How to Start Trading with Demat Account? - Investallign

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How to Start Trading with Demat Account? - Investallign

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A demat account is like a digital locker where the shares are held in a dematerialized format. Instead of physical share certificates, a digital equivalent will be stored in the demat account. The stock broker would provide the trader/ individual investor with login credentials to buy and sell on the stock market. One can open demat account with any registered stock broker. – PowerPoint PPT presentation

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Title: How to Start Trading with Demat Account? - Investallign


1
How to Start Trading with Demat Account
2
Steps to Start Trading with Demat Account
3
  • A demat account is like a digital locker where
    the shares are held in a dematerialized format.
    Instead of physical share certificates, a digital
    equivalent will be stored in the demat account.
    The stock broker would provide the trader/
    individual investor with login credentials to buy
    and sell on the stock market. One can open demat
    account with any registered stock broker.
  • Trading in the stock market has gained tremendous
    momentum after the availability of smart,
    user-friendly trading platforms on the Internet.
  • People use them for logging into the online share
    trading platform and buying and selling stocks.
  • Linking a Demat Account with the online
    trading platform is mandatory. It is an account
    that stores the information about the stocks in a
    digitized format.
  • The demat account is linked with CDSL or NDSL whic
    h are two centralized depositary databases. It
    keeps the record of every transaction of buying
    and selling shares and keep the users updated.

4
It is not Rocket Science
  • Thanks to the online world, buying and selling
    stocks is a matter of a few clicks using the
    online platform. You need to follow a few steps
    to start trading with demat account.
  • First, you need to open a trading account. Use
    the internet to search for the best one.
  • Open a trading account. You have to fill in the
    form physically or electronically.
  • Open a Demat account which is different from the
    trading account. Usually, the share broker opens
    the demat account with the central depositary on
    your behalf.
  • You are supposed to complete the
    Know-Your-Customer or KYC process for both
    trading and demat account. It is mandatory as per
    the guidelines issued by the government.
  • Understand the trading platform. You must
    understand the ins and outs of it even if you are
    not going to trade frequently.

5
Start trading online
  • Once everything is settled, you should start
    trading with a small amount. Practice both
    intraday and delivery trading so that you
    understand the nitty-gritty of it.
  • There is always a risk in stock-market trading.
    Therefore, you must know the basics of it.
  • Experts say that practical learning is the best
    way. It makes the understanding permanent.
  • Hence, develop your understanding about the
    market by experimenting. Dont bother about the
    profit or loss. Set small goals and then proceed.
  • Try to capture the high-tides and low-tides. Buy
    the stocks when the market is low and buy when it
    is high. It is a tricky thing indeed, but not
    impossible.

6
Read the theoretical concepts
  • The technical terms such as average, pattern or
    trend, oscillation and so on are important in the
    stock trading.
  • One has to read and grasp the concepts. It is
    very much helpful in trading and making informed
    decisions.
  • Most of the trading accounts provide reports and
    trend analysis. They help in making profits.
  • Also Read
  • How to buy Shares using Demat Account?

7
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Opp Municipal Market
Above kotak Bank
C.G.Road ,Ahmedabad India
Gujarat 380009 Phone 07940325797

Website www.investallign.in
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