What Are The Common Terminologies Used In Stock Market ?

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What Are The Common Terminologies Used In Stock Market ?

What Are The Common Terminologies Used In Stock Market?

 

What is a stock?

  • A stock nothing but equity. When you purchase a company’s stock, you’re purchasing a small piece of that company that represents partial ownership, is called a share. Terminologies used in Stock Market

How does a stock’s price move?

  • If more people want to buy a stock (demand) than sell it (supply), then the price moves up. Conversely, if more people wanted to sell a stock than buy it, there would be greater supply than demand and the price would fall.

What are the types of traders?

  1. INTRADAY Traders: – Also called as Short-term traders. These traders don’t hold the stock for more than one day.
  2. SWING Traders: – Also called as Mid-term traders. These traders hold the stock for more than one day. For example, Two days, Five days, Ten days, etc.
  3. INVESTORS: – Also called as Long-term Investors. These people hold the stock for a long time. For example, one year, five years, ten years, etc.

If you want to know more about Risk Management & Intraday Trading Strategies you can refer to our previous blog on

Importance Of Risk Management In Trading and 10 Best Intraday Trading Strategies.

 

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Happy Learning!

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