Monday 17 February 2014

(4)PART 4 :-WHAT IS THE MEANING OF STOCK/SHARE MARKET INDEX?


     WHAT IS THE MEANING OF STOCK INDEX ?





Before i start if you have noted down that  i have written what is the meaning of stock index instead of part what should be your first step to start trading in share market/share knowledge for beginners.I did that because when i write name of topic it looks novice and better and easy to understand visitors(you)that what is in this article, so from now on next time  i would use topic name .

      Now from right now you would understand the first step knowledge about share market and can apply in real life whether you are beginner or already a investor,step be step your level will be increased  by our articles and update yourself and you would become a street smart investor of wall -street/bse-nse.

                  The meaning of stock index looks to hear complex and if you find on Google or anywhere you would find very complex definition and one more thing when you type this question in yahoo search you would understand this simple question asked by many times and beginners will feel  happy , because with in next 2 to 3 minutes you would understand and would not forget easily so here is I tell you in very simple language and you would understand that , break this word stock/share index into 2 parts ,you would get one is share and second one is index .

 Q 1:- What is the meaning of index ?
Ans:- Index shows/states/tells/indicates........conditions/direction of whole economy whether is                   going down or up,so if a nation's economy condition is going high then Index of 
          that nation will go high,if a nation's economy is going down then Index of that nation will go
          down.

 Q 2 : What is stock/share market index ?
Ans:- Index word is now added with share/stock,so from now on a stock/share Index              
          shows/tells/indicates....conditions/direction of shares/stocks are going down or up,so if a                   nation's economy condition is going high then stock/share market will go high and shares of             prices will move up (majority of company's share prices will move up not every company's               share ),and if a particular nation's economy condition is going down then stock/share market           will go down (majority of company's share price will go down not every company; share).So   this index is called share market index because it shows share price is going down or up ,in simple  words share market index condition of shares and his prices.


              



Note:-People get confused when they listen stock market/stock exchange/sen sex/share market/
           /market has crashed or moved up.No need to confuse the meaning is same , meaning of all 
           is share/stock market.You can call any of them from these names depends on your choice.


SUM-UP:-Read these followings to understand only in 10 seconds :-
      ( for example assume particular nation conditions how will react if it is one of them and learn) 
       
       
        Economy condition good = index will move up.Share/stock market will move up also.
        
        Economy condition bad   = index will move down.Share/stock market will go down also.

        Share/stock market up= Economy condition is good ,majority of company's share price will 
                                                 be moved up not every company share.
    
         Share/stock market down= Economy condition is going bad or bit bad ,majority of company's
                                                  share price will be down not every company share .


NOTE :- Soon i would update more deep knowledge regarding share market and personal,health related information.
   
   if you think this information is useful for you then please come everday for to increase your knowledge and when we are increasing our viewrs , we get motivated to provide you more update data and new articles and please comment ,poll,and Don't forget to follow our blog,thanks and have a nice day . 
                                                  











































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