V Gandhirajan Stockmarket Trader and Trainer,Free for 1 customer
No reviews yet

• ₹1
• Duration: 6 Days
• Delivery mode: Online
• Group size: 41 or more
• Instruction language: English, Hindi, Tamil
• Certificate provided: Yes

Are you interested in the world of stocks, trading, and investments? Do terms like IPO, NIFTY, SENSEX, and technical analysis leave you feeling confused? Fear not! In this course, we will provide you with a comprehensive guide to the stock market, covering everything from company formation to different types of orders. So, fasten your seatbelts and get ready to dive into the exciting world of finance and investing!

Company Formation: Laying the Foundation for the Stock Market

Before we delve into the intricacies of the stock market, let's start with the basics: company formation. Every stock listed on the market represents a part of ownership in a company. These companies go through a legal process of formation, where they are registered and authorized to issue shares. This is the foundation upon which the entire stock market is built.

Primary and Secondary Markets: Where Stocks Are Bought and Sold
Once a company is formed and shares are issued, the stocks enter the primary market. This is where initial public offerings (IPOs) take place. Investors have the opportunity to buy shares directly from the company. However, once the shares are purchased and enter the hands of investors, they can be traded in the secondary market. This is where buyers and sellers come together to exchange stocks, and the stock market truly comes alive.

The IPO Process: Going Public and Offering Shares
Initial public offerings, or IPOs, are a significant event for companies and investors alike. When a company decides to go public and offer shares to the public, it hires investment banks to underwrite the process. These banks help determine the value of the company and set the offering price for the shares. This process allows companies to raise capital and allows investors to own a stake in the company's success.

Participants in the Stock Market: Who's Who?
The stock market is a dynamic arena with various participants. Let's take a closer look at some key players:

Investors: Individuals or institutions that buy and hold shares in companies, hoping for price appreciation and dividends.

Traders: Individuals or institutions that actively buy and sell stocks within shorter timeframes to take advantage of market fluctuations.

Brokers: Entities that facilitate buying and selling of stocks on behalf of investors and traders.
Market Makers: Firms that commit to buying or selling a specific stock, ensuring market liquidity.
Regulators: Government bodies responsible for overseeing and regulating the stock market, ensuring fairness and preventing fraudulent activities.

Market Indices: NIFTY and SENSEX
In the stock market, market indices are used to gauge the overall performance of the market or specific sectors. Two prominent indices in the Indian stock market are NIFTY and SENSEX.

NIFTY: National Stock Exchange Fifty, or NIFTY, comprises the top 50 companies listed on the National Stock Exchange (NSE). It serves as a benchmark for the overall market performance.
SENSEX: SENSEX, also known as the BSE 30, represents the 30 largest and most actively traded stocks on the Bombay Stock Exchange (BSE). It is one of the oldest and most widely followed market indices in India.

Investing and Trading: Two Sides of the Coin
When it comes to the stock market, two primary approaches are investing and trading.

Investing: Investors take a long-term approach, carefully researching and selecting stocks to hold them for an extended period. They focus on the fundamental analysis of companies, examining financial statements, management, and industry trends.
Trading: Traders, on the other hand, take advantage of short-term price movements in the market. They use technical analysis tools to identify patterns and trends, making frequent trades to profit from these fluctuations.

Types of Orders: Controlling Your Trades
Before entering the stock market, it is essential to understand the different types of orders you can place to buy or sell stocks. Here are some common order types:

Market Order: A market order is executed immediately at the prevailing market price. It ensures the order is filled but may not guarantee the desired price.

Limit Order: A limit order specifies the maximum price you are willing to pay when buying or the minimum price you are willing to accept when selling. It offers more control over the execution price but may not be immediately filled.

Stop Order: A stop order becomes a market order when the stock reaches a specified price, known as the stop price. It is typically used to limit losses or protect gains.

Pre and Post-Market Sessions: Beyond Regular Trading Hours
While the stock market operates during regular trading hours, there are also pre and post-market sessions. These extended trading hours provide investors and traders with the opportunity to react to news or events that occur outside regular market hours. It is important to note that liquidity during these sessions may be lower, and price movements can be more volatile.

Corporate Actions: Impact on Stock Prices
Corporate actions, such as dividends, stock splits, and mergers, can have a significant impact on stock prices. Dividends provide a portion of a company's profits to shareholders, while stock splits increase the number of shares outstanding. Investors must stay informed about these actions to make informed decisions.

News Impact on the Market: Stay Informed
The stock market is heavily influenced by news and events. Economic reports, corporate earnings, and geopolitical developments can all impact stock prices. Staying informed about the latest news and its potential implications can help you make well-informed investment decisions.

Fundamentals of Technical Analysis: Analyzing Price Patterns
Technical analysis is a method of analyzing stock prices using historical price patterns and market statistics. By examining charts and utilizing various indicators, traders seek to identify trends, support and resistance levels, and potential entry and exit points. Technical analysis aims to forecast future price movements based on past patterns.

In conclusion, navigating the stock market may seem daunting initially, but with proper knowledge and understanding, you can confidently invest and trade. From company formation to market indices, and investing strategies to technical analysis, this comprehensive guide has provided you with the foundation to embark on your stock market journey. Remember, always stay informed, perform thorough research, and consider seeking professional advice before making investment decisions. Happy investing!

This course is prepared for both new and experienced traders who want to know the complete basics of the stock market.

The contents include company formation, primary and secondary markets, IPO process, participants in the stock market, Market indices (NIFTY and SENSEX), Investing, Trading and its platform, Types of orders, stock markets (pre and post) sessions, corporate actions, News impact on the market, and Fundamentals of Technical analysis.