Business & Finance Stocks-Mutual-Funds

Stock Investing - What You Need To Know

You surely don't need a broker's license to indulge in the stock investing.
You however would need the services of a stockbroker to oversee your transactions and some basic knowledge about the working of the stock markets.
You can do stock investing in two ways.
First method is traditional way where you do the stock trading in the stock exchange.
In another method you can do the trading electronically sitting in the front of your computer.
A significant thing to follow in the stock investing is that you as a seller cannot set your selling price.
This procedure is quite different from selling off your mobile or just getting into the retail sales.
A still better way to understand the stock trading is to consider it as an auction.
After you decide on making investments in the stocks, you usually would call up your stockbroker to instruct him on amount of shares of a particular stock you would like to purchase.
This information is then relayed by him to the order department which further advises the floor clerk on the floor of the exchange.
The floor clerk would then inform the stockbroker's floor trader who would then locate another floor trader willing to sell his shares to you.
Here it is a matter between the two traders finalizing a deal on an agreed price.
They inform this agreed price to your stockbroker who will then inform you of a final share price.
You will also get a confirmation notice on the share you buy after some deals.
There is a second way of indulging in the stock investing.
As technology has advanced, a human stockbroker has been replaced with the computer networks.
The main advantage of the electronic stock trading is in ability it provides to you for managing your trading account and here you also get immediate confirmation of your trades for the day.
A next important thing you would like to know is of the way to keep track of the prices of stocks which you own.
You can do this by searching your newspapers business segment where there is a separate section dedicated to the stock market.
You can get more detailed information about the stock on the business channels where they have a ticker running just at the screen's bottom.
You will get to know of the current prices of your stocks by watching this ticker in detail.


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