Information About Company
The first step to invest in the shares of a company is to have all the information about that company, its business, its products and services, its annual sales, its consumer market share and its local and international operations.
Next you need to know is market capitalization. It can be the overall capitalization of the market and capitalization of the company which share you are going to buy. You can take out an average of the company's market capitalization in the overall market capitalization.
Another way is to know valuation ratio. It can help you determine the market strength of the company, and future direction it can take. Although it depends on the overall market behavior, which is affected by the country's economic indicators, the company's business itself can affect its share price also.
Look for IPOs
If you are unable to decide when you should start investing in the market, then look for Initial Public Offerings (IPOs). You can get shares at discount rate, and it is the best way to start investing in the shares in the market, and then you gradually can immerse into the trading environment as your market knowledge develops.