Online Share Trading | Online Stock Trading – A Beginner’s Guide
Online share trading has become very popular in the last several years.
Nowadays, not only in India, people can buy and sell shares of the world’s biggest companies such as Apple, Amazon or Facebook at the click of a button.
Online stock trading India is the most accessible investment option for us today. But starting out for investors can seem daunting.
Don’t be afraid! This article is made just for you. In this we have discussed in detail about online share trading in India for beginners.
What is online share trading?
Let us start with how to trade in the online share market.
Online share trading is the process of buying and selling shares (or stocks) in a publicly listed company from your computer, laptop or phone in the hope of making a profit.
The buying and selling of shares in public companies is controlled and managed by a stock exchange such as the London Stock Exchange or the New York Stock Exchange. Historically, traders traded on these exchanges to buy and sell shares with other traders.
Nowadays, traders do not need to trade through the stock exchange. Instead, he can participate in online share trading India by simply opening a trading account with the right broker. By opening an account, a broker acts as an intermediary between the trader and the stock exchange.
With Admirals you can open a Trade.MT5 account and invest in shares and ETFs on the world’s largest stock exchanges. You can get free real-time market data, create a stream of passive income by collecting dividend payments, trade on MetaTrader which is the world’s best online stock market trading software. And can enjoy many other benefits too.
Why do Online Stock Trading India?
People in the world participate in online share trading for different reasons. However, in almost all cases, the most important factor is the potential to make a profit. Most online trading traders aim to buy shares at a lower price and sell them at a higher price, and then profit from the difference, as you can see in the example of a company share price chart below:
This is a candlestick chart that shows profit and loss areas when buying shares of a company.
In the above example, a trader buys one share of a company that is valued at $100. If the market moves to $200 the trader will make a profit of $100. The net profit will be slightly lower as the trader will still have to pay the cost of trading such as brokerage charges.