WHAT IS A SHARE MARKET ?

It is very interesting to invest in shares, though most of the people would like to start with small money.
First of all, you need to know a little bit in detail about the stock market, then about the shares and the mode of their trading. What are the risks involved and how to be smart in dealing with shares?

Stock Market is the place where the shares of listed companies are bought and sold. In India, you have BSE ( Bombay Stock Exchange ) and NSE (National Stock Exchange)  as two big stock exchanges. Of the 23 stock exchanges in the India, Mumbai's (earlier known as Bombay), Bombay Stock Exchange  is the largest, with over 6,000 stocks listed. The BSE  accounts for over two thirds of the total trading volume in the country. Established in 1875, the exchange is also the oldest in Asia.

The National Stock Exchange (NSE), located in Bombay, is India's first debt market. It was set up in 1993 to encourage stock exchange reform through system modernization and competition. It opened for tradingin mid-1994. It was recently accorded recognition as a stock exchange by the Department of Company Affairs. The instruments traded are, treasury bills, government security and bonds issued by public sector companies. 

Shares are bought and sold by you and me only through approved brokers. For buying and selling the shares first we need to open a Demat account . There are various approved brokers mostly banks like ICICI , HDFC , IDBI , UTI to name a few. 

A Demat account is nothing, but the account where the shares bought by you will be kept separately. 
 For buying and selling, it is necessary to familiarize which shares to be bought at what prices and sell them.We Should also have an understanding of some technical words like Bull Market and Bear Market.

BULL MARKET
A prolonged period in which investment prices rise faster than their historical average. Bull markets can happen as a result of an economic recovery, an economic boom, orinvestor psychology. The longest and most famous bullmarket is the one that began in the early 1990s in which the U.S. equity markets grew at their fastest pace ever. opposite of bear market.at what price.
 
BEAR MARKET
A market condition in which the prices of securities are falling, and widespread pessimism causes the negative sentiment to be self-sustaining. As investors anticipate losses in a bear market and selling continues, pessimism only grows.A bear market should not be confused with a correction, which is a short-term trend that has a duration of less than two months. While corrections are often a great place for a value investor to find an entry point, bear markets rarely provide great entry points, as timing the bottom is very difficult to do. 
 
 To be Continued.......