Firstly,the stock trading takes place when buyer broker and seller strikes a deal with their decided price.The broker ensures the counter party risk.People choose stock trading to get returns in a short period of time.The important terms in stock trading are long,short,long unwinding and short covering.We can buy and sell order with the help of a broker and there is no limited time period.The demand and supply decides the price of the stock.There are two more important terms-Positional and Intraday trading.We should always have a trade plan which can help in reducing risks.
, , Basics of Stock Trading, buy order, intraday analysis, Long and Short Position, long unwinding short covering, place order, positional trading, Trade plan, Trade plans.
Hi,
Your Question: Does stock price affect the monetary aspects of the company?how?
Actually, the company gets the money during IPO and price changes of a stock affects only the buyers and sellers of the stock. so, the stock price may not impact the performance of the company, but the performance of the company may influence the stock price.
Hence the stock price is driven by company performance and the company does not affect by the buying and selling the shares. However, the share price may have an indirect impact on the company performance, for example, a declining share price will make it hard to get a loan, can’t attract further investors, difficult to build partnerships, goodwill etc…
Thank you sir!!:)