The traders can transact their trades only through certified brokers. The brokers act as the bridge between the traders and the Stock Exchanges.
Stock Exchange facilitates the transaction between the Company and the traders through certified brokers.
SEBI monitors and regulates the stock market and protects the interest of the investors by enforcing certain rules and regulations.
The stocks are traded through the brokers and are settled by the Stock Exchange.
An investor is required to open a bank account to make financial transactions.
There are two types of trading, Positional trading and intraday trading.
Position trading is where the stocks are bought to hold for a long period of time.
Intraday trading is where the stocks are bought and sold and vice-versa, the same day.
Long: If you place buy order and then sell, it is called long. Selling the stock that is already bought is called long unwinding.
Short: If you place sell order and then buy, it is called short. This is possible only in intraday. Buying the stock that is already sold is called Short Covering.
There are two types of trends – Bullish and Bearish. Bullish is when the stock price opens low and moves up. Bearish is when the stock price opens high and closes low.
Demand and supply of stock influences the company. The investor demand and supply plays a vital role in the market and it will impact the fundamentals of the Company.