▌Share Market Basics


Share Market

☼ Stock Exchange

This is a share market in which securities (Shares and F&O) can be traded (bought or sold). There are four major stock exchanges in India for share market.

National Stock Exchange (NSE) and

Bombay Stock Exchange (BSE)- Shares and F&O of companies can be traded here for share market.

Multi Commodity Exchange (MCX) – Future Contracts of Metal (Aluminum, Copper, Lead, Nickel, Zinc), Bullion (Gold and Silver), Agro Commodities (Cardamom, Cotton, Crude Palm Oil i.e. CPO, Kapas, Mentha Oil) and Energy Commodities (Brent Crude Oil, Crude Oil and Natural Gas) can be traded here. I trade mainly in this Stock Exchange of share market.

National Commodity and Derivative Exchange (NCDEX) – Futures Contracts of Agriculture Products, Metals, Energy and Precious Metals can be traded here for share market.

Websites of these Stock Exchanges are as per the following :-

NSE – www.nseindia.com

BSE – www.bseindia.com

MCX – www.mcxindia.com

NCDEX – www.ncdex.com


☼ World Share Market Timing in Indian Time (Indian Standard Time)

    European share market

Index Country Opening Time (IST)

Closing Time (IST)

FTSE 100 (Footsie) England 01:30 pm 10:00 pm
CAC 40 France 01:30 pm 10:00 pm
DAX Germany 01:30 pm 10:00 pm

    American share market

Index Country Opening Time (IST) Closing Time (IST)
(1) Dow Jones Industrial Average and (2) Nasdaq

USA

08:00 pm

02:30 am

    Asian share market

Index Country Opening Time (IST) Closing Time (IST)
Australia 200 Australia 04:00 am 10:30 am
Shanghai Composite Index China 07:00 am 12:30 pm
Hang Seng Hong Kong 07:00 am 1:30 pm
Nikkei Japan 05:30 am, 09:00 am 7:30 am, 11:30 am

☼ Countries and Commodities

On the basis of this information, we can know that news from which country is important for which commodity

  1. Sl. No.
  1. Commodity
  1. Top Reserves
  1. Top Producers
1 Aluminium Africa, Oceana(USA), Latin America China, Russia, Canada
2 Copper Africa, Oceana(USA), Latin America Chili, China, Peru
3 Lead Australia, China, Russia China, Australia, USD
4 Nickel Australia, New Caledonia (France), Brazil Philippines, Russia, Canada
5 Zinc Australia, China, Peru China, Peru, Australia
6 Gold Australia, Russia, South Africa China, Australia, Russia
7 Silver Peru, Australia, Poland Mexico, China, Peru
8 Crude oil Venezuela, Saudi Arabia, Canada Saudi Arabia, USA, Russia
9 Natural gas Russia, Iran, Qatar USA, Russia, Iran



 ☼ Stock Broker

In stock exchanges (share market) we cannot trade directly but through Broker only. Stock Broker is middleman between Traders and Stock Exchanges.


☼ Brokerage Charges

Stock Broker charges some amount of money when we trade in stock market through then. This amount differs Broker to Broker. Some of the brokers are – Zerodha, Sharekhan, Samco etc.


☼ DEMAT Account

Shares and Securities are held electronically in DEMAT account, instead of the investor taking physical possession of certificates. Stock Brokers open DEMAT account of clients. To trade using DEMAT account we are required to transfer the money into trading account. By using this money orders to sell or buy shares/securities can be placed in share market. Trading account is linked with bank account of the investor and amount of money between these accounts can be transferred very easily.


☼ What I Trade?

I trade Future Contracts of the following seven commodities in MCX share market :-

► Metal Commodities – Aluminum, Lead, Copper, Nickel and Zinc.

► Energy Commodities – Crude Oil and Natural Gas.


☼ When can we trade in MCX Trading Timings?

We can trade in MCX only on working days and working hours of MCX. MCX remains closed on Saturday and Sunday. Working hours of MCX are 10:00 am to 11:30/11:50 pm. On some days MCX opens only in evening sessions i.e. 5:00 pm to 11:30/11:50 pm. Follow the link to know the MCX Holidays.


☼ My Stock Broker?

I trade through Zerodha, reason being, it charges very less brokerage of Rs.20 flat per trade and Zerodha’s mobile trading platform is very user-friendly. I use Zerodha’s ‘Kite’ Android App to trade. Zerodha is also having some schemes like it reimburses brokerage charges up to Rs.6000 if investor maintains overall profit at the end of 60 days of trading share market.


☼ My tools used to trade in share market?

► 4-G Android mobile phone. I do not use laptop for trading. Using mobile gives me freedom to trade from anywhere and anytime.

► 4-G SIM for internet service.

► ‘Kite’ Android Application.


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