7 Prime Strategies to Make Profit in Indian Stock Market
Trading in stock for profit, like every other business requires step by step approach to enable you make super profit. If you want to make profit in Indian trading stocks, you need to read this and take it seriously. Actually who says investment in stock market is not good? Stock market profit strategies that generate good returns on investments must be merged with the will to go all the way to take position for very cheap penny stocks especially in the bear.
Very cheap penny stocks with good fundamentals are good buy during the bear. Where you position your self will be a major determinant for how much profit you can make with time value.
Follow the Indian Stock Market Strategies and you are on your way to making millions:
Never overreact on rumors:
Facts and rumors float simultaneously in the share market. Look out for bad news to make the best use of it. The market often overreacts to adverse news which will drive the share lower than its actual rating.
Make proper enquiries about the management of the company. Who is running it and what is their backgrounder information? Do they have any success stories to their credit?
Look out for undervalued companies and penny stocks that have the potentialities for growth. If you are going to invest in a company’s share you must have to check its growth statics and estimation. So that there will be a less chance to be lost your share.
Pre earnings ratio study:
Make the specialized study relating to a particular segment of the industry. Are there any shares that have price-earnings ratios much lower than those of their peer group? Such shares are worth buying.
Debt loads of company:
Now, come to the basics. Companies with a strong balance sheet, good cash flow and consistent sales, good earnings and with low debt loads must do well in the long run. You must have to do some basic research about the company you are going to invest in.
Avoid daily trading:
Have a principled cut loss approach. Investment with a long-term perspective is perfect, but you do not wish to stick on to a consistently losing company. Many of the people do daily basis trading the share market as gambling should be avoided by nature. If you really want a flowing and loss-less business policy you must have to work on long term prospective investor in the Indian share market.
You get hundreds of reasons why to buy a particular share. Anyone can buy a share and it is easiest of the transactions to do. But if you look at the history of successful investors, they are those who sold their shares well in time and had a good exit strategy.
Keep this strategy simple and easy to implement.
Profits are always available in the share market. Only you need to spot where the profit-centre is located. If not you, the more seasoned ones are bound to make money in the market. Many of the good company always understand that how to increase business network and market value. Stock market also works in the same way and increase the business network of the company’s share holders.
To make profits from the BSE (Bombay Stock Exchange) share market, you need not be a slave of the latest software, which promises you the moon, but a psychologist to understand the market psychology properly. Stay away from the twin enemies of the share market–greed and fear! Trading is simple, but not easy!
About the author
I Preeti Mishra,having done with my MCA, is currently Founder of www.taazatadka.com . Besides, I'm a foodie, content writer, motivator and political analyst. Read more