Stocks

[MAN UTD]

Good to see some experts in market... pls answer my below question .. thanks in advance

 

in delivery (non intraday) when we buy a stock for selling i heard we need to wait for T+2 days. Could you please explain why this is needed.  And what is the result if you buy today and sell tomorrow (that if you are not following T+2 in sell .. )

i am never a fan of intraday trading. even if i wanted to, don't think i have come across such situation. can you give me any further info on this - what market and your trading broker. will gladly do a quick readup on it and can explain later.

 

would welcome any views/comments from fellow dbians

[sreeni99]

in Indian market, you can get trading account from Icici, sharekon, hdfc .. some other also there but these are better ones...  Good luck in your startup...

[sreeni99]

i am never a fan of intraday trading. even if i wanted to, don't think i have come across such situation. can you give me any further info on this - what market and your trading broker. will gladly do a quick readup on it and can explain later.

 

would welcome any views/comments from fellow dbians

 

 

in Indian market, you can get trading account from Icici, sharekon, hdfc .. some other also there but these are better ones...  Good luck in your startup.

[MAN UTD]

in Indian market, you can get trading account from Icici, sharekon, hdfc .. some other also there but these are better ones...  Good luck in your startup.

 

Quote-- in delivery (non intraday) when we buy a stock for selling i heard we need to wait for T+2 days. Could you please explain why this is needed.

LOL. you have asked (me) a question and i asked you where is this requirement coming from and in what market (and broker).

 

I got no startup and dont intend to either. I am an analyst who invests in businesses including startups. 

[chandra916]

india lo aithe Zerodha brokerage use chesukondi...........brokerage charges chaala ante chaala thakkuva

[sillynivas]

paina cheppinve kakunda inko salaha--mee bills+savings(25%) tarvata migilina danto veetiloki digandi...vachina poyina peddaga em anipinchadu..

 

 

[sreeni99]

india lo aithe Zerodha brokerage use chesukondi...........brokerage charges chaala ante chaala thakkuva

 

 

Good.. Thanks for the info... charges looks decent...

[donganaaK]

u need to have a minimum of $25k in ur trading account to do day trading in the US ...... 

[donganaaK]

 

That's a good start i reckon.

 

@spider, Be clear on what you want to do with the stocks - trading or investment.

 

1. Trading : Its an open play. you are taking a shot in the dark unless you have an insider information of the company. You can go by the trends/crowd behaviour, but the chances of you loosing your money are high than you earning. If you are versed with the concept of betting, it can give you an analogy for trading in stocks. I am never a fan of trading and i would only dedicate 5-15% of my investment amount for this.

 

2. Investment : I can give a load of jargon here and make it sound so intellectual. that wont do you any help. You need to understand what an investment is. 

 

Lets take an example of Fixed Deposit. U deposit your money with a bank for a fixed interest - say 5% for example. One thing that you can be sure of is - your capital/investment is safe (unless the bank/institution defaults and then watchdog company - typically rbi or federal institute reimburses you a part of your investment - up to a limit). More or less you are covered what ever happens. 

Apply the same logic with 'Stock Investments' - One should ensure that capital is safe no matter what happens and this has to be First and foremost rule. Whatever returns you earn on top of it, is your returns. But if you were to loose your capital, you would be kicking yourself for 'investing'. 

How can know you that your capital would be safe?? when you pick a company - understand its business model and understand how healthy its books are. pose your self a question - if the company were to go bankrupt/defunct, how strong are its finances to pay off debts and then share holders and how much would % of your equity would you be getting in that case. 

 

First learn this concept and then you can be sure that are you are investment ready.

 

You can ignore my advice and jump straight ahead in purchasing stocks on the market and guessing the trends and dealing the stocks based on it. you can either earn sh*t loads of money or you can loose dearly. its your risk and you have decided to go that way. you have no one but yourself to blame then. be ready for any case.

 

If you want it to play safe, content with a decent returns (returns are directly proportional to risk) start to learn the basics of Value Investing and first point is preservation of capital and second is understanding where the company stands with their short term & long term debts and how aggressively they need liquid capital and how are they financing it.

 

DO a lot of reading - First place to start with - Intelligent Investor by Benjamin Graham. I treat it as the bible of investing for beginners. If you finish it and you are raring to go forward, start another thread and will discuss. 

 

Be Greedy, but fear more at the same time! Remember that you are buying a piece of a company and not a lottery ticket.

 

Good Luck

 

 

thats the most important advice  ...... many people equate stock market investments to gambling , infact its the exact opposite ...... good post man

[MAN UTD]

paina cheppinve kakunda inko salaha--mee bills+savings(25%) tarvata migilina danto veetiloki digandi...vachina poyina peddaga em anipinchadu..

i appreciate your cautious approach, but from my experience i can say for certain that - if we do enough ground work in understanding the business and the books, the chances of loosing money is very less to zero. only disclaimer is you should give the business enough time, if you happen to invest during a soft market/tough days in the business life cycle. Patience!

 

thats the most important advice  ...... many people equate stock market investments to gambling , infact its the exact opposite ...... good post man

Thank you. Results are never instantaneous. one should be patient with their investments and if well versed with the business model - they can easily chart their entry and exit criteria