Are you looking for the how to make money in stock market and how to learn technical analysis in stock market than this blog for you.
In nowadays people are looking for the how to make money from stock market. in our techniques it is easy to make money with trading or investment in stock market.
Are you beginner don”t worry this blog for all researchers and this is the ultimate whole knowledge of stock market and how to trading and invest in the market.
In my opinion :-in the stock market “ HUMAN CAN LIE BUT CHART CAN NOT “
Is any one looking for improvement in trading and make less lose stretergy than this blog provide that knowledge and encouragement for them.
Understanding the Stock Market: A Beginner’s Guide
The stock market can be an intimidating concept for many beginners, but it’s actually quite simple to understand once you get the hang of it. In this guide, we’ll cover the basics of the stock market and how it works, as well as some key terms and strategies you need to know to get started.
What is the Stock Market?
The stock market is a place where stocks, bonds, and other financial instruments are traded. It’s essentially a marketplace where buyers and sellers come together to buy and sell shares in publicly traded companies. When a company decides to go public, it sells a portion of its ownership to the public in the form of shares, and these shares are then traded on the stock market.
How Does the Stock Market Work?
The stock market is a complex system, but at its core, it’s based on the law of supply and demand. When there are more buyers than sellers, the price of a stock goes up, and when there are more sellers than buyers, the price goes down. This is why stock prices are constantly fluctuating – they’re always being affected by the actions of buyers and sellers.
How to earn money in stock market.
- With invesment
- SIP (systematic investment plan)
To earn money we have to analyse the stoke market there is three method to use.
- There is three types for analysis
- Fundamental analysis
- Technical analysis
- Time cycle of stoke market
In the technique analysis we are going to know about demand and supply zones in stoke market. for technique analysis we must use candlestick chart.
In the stoke market we are classify the analysis to observation of market and obtain knowledge and make modify the demand and supply zone theory to make easy to you earn money from market.
We also find a best technical analysis which we were using form last 7 to 10 years and that method is perfectly responsive to trade and earn money in the market.
That is the demand and supply theory with modify by us with experience and time cycle of the market
Why we are using the candlestick chart?
On the most common kinds of charts that professional traders use, this is a common question. According to our experience, the majority of professional traders prefer candlesticks for trading. In a chart pattern there is candlesticks are present. this pattern has open, high, low, and close prices which are easy to see in candlestick. there is other tools are also available for same like Bar, heikin ashi , line, area etc.
What is a mean by a time frame in candlestick chart?
If we talk about the best candlestick time frame for day trading, the most commonly used time frame charts for intraday trading are the 5-minutes candlestick chart and the 15-minutes candlestick chart. The candlesticks have four points that are commonly called OHLC (open high low close)
What is demand zone and supply zone?
- Supply and demand trading is centered on supply and demand zones. These zones are regions that show liquidity at a particular cost. The demand zone is referred to as the accumulation zone, while the supply zone is referred to as the distribution zone.
- In the demand zone first candle can be red or green but the legout candle should be green exiting candle. Same like supply zone.
- Between them the doji candle mean base candle is the fight between the buyer and seller and after that whose winner that demand or supply zone will produce.
candles:-there is three type of candle.
- Exiting red
- Exiting green
- The doji
IN this we have the LEGIN candle & LAGOUT candle for those candle to candle analysis done by this method.
THE FOUR TYPE OF PATTRAN IS:-
- Drop-base-rally < DBR >
- Rally-base-rally < RBR >
- Rally-base-drop < RBD >
- Drop-base-drop < DBD >
That we have a four type of patterns to trade in market or to understand the price action.
This will work on any country of stock market in the world.
That types of analysis it is. And also with accuracy.
The leg out should be the exiting candle or explosive candle that demand zone or supply zone will be powerful.
That mean the leg out is stronger than the leg in candle.
STEPS IN IDENTIFYING DEMAND ZONE:-
- Start from current market price on the chart and mark a horizontal line at current market price.
- Look left and down until you find an explosive up move (it mean exiting green candle)
- Mark all three or two component of zone (legin base legout) / (legin legout exiting)
STEPS IN IDENTIFYING SUPPLY ZONE:-
- Stat from current market price on the chart and make a horizontal line at current market price (cmp)
- Look left and up (red exiting candle) to the explosive down move.
- Mark all three or two component of the zone. (legin base legout) or (legin legout)
There is two types of zone marking.
- Body to body
- Wick to wick
For the demand and supply zone marking there is two type of horizontal line which proximal line and distal line.
For the wick to wick marking there is base candle high and low or for only legin legout (2 component) lower body and lower wick are the proximal and distal line.
& for the body to wick marking the proximal line will be highest body of all base candle and the distal line will be lowest wick of all base candle.
