Share market basics
Shares of large, established companies with long operating histories and stable earnings, such as the biggest names in Nifty 50.
A blue-chip stock is a share of a large, well-established company with a long record of steady business, such as Reliance Industries, TCS, HDFC Bank or SBI. The name comes from the highest-value chip in poker. Blue chips are usually large caps, part of Nifty 50 or Sensex, and heavily traded, so buying and selling is easy and spreads are small. Many first-time investors start with them for exactly that reason. Being a blue chip does not mean the price only goes up. Large companies fall in bad markets too, and some slowly lose their position over decades. It means the business is less likely to disappear, not that the shares cannot lose value. If you plan to hold a stock for years, understanding what the company earns matters more than any label.
VideoA share is a portion of a company. The share market is where those portions change hands. Here is how it works, what you can trade in it, and why most people who trade actively lose money.
VideoThe share market runs on two activities that look alike and are nothing alike. Investing is owning a business for years. Trading is profiting from price moves over hours or weeks. Mixing them up is behind most early losses.
VideoTrading comes in a few distinct forms, and the one you pick decides how much time, capital and stress it takes. This lesson explains intraday, swing, positional, futures and options trading with Indian examples.
