What is Limit Order and how is it used

what is limit order and how is it used this is Ravi he wants to know about limit order and how it is used Ashish his friend and a seasoned investor with Angel One explains suppose the shares of Lakshmi textiles are trading at one hundred and fifty rupees per share you want to buy shares in this company but think the market price is too high so you set one hundred and twenty five rupees per share as the maximum price at which you are willing to buy if the market value of the shares dips to 125 rupees Angel One your trusted brokers will purchase the shares of Lakshmi textiles for you similarly if you hold shares of Lakshmi textiles you can set an amount say 175 rupees as the minimum price at which you will sell your shares as soon as the market value of the shares increases to 175 rupees or higher your broker will sell your shares if the market value remains below 175 rupees he will continue to hold these shares limit orders, therefore, help you control the price at which you buy and sell stock Ravi now understands what limit order is and how to use it.

When’s the Right Time to Invest in stocks?

Meet Manish.

He is interested in the stock market but like a lot of us, worries about the right time to invest.

So, his friend Ashish – an active trader with Angel One explained:

Timing the market is every investor’s dream but in reality, its just not possible to predict the market’s rise and fall.

But the good news is, over time, the compounding returns of a well-chosen investment adds up, irrespective of the market’s rise & fall.

So, in effect, anytime is the right time to invest in stocks. All Manish needs to do is make sure to choose a stock after carefully analyzing its strengths and weaknesses & monitor the performance of the stock regularly.

Now, with better insight, Manish is ready to start his stock investment journey by opening Demat account online with Angel One as his trusted partner.

What is Stoploss

what is stop-loss and how is it used meet Renaud he is a beginner in the stock market and wants to understand the concept of stop-loss his friend Ashish an active trader with Angel One explains stop-loss is a method used by an investor to limit his losses it works as an automatic order given by the investor to his broker to sell a security as soon as it reaches a certain predetermined price, for example, let’s say Ashish buys 50 shares in ABC Mobile’s at the rate of one thousand rupees per share shortly the share price falls to 960 rupees per share Ashish wants to limit his losses so he inputs a stop-loss order at nine hundred and fifty rupees if price is correct further to nine hundred and fifty rupees his broker Angel One will sell the shares to prevent further losses on the other hand if the share price jumps to one thousand four hundred rupees per share Ashish would want to hold on to his shares and not lose his advantage so he inputs a stop-loss order to sell the shares if the price falls to one thousand three hundred rupees by placing the stop-loss order Ashish protects his investments by retaining his gains and preventing potential losses.

How & When to Buy Your first stock?

Ajay is a successful IT professional. This year, with his performance bonus, he wants to start investing in stocks but is not sure, how to go about it…

Here’s a 3-step to buy your first stock

Choose the stock wisely

Research and obtain expert advice about the companies that seem promising to you. Then zero in on the most preferred company.

Don’t try to time the market

History proves, a well chosen stock, with time, will pay back. So, anytime is the right time to enter the market.

Make the actual purchase

When you’ve zeroed in on the stock, make the actual investment by buying at least one share. Only when you begin the journey will you develop the confidence.

With these easy steps, Ajay is now ready to buy his first stock with Angel One as his trusted partner.

Open a Demat & Trading in 1 hour.

5 Golden Rules of Equity Investment

Meet Arvind. Arvind has been thinking of investing in the stock market & needs some solid insights.

Equity Investment Rules

So, here are 5 golden rules of equity investment:

Rule#1
Avoid the herd mentality. Don’t let the decision of others influence you. Seek advice from established market experts & make your own informed decision.

Rule#2
Stay away from speculators. No one actually knows, the exact time to buy low or sell high.

Rule#3
Diversify your portfolio by spreading your investment. This will weaken any risk of loss.

Rule#4
Invest long-term & don’t let emotions like fear and greed cloud your judgment.

Rule#5
Be a disciplined investor. Invest a fixed amount of money at regular intervals & monitor your investments periodically.

Good Read: Stock Market Investment guide

With these insights, Arvind is ready to create wealth in the stock market with Angel One as his trusted partner.