Stock price is decided by the Buyers and Sellers based on supply and demand. Creating Long position is buying with the purpose of selling later. Selling an already owned stock is known as Long covering. vice-vercas are Short postion and Short covering. The Stock price goes up and down based on the market sentiments, these movement of prices does not affect the Company performance. Stock trading is Gambling only if the trader is not aware of the Risk-Reward ratio and dosent trade with discipline.

1 Comment
  1. vignesh 6 years ago

    Hi,
    your answers are well framed and appropriate.

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