Terms Associated With Trading

We all at some points of our career have thought of skipping the boring 9 to 6 jobs for some more exciting and lucrative business opportunity. If so, then trading is one such business that requires less amount of dedicated time and more profit. The business is completely based on tricks and strategies applied by a trader, which may work at times, but at times it may backfire as well. To begin a successful career, you need to be aware of the basic concepts of the trading business, that includes basic terminologies as well as some widely used strategies. Bear Street is a well acclaimed and appreciated trading training academy that opens its door for students at all levels, be it a complete fresher or someone with minimum exposure to the business.

Basic Trading Terminologies

To begin a successful career as trader in Chennai, you must be aware of certain terminologies that are wisely used in the domain. This will help to learn trading online in Ahmedabad more easily. Some of them are as follows:

• Trading account – To start trading, one needs to have an online trading account where all exchanges take place via electronic medium

• Broker – The person who connects a trader with the exchange is called a broker. As such they don’t own securities but can trade on behalf of a trader

• Yield – It is the return on investment usually indicated in percentage

• Equity – It is referred as the quantity of shares owned by a company

• Bid – It is the maximum money that a buyer is willing to pay

• Ask price – It is the lowest amount that a seller is willing to accept for a stock

• Exchange – It is the common marketplace where trading assets or securities are traded. Every country has one or more stock exchanges that keeps a record of all the stocks available

• Bull and Bear Market – This indicates the prevailing trend in the market. When the price of stocks is increasing, the trend is upward and is known as bull market, while when the price is falling, the trend is decreasing and the market is called as bear market

Trading Analysis by Pro Traders

There are many tools and techniques used by pro traders to ensure that they achieve profit and less loss. This includes fundamental analysis and technical analysis Nasdaq in Delhi. Though both are completely different strategies but many use them in combination with each other. To have a successful career in trading, you must foremost have your goal set in the right direction. The next step is to maintain the consistency while trading and try to do one trade at a time to prevent complexities. Don’t take trading decision based on your emotions and neither get drown by the emotions, as losses in this particular business is bound to happen at some point of time. Avoiding risky trades is important for those new in the business as the hard-earned money is at stake. Overtrading in a hope to get huge profit is considered risky as it may incur more loss than profit.

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Created on Aug 30th 2022 01:03. Viewed 91 times.

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