Enhancement of knowledge On Tips For Gain Speculation
" I am writing this article according to my trading experience and found various things such as doe's and don'ts need to follow certain things while trading equities for speculation."
Enhancement of knowledge on Stock market
Tips For Gain Speculation on Equity Shares
In stock market speculation is very important to make profits as soon as possible when you enter into the market, most of the volumes traded and most of the buyers and sellers enter and exit from the market with in marketing hours.
Every share has limited high or lows but in rare cases certain stocks could see break outs and break downs.
Every share can go maximum and minimum volatility. Because stocks can fluctuate maximum number of times.
Speculation will give more advantage for by day traders because limits will be provided by the broker on the basis of margin value.
Reading technical charts are very essential for a day traders for entering the market on the basis of support and resistance levels. In fact it is a key for success of every trader to understand different charts and variations.
Sector performance is also indicator for success of day trader.
Estimating and measuring market trend,sector trend or stock trend so it may be down trend or up trend not problem take if you require buying position or take short position.
If the stock price staying at particular location number of times means the stock is ready to take either upper side or lower side but most of the time it goes downwards.
If trade NIFTY top 50 stock then you can observe index for example 100 points up means the stocks already increased so don't buy stock instead of that take short position in the same if the INDEX down 100 points, it means stock already fallen so then don't take short position instead of that buy the stock so apply this formula then you are trade success rate increases tremendously.
Remember trade with common sense because most of the traders forget to use simple steps and techniques. Having command on subject important but using common sense is important.
Volumes are indicators for a traders so they can see clearly whether investors are interested at particular price and their interest.
Every second is important for an investor and price fluctuate maximum number of times so only the thing you need take the advantage by fixing the selling/buying price so that time frame can be minimized.
On day trading , buying and selling positions need to be taken immediately not wasting any more time when you get right opportunity at the same time exit from when you are not entered at right time. This is very important point need to be think for maximizing profits and minimizing looses.
Keeping stop losses are important for speculators in order to maximize time and reduce losses.
Generally speculators buy the stock on the basis of Day high and Day lows at the same time need to prefer the stock which has high trade volume shares such as nifty stocks having more than 1,00,000 volume every day would be ideal for trading.
Always better to enter in 11:00 AM in the market and 2:00 PM so both time innings are essential for a traders.
Don't stick any stocks emotionally before trading because strategies need to adopt minute to minute and we should not have any hope before trading stocks, for example some stocks works well beyond our expectations and few will not work for day trading few days and later those stocks will give significant results and taking decision before few minutes are worthy.
Few people wait for target price, if it's goes according you are expectation then it's good but remember majority of the situations stock can't hit you are target price so book low profits and keep stop losses then you get wonderful results.
Another important thing on speculation is to take advantage of price differences at right time to enter the market and exit from the market is key for success for a day traders.
Here i am providing financial sources and sites
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always measure with your performance by attending your skills tests,attending conferences,seminars with experts so that it will give scope to you to analyse your performance and you can rectify your mistakes while you trade shares.