Trading the stock market is a very profitable business. However, it is quite risky. The percentage of risk decreases over time, when the trader gets his hand and begins to adequately assess the operational situation in the securities market. On this path, cold calculation and intuition will be your best assistants.
Instructions
Step 1
What is the general outline of securities trading? First, you sign an agreement drawn up in duplicate - one for the broker, the other for you. Then, on the internal account, you place the starting capital, as a rule, at least $ 100, and you can start trading through a special Internet program. So that you can enter the program, your broker issues a personal number in the system and access keys to it. Through the program, you enter a specific exchange and start buying and selling shares, playing on fluctuations in their prices. If the forecasts are favorable, then the stock can be held for a longer time in order to make a big profit.
Step 2
What are the functions of a broker? Firstly, all contracts that you will conclude for the purchase or sale of shares will be signed with his participation. Second, it provides you with the software you need. Thirdly, he teaches you how to work on the stock exchange through free seminars. The first month you make fake trades, practicing, studying market trends, analyzing the reasons for the fall and rise in prices. After this trial period, you can start real trading.
Step 3
The question of whose shares it is better to buy is far from idle. Hundreds of issuing companies with varying popularity among traders are circulating on the exchange. It depends on liquidity, which determines the size of the spread - the corridor between the optimal price to sell and buy a share. The longer the corridor, the less liquid the stock is. It makes sense to buy such shares only for long-term investments.
Step 4
If you want to actively buy and sell stocks, then it is better to opt for liquid stocks - blue chips. These include shares of companies whose financial well-being is guaranteed. In Russia, these are mainly organizations that control the production and sale of natural energy sources: Lukoil, RAO UES of Russia, SurgutNefteGaz, Rostelecom, Sibneft, Norilsk Nickel, Tatneft, Sibneft, and a little apart - Sberbank of Russia.
Step 5
To buy or sell a share, a trader needs to place an order on the exchange through the terminal, which indicates the number of shares and the desired sale or purchase price. The system automatically checks if there are any counter transactions, if there are any, then the transaction is automatically closed. If this does not happen immediately, then the order hangs until a counter offer appears, or until the merchant cancels it.
Step 6
When buying a share, you pay not for paper, but practically, for an entry in the depository about the fact of purchase. From the database of the depositary, you can get a statement of the shares that you own. The depository is serviced by the same brokerage company in which you trade.
Step 7
In addition to the main income associated with the difference between buying and selling shares, you will receive dividends on the shares you own.
