DSIJ Mindshare

The change in interest rates impacts the stock market and personal life. To understand how, read the complete article.

One important lesson Karan learned was the significance of evaluating a stock's market value in relation to its intrinsic worth. Just as a precious gem's value can be determined by its clarity and cut, a stock's true value lies beneath its market price.

Based on the principle of demand supply mechanism, exchange will arrive at the equilibrium price – the price at which the maximum number of shares can be bought / sold.

It tracks periodical changes in prices and is thus monitored closely by policy decision-makers, analysts, businesses and consumers. 

Position sizing is one of the most important factors in trading or investing, which plays a vital role. But why is it so important?