Stock market for students-How to start Investing in the stock market as a Student.

If you are also a student and want to take the first step in the stock market than this blog is for you.I am a student and honestly I have not much traded or Invested in the stock market but I will tell you about stock market and some important key terms too.

 

 

 In this blog I am going to share my journey as well as some important points for beginners who are thinking to take the first step in the stock market and want to trade and invest in it.I will tell you what i have learnt and studied so far.I am also a beginner.

 

1.What is stock market?📈How it works.

A stock market or equity market is the aggregation of buyers and sellers of stocks.In simple words it is a place where different companies sell their shares .In case if the company grows than the price of the share also increases.

Types of stock market activities:

a.Trading💷

Trading is a process of buying and selling of stocks with the aim of making profit.

There are mainly three types of trading:

~Intraday trading

~Swing trading

~Scalping

 

 b.Investing💰

It means to invest your money in a company for a long time.

For example-If you buy a share of Reliance company you become a part owner of that company and when the company grows the price of your share also increases.Investing is for a long period of time.

 

2.What you need to understand?🧠

a.Demat account🎫

A trading account or a demat account is a account which offers a secure method to hold shares for a long time.It is essential to create a demat account if you want to trade or invest in the stock market.

b.Choosing the right broker.💯

The government and the broker doesn't care whether you are making profit or loss you have to pay the brokerage and tax and the tax is decided by the government so choosing the right broker is extremely important.

Some quality broker which I recommend:

~Groww✅

~Upstock✅

 ~Zerodha ✅

These are some beginner friendly brokers which are easy to use.

 

3.What you can do with  5$ in your hand?

a.Mutual fund🏦

Mutual fund is a platform where some people invest your money on behalf of you,basically if you give them money to invest in the stock and if the price of the stock goes up then 50-50 % amount is divided between you and that person.It is a good and safer option for a beginner when you don't have much knowledge about investing.

b.Penny stocks⚠

Buying penny stocks may be more risky but the the price of the stocks is comparatively  less.It may not be a very effective option as the price of the stock is already low and you are not going to generate much profit from it.

 

4.What strategy to follow as a beginner?🎯

a.A sharp but safe start

If you are a beginner than you should go for investing first as it is a little bit less risky or you can choose mutual fund to invest your money as it is much more safe and beginner friendly option.

b.Avoid trading initially

Trading is a difficult and risky thing at the start when you don't have much knowledge that how the stock market works .What stocks to buy?and when to trade.

 

c.Learn first

First learn the basics of the stock market like-

~Risk management                                 

~Trendlines

~Support & Resistance

~Chart patterns

~Candlestick patterns

After learning and understanding the concept of all these things then you should go for trading as to succeed in stock market you have to "Learn to earn"📚

 

 

I am not a expert I am also a beginner and I know that starting your stock market journey as a teenager can be challenging,but if you are really passionate about it then no one can stop you .With the right education you are going to succeed.If you find this Beginner's guide to stock market helpful please share your thoughts in the comments.Let's learn together🤗

 

 I want support from you guys if you find this blog a little helpful please comment and share as your one comment and one share means a lot to me💓