The Stock Market Game for Students : 4 Effective Tips and Tricks for Students : Trader’s Secret’s

Last updated on April 11th, 2024 at 01:11 am

Stock market is hype now. Every individual regardless of their age wants to invest and make quick bucks out of it. May it be elders, working people or students, everyone knows the potential of the stock market. 

In this article, we will focus on the students and The Stock Market Game for Students. Students are individuals who have just entered a new phase in their life, finding new hobbies, friends, fields, etc. and this is a learning and enjoyment stage. But along with enjoying and learning, it is essential to have that side income or saving. 

Students often ted to make the mistake of not saving or investing since their early stage, mind you, not their fault. They haven’t learned about the importance or taken it seriously. And stock market is one way of investing and having a chance to earn more than the value they invest in current time.

In this article, We will discuss how the stock market game for students is and how they can impute their game. The reason for calling it a game is because of the factors involved, the risk, the reward, and the strategies. 

Before we jump onto  details about The Stock Market Game for Students, lets understand what Stock Market is –

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What is Stock Market ?

Stock market is a place where buyers and sellers come together to trade securities. These trades can happen on Exchange or Over-The-Counter. The Stock market is regulated by the SEC – Security and Exchange Commission of the United States.

The Stock Market helps the seller as well as buyers to accomplish their interests. For example, if a Company wants to raise capital for their business, they can issue their shares in the stock market. Investors who want to increase their capital can invest in the company provided they believe their investment will appreciate in value. Here. The Company who issued the share are sellers, and the investors are the buyer. 

The Stock Market is not just an exchange of securities though. There are several trading options available which require high market knowledge and skills. An example of such high knowledge trading options is Derivatives trading.

I believe that you must have gotten an idea about what the stock market is and how it works. So, let’s move onto the next part about The tips and tricks for the Stock Market Game for Students.

Along with Stock Market Game for Students, ALSO READ : What are Derivatives in Stock Market? 4 types of derivatives – Best Trader’s Secret

Tips and Tricks for Trading

As a student investor myself, I am here to offer you these 5 effective tips for the Stock Market Game for Students all across the world.

Purpose of Investing

Let’s start with the basics of The Stock Market Game for Students, What is the purpose of your investment in stocks? Are you investing for saving? value appreciation? Do you wanna be a full time trader or broker? You wanna learn about the stock market? Pinpoint your purpose for investment. 

As students, we all want to earn quick bucks, and for that everyone must have once thought about investing in the stock market. But we all know that it’s not just graphs and luck, the stock market is a real strategic game. 

So when we pinpoint our purpose, we can learn about what investments i.e which company stocks will help us achieve that goal. 

For example, if an investor wants to save money, then they will choose safe stocks like Pepsi co. or Johnson & Johnson. These are gradually growing stocks who show slow and steady growth. This type of shares will be perfect for value appreciation and savings.

Set Up Profit and Loss Limits

Next part of the tips and tricks for the Stock Market Game for Students is to know your limit. Stock market is an addictive platform. It’s addictive just as gambling, although there is a huge difference between both, the habit of greed is common in both. 

As an investor, this is something you should be aware of. Set limits! Set limits on wins, set limits on loss, this is the only logical way to play in the stock market game. You should have an already determined point on which you are going to pull out, whether it is loss or profit. 

Many of you  will question that Why set a limit when you are earning profit? The reason is – Stock market is an unknown phenomena. The stocks are rising high and high, you are earning more and more, it builds your greed, it inspires you to invest more to earn more, but most of the time, the end result is you end up losing your original invested and the extra invested capital due to sudden drop in the shares. So, set a profit limit and pull out when the shares reach that limit. 

In the same way, when the prices of shares are dropping down, set a limit of loss when you will pull out. Suppose you bought 10 shares for $500, and the loss limit you set is $440. Then you should pull out your investment as soon as it touches $440. The greed and hope that the share prices will go up can also end up making your investment 0.

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Check The Prices of the Shares Regularly

Next advice for being better at Stock Market Game for Students is to check the market regularly. Regularly doesn’t mean daily, it depends upon the type of stocks you are investing in. 

As students, time is a crucial and limited aspect. Students have to complete their college work, then academic curriculums and other activities which leave them with less time. So you should select stocks that meet your requirements. Can you check on the prices daily? Weekly? Monthly? See what time is comfortable to you. 

Once you’ve got that, check on the price fluctuations regularly. Stock market is a stable game. The prices fluctuate daily and as an investor, you have to be aware about these changes in order to make your move. 

If you see the trend is falling down, it is better to be prepared to pull out and be ready to invest in other stocks that show growth.

Use Easy Platforms

Technology has even affected the trading system, and we can now trade with ease in our mobile phones. Many companies have developed applications which enable traders to trade from their applications on phones. 

These applications show daily fluctuations, trend lines, patterns, the most growing and falling stocks, derivatives market and much more. Every stock market trading aspect is provided on these apps. 

These applications work as a virtual broker, they make your investments for you and take a determined percent of amount as their brokerage fee. But the good thing is there are many new apps which constantly keep entering the market. As a part of the market penetration plan, they offer a no brokerage fee at the start which can be a good opportunity for students.

Some of the examples of such platforms are Grow, Angel One and Fidelity.

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FAQs

Closing Statement

The Stock Market Game for Students has become easier than it was in the 90’s. Technology has provided several tools for students to excel and beat this game of stock market and make thousands out of it. The only thing students have to do is follow these simple tricks and become master traders in this game. Go, follow these tips and play this Stock Market Game on easy mode. 

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I hope this article about The Stock Market Game for Students was informative for you. If there are any doubts or suggestions, Press ‘x’ and play it in the comment box.

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