SHARETIPSINFO >> Articles Directory >>All about day trading - is it profitable to trade in stock market India
In the present day we come across so many terms in our day to day world that it becomes very difficult to keep in mind all of them as such it is essential that we ensure that we have our basic concepts clear. An investment in the stock market is not a joke and it is advisable that you do not regard it as one. Investments and risks are like the two sides of the same coin. In other words, it can be said that risks and uncertainty are not just an inherent part but also in other words is an inseparable part of every investment decision. You will find not a single such investment schemes or offers, be it in the case of investments in the stock market, or in the mutual funds or in the insurances, or in other forms of investment option, that can ensure you 100 percent risk free guarantee. In fact, in other words, it would not entirely be wrong on our part to say that no particular investment scheme or offer is free from all types of risks. Risk is an inherent part of our lives and as such, of the various activities that we undertake in our lives as well. Thus, it becomes very essential for each and every one of us to realize the importance as well as the impact of the risk factor in making our investments and thus make an extensive study on these risks as well as on the investment decision that we plan to undertake. However, of late with the introduction of the newer investment schemes and offers this risk has been minimized to a considerable extent. However, still, the risk cannot be fully erased from. As such, some amount of risks is still present in the investments that we make. One such new investment schemes happen to be the day trading. As such, it is essential that you learn all about day trading-is it profitable.
Clearing the misconceptions
Before we move on to discuss about the day trading and its profitability, it is essential that we clear two misconceptions. The first misconception that most people have is that shares and stocks refer to the same things, which is a totally mistaken belief. They are in no way refers to the same thing. However, it cannot be denied that they are similar in terms of their meaning but they are in no way the same thing. The second misconception that people have is that they believe investments means earning profits which is a totally off the beam concept. Just like profits, losses too are inherent part of the stocks market. Profit and loss are like the two sides of the same coin. Just like the way you do not know which side will have its face up when you toss a coin, you cannot accurately presume whether you will earn profit or loss at the end.
About day trading
However, before we go on to learn about the day trading it is essential that we study about the ways in which a stock trading differs from a day trading. Nevertheless before, we go into understanding and discussing about the differences between the stock trading and day trading, let us at the very onset understand the term day trading. Each and every one of us has heard about the stock trading. The term stock trading usually refers to the general trading or transactions that take place in a share market. However, in a broad, sense all types of trading that takes place in a stock market comes under the term stock trading. On the other hand, by the term day trading we generally refer to one of the various types of stock trading. The term day trading is also known by the term short term trading. In plain words day trading usually refers to the trading of securities that is in other words the purchase and sell of securities that takes place during one trading day. The day trading usually refers to a short term investments. The profits of such investments are calculated on a per day basis. This was all about day trading-is it profitable
For more articles click here
To Know About our Packages Click here
Click here for Indian stock market tips
