Investing and TradingOnline in the stock market is not new to everyone. Wherever you are, you will hear information about the market, stocks, stock prices up and down. However, there are still many of you who may not know the most accurate and effective way of investing and trading, so today we will guide you through the basic steps of online trading to make the best online stock investment.
What is Stock Trading Online?
Online stock investment or online stock trading is an activity of buying and selling shares of a company using a digital platform. Everyone can participate in investing, trading, buying and selling Shares, bonds, debt certificates from the Application or online trading platform, only through a smartphone or laptop connected to the internet.
When trading stocks online, you will buy and sell shares of a company listed on the Indonesia Stock Exchange. To be able to trade stocks online, you are required to register with a broker or stock securities first.
Basic Steps of TradingOnline For Beginners
It can be said that these days, online stock investing or online stock trading is becoming more popular than ever. Especially in the current pandemic situation, many people spend more time at home.
Therefore, choosing to invest in stocks online and trading online is the right choice. But in order to invest successfully, you have to start learning about stocks from scratch. You also need to learn and prepare yourself to be able to apply the best online trading strategies.
Step 1: Learn about the stock market
The first thing that is important for you to be successful in the stock market is that you must first understand and master the basics of the stock market. Covers all concepts, terms and rules
• What are stocks?
Shares are proof of ownership of capital owned by investors purchased from a company. Shareholders will be the owners of the shares and at the same time will be the owners of the publicly traded company.
• How to view and analyze stock price lists
The stock price list will list the price and volume of each stock code and stock index, just like trading in other commodities. In addition, there are also rules in the stock market or capital market.
• Stock Exchange Opening Hours
The Indonesia Stock Exchange (IDX) has 2 trading sessions, the first session is open from 9 am to 11.30 WIB and the second session is open from 13.30 to 14.49 WIB. And the Indonesia Stock Exchange is also only open Monday to Friday, Saturday, Sunday and IDX national holidays.
• Unit lot of stock
When you want to buy shares there is a unit called a lot, if you want to buy shares of a company the minimum is 1 lot. 1 lot is equal to 100 shares. For example, currently GoTo shares have a price of Rp. 390 per share, so to be able to buy GoTo shares at least 1 lot. This means that you buy at least 1 lot of GoTo shares at a price of IDR 390 x 100 shares = IDR 39 thousand.
Step 2: Open a Stock Securities Account
The next very important step for online trading is that you have to open a stock account with a secure and reputable securities company yourself. You have to choose the best and most trusted stock securities, if you want to get into stock investing. After opening an account with a securities company, you can log in to observe and monitor how online stock trading works.
Currently on the market there are many securities companies that you can choose to open your own stock account. The procedure for opening an online stock account is very simple and fast that anyone can do easily in a short time through the securities company website or securities application.
Step 3: Stock analysis
All forms of investment that exist today, when it comes to profits, there must be risks. However, when participating in the stock market, the decision to buy and sell shares must be carefully considered in order to minimize losses.
You have to make a decision to trade according to certain investment and trading principles. A stock analysis strategy is one of the most important steps you must learn when you enter the stock market.
This stock analysis will help you answer questions like:
• Which shares should I buy, at what price?
• When should you invest or trade?
• When should I sell my shares at the right time?
Step 4: Technical analysis
Technical analysis is where you will study the movement between a stock's price and past volume to predict future price trends. The basis of this method in particular is from:
• Price movements and trading volume
• Movement The stock price moves in a certain direction
• The history of stock price movements is always repetitive
Step 5: Buy the First Stock
After you master the basic steps of investing in stocks online or trading online. After you need to know stock market knowledge such as stock analysis, technical analysis, now you can make your first stock purchase in the capital market.
To buy or sell shares, you must place an order through the trading software. Each securities company has its own software and applications so that investors and traders can place their own stock orders. The software and application interfaces may differ in each securities company, but the way to place an order for shares will be the same.
You should be able to know several things before buying shares, such as:
• Stock code
• The type of order to be used Buy or Sell
• What is the volume of the lot buying or selling
• How much the stock price will be bought
Step 6: Learn and Practice
If you have traded online by buying shares for the first time, you must learn to be able to analyze and research carefully about the price movements of the shares you have bought in order to achieve success.
If the first online trading strategy you apply fails, you can learn and practice again to be able to make profitable trades.
