June 23, 2011

An insight into Share market- part 2

In the First Part we discussed about the basic facts and pre-requisites of Trading. In this post I would like to list out some shares which I came through recently that has high scope of going up in future.
But the list varies with time depending on the share market and also on the performance of the particular company.

Recommended list of shares to buy:

(Note: The list is not subject to any order or grouped by any sector and is liable to change)

This is my observation after going through the market trend for few months. 


IPO stands for Initial Public Offering. This is when a company releases its shares into the market. i.e) the lowest price it could ever be. So if you think a share would definitely go up, then better buy it in the beginning itself. For eg: Punjab & Sind Bank's IPO was released quoting Rs.70 approx. Today's value of the Bank is Rs.100. 
But how will you be so positive about a share at the IPO stage itself before witnessing the performance ?
Well you have to go through some websites and read few articles and do your part of the groundwork. Or get along and discuss with other investors in forums.

If you have missed to buy a share at the time of IPO but you are still sure of the share's growth in future, keep an eye on it and buy it when the share price goes a step down.
Besides the forum, magazines like Money (Naanayam in Tamil), Outlook Business will help you with the shares you can go ahead and buy. 

So once you have decided the good ones start accumulating them and wait for a longer period to harvest the fruits.

Happy Trading!

June 21, 2011

An insight into Share market - Part 1

I have always wanted to know about share market inside out since my college days. But the problem was that I was not ready to risk my father's money. Plus none of my friends had any clue about investing then. Very few elders who I thought would help me in this advised me to stay out of it because of the risk involved. So I dropped the idea of knowing.
Now that I have a decent income and considering the fact that Iam very bad in saving money I decided to start my mission once again. Fortunately in my company there are many people who are into investments because of which I managed to gain some knowledge.Thus my search for knowledge started again with the help of few people. And iam here to share that knowledge here. Feel easy to guide me if you are also an investor and if you are not do browse through the sites Iam about to share in this post.


  • Have a De-mat account ready (online account is preferable)
  • Make sure from the bank if trading account is the same.
  • Once you get a mail from the bank stating that your account is ready for trading, its done

Simple logic:

Buy a company's share when its price go down and sell it when it has reached your desired upper limit. For eg: Today Yes Bank's one share costs Rs. 295. Assuming you are buying 5 shares of Yes Bank, you invest
Rs. 1495 in the bank. Remember though you are free to sell your shares anytime you want, it is highly recommended that you consider investments for long term benefits. So set a target for the shares you have bought. Like you can sell when each share of yes bank goes up by Rs.1000. Well for 5 shares you have bought you would get a gain of Rs.5000. But again this might take time depending on the bank's performance.

Talking about performance of a company, it has equal chance of going down too. That is the risk you should be ready to take. But dont worry there are ways you can minimize the risk and stay away from losses.
Iam a person who will never ever take risk when it comes to money but I love investing. So in this case I make sure that the money I invest is safe with no risk at the same time I make profit out of it. There are ample sites which will help you but the one site that almost every investor follow like a Bible is www.moneycontrol.com. Actually there is one more which can wait for now.

Goto the website and browse through a few company's quotes and also through the performance charts. And dont ignore the comments section where people who have bought or yet to buy that particular share have a discussion. So all these will give you an idea of how the share performs in the current market scenario and if you should buy the share now or wait for some more time for it to go down.

Keep watching this space for more information.
Signing off for now.
Happy Trading!

How do you rate my blog?