Trading
Stock online
The
online process of investing the money in an individual stock is known
as Trading stock Online.
Summary:
1.
Stock and its features
2.
Online trading
3.
Requirements of online stock trading
4. Reports
and other features of online stock trading
The
action undertaken for buying and selling is known as trading. Gains and
losses incurred during the trading is a common affair. Actually no investor
wants to get losses for the investment made in the stock. Trading operations
undertaken on a stock manually in the past. The fair value assigned by
the company to the asset which is known as Stock and released in the form
of shares to the common people for buying. The total number of preferential
shares issued to the public based on the face value assigned to it. Usually
fewer amounts are sufficient to invest in the stock which is of low value.
More number of shares is purchased on a stock and anticipated to go up
in the shorter version of the trade. It always good to bet on a single
stock when compared to the number of stock traded at a time. In the case
of investment in an individual stock it has got its own advantages. If
any one has the idea of investing in a single stock they are prone to
less risk and choosing is done correctly.
The procedure by which trading of stock is done online
through communications network where the buyers and sellers are connected
by internet. This type of trading is known as online
trading. The people maintain a database of stock from which a very
good stock is taken and recommended to the subscribers. The stock which
has strong fundamentals and sound technical features is considered to
be good stock.
It is better
that one should concentrate on a stock per day instead of investing on
a more number of stocks. There is a saying, Do not keep legs on different
boats which leads to ones drowning in the water. So, one is advised to
place his legs firm on a single boat, which will sail him to safety. Stock
agents are appointed in the brokerage company to take orders and place
them correctly in their respective account. We can easily get the information,
analysis report of single stock from the technical expert or trade analyst
during the online trading operations. The expert finds it difficult to
provide information on a number of stocks at a time to subscribers.
A simple internet
broadband connection is enough for a person to do online trading from
home, from own business centers if one has got more interest for trading.
A Dematerialized Personal or DP account is opened with a financial or
brokerage company by signing and submitting the necessary documents to
them. Usually stock traded manually in olden days; more commission was
paid to the broker for the recommendation of stock. Online trading has
got more advantages when compared to manual trading. The usage of paper
is not there. The latest trend of online stock trading has far
more reduced the manual trading. The good feature of online trading is
that one has the total freedom to trade without any kind of disturbance,
normally seen in manual trading.
After online
analysis of the stock is undertaken and also getting some good suggestion
who is well experienced one can begin to experiment of trading stock online.
The commission usually charged is less. The transportation cost is eliminated.
The analysis is done individually by the account holder by going through
the sites which are related to stock and other details related to it.
One can get the relevant details of the company, by which one can have
an idea to trade in that stock or not. Updates are there for every half
an hour about the company or commodity stock.
Quarterly
results of respective company stock are displayed online, which also contributes
to more online investing. The space given to online trading makes
one to trade at ones risk. Rates can set by the online trader for buying
and selling at his own will. Trading is limited only due to non availability
of cash. There is an option of modifying, canceling the order. Selected
Script is added online to their trading account and also deletion of script
is done. Actual buying and selling of portfolios can be tracked by online
trading. Equity, Futures and Options trading can be done online.
One can instantly
transfer the amount from one account to another DP account; money is directly
credited from the bank to the account. The details of the reports can
be seen before and after the hours of trading ends. Bill summary reports
displays online the user information under which account name, branch
id, company id, date, traded timing, number of shares of the script bought,
market rate, Net rate, market value, net value, order number, trade number,
brokerage, along with Net of Current, Service Tax, STT, Stamp Charges,
Turn Over Charges, DP Charges, and Net Amount Due. We can also view ledger
summary online in which document number, projected balance, amount, balance
are reported for the customer.
The other reports such as F&O bill summary, F&O ledger summary can also
be seen online along with the amount of cash balance left for trading.
This facilitates the customer to trade in a simple manner. Change of trading
account password from the existing password is done online. The online
process is systematically designed to suit the needs of the customer and
also welcoming suggestions for further improvement in its procedure.
In case of power failure at the customer place, one can call the brokerage
office for online booking of stock. It is also to be noted down that even
Initial Public Offer can be booked online at the given range of price
band. We can also watch online indicators using the well designed programming
software Meta Stock. Actual volume of buying and selling is easily analyzed
so that one can have the idea about the stock. Most of the trade pundits
take the help of the available software for the analysis of all the stock
and they give their opinion about the stock. The analysis and views of
the experts can be read from online, so that one can decide on the opinion
expressed by the expert on buying or selling a stock.