You can trade in following ways in the market:
Intraday trading: In intraday trading, the position must be squared-off on the same day on which it’s created.
Positional Trading/Investing: In positional trading/investment, the trader/investor carry the trade overnight. He can hold the trade/investment for a couple of days or stay invested for long period.
At Capital via market pro segment we have only two product for positional trading. BTST and BTST STBT
BTST/ BTST STBT: BTST stands for Buy Today Sell Tomorrow, this means that an individual can buy a share today and sell it tomorrow when its price moves up. STBT stands for Sell Today Buy Tomorrow (STBT) individual can earn a profit by selling the share today and purchasing the same tomorrow when prices moves down. STBT is possible in future segment only.
In early days of stock markets, dividends were the primary method of calculating the return value to shareholders. Price appreciation was considered more of a bonus, as people bought stocks mainly because of their sizable dividends. In more recent times, dividends have come back into vogue. For the past five years, dividend stocks have easily outpaced the price performance of non-dividend stocks.
Following factors should be considered in selecting fixed income securities:
• Yield to maturity
• Risk of defaulting
• Tax shield
Equity fund is a mutual fund that invests principally in stocks. Equity funds are also known as stock funds and it allows the investors to take the exposure of equity through a basket of stocks or index fund.
A call option gives right to the holder but not an obligation to purchase the share at a specified price and at a specified date in future.
Options trading is a contract between the seller and buyer to buy or sell one or more lot of underlying assets at a fixed price on or before the date of expiry of the contract. The contract provides buyer the right, but not the obligation, to buy (in case of call options) or sell (in case of put options) in future. Buyer will have to pay premium to avail the privilege in options contracts.
Equity analysts perform research and analyse financial data & trends for a company. Equity analyst writes reports on company finances and assign them financial ratings. Apart from this they also help companies to overcome financial crisis by giving them plan to get out of debt.
Short selling is a process of selling a security that is not owned by the seller, or that the seller has borrowed to generate the profit from falling stock price. In this technique, trader sell them at the market price, and then purchases them at the lower price to return them to the original lender and thus generates the profit from the market.
Double bottom is a reversal pattern used in reference to technical analysis. As per the pattern formation, stock or commodity hits a support level twice in down trend and after that its trend reverses to up-trend.