Self Trading Is Good Or Bad In Stock Market
Finance- Stock Market- Trading - Selftrading
Self Trading Is Good Or Bad In Share Market
Trading and Investment are the ways of making money in share/stock market . This is fully depends on you, how you want to earn money like by trading or investment. Investment is refers to less risk and for some time period and Trading is refers to more risk and short time period. So here we are going to know that, how trading is better if you are ready to take risk and mostly how self trading or independent trading ( on broker or ideas providing services) is more profitable and effective than dependent trading to you by all the side.
• What is self trading ?
• Process of self trading?
• Benefits of self trading
• How it is different than dependent trading
• Risk of self tradings
What Is Self Trading
Trading is done by a Trader himself without anyone's help is called self trading.
In this trading session Trader (you) do all the things like,
- Market research
- Finding good stocks ,
- Technical analysis
- Trading strategy
- Technique
these all the things a self trader do or need to do.
Self trading is much better than dependent trading on other ( broker or trading calls, idea providers) because in self trading every thing is in your hand. And you can trade whenever you find good apportunuties in the market but you can't do this if you dependent on others for trading.
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Process Of Self Trading
In this process of trading a trader try to find all the good stocks and sort some of them as per trading requirement to trade in market.
A trader buy the shares at a price as he think is right price to enter and also he decide how much profit margin should be set and similarly he sold or square off the position by placing selling order and exit.
Self trading is not much different things than investment and other. in this a trader do all the required things by himself for trading and trade independently in the market to make money by using its own study and strategy.
In this a trader needs to do market research very carefully if wants to trade by himself independently.
What self trader needs to do for trading
• Do the research and find the liquidity stocks
• Calculate brokerage and taxes. ( If applicable)
• Select the stock for trading ( keep another as alternate option )
• Decide where to enter in market ( price )
• Decide how much profit margin should be set.
• Where to exit in profit.
• Observe market carefully to find another apportunitiy in same day .
Benefits Of Self Trading
• Trader (You ) don't need to pay anything extra ( Charges /money ) to broker or ideas providing services because here trader done all the things. ( Stock-buy-sell)
• Trader is responsible for their trading session and he is know for this .( Profit or loss)
• Trader can make the more profit by trading multiple times but traders can't who are dependent on broker and that process is time consuming and you will lost many profit making apportunuties in that period.
• Trader Can Recover his loss on same or next trading day because trader know the market well enough.
• Trader can convert his loss in profit because here every thing is in his control and hand.
Dependent trading on broker is not reliable and effective way of earning profit because it's not one sided process because here trader need to do things as per broker instructions and wait for to take decision. Every time is not sure broker will give you ideas and that will profitable for you. but if trader are trading himself then you can take decision at any time and take immediate action as per market condition and that will result into your profit.
self trading is more profitable because trader can find many good apportunuties by himself and make profit from it but that is limited for broker trading or may be you are earning less or limited with broker.
For example
Consider,
You just think that you want to do one thing and make it profitable but here you need to follow someone's instruction and like act on that and accept the result that whatever it may be.....( but here you believes that you can do the things more better and can achieve better result by your way , strategy and study ......) can you think like this you can make things properly and profitable by being dependent..........? instead if you are doing thing as per your mind and plan ( with study and research ) here you can make your own process and control it and also you can change things and ways as per market direction to get good results that is much better isn't it..?
It's much much better to have final decision or action in your hand than earning limited or fix profit by being dependent.
Risk level In Trading
Even if the self trading is more effective and beneficial then also its more rikier than other ones because if you are right then definately you will make profit but if you are wrong then you will lose your money but dont take tension its a part of process and without profit loss it is not going to make you good trader because trader can not have everytime profit and like this trader can not have loss every time some time you earn or some time you will lose.
So these are the things I shared with
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