Knowledgeable investors can determine when it is time to get in and out of certain sectors. Once investors figure out which sectors are the strongest; they can then determine which companies within those sectors look the most profitable.

Bull, Bear, or Sideways Market :

So what is a Bull, Bear, or Sideways Market?Bull markets occur when the major indexes, the DOW, NASDAQ, and S&P 500, are all going up. (GOOD FOR MOST INVESTORS) Economy as a whole is in good shape and investors are willing to put money into the market.
Bear markets occur when the major indexes, the DOW, NASDAQ, and S&P 500, are all declining. (BAD FOR MOST INVESTORS) Investors are basically selling their shares for whatever they can get for them and the economy as a whole is not doing well.
Sideways markets are basically a point when the indexes simply stall out and they are neither going up or down.
Different variations of these trends have occurred at different points in the history of the stock market. The trends can be long or short depending on a wide variety of factors.

Sectors of the stock market :

As you watch CNBC you will hear the term sector being thrown around a lot. A stock sector is a group of companies that belong to a similar industry.
Some examples would be the retail sector, pharmaceutical sector, automobile sector, or oil sector.
No matter how well the stock market is performing overall; there will always be sectors of the stock market that are doing good or bad at different times for various reasons.

Know about transfer of physical shares.


After a sale, the share certificate along with a proper transfer deed duly stamped and complete in all respects is sent to the company for transfer in the name of the buyer. Once the transfer is registered in the share transfer register maintained by the company, the process of transfer is complete.

Buy back

Buy back is a process by which a company can buy back its shares from shareholders. A company may buy back its shares in various ways: from existing shareholders on a proportionate basis; through a tender offer from open market; through a book-building process; from the Stock Exchange; or from odd lot holders.
A company cannot buy back through negotiated deals on or off the Stock Exchange, through spot transactions or through any private arrangement. Clearing and Settlement.

stock split

A stock Split is book entry wherein the face value of the share is altered to create a greater number of shares outstanding without calling for fresh capital or altering the share capital account. For example, if a company announces a two-way split, it means that a share of the face value of Rs 10 is split into two shares of face value of Rs.5 each and a person holding one share now holds two shares.
Know about Bonus Issue.

While investing in shares the motive is not only capital gains but also a proportionate share of surplus generated by the company from the operations once all other stakeholders have been paid. But the distribution of this surplus to shareholders seldom happens. Instead, this is transferred to the reserves and surplus account. If the reserves and surplus amount becomes too large, the company may transfer some amount from the reserves account to the share capital account by a mere book entry. This is done by increasing the number of shares outstanding and every shareholder is given bonus shares in a ratio called the bonus ratio and such an issue is called bonus issue. For example,If the bonus ratio is 1:2, it means that for every two shares held, the shareholder is entitled to one extra share. So if a shareholder holds two shares, post bonus he will hold three.