Get the right broker for your trading
For the offline traders who trade with the help
of a terminal operator, support of a broker holds great importance. The broker
here does not offer only trading support but also shares his experience and
perform a role of a guide as well as an advisor
in the market. For the traders who are with limited knowledge, it is much required to have someone who is trustworthy
enough and with knowledge of the market that can guide them to enter and exit
from the trades. In this market, every
decision matters a lot,and hence one must
know the trades as well as concerned companies in detail before going for the
transaction.
The broker:
The broker is not only about advice he can also
help one understand the pros and cons of different segments. Therefore if one
wants to go for some different kind of trades also knowing the profile of the
client the best stock brokers in India warn him.
It is indeed a great job where one can be saved
from making mistakes in the market.
The trades:
The market has different segments where different
types of clients can trade. These segments include cash, derivatives,and currency. The cash segment has intraday and
delivery based trades where the buyer can choose the units. These units direct
the risk of the trade or profit opportunities. In case one does not want to
take much risk and want to invest the amount, he can go for the delivery trade
where the simple rule is just to pay the
amount, buy the shares and keep for long term. Meanwhile one can have income in
the form of a dividend in case the
company declares or other benefits such as bonus shares or share splitting by
the company. If one feels that the shares can fetch good value now, after a few
days, months or years, he can sell them and get the profit.
In the intraday one has to decide if he wants to
sell or buy the shares and both of them have to be
done in the same trading session only. Hence here one has to make quick
decisions which may lead to profit or loss also.
The derivative segment has future and options
where one needs to go for a specific contract. Here one does not have units
like cash segment and hence pay the margin money for the whole contract only.
The contract here is provided with an expiry date and hence before that one has
to sell or buy the same. In this type of trade one can have more time and more
opportunities of making a profit but at
the same time the chances for losses are also high,and hence one needs to take the decision prudently about buying and
selling the contracts. The market trend, price movement,and technical analysis can help one get a viewof the same. A right decision in this segment trading can make
one rich in a few months only.
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