Stock trading is the process of buying and selling stocks between two parties. The trades take place on stock exchanges BSE or NSE. Each trade involves several players such as exchanges, brokers, depository custodians, traders and the regulator.
The stock trading can be a business or gamble depending on the risk-reward ratio. If the trading is done with knowledge and discipline then it can be a viable business. The traders must ensure that they do risk-reward analysis of each trade and perform the trade with discipline in order to make money consistently.
Different types of trading include positional trading or intraday trading. The trade can be taken as Long position or Short position. A short position must be closed before the settlement.