ABOUT ENTRY AND STOPLOSS:-
- Above the proximal line == entry (trade entry)
- Down the distal line == stop loss (trade stop loss)
For the trading all have to know about the market psychology. The demand and supply zone are have to fresh or only one time tested. This levels are <demand zone and supply zone> uses for maximum one or two times other than that it will stop loss.
- “Once a stop loss hit than hit”
Than trade over. Find new trade for the moment.
For the base candle how the base candle <doji> less that demand and supply zone are powerful. And the more base candle the level are weak. It called potential power of level.
ABOUT THE TIME FRAM:-
How the time frame big that demand and supply zone are power full like
Candle like (one candle = 12 month is biggest in candlestick chart pattern)
12month > 6month > 3month > monthly > weekly > daily > 125min > 75min > 15min
This is how time frame are.
About the moving average:-
- Using of 20 moving average exponential which is very accurate and also
- Using of 50 moving average exponential which is also impressive in levels.
- Also 200 moving average exponential.
< candle chart >
|1||Hourly income trade||75/60 minutes||15 minutes||5/3 minutes|
|2||Daily income trade||Daily chart||75 minutes||15 minutes|
|3||Weekly income trade||Weekly chart||Daily chart||75/125 minutes|
|4||Monthly income trade||Monthly chart||Weekly chart||Daily chart|
HOW TO FIND TREND :-
- With the using of moving average 50 we can find trend.
- Mark cmp < current market price >. And see the 50 moving average and the last candle angle watch. as below mention
- When it Or good dz or sz find than trend is against it than stop loss will be small. angle is between o” to 90 “ than trend will UP
- When it angle is between 360” to 270” than trend will down
When trend up than we can find the buying opportunity and when trend down than we can find selling opportunity.
RISK AND REWARD (RISK MANAGEMENT):-
In the trading we all have to know about the RR < risk management >
We all have to take risk on trading. And also trading is very risky to manage.
HOW MANY QUANTITY YOU CAN BUY ACCORDING TO YOUR RISK MANAGE:-
Quantity = risk per trade/ entry – stop loss
After taking trade no modification allowed and no modification of stop loss and also don’t go to average the quantity.
If missed the trade than find new trade because of there is lot of scrip’s are available.
It give about the target of stoke and sector or index. With this theory it will give support resistance entry stop loss target all that thinks are important to trade or to find price action.
SECTOR SUPPORT IN STOCK MARKET:-
Trading in any script we all have to know about the sector of that script.
Sector is most important in price action. When sector gave movement than script will go like rocket and gave movement.
The sector cycle is like once a sector is on all time high than it is fix to come down and which sector down it will go the ATH <all time high>
like Google stock in nasdaq are proper intersect or more weighted stock in nasdaq charts are proper intersect and maximum percentage stock in that sector gave maximum moment.
Example – 2
like in Indian market the reliance has a maximum number of weighted in nifty than when reliance goes down than market also goes down and them charts are 70 to 80% same in technical analysis.
TRAPS IN STOCK MARKET:-
In the conventional trading like support resistance identifying the patterns and trade with it gave very traps in the market.
But with the help of demand and supply zone method it will decrees.
And the demand and supply theory is very accurate in technical analysis. Accuracy up to the 80 to 90%.
Important Things You Need to Know Before You Start Trading:-
Before you start investing in the stock market, it’s important to understand some key terms:
- Stock: A stock is a share in the ownership of a company. When you buy a stock, you’re essentially buying a piece of the company.
- Dividend: A dividend is a payment made by a company to its shareholders. It’s usually a portion of the company’s profits.
- Broker: A broker is a person or company that buys and sells stocks on behalf of investors.
- Portfolio: A portfolio is a collection of investments that a person or company owns.
Strategies for Investing in the Stock Market
There are many different strategies for investing in the stock market, but some of the most popular include:
- Buy and Hold: This strategy involves buying stocks and holding on them for the long term, regardless of short-term fluctuations in price.
- Value Investing: This strategy involves looking for undervalued stocks that have strong fundamentals and holding onto them until their true value is recognized by the market.
- Growth Investing: This strategy involves looking for stocks that have strong growth potential and holding onto them for
Is this can use on all candlestick chart?
- Yes, this can use at any of candlestick chart.
- About the institution buying & selling
The institution buy at demand zone and sell at supply zone at different time frame.
How big time frame demand zone and supply zone are that power full and that accurate in price action.
The stock market can be a great way to grow your wealth over time, but it’s important to approach it with caution and knowledge. By understanding the basics of the stock market, as well as some key terms and strategies, you can make informed investment decisions that will help you reach your financial goals.
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