What is Trading?

What is Trading?
Buying something and then selling it at an increased price so that profit can be made, similarly buying a share in the stock market and as soon as its price increases and earning profit by selling it is called trading in the stock market. Trade involves the transfer of goods and services from one person to another often in exchange of money. Economist refer to a system or network that allows trade as a market.

Stock market traders tend to choose one of the many trading strategies based on their financial goal, their orientation towards stock trading and the time period want to stay invested. There are two keys form of trading short-term and long-term.

Intraday Trading-
Intraday trading is also known as day trading. It is form of short term trading. In this an investor buy and sell stocks within a same day.
Delivery Trading –
Delivery trading is form of long term trading or investment. It is also considered as one of the most secure way of trading or investing in stock market

Day Trading –
Day trading means buying and selling a batch of securities within a day or even a second. It has nothing to do with investing in the traditional sense. It is taking advantage of the inevitable volatility that occurs during a trading session. Day trading is most common in the stock market.

Leave a Reply

Your email address will not be published. Required fields are marked *