[Hot News] [STOCKS] - What is a stock market trading?

[Hot News] [STOCKS] - What is a stock market trading?
Di Posting Oleh : Crew Blog
Kategori : 2016 COMMERCE FAQ FINANCE INVESTMENTS Q&A stock STOCK EXCHANGE STOCK MARKET STOCK TRADING STOCKS


In a stock market, all transactions done in the stock market between a buyer and a seller is technically called a "stock market trading".

So whenever you hear a person buying a stock from another stock trader, who in this case will be referred to as the "seller" and the one buying the stock as the "buyer", the entire transaction is called as a  "stock market trading".

However, in a broad way, a stock market trading has been referred to those transactions where in the trading happens within a short duration of time - called as short-term speculation. These type of trading involves traders seeking profits during short term fluctuation of prices that can occur within a day, a week, several weeks or months but not for years which constitutes a long-term investment.

These type of short-term speculation trading is often driven by certain news and announcements made by or related to the corresponding company such as its quarterly earnings announcements, important market news related to the company, recently announced legal laws that could affect the company's execution process etc.

These type of short-term speculation trading is often highly risky and volatile and should only be pursued by the traders who are highly experienced and have a solid understanding of the fundamentals of the stock market in general.

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