How many times have you buy an Indian stock on someone's advice to make a quick buck and waited for months maybe years, to just recover your cost? Share trading, experts warn, is a risky game. However, it's possible to play it smartly and make a quick buck as well, they say.

Rudra Investment Commodity Expert says, "The main attraction of trading is that people feel they can make quick money. But there are no free lunches. Trading requires a lot of discipline."

Should you invest in gold or silver at current high prices?

While traders do make as well as lose money, whether this activity suits you depends on your financial position."Once you do your financial planning in detail, you know what your commitments are, as well as your risk appetite,"

TYPES OF TRADES

You can trade in shares and commodities. However, in India, retail investors mainly trade in stock futures and options due to sheer volumes. Trading means buying and selling a stock the same day or holding it for just 2-3 days. The former is called intra-day trade. The latter is called swing trade. Positional trade usually involves taking a long position and holding a stock for 2-3 weeks.

MAKING MONEY

Profits depend on risk management. "I have been in the market for 15-18 years and I have seen that people do make money by Profitable Trading Shares.

Safety tips for dealing with market volatility

This depends to a large amount on how much money is available, how many opportunities you can explore and your understanding of technical analysis."The returns depend on your risk craving, how much money you invest and how many of your trades turn out to be profitable. You can make 3-4% in a day or even lose money,"

SKILL SETS

While any recipient of the so-called 'profitable tips' can trade, making money, again and again, is possible only when you have enough knowledge of the Indian markets and skills for technical analysis, which is the science of forecasting price based on earlier period data.

TRADING TIPS

While one can get many trading tips, their execution is important. Rudra Investment, the master instructor says, "It's a battle of emotions. Trading is simple, but not easy. You have to be closely controlled."

The importance of discipline in share trading cannot be overstressed. That is because in most cases when people are making money, greed makes them wait for more, and so they don't book profits. When prices bear, fear makes them sell speedily. These situations can be avoided if they know when to book profit/loss.

If losses are not a deterrent and the market's roller-coaster movements give you a high, here are a few habits and skills that can help you stay on the right track. These are the most useful for day traders as well as positional traders in Indian Stock Market.

Discipline: The key to success is a stop-loss order. Stop loss helps a trader sell a stock when it slides to a certain price. Suppose you buy shares of an Indian company at Rs 500 and set a stop loss at Rs 495. When the price falls to Rs 495, the shares will be sold automatically. This means you have limited your loss to Rs 5. While entering a trade, you should be clear about how much loss you are willing to accept.

Planning: One should identify a few stocks and focus on them.

Minimum capital: Only those with a capital of at least Rs 2 lakh can trade for a meaningful gain. However, this money should not be on loan and should not be part of your interior savings. People can also trade with less, but volume is important. So, a certain minimum capital is a must.

Stock volumes: A stock should have enough volumes for it to be tradable. According to Rudra Investment Commodity Expert, it should have a minimum daily average volume of 500,000 shares. For those just starting, trading Nifty-50 stocks is a good idea, he says.

Price range: What should you do with a stock which has high volumes but not much price up and down? You should prefer shares with the least amount price range of Rs 100. This means the average difference between a stock's intra-day high and intra-day low should be at least Rs 100.

Timings: Look for the most volatile market timings. 9.30-11.30 am is a good time to trade in Indian stock markets.

Demand: One has to know the supply and demand of person stocks. If the number of shares up for sale is more, one should not buy the stock, and vice versa. To know if the sell number is more or the buy extent is more, one cannot on the bid and ask numbers available on the screen. NewsFlow: Never trade on the news which is out in the market. It takes little minutes for an Indian stock price to adjust to any news.

Average out: When the price of a stock starts falling, people buy more to average out. In trading, it's a strict 'No'. "As a specialized trader, I would never average out. It's a losing trade. The trade is going bad. I would rather wait for the right time to enter again,"

Do you think you can immediately start trading while seeing these tips? The answer is "NO". One needs to expand a few skills, including the ability to understand technical analysis. "Trading is an effortless process, but not easy," says Rudra Investment Equity and Commodity Market Expert

Money Today will discuss in detail how one can trade using some charts and technical analysis in future issues.

For 2 Days Free Trials on Day Trading Tips On Commodity and Equity please visit this site at [http://rudrainvestment.com/]or call at 9981111444