To trade in the share market is not a tough task. One needs to have knowledge of market and trading, that’s it. The main thing here is one needs to have a Demat and a trading account first. Though the trading account is required for the traders only, the Demat account is compulsory for everyone whether one wants to go for trading or investing. Different companies charge different rates for a Demat account and some of the brokers or companies also offer Demat account for free. Hence one needs to check which will be the best Demat account for him. The role of the Demat account is to hold the shares that one may have purchased from the market or got as a part of the subscription in IPO.
The account opening:
As per the regulators of the market, it is necessary for the trader or investor to have a Demat account first. Those who want to trade in the share market also need to have a trading account. The Demat account can be opened by only two authorities which are NSDL and CDSL while a trading account can be opened by any broker or a broking company. In a trading account, only one can buy and sell the shares.
One can visit any broking firm or broker to get these accounts opened. The application forms are always there with the concerned person in printed form and one needs to fill necessary details in the same. With the form filling one also needs to provide supporting documents and cheques for necessary changes. It takes around seven working days for these accounts to get opened. One can trade or invest in the market only after getting these accounts opened.
The trading:
In the share market, trading is the main thing. Those who have enough knowledge of the market and know how to trade can go for any of the segments available for trading. One can find intraday, delivery, call and put for trading. However, for a trader, it is necessary to know each of these options in detail before initiating the trades. Every option here has different requirements and can offer different benefits. If one goes for intraday trading he may have to take a limited risk and can trade with limited investment. He does not have to pay a higher brokerage rate also and hence it is known as a better option to make a quick profit.
For one who does not know much about trading and system, it is better to go for the offline account where he can rely on the bolt operator. Once he knows how to operate the software and have a sound command on various aspects of the same, he can switch to online trading where he can carry out trades on his own. However, for this he needs to have a computer with the internet and also know how to place orders, set limits and place various requests such as balance checking, make a request for payout and also get the credit line opened.
