Rules of start new trading on stock market. ( For new beginners).
Contents
- 0.1 Rules for Starting Trading in the Stock Market (For Beginners)
- 0.2 Step 1: Learn the Basics
- 0.3 Step 2: Open a Demat & Trading Account
- 0.4 Step 3: Choose the Right Trading Style
- 0.5 Step 4: Learn Risk Management
- 0.6 Step 5: Start with Paper Trading
- 0.7 Step 6: Fundamental & Technical Analysis
- 0.8 Step 7: Follow Market News & Trends
- 0.9 Step 8: Avoid These Common Mistakes
- 0.10 Step 9: Set Realistic Goals
- 0.11 Step 10: Choose the Right Stocks
- 0.12 Bonus: Best Apps for Beginners
- 0.13 Final Advice for Beginners
- 1 How to Start Trading in the Stock Market (For Beginners)
- 1.1 Step-by-Step Guide
- 1.2 1. Understand the Basics First
- 1.3 2. Open a Demat and Trading Account
- 1.4 3. Choose a SEBI-Registered Stockbroker
- 1.5 4. Fund Your Trading Account
- 1.6 5. Learn the Types of Orders
- 1.7 6. Practice with Virtual/Demo Trading
- 1.8 7. Avoid These Beginner Mistakes
- 1.9 8. Learn to Read Charts & Indicators
- 1.10 9. Start with Long-Term Investing (Recommended)
- 1.11 10. Keep Learning Daily
- 2 Golden Rules of Trading for Beginners
- 3 Recommended Tools for Beginners:
Rules for Starting Trading in the Stock Market (For Beginners)
Starting stock market trading can be profitable if done wisely. Here’s a step-by-step guide with key rules for beginners:
Step 1: Learn the Basics
Understand how the stock market works
Learn about stocks, mutual funds, ETFs, derivatives
Know the difference between trading and investing
Key Terms to Know:
- Stock: A share in a company
- Bull Market: Market going up
- Bear Market: Market going down
- Liquidity: How easily a stock can be bought/sold
Step 2: Open a Demat & Trading Account
To trade in the stock market, you need:
Demat Account – Holds your shares electronically
Trading Account – Allows you to buy/sell stocks
Linked Bank Account – To deposit & withdraw funds
Open an account with a trusted broker like Zerodha, Upstox, Angel One, Groww, etc.
Step 3: Choose the Right Trading Style
Intraday Trading (Buy/Sell same day) – High risk but high reward
Swing Trading (Hold for few days/weeks) – Moderate risk
Long-Term Investing (Hold for years) – Lower risk, high returns over time
Tip: Beginners should start with long-term investments before trying intraday.
Step 4: Learn Risk Management
Invest only what you can afford to lose
Use Stop-Loss Orders to limit losses
Diversify across multiple stocks to reduce risk
Example: If you have ₹10,000, don’t invest everything in one stock. Instead, spread it across different stocks.
Step 5: Start with Paper Trading
Practice trading without real money using demo accounts
Use platforms like TradingView, MarketWatch Virtual Stock Exchange
Why? Helps you understand trading without losing money.
Step 6: Fundamental & Technical Analysis
Fundamental Analysis – Study company earnings, revenue, debt, etc.
Technical Analysis – Study charts, trends, moving averages
Tip: Use apps like TradingView for chart analysis.
Step 7: Follow Market News & Trends
Watch financial news (CNBC, MoneyControl, Economic Times)
Track global markets (Dow Jones, Nasdaq)
Keep an eye on RBI policies, inflation, economic data
Step 8: Avoid These Common Mistakes
Don’t follow random stock tips blindly
Never trade on emotions (Greed & Fear are dangerous)
Avoid investing all your money in one stock
Don’t panic sell during market dips
Step 9: Set Realistic Goals
Start small (Invest ₹5,000 – ₹10,000 initially)
Expect reasonable profits (10-15% per year is great!)
Be patient and focus on learning first
Step 10: Choose the Right Stocks
Invest in fundamentally strong companies
Look for stocks with consistent growth & profit
Beginners can start with Nifty50 or Sensex stocks
Tip: Start with companies like TCS, HDFC Bank, Infosys, Reliance, etc.
Bonus: Best Apps for Beginners
Zerodha Kite (Best for trading)
Groww (Easy for beginners)
MoneyControl (For market news)
TradingView (For chart analysis)
Final Advice for Beginners
Start slow & invest wisely
Learn before risking real money
Follow market trends & news
Have a long-term mindset for better profits
Would you like recommendations on best stocks to start with?
Here’s a beginner-friendly guide to the basic rules and steps for starting trading in the stock market, ideal for new investors and traders:
How to Start Trading in the Stock Market (For Beginners)
Step-by-Step Guide
1. Understand the Basics First
Before you invest a single rupee, learn:
- What is Stock/Share?
- Difference between Trading and Investing
- What is a Stock Exchange (NSE, BSE)?
- Key terms: Buy/Sell, Broker, Demat, Intraday, Delivery
2. Open a Demat and Trading Account
You need two accounts to start:
Account Type | Purpose |
---|---|
Demat Account | To hold your shares in digital form |
Trading Account | To buy and sell shares online |
You can open these with brokers like:
- Zerodha, Groww, Upstox, Angel One, ICICI Direct
3. Choose a SEBI-Registered Stockbroker
Your broker must be:
- SEBI Registered (safe and legal)
- Offers good UI, support, low fees
4. Fund Your Trading Account
Transfer money from your bank to your trading account wallet.
5. Learn the Types of Orders
Order Type | Meaning |
---|---|
Market Order | Buy/Sell at current market price |
Limit Order | Set your own price |
Stop Loss | Prevent big loss automatically |
Intraday | Buy/sell same day (high risk) |
Delivery | Hold shares in demat account |
6. Practice with Virtual/Demo Trading
Use apps like:
- Moneybhai by Moneycontrol
- TradingView (paper trading)
- NSE Paathshala
7. Avoid These Beginner Mistakes
- Don’t trade on tips or rumors
- Don’t use loan money or full savings
- Avoid F&O (Futures & Options) at start
- Don’t panic on small losses
- Don’t overtrade
8. Learn to Read Charts & Indicators
Study:
- Candlestick charts
- Support/Resistance
- Volume analysis
- Indicators: RSI, MACD, Moving Average
9. Start with Long-Term Investing (Recommended)
Trading is risky — start with blue chip stocks (e.g., TCS, Infosys, HDFC) and hold for long-term.
10. Keep Learning Daily
Stock market changes daily. Read:
- Business news (Moneycontrol, Economic Times)
- Company financials
- Global market impact
Golden Rules of Trading for Beginners
Rule | Explanation |
---|---|
1⃣ | Trade with discipline, not emotions |
2⃣ | Start small, grow with experience |
3⃣ | Always use stop-loss |
4⃣ | Don’t follow the crowd blindly |
5⃣ | Learn technical + fundamental analysis |
Recommended Tools for Beginners:
- Brokerage App: Zerodha, Groww, Upstox
- Charting: TradingView, Kite
- News: Moneycontrol, ET Markets
- Learning: Varsity by Zerodha (FREE), YouTube channels
Would you like:
- A PDF beginner guide to stock market?
- A Hindi version of this?
- Free video tutorials list?
Let me know how I can help you start smart!