If you're a beginner in trading stocks, commodities, currencies, or markets, the following information will save you from having to ask the same questions we have already answered from previous inquiries:
1. What are Index futures
Index Futures are financial contracts where the underlying asset is an Index. Index Future contract is an agreement to buy or sell a specified quantity of underlying Index for a future date at a price agreed upon between the buyer and seller. The contracts have standardized specifications like market lot, expiry day, unit of price quotation, tick size and method of settlement.
2. What is Day Trading
Also known as 'Intraday', positions are usually entered & exited within the same trading day. Traders in general are interested in quicker, smaller amounts and making multiple trades per day. He does not hold his position overnight, or for a week, etc., as is the case with position and swing traders.
3. What is Swing Trading
Swing trading is typically a short to intermediate term trend following system lasting anywhere from 1 to 30 days. Traders who uses swing trading technique typically look for trend reversals & retracements for their entry/exit points.
4. What is Position Trading
Position trading, also known as 'trend trading', can best be described as a 'buy and hold' method. Positions can be open for a few days, a few weeks, a few months or longer. They are also held during periods of minor retracement with the expectation that they will eventually continue trending in the desired direction.
5. What is technical analysis
Technical analysts use charts to help them assess what’s likely to happen next - to examine past price movements to forecast future price movements. Technical analysts are trend followers who interpret price movement and trading volume via charts to determine tradable up or down trends.
They use momentum statistics such as moving averages and trading volumes to predict the direction of the market. Historical patterns can provide clues about so-called "resistance" and "support" levels where rising prices will stall and falling ones will hit bottom.
To the extent that technical analysis works, it is because human psychology plays a big role in investors’ and traders’ decisions to buy or sell, and that doesn’t change much over the years. Convinced devotees don’t really give a tinker's damn about the company’s business fortunes or outlook. All they care about is sheer momentum. They believe that everything that is known about the business fundamentals is already reflected in the stock price and could care less about valuation or business fundamentals.
Momentum traders believe that price will move in the path of least resistance, and that path is defined by the trend in the price.
6. What is fundamental analysis
Most people use some form of fundamental analysis to pick stocks. They look at revenue, earnings, enterprise value, P/E ratios, and other tools. The problem is companies cook the books. Even if we wanted to talk about value, we couldn't. We don't know if the books are right.
7. The Difference Between Position Trading and Investing
In contrast, a fundamental investor will take a lot of time to study different ratios, balance sheets, analyst statements and other sorts of fundamental analysis and then--and only then--look at a chart to see if the stock is in a rising uptrend. If so, he will probably buy the stock to add it to his portfolio and hold it for a long time until something from his fundamental analysis tells him that the company is overvalued, has achieved an expected price target, or that the situation of the company has deteriorated. They may also use charts to help them make decisions, but not to the extent that a position traders do.
8. What percent of traders really earn money trading
10 % make money, and 90% lose it all! Why? The 90% who enter the market are driven by the emotions of greed and fear. They do not have a sound money management plan, and know very little about the proper techniques of trading. The fact is, they do not have the proper training to succeed in this endeavour.
9. Why do professional traders earn so much money
Professional Traders make up the 10% earning money. This group of winners actually rakes in the 90% that is lost by the speculators – or the “dumb money”, as the pros are wont to call them. If the 90% are paying the 10%, you can easily see why the 10% are paid so well. After all, they know the rules and play by them. You can too!
10. Can I become a successful professional trader
Trading is a profession that most anyone can learn. However, it doesn't come easy and doesn’t happen quickly. Easily achievable by taking right guidance from professionals.
11. Is trading a form of gambling
Yes, trading is gambling if you don’t know what you are doing – in which case, you would be far better off buying lottery tickets. Trading is no place for “hot tips”, and your emotions. When you trade, not knowing what you are doing, or off a tip, you are gambling for sure. When you trade, after you have been trained and coached by a successful trader, you are then taking a calculated risk, but you are well on your way to becoming a " Professional Trader "
12. If you are a Successful Trader then why are you teaching it
The key element of trading is discipline. When I am teaching others it is like revising lesson for myself. It helps me to stay disciplined. I have enough other work to do, but I find this personally rewarding. It's a great feeling knowing I'm helping others, and that's why I do it. It is very rewarding to me to see people turn their trading around and get it going in the right direction.
