Share Market Terminology:
Everyone wants to invest in share market, but due to not knowing what is share market, how to invest in share market, they are not able to invest in share market before investing in share market. If you want to invest in the market then you must have basic knowledge.
Today I am going to tell you about the terms and conditions used in the stock market, I am talking to you about 50 terminology, which are used in the stock market.
(एक अनुभवी निवेशक बनने के लिए सही कदम उठाने के लिए, आपको यह समझना होगा कि आप विभिन्न प्रकार के स्टॉक मार्केट इंस्ट्रूमेंट्स में निवेश कर सकते हैं। इनमें शेयर, डेरिवेटिव, म्यूचुअल फंड और बॉन्ड शामिल हैं। इनमें शेयर/इक्विटी बाजार में लगभग 18 मिलियन निवेशक हैं। भारत में कुल निवेश का लगभग 12.9% शेयर या इक्विटी खाते हैं।
आश्चर्य है कि शेयर क्या हैं, और वे स्टॉक से कैसे भिन्न हैं? जब कोई कंपनी या तो अपने व्यवसाय के विस्तार के लिए या परिचालन आवश्यकताओं के लिए पूंजी जुटाना चाहती है, तो उसके पास दो विकल्प होते हैं: या तो पैसा उधार लेना या स्टॉक जारी करना जो निवेशकों को कंपनी का आंशिक स्वामित्व प्रदान करते हैं। शेयर कंपनी के शेयरों का सबसे छोटा मूल्यवर्ग है, जो कंपनी के स्वामित्व के एक हिस्से को दर्शाता है।)
What is Shares?
Share means “Part”, if understood in easy language, then when a person or institution sells the ownership of his company to increase investment in his company, we call it share. When a company divides its capital into smaller parts, the smallest piece which cannot have any other part is called share.
What is dividend in share market? If you are a stock market investor then you must have heard about dividend. The day on which the Board of Directors of a company declares the dividend. Two more dates are announced along with the day the company declares the dividend. These two dates are record date and payment date. Whenever a company has excess profit, a part of that profit is distributed among its shareholders, which is called dividend.
what is Bonus Shares?
Many times after the company gets the profit, it does not issue dividend, but distributes some shares of the company among the shareholders only. In lieu of dividend, additional shares which are distributed among the shareholders are called bonus shares.
what is Stock split?: When a company splits its shares into several parts, it is called stock split, for example, suppose there is a share whose price is Rs 100 and the company whose shares are in it divides it into 4 parts. By breaking it 4 shares of Rs 25 each are formed, this is called stock split.
what is Bid Price?
The bid price is the price of a share at which any buyer is willing to buy that share.
what is Price?
Ask the price of a share for any seller sitting willing to sell the stock at which it is priced.
what is Spread?
The difference between the bid price and the ask price is called the spread.
what is Stop Loss?
Stop loss is the price point of a stock where a trader or investor is ready to exit the stock after booking their loss. Stop loss is applied to control the losses in the stock market.
what is Target?
The target is the price point of a stock where a trader or investor is ready to book their profit and exit the stock.
what is Volume?
The total number of shares bought and sold in a company’s stock in a given time interval of 1 day, 1 month, 1 year is called volume.
what is Volatility?
Measured by fluctuations in the price of stocks, if there is less movement in the stock price, the market is less volatile and if there is more movement in the price of the stock then the market is more volatile.
what is Buy/Long?
When we buy a stock in the stock market, it is called Buying or Longing.
what is Sell/Short?
When we sell a share in the stock market, it is called sell or short.
what is Bull?
When people are optimistic about the market and there is an increase in the price of the shares, it is called a bull market.
what is Bear?
When people are pessimistic about the market and the share price falls, then it is called Bear Market.
what is Broker?
Broker works to connect buyers and sellers. By using the broker’s platform, the buyer is able to buy the stock and the seller is able to sell the stock.
what is Stock Exchange?
Stock Exchange is the place where all the companies listed stock brokers are members of the stock exchange.
what is Trading Account?
Trading account is required for buying and selling of stocks. The trading account is opened with the broker.
what is Demat Account?
Demat account is required to hold the shares purchased, Demat account can be opened with any broker.
what is SEBI (Securities and Exchange Board of India)?
SEBI is a government body that regulates the stock market.
what is RBI (Reserve Bank of India)?
RBI controls the banking system.
NSE (National Stock Exchange)?
NSE is the largest stock exchange in India where companies are listed.
what is BSE (Bombay Stock Exchange)?
BSE is the second largest stock exchange in India where companies are listed.
what is Nifty?
Nifty is a group of 50 companies, it is the main index of NSE.
what is Sensex?
Sensex is a group of 30 companies, it is the major index of BSE.
what is Trading?
Buying and selling of shares in a short period of time is called trading. Trading is usually done by people who are looking to make quick money.
what is Margin?
Margin is a type of lending that is provided by a stockbroker using margin to buy and sell shares.
what is Scalping Trading?
Buying a stock and selling it for a few seconds to a few minutes is called scalping trading.
Buying and selling of shares within a day or before the close of the market is called intraday trading.
what is BTST (Buy Today Sell Tomorrow) Trading?
Buying a stock today and selling it tomorrow is called BTST.
what is Swing Trading?
Swing trading is one of those trading techniques in which a trader can hold a position for more than 24 hours. Its purpose is to make money to investors through price oscillations or swings. In swing trading technique, the trader can keep his position from one day to several weeks. Buying a stock today and selling it within a week to a month or two is called swing trading.
what is Positional Trading?
In position trading, a share is sold within a few months to 1 year, which is called positional trading.
what is Indicators?
Indicators are used to confirm whether the share price will go up or down. Indicators are a kind of software that analyzes the price or volume of a share by looking at the past, what will be the trend of the stock in the future. There are many programs or software in the market called indicators to understand the price movement of stocks.
what is Stock Market Investment?
Due to the bumper returns, the stock market has been attracting investors. However, investing in it is quite risky. If you do not have experience about it, then there is a risk of losing capital if you invest money in the wrong stocks without thinking, so it is necessary to gain experience to get great returns.
what is Mutual Fund?
Mutual Fund is a fund in which many people invest money little by little and a market savvy expert invests that money in the stock market.
share. It is a type of collective investment. Groups of investors together invest in stocks, short term investments or other securities. Mutual funds have a fund manager who determines the investments of the fund and keeps track of profit and loss