Basic terms of stock trading

Stock trading is a business if done with proper trade plan & discipline. The broker is a intermediary who accepts order on behalf of trader & send to exchange for execution. The trading plan differs from trader to trader based on individual objectives. Trader’s margin deposit with the broker & broker’s margin deposit with exchange facilitates risk management. Wealth is neither created nor destroyed, it’s just transferred. One person’s gain is other person’s loss and vice versa. A proper trade plan is must to be a successful trader.