13. Should I buy membership of so called "Professional Traders"
Do not fall pray to fraudulent offers like
-99% Accurate live Buy Sell Signals
-Nifty Sureshot calls and Earn 300% to 400% per Month
-Nifty Tips Daily 1 Jackpot Call Earn Profit of 10000 to 90000 Monthly
-Nifty Live chart Software with Automatic Buy / Sell Signals
-Trading Master Plan
-Nifty Day Trading Secrets
-Join Our Trading Course and Double your money in 30 Days
-Nifty Entry Exit Point strategies with 90% Accuracy
14. What steps can I take to help me trade successfully
Start with a plan, but keep it simple! Know the trend and stick with it. Set your own rules and trade by them - i.e., carve out your niche, figure out what your edge is, use stops, never average down or up, know where to cut your losses, use trailing stops when your profits are running, stick with the number of contracts or positions you are comfortable with, set a time frame for each trade, trade for profit – not for fun.
Use just two or three great trading strategies and stick with them and only them. Do the same thing over and over again. Focus on making small, but consistent, short-term profits. Do not use "rocket science level" technical analysis. There is no "magic" technical approach to winning consistently in the markets. Make sure your approach is executable, simple, and highly profitable.
Today’s markets are very profitable to trade. There are several great trading opportunities that happen EVERY DAY, and you don't need complex technical analysis to find them and profit from them. Care about making money by taking profits when they present themselves, while managing your losses. As hard as it is to take a loss, it's crucial that you do it. Your survival as a trader depends on it. Keep your long-term investments separate from your trading account. Don't let losing trades become long-term holds!!! It's a deadly mistake. Cut the losses and move on.
The most important element of any successful trading plan is your own mental attitude. This is something you need total control over. Without the proper mind-set and the necessary mental attitude, even the soundest of all methods will lead to lose money. A winner is more defined by his winning mental attitude then that his winning methodology. What exactly causes one trader to play a stock and win, while another absorbs the same information and loses? The difference lies in the mind. Winners consistently win because they are confident and certain. No method, however sound, will work for the trader who mentally pictures himself losing even before each trade is placed.
An old saying goes, "Nothing kills a successful trade like emotions."
Last, but not least, believe in your self. "You can do it!"
15. Can you give me some simple trading tips to get me going
- Successful traders focus on 2-3 or fewer strategies, master them, and ignore a) the so-called "experts" who've never traded, and b) the frenzy, hype and spin of Dalal Street.
- Strong stocks tend to resume their up-trends after 3-, 5- and 8-day corrections.
- Winning in the stock market is directly correlated with how well we lose. No whining! Blaming yourself or others for bad trades (which we all make from time to time) is a sure sign you're doomed as a trader. Complaining doesn't make you a better trader.
- It's OK to stay on the side lines when the stock market is going nuts. Whenever things get uncomfortable for you, you can always elect not to play.
- The criteria you would use to identify a stock you'd want to own for the long term may not the same set of criteria you'd use in finding stocks to trade, although they both complement each other.
16. What questions do all traders ask the most
Why did a particular stock go down? When will it go back up? And what should I do next?
If you are a beginner in trading stocks, commodities, currencies, markets, or whatever, and still have questions, please feel free to contact me at learntradingnifty@gmail.com. I would be delighted to make your acquaintance and be of service to you!
Learn Nifty Swing Trading Techniques ll Trading course ll Nifty Entry Exits Points strategies ll Free Intraday Trading Course ll Nifty
Technical Analysis Tips ll Nifty Futures levels ll Trade Nifty ll Profit Earn from Nifty Positional Trading ll Nifty Buy Sell Signals Software ll
Trading Master Plan ll Nifty Day Trading Secrets ll Nifty Swing Trading System ll Nifty Trading Strategy
1. What are Index futures
Index Futures are financial contracts where the underlying asset is an Index. Index Future contract is an agreement to buy or sell a specified quantity of underlying Index for a future date at a price agreed upon between the buyer and seller. The contracts have standardized specifications like market lot, expiry day, unit of price quotation, tick size and method of settlement.
