Beginner queries...

priyanvada

Well-Known Member
#1
Namaste to all knowers and masters ...

This is thread I am startting to just give single place where all beginners can ask whatever they want in the field of stock trading et. al....

I will take lead here ... Anybody have time for me and all likes of mine , please take some time for us...give some helping hand...Rest of the climbing will be our job!

Q1: - What are the taxation norms for traders viz...a) Day traders b) Weekkly traders c) Monthly delivery traders d) Yearly delivery traders?

Q2 -: How come taxation department comes to know how much I have earned through day trading and how much delivery trading?

Q3: - I had initially deposited Rs. 17500/- for trading activity and now I have lost Rs. 3000 and withdrawn 7000/- from it and put it in my savings account... So is this 7000/- taxable? will it be considered as day trading or simply trading profit? But it is not such as facts I see... so how taxation dept comes to know that I have yet to make a profit?

Q4: - If I earn 1 Lakh at the end of financial year ... How can I/tax Dept. separate out what are my day trading gains and what are my delivery gains? Does my broker gives such a statement?


Q5: - At the end of financial year if I have made some profit but it is still in my demat account and I hadn't withdrawn it but I have invested it in stock then will that amount be taxable?

Q6: - When company distributes their profits to share holders? What is the time period?

Q7: - If one invests in some company for whole year and one takes same amount of share delivery a month before profit distribution then they both get same profit since both are holders??


.... please clarify if you can and have time ...

Thanks,
priyanvada
 

priyanvada

Well-Known Member
#2
Q8: - Can I take the advantage of sensex or nifty index going up and down for day trading? Right now I make profit from stock prices going up and down? Is there any way to do same for index going up and down? this might be a silly question but still question is a question :)
 

Sunny1

Well-Known Member
#5
NICE THREADS NICES QUESTIONS AND I WONDER NO ANSWER.
OK I CAN GIVE FEW.
1. YEARLY DELIVERY TRADERS QUALIFY AS LONG TERM INVESTERS AND THEREFORE LONG TERM CAPITAL GAIN TAX APPLIES
2.LESS THAN YEAR TRADERS COMES UNDER SPECULATION TAX . THEREFORE FLAT 30% TAX IS APPLICABLE.

ABOVE ARE ONLY FOR EQUITY TRADING NOT FOR FUTURE & OPTION TRADERS.
FUTURE AND OPTION IS CONSIDERED AS BUSINESS SO NORMAL BUSINESS TAX IS APPLICABLE.

3.SINCE YOU HAVE MET LOSS THEREFORE NO TAX IS APPLICABLE. TAX IS APPLICABLE ONLY ON PROFITS. ALSO YOU CAN CARRY OVER LOSS FOR 4 YEARS.

Q7: - If one invests in some company for whole year and one takes same amount of share delivery a month before profit distribution then they both get same profit since both are holders??

YES

Q8: - Can I take the advantage of sensex or nifty index going up and down for day trading? Right now I make profit from stock prices going up and down? Is there any way to do same for index going up and down? this might be a silly question but still question is a question

YES . THROUGH EXCHANGE TRADED FUND OR DO INDEX FUTURES LIKE NIFTY, MINIFTY

Q9: NO SINGLE SITE IS THERE YOU HAVE SEE LOT OF FORUMS AND POSTS. AT TRADERJI ITSELF THERE ARE MANY THREADS.

Q10. YES YOU CAN TRADE IN OTHER STOCK EXCHANGE. ONCE AGAIN YOU HAVE RESEARCH TO FIND WHICH IS BEST FOR TRADING OTHER STOCK EXCHANGE
 

priyanvada

Well-Known Member
#6
Thank you very very much Sunnyji for your kind replies ...

I was thinking will someone listen this and take some time to answer these or not?

... Anyway really thanks again!

regards,
priyanvada
 

priyanvada

Well-Known Member
#7
Q11 : - If I bought a 100 Qty. of share X at price 98. Then price went up and it touched 102. The moment I sold 200 Qty. of same share X at price 102. Then now is it valid to sell more than I bought in "one moment"? will my broker logically interpret this as 100 short sell at 102 price as a final calculation? Or Do have to sell 100 qty. at 102 first to clear my account and then short sell separately 100 Qty. to make a short?

Q12: - As Sunnyji told me above that I can play in other country's stock exchange sitting right here in India... Then I ask further that, I I make a group of friends and we divide among ourself the working time for whole 24 hours and we got a Demat account in brokers of all stock exchanges of the world... then is it not possible I just transfer my fund through online fund transfer from one Demat account into other and keep day trading for whole 24 hours a day??? Is this possible?

Q13: - What is difference between derivative & profit? Are they having same meaning?

Q14: - Some day I see there is demand for shares from Banking sector and some day there is Demand for power sector and so on...So seeing the trend of the sector wise index, Can I make entry in market sector wise (for example metal, power,banking) "in one moment" and in such a way/proportion that the "sector index" will "exactly" represent what is happening with my investment in it during day trading? ...Is it possible??

Q15: - Can I take entry in a "group (the shares comprising this will be decided by me) of shares" in "one moment" while day trading".

Example: -I have a group of 5 companies comprising of five different pharmaceutical industries and while day trading I want to place an order to buy a certain quantity of each companies' shares "in one moment" .
And Now, I want sell them "in one moment" after index in pharmacy sector hits my expected target or it hits my stop loss figure??
So it is possible???
 

priyanvada

Well-Known Member
#8
Q16: - Is their any software/website which will keep on stock price movements of my 'watch list'(say fifty most traded stocks) and it will continuously scan the candle stick patterns happening out their and alert me when their appears a trend reversal pattern? I have found a website which gives this information but when the day is over
http://www.icharts.in/stock-lists/uptrends.html
http://www.icharts.in/stock-lists/price-volume-expansions.html
http://www.icharts.in/stock-lists/pullback-in-uptrends.html
it is good but it is EOD not during intra-day??

So is their anything which will do this live/online for intra-day with time interval 5min or 10min or 15min and so on decided by the user and alert me if their is a trend reversal?
 
Last edited:

priyanvada

Well-Known Member
#9
Q17: - This questions to all the experienced and veteran masters ... Which stock exchange you prefer for day-trading BSE or NSE? Why ? Which sector you prefer for day trading equities, Nifty, Futures or Options,Forex or anything else?

Q18: - Which sector in the stock market gives maximum reward for the risk both positive or negative in small time interval ?

Q19: - Which sector has relatively lesser risk and is good for those who want play absolutely safe?
 
Last edited:

TFL

Well-Known Member
#10
Q11 : - If I bought a 100 Qty. of share X at price 98. Then price went up and it touched 102. The moment I sold 200 Qty. of same share X at price 102. Then now is it valid to sell more than I bought in "one moment"? will my broker logically interpret this as 100 short sell at 102 price as a final calculation? Or Do have to sell 100 qty. at 102 first to clear my account and then short sell separately 100 Qty. to make a short?
Yes its valid to sell more than you brought and it be will considered as short at the same time. Yes its a short sell 100 @ 102. No need to do this separately by you, the thing you did is right if your intention was to sell the brought 100 @ 102 and to short sell 100 @ 102.
 

Similar threads