The buyers and sellers are virtually meeting and trading the stocks in the stock exchanges. They are connected through the stock brokers.
To buy and sell the stocks, the trader needs to become member of the stock broker by opening trading and Demat account with them.
The trading deals are happening during the market hours and the actual settlements are taken place after market hours.
The trader can make money by buying and selling the shares when the prices are going up. Likewise, when the prices are going down, the trader can make money by selling the stock first for the higher price and then buy for lower price before market close for the day.
The stock market can be approached as business or gambling by the trader. When the potential return is higher than the potential risk, that trade is considered to be a business. Otherwise, it is called as gambling.
With good knowledge and discipline, the trader can be a good businessman. He usually takes rational decision rather than emotional decision irrespective of the result is profit or loss. By continuing the good trades he makes good money out of the market.
, , Basics of Stock Trading, BANK, broker, business, buyers, COUNTER PARTY RISK, exchange, gambling, Government, long, long unwinding, place order, SEBI, sellers, short, short covering, stock, stock price, Trade plan, trading, validity
