarding the stock markets...any time is the right time....to invest... and when it comes to making profit..it depends on ones strategy of investing... people can make good money if they invest properly ...and if ones foolish and more greedy he might loose out every thing...things always happen in extremes in stock markets... remember this one thing before investing.... dont hurry ur self...think about the stock fundamentals(like its financials like balance sheet or in simpler terms the profits that it made during recent times..its managing style..people in the business...competitors industry as whole etc) when once u feel that the stock is fundamentally good..then u move on to technical aspects like how is the stock performing in recent times..take the history of atleast past 3 months...and then invest if u feel thats good..u can get the recommendations in investment channels like CNBC watch it carefully during the market hours. when u invest u have to watch the price carefully..keep a target level..say fro example u bought it at 100..keep a target for that stock say 130...sell it at that level..i dont recommend u to sell it entirely(in bullish market when the market is goin up..sell a partial amount of your holding..and when the market is falling down..book the entire profit by selling it...) then u can pick another stock... even while buying the stock its necessary for u to pick up the stock when ever the market is down..it has to be systematic..by this u can average out ur buying price...by doing this u can average the price..if u see n compare the total market movement..which will be more profitable.... i hope ive given u sufficient information to start off..feel free to ask if anythin else is necessary... Happy investing...!!!!!!