2. What is Day Trading
Also known as 'Intraday', positions are usually entered & exited within the same trading day. Traders in general are interested in quicker, smaller amounts and making multiple trades per day. He does not hold his position overnight, or for a week, etc., as is the case with position and swing traders.
3. What is Swing Trading
Swing trading is typically a short to intermediate term trend following system lasting anywhere from 1 to 30 days. Traders who uses swing trading technique typically look for trend reversals & retracements for their entry/exit points.
4. What is Position Trading
Position trading, also known as 'trend trading', can best be described as a 'buy and hold' method. Positions can be open for a few days, a few weeks, a few months or longer. They are also held during periods of minor retracement with the expectation that they will eventually continue trending in the desired direction.
5. What is technical analysis
Technical analysts use charts to help them assess what’s likely to happen next - to examine past price movements to forecast future price movements. Technical analysts are trend followers who interpret price movement and trading volume via charts to determine tradable up or down trends.
They use momentum statistics such as moving averages and trading volumes to predict the direction of the market. Historical patterns can provide clues about so-called "resistance" and "support" levels where rising prices will stall and falling ones will hit bottom.
To the extent that technical analysis works, it is because human psychology plays a big role in investors’ and traders’ decisions to buy or sell, and that doesn’t change much over the years. Convinced devotees don’t really give a tinker's damn about the company’s business fortunes or outlook. All they care about is sheer momentum. They believe that everything that is known about the business fundamentals is already reflected in the stock price and could care less about valuation or business fundamentals.
Momentum traders believe that price will move in the path of least resistance, and that path is defined by the trend in the price.
6. What is fundamental analysis
Most people use some form of fundamental analysis to pick stocks. They look at revenue, earnings, enterprise value, P/E ratios, and other tools. The problem is companies cook the books. Even if we wanted to talk about value, we couldn't. We don't know if the books are right.
7. The Difference Between Position Trading and Investing
In contrast, a fundamental investor will take a lot of time to study different ratios, balance sheets, analyst statements and other sorts of fundamental analysis and then--and only then--look at a chart to see if the stock is in a rising uptrend. If so, he will probably buy the stock to add it to his portfolio and hold it for a long time until something from his fundamental analysis tells him that the company is overvalued, has achieved an expected price target, or that the situation of the company has deteriorated. They may also use charts to help them make decisions, but not to the extent that a position traders do.
8. What percent of traders really earn money trading
10 % make money, and 90% lose it all! Why? The 90% who enter the market are driven by the emotions of greed and fear. They do not have a sound money management plan, and know very little about the proper techniques of trading. The fact is, they do not have the proper training to succeed in this endeavour.
9. Why do professional traders earn so much money
Professional Traders make up the 10% earning money. This group of winners actually rakes in the 90% that is lost by the speculators – or the “dumb money”, as the pros are wont to call them. If the 90% are paying the 10%, you can easily see why the 10% are paid so well. After all, they know the rules and play by them. You can too!
10. Can I become a successful professional trader
Trading is a profession that most anyone can learn. However, it doesn't come easy and doesn’t happen quickly. Easily achievable by taking right guidance from professionals.
11. Is trading a form of gambling
Yes, trading is gambling if you don’t know what you are doing – in which case, you would be far better off buying lottery tickets. Trading is no place for “hot tips”, and your emotions. When you trade, not knowing what you are doing, or off a tip, you are gambling for sure. When you trade, after you have been trained and coached by a successful trader, you are then taking a calculated risk, but you are well on your way to becoming a " Professional Trader "
12. If you are a Successful Trader then why are you teaching it
The key element of trading is discipline. When I am teaching others it is like revising lesson for myself. It helps me to stay disciplined. I have enough other work to do, but I find this personally rewarding. It's a great feeling knowing I'm helping others, and that's why I do it. It is very rewarding to me to see people turn their trading around and get it going in the right direction.
