Beginner's trading question

Hi All,

I have joined this forum today only.I am also new to trading.I have zerodha trading account.I have watched Manikandan's you tube videos.He explains intra-day trading nicely using google finance.

I used to buy/sell 50-100 shares using MIS(in zerodha).But Mani's explanation always hover around in lot size which is Futures jargon.

My question is every professional traders are day trading in Futures only?In other words, intra-day means to go long/short in Futures? (not in spot(MIS) ?)...will you guys won't buy/sell in spot stocks in cash market? will you directly day trade only via futures?

Please clarify this.

yes, you can do it in cash as well ... Advantages of doing futures is the ability to hold if needed for even a month or till expiry which you can't do in cash ...

And you can hedge and play safer strategies like go long in futures and sell Call option ... or buy a put option, for futures long to get unlimited downside support

What's the best way to start online stock trading?

i have an question ! what is total bid quantity and total ask quantity! and which one of this is buyer and sellers or demand and supply?

Bid And Asked
A two-way price quotation that indicates the best price at which a security can be sold and bought at a given point in time.The bid price represents the maximum price that a buyer or buyers are willing to pay for a security. The ask price represents the minimum price that a seller or sellers are willing to receive for the security. A trade or transaction occurs when the buyer and seller agree on a price for the security.


The difference between the bid and asked prices, or the spread, is a key indicator of the liquidity of the asset - generally speaking, the smaller the spread, the better the liquidity.


Also known as bid and ask, bid-ask or bid-offer


Read more: Bid And Asked Definition | Investopedia

so if the total bid quantity is more than total ask quantity the price may go up ! am i right? and vice versa!!

Originally Posted by yash pagariya

so if the total bid quantity is more than total ask quantity the price may go up ! am i right? and vice versa!!

not always ... but it can be looked on as a factor ...

Hello dear Mani,

I just happened to view your videos on youtube where i came across bse2nse.

Your videos give a perfect start for beginners who are interested to join stock market and trade.

I have been investing in stock market for quite sometime,mostly into equities,since past 2 years I hv been invessting in options not frequently though.

I had a query on one call option that I have taken for sept series.

I have brought Kotak bank call option 800 CE today
my buy price is 13 and the current price is around 780 ,I expect it to go above 800 this series.

When i viewed the option chain today,the 800 CE has the Highest OI and change in open interest.
The OI is at 216000 and Change in OI is 109000..
So does this suggest that 800 will be hit?

Can you please help me with this doubt of mine.

Hi Mani,
I am new to trading, i have gone through your book "Art of investing" found very useful. Thanks a lot for sharing your work. Now i have question..as discussed in the book the better time to exit the market is when Nifty P/E crosses 24. I could see the nifty P/E is currently over 24, does it mean alarm to exit the market now..

Regards
Chandru