Thursday 31 May 2018

Gold Stocks and Effect Of Gold Prices

Gold is known as the precious metal and is used for different purposes like industrial, manufacturing, personal jewelry and more. This particular commodity is most actively traded on MCX as it is of highly liquid nature. A large number of traders rely on the usage of commodity tips of market experts to ensure their good earnings here.
Gold stocks are those shares which traders hold in a gold company which can be either mining corporations or gold mutual fund.
Following are the two popular types of gold stocks:
Large-Cap gold stocks
These stocks belong to companies which usually have large market capitalization. Companies with large-cap stocks are more stable and are likely to be a part of a market for long term.
Junior gold stocks
Junior or mid-cap stocks are more volatile and belong to companies which are in the business of mining or exploring new deposits of gold and therefore their market capitalization is also less.
Impact of gold price on gold stocks
Price of gold is a primary factor which has to be considered while predicting or understanding prices of gold stocks. When the gold prices rise in the physical or future market, it also affects the prices of Gold stocks and vice versa. But there are times when we see a strong movement in gold prices and there is not much impact of it on prices of gold stocks. Free share market tips providers think that the gold prices have its impact on gold stocks the correlation between both will not be always same.

Wednesday 23 May 2018

Current Status Of Indian Commodity Market


Since last 10 years, the commodity futures market in India and abroad has witnessed a significant increment in terms of both trader’s network and volume. The commodities market survives in two distinguishable forms, the over-the-counter (OTC) market, and the exchange-based market. There exist the spot and the derivatives segments as in equities. Spot markets are OTC markets. In these markets, the participation is limited to the traders who are necessitated with that commodity, such as the farmer, processor, wholesaler, etc. These participants have liberty to choose commodity tips on their own. The exchange-based markets are fundamentally derivative markets and are like equity derivatives in function. In derivative market, an investor can trade with just paying a certain marginal amount of the traded commodity. 

 Even though there is an allocation for delivery, various contracts are squared-off before expiry and are settled in cash. About 23 commodity and equity exchanges are active in India, carrying out futures trading in near about 146 commodity items. The Government of India recognized the NMCE, Multi Commodity Exchange (MCX), for which MCX free tips intraday are available for investors, and National Commodity and Derivative Exchange (NCDEX), as nationwide multi-commodity exchanges. A total of around 94 commodities were traded in back in 2006 in the commodity futures market, as compared to approximately 59 commodities in earlier 2005. These commodities comprised major agricultural commodities such as rice, wheat, jute, cotton, coffee, major pulses etc. Right now, people prefer to trade in metals and energy in the commodities. Agricultural commodities have their own scope in the capital market.

Tuesday 15 May 2018

How to Invest in the Share Market in India


Step One: Register with a broker or investment firm which have authority to do all the legal and paperwork. It is not necessary to work with the brokerage firms, you can opt for a personal advisor who could provide you some extra market tips like Silver MCX tips.
Step Two: Keep an eye on the exchanges regularly to determine the strength of their investments in India. Attention to the market and exchange plays a crucial role in building your capital from share market investments.
Step Three: Try to learn more about how to invest in share market and the exchange boards. The Indian economy features a rapidly expanding biotechnology and computer-development sector that has been a boon to investors.
Step Four: Trace companies which are constantly growing with small amounts of capital through the exchange list. This list features hundreds of young companies with low funding that are looking for investors to take them to the next level. They can invest in a company at a cheap share price without a great deal of risk.
Step Five: Track the progress of their stocks online with the respective exchange's commitment to quick updates. The indexes transmit information to local brokers, international websites, and business-television networks every 15 seconds.
Step Six: Make proper calls and action, the timing is important as the market prices change according to top the political and other events. And also fluctuates within a blink of an eye.



Thursday 10 May 2018

Future Derivatives: Everything You Want To Know

Derivative securities derive their economic value from underlying assets. One of the key instruments is future derivative. It is part of stock recommendations of research through famous market planners like 24 Carat financial services.
A futures contract specifies delivery at a future date at a current price. In future trading, the buyer assumes the long position and the seller assumes the short position. Futures contracts can reduce risk through hedging. Hence, it is strongly recommended by commodity tips.
Some examples of the future market are Interest Rates, Stock Indices, stocks, Currencies etc
The best live example can be observed through a farmer. A farmer agrees to sell his harvest to the trader at the specific rate at a future date, say 25 Rs per kg after a month. If the market prices go up by 2 Rs, the farmer would be in a profit of Rs 2 per kg and if they go down, the farmer would be in a loss.

Advantages of using futures
Price Discovery: The futures market has become an important tool to determine prices, based on present and future estimated amount of supply and demand. Futures market prices depend on a continuous flow of information from around the world and thus require a high amount of transparency.
Risk Reduction: Future markets are also a place for people to reduce risk when making purchases. Risks are reduced because the price is pre-set, therefore letting participants know how much they will need to buy or sell.