How does one make money on the stock market?

Question

I hear people talk about good investments, great stocks, investing in the "global econonmy", and it sounds so good, but what does it mean and how does an everyday person do it

Answer 1

when a person watches a sector which can or which will perform well in coming days because of some good news for the sector or when a person likes a operational company, he/she beleives that company to perform in coming days also. so, he/she invests in that company through equity shares and when they the equity share prices is hiked and is comparitively giving good profit if he/she sells that again......he/she sells that and hence obtain or get smart profit.........this is how 1 make money....

The risk are also the same, as because if a company doesnt fair well as per expectations the share prices of it also falls and hence make a loss of the investment amount...........

Answer 2

Look for good trends,and what sectors are making money and best of breed companies in those sectors that deal internationally Prepare to do some homework to research this information. Look for companies that will meet or exceed expectations for its quarterly earnings reports Sell immediately those that don't. Avoid bad markets like this one unless you dollar cost average.

Answer 3

I urge you to attend the FREE Investools seminar in your area. What do you have to lose? It won't cost you a thing except 2 hrs. out of your weekend. http://investools.com

Been there done it. :)

Answer 4

There are several companies' shares available in the market. Many are promising and some others are not that much profitable. How will you choose the best company shares in order to earn maximum profits? Well, it's a million dollar question, but the answer is quite simple. Until and unless you get familiar with the stock market, you cannot find the answer to the million-dollar question. Yes, market knowledge is a must for all who are planning to invest in stocks.

The good news is that Internet based trading is very simple and hassle free. Anyone can invest in stocks at any point of time. There is no lock-in period and constraints unlike other investment options available in the market. However, in this kind of investment, you need to do some groundwork. Initially, if you plan well and gain adequate knowledge about the functioning of the stock market, you can definitely reap the benefits from your investment.

Once you are finished with the initial groundwork, you can find the answer of that million-dollar question. When a company issues public shares in the market - you buy some shares, for example 100 shares at the rate of $10 each. Now, what are the factors that would influence in raising the share price? First of all, it is important to know why a particular company issues public shares - the main aim of issuing shares is to collect funds for the expansion of the company or to pay the debt, if any. And as the company grows, the share prices also go up accordingly.

On the other hand, if you buy a company share and in few days, the share prices go down, it means, the company growth curve is declining. Therefore, expert professionals always suggest investors to keep an eye on major company shares. Even if you don't have any idea about a company - you can access information about a company, its growth curve and the previous market reputation. However, many professionals also suggest buying small-scale company shares for maximum profit. So, whenever, you decide to buy a particular company share - take out all the information about the company profile and other valuable information. After the analysis if you think that a particular company share price would rise, buy those shares.

What are the other factors that influence the trading process? Well, the stock trading company's website, your stockbroker and finally your decision making capability directly influence the whole trading process. So, it is always better to do some rigorous market research on the Internet and then pick the best choice. If your fundamentals are clear, you can definitely gain maximum profits from your investment. So, it is better to do some groundwork and then trade rather than directly jump into the market.

Now, it is evident that professionals who are making profits from the same market have done all the primary work needed before trading So, if you are a new investor and want to earn profits in a short time period - do the primary work first, take advice from financial experts and then start trading online. Save money and build a strong financial backup and support your family in a better and efficient way.

The following article might be helpful to you:

The Art of Making Money in Stock Market

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