How Much Can I Earn Through Share Market?

This is the question many people have about making money from share market. Many websites assure people for earning a lot of money from FOREX market or from Futures and Options also called as F&O market. But always remember there is no term like EASY MONEY in an Investors dictionary. Delete this term or phenomena from your dictionary, it is impossible to earn money easily and if you get to hear something like that, never ever go for that.

Think logically, if there were ways to earn money easily then everyone would have been a millionaire, isn't it? But you will tell us that you have really earned from these kind of EASY MONEY making techniques like FOREX, F&O and Short Selling of shares etc. Yes we agree that many people or investors in these segments must have earned a lot of money from this but the big question is that "Have they always made a profit from their investment?" The answer is a big no. In stock market you can’t predict accurately the movement of the market since there are triggers which can blow the entire stock market in seconds.

Like in September, 2008 collapse of Lehman Brothers led to stock market crash where the Indian stock market lost its half of the value in both the indices which is Sensex and Nifty. For your kind information we would like to inform our readers that this had not happened immediately but the majority of the economists say and agree that the Real Estate Bubble was building since the year 2003. So you can imagine it took almost 4 to 5 years to burst that bubble of Real Estate Boom in United States of America and who knows that there is another bubble or stock market crash is waiting to burst. Hence there is no way you can earn only profit while trading or betting in stock market through these routes.

Beginners in stock market will lose a lot if they don’t trade cautiously. Many a times you will make profit out of these routes but remember you will definitely get a big shocker all at once when the greed will take you over to earn more profit out of these and one day you will left with nothing. Trading or betting in these segments of F&O, FOREX market needs a lot of experience.

Learn 10 steps to Profitable Trading in Stock Market

And that is the reason why big companies have dedicated team of economists to predict the fluctuations in US Dollar rate or other currencies they are associated with. Like many IT firms like TCS and WIPRO get affected by fluctuations in US Dollar, while YEN creates an impact on Maruti Suzuki stock price. In short if someone says or a website promises you to make money in hours or days, they are bluffing and you should be cautious before opting for such schemes. You take any example when many websites tell you to make money quickly by just giving 1 or 2 hour of your time and promise to make thousands of Dollars a month, isn't it? You just Google it down and you will come across thousands of these kind of Easy Money making schemes.

What is more important is that you should have patience in the stock market after investing. The profit you earn on your investment in share market is the reward you get for serving the waiting period in the stock market. That means you will always earn profit when you invest for long term. Intraday trading or short selling are just ways of betting in stock market.

 

Many beginners when they start investing in share market always try to earn quickly by doing intraday trading in stock market and this is what majority of beginners do while they debut at stock market. But always remember many successful investors like Sir Warren Buffett never earned through betting or intraday trading. Their huge pockets are the result of patience and long term investment in stock market.

Never ever go for intraday tips since many of these tips are based on rumors. Since cartel of traders control the price and when the stock is reached at certain level they start selling the stock and small investors like us lose a lot of money which goes into the pockets of these big traders.

What you should look for is a fundamentally good company. Companies which are classified as Mid caps or Large Caps based on their market capitalization. Look for short, medium and longer stock call or tips of fundamentally good companies. Like we give you fundamentally good companies stock tips. Like we said it is not necessary that you will start earning immediately if you buy these fundamentally good stocks. It may happen such that the stock price of these companies start declining after you buy it. Yes it happens, but what you need to do is have patience and stay invested. Just remember and make your mind of investing in stock market for Medium to Long Term, we challenge and assure you all our readers that you will never ever lose money in stock market. You will always earn profit in long term and better than those big traders and manipulators who control the prices of those penny stocks.

So keep visiting our blog for Fundamental stock calls and investment tips and ideas for better and healthy investment in stock market.

We will be please to have your comments and feedback on this if we have missed some other points and ideas. You are welcome to post your experience is stock market and share you idea and story with us.

Best of luck to all.

Welcome New Year 2013, A new beginning for Investors

New Year, new beginning for all. The year 2012 had been a good year for many investors, mixed with a lot of good as well bad news. In fact series of bad news dominated some of the good news in the world's third largest growing economy after China and Brazil.

Year 2012 witnessed a series of corruption charges against congress led UPA government which consisted of 2G spectrum scam, coal block scam and many more. But the stock market performed quite satisfactory gaining 25% in the year 2012 as compared to 23% loss or decline in the year 2011.

Both the indices performed quiet satisfactorily in the previous year, however some of sectors performed very badly which includes telecom sector. The main reason for this was nothing but the 2G scam in the presence of telecom minister A Raja under whom authority 2G licenses were issued in the year 2008 at throw away prices. DB realty was largely hit by this, sine DB realty (JV between UAE’s Etisalat and Swan Telecom) had bought the licenses and sold 45% stake to UAE's Etisalat at exorbitant prices and that was the actual Market prices of 2G spectrum at that time. After that Supreme Court cancelled 122 telecom licenses which were issued by former telecom minister A Raja in January, 2008. That was a shocker for telecom sector since all companies together had invested 35,000 to 40,000 crore rupees for getting those licenses.

However not every sector performed negatively, there were some of the sectors which outperformed the SENSEX and NIFTY in the previous year. One of best sector which outpaced both SENSEX and NIFTY was Airlines which witnessed 185% increase compared to the year before it that is 2011.

From the Aviation sector, Jet Airways rose up by over 260%, while Spice Jet zoomed by 385%, that's really huge gains.

We wish you luck for year 2013 and we will continue to give you best of Fundamental Calls that will benefit you in all way. Keep in touch and stay updated.