13. Should I buy membership of so called "Professional Traders"
Do not fall pray to fraudulent offers like
-99% Accurate live Buy Sell Signals
-Nifty Sureshot calls and Earn 300% to 400% per Month
-Nifty Tips Daily 1 Jackpot Call Earn Profit of 10000 to 90000 Monthly
-Nifty Live chart Software with Automatic Buy / Sell Signals
-Trading Master Plan
-Nifty Day Trading Secrets
-Join Our Trading Course and Double your money in 30 Days
-Nifty Entry Exit Point strategies with 90% Accuracy
14. What steps can I take to help me trade successfully
Start with a plan, but keep it simple! Know the trend and stick with it. Set your own rules and trade by them - i.e., carve out your niche, figure out what your edge is, use stops, never average down or up, know where to cut your losses, use trailing stops when your profits are running, stick with the number of contracts or positions you are comfortable with, set a time frame for each trade, trade for profit – not for fun.
Use just two or three great trading strategies and stick with them and only them. Do the same thing over and over again. Focus on making small, but consistent, short-term profits. Do not use "rocket science level" technical analysis. There is no "magic" technical approach to winning consistently in the markets. Make sure your approach is executable, simple, and highly profitable.
Today’s markets are very profitable to trade. There are several great trading opportunities that happen EVERY DAY, and you don't need complex technical analysis to find them and profit from them. Care about making money by taking profits when they present themselves, while managing your losses. As hard as it is to take a loss, it's crucial that you do it. Your survival as a trader depends on it. Keep your long-term investments separate from your trading account. Don't let losing trades become long-term holds!!! It's a deadly mistake. Cut the losses and move on.
The most important element of any successful trading plan is your own mental attitude. This is something you need total control over. Without the proper mind-set and the necessary mental attitude, even the soundest of all methods will lead to lose money. A winner is more defined by his winning mental attitude then that his winning methodology. What exactly causes one trader to play a stock and win, while another absorbs the same information and loses? The difference lies in the mind. Winners consistently win because they are confident and certain. No method, however sound, will work for the trader who mentally pictures himself losing even before each trade is placed.
An old saying goes, "Nothing kills a successful trade like emotions."
Last, but not least, believe in your self. "You can do it!"
15. Can you give me some simple trading tips to get me going
- Successful traders focus on 2-3 or fewer strategies, master them, and ignore a) the so-called "experts" who've never traded, and b) the frenzy, hype and spin of Dalal Street.
- Strong stocks tend to resume their up-trends after 3-, 5- and 8-day corrections.
- Winning in the stock market is directly correlated with how well we lose. No whining! Blaming yourself or others for bad trades (which we all make from time to time) is a sure sign you're doomed as a trader. Complaining doesn't make you a better trader.
- It's OK to stay on the side lines when the stock market is going nuts. Whenever things get uncomfortable for you, you can always elect not to play.
- The criteria you would use to identify a stock you'd want to own for the long term may not the same set of criteria you'd use in finding stocks to trade, although they both complement each other.
16. What questions do all traders ask the most
Why did a particular stock go down? When will it go back up? And what should I do next?
If you are a beginner in trading stocks, commodities, currencies, markets, or whatever, and still have questions, please feel free to contact me at learntradingnifty@gmail.com. I would be delighted to make your acquaintance and be of service to you!
Learn Nifty Swing Trading Techniques ll Trading course ll Nifty Entry Exits Points strategies ll Free Intraday Trading Course ll Nifty
Technical Analysis Tips ll Nifty Futures levels ll Trade Nifty ll Profit Earn from Nifty Positional Trading ll Nifty Buy Sell Signals Software ll
Trading Master Plan ll Nifty Day Trading Secrets ll Nifty Swing Trading System ll Nifty Trading Strategy
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