Trading has given big losses to many investors. Some traders have earned a profit. Let’s see, Trading in the stock market is profitable or not in 2021.
Trading has gone to the next level. Many new people are coming into this field and losing their money in trading within months. The new people who are investing for the long term are profitable in this market.
In this article, we will see who should do trading and Trading in the stock market is profitable or not in 2021.
what is trading and its types in the stock market?
Exchange of share or stock has taken place it is generally known as Trading. and it as three different types of trading is Intraday trading, short term trading and the last one is long term trading.
More people do intraday trading and short term trading. Nowadays intraday trading is popular among the young generation and Most the people are losing money in it. Due to the misunderstanding of charges on trade.
If you have knowledge of charges like Brokerage, GST, Stamp duty, SGST, and many other charges then only go in the intraday trading. We did not recommend you to do intraday trading because it involves high risk.
Short-term trading is used by swing traders. It gives high returns on investment if your step is right. The last is Long term trading this is used by the investors who want to invest their money in that company for a long period.
Related :- High risk, High return investment for Indian
Intraday trading in the stock market
Intraday trading is popular among the youngest people. Many people are depending on intraday trading for their daily needs. According to me, You should not depend on this because It can be risky for you and your family.
According to the experts 90% of the people lose their money in intraday trading, due to the lack of knowledge of the stock market and how does it work, and many people lose their money because of the lack of knowledge of chargers.
If you are looking to do intraday trading, Please aware of the risk involved in it. If you are beginners in the stock market then don’t enter in intraday trading ( 90% of beginners lose their all money in it ).
This article will help you if you are beginners in the stock market :- 5 tips for beginners to invest in the stock market
Short term trading in the stock market
Short term trading is best option to do and I personally recommend you to do. It gives good returns then positional trading and Intraday trading.
The short-term trading in the stock market is profitable for all i.e Beginners, Experience, or pro traders. It is mostly used by swing traders. I personally used this trading system.
Holding the position for more than 1 day to 6 months is known as Short term trading. It is most effective than others. It reduces the risk of more tax, more transactions, wrong decision making.
Long term trading in the stock market
Holding or invested money in the stock or company for more than 1 years is known as Long-term trading.
Long term trading is mainly used by the stack holders or investors. If you think that the company will grow in the future then you can invest in it by taking the shares of that company.
Advice:– Do not keep or invest all money in the stock market and From the invested amount do not invest all invested money in 1 company or share. Separate your money and then invest your money. It will give you good returns on investment.
Trading in the stock market is profitable or not in 2021
Trading can be profitable or unprofitable it totally depends on your skills. If you have knowledge of trading then only it will profitable otherwise you will definitely lose your money in the stock market.
If you are a beginner in the stock market and have knowledge then do trading but don’t enter intraday trading it can harmful to you. Do short-term trading and get experience then only enter in it.
Don’t involve in intraday trading because 92% of people lose their money in intraday trading. If you think you did not come in this 92% of people then you can do it within 1 week you understand, what is reality.
Intraday trading is also known as gambling, Because 92% of people lose their money in intraday trading at the end.
Short term and Long term trading in the stock market is profitable if and only if you have knowledge about the stock market and the company you want to invest.
Last word from mini invest
I hope you have understood that “Trading in the stock market will profitable or not in 2021”. In short, totally depends on your knowledge.
If you have any question, recommendation, or feedback then write it down in the comment box below.