[PDF] What is trading in the stock market, advantages and disadvantages


What is trading – As you all know that in today’s era, if anything is being given the most importance, then it is earning money, and nowadays everyone wants to become immortal by earning money in their way so that they can fulfil all their needs. To fulfil desires, it is said that money is not everything, but with this changing era, we come to know that almost money is everything, that’s why everyone seems to be everything these days, let’s get away from this. Let’s move toward our today’s topic.

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What is Trading


Trading simply means selling and buying, now the question comes to your mind that everything is bought and sold, yes, it means that trading happens everywhere, but there is another place where companies’ Shares are bought and sold, which is known as the stock market.

Share market, it is said that the share market is such a market where one can either be completely ruined in a moment or can become rich in one go, it is said that it is a gamble, so in today’s In article, we will know what is the stock market?

There are two types of trading-

  1. Short-Term Trading – Intraday, swing, and options trading are done in the short term.
  2. Long-Term Trading – Delivery and positional trading is done in the long term.

Apart from these two, scalping trading, algo trading, margin trading, and auspicious trading are also done. Out of all these, Intraday Trading, Swing Trading, and Options Trading are the most popular.

Note – Read our next article to know in detail about all the trading names mentioned above, I have described them in detail, and with this, you will be able to get complete information about all these things.

In the stock market, profit is earned by buying the shares of any company at low prices and selling them at high prices, but trading is not only done in shares but also the commodity market and Forex market.

  • Gold, Silver, and Crude oil are traded in the commodity market.
  • Currencies in the Forex market such as; Rupees, Dollars, Pound are traded.

The stock market is very popular in today’s era, because nowadays everyone wants to become rich very quickly by earning money from it, and in this hurry, many people suffer huge losses, let us tell you about its disadvantages and advantages. I will explain in detail.

If you also want to make money in the stock market and want to avoid loss, then read this article carefully, because if you want that do not to have any big loss, then first get complete information about it, so that You can invest money thoughtfully, and complete information about it is given below, you should read and understand this information carefully.

Advantage of Trading

  • You don’t have to be highly educated to do trading, anyone with less education can also do trading.
  • In intraday trading, profit or loss is made immediately, there is no need to wait much for its result.
  • You do not need to wait much time by investing money, you can withdraw your money whenever you want.
  • You can also do trading as a part-time extra income along with your job and business.
  • In this, you get more interest (15% – 20%) than other investments.
  • There is no limit to investing money in this, working less or more.
  • And it is a regulated market, it is regulated by SEBI.

Disadvantage of Trading

  • Here if you invest money without any analysis or any information, then you are more likely to have a big loss.
  • Even in a hurry to make more money in one go, you may have to face big losses.
  • And here many people consider it a gamble and try their luck and invest without thinking, which can also lead to a big loss.
  • And many people invest their money by listening to others (which is called tip in market language), without thinking
  • anything and then they have to face a big loss.

As I have told you the advantages and disadvantages of trading, then you will understand what you have to do and how to do it, do not make any mistake in investing your hard-earned money.

You always have to trade thoughtfully and with complete analysis and before trading it is important to understand what and how trading is done, if you trade thoughtfully then you can earn a good profit if you do intraday If you do trading then you neither need much money nor much time. And trading is so easy that it can be done by a less educated person, businessman, housewife, or anyone else, just need to learn it. Keep in mind that trading is as easy and profitable as it is risky and harmful, even a small mistake of yours can drown you. So never do trading just to try your luck, first understand it, follow its rules and discipline, and then start trading.

I hope that you have understood the information given to me well, if you find any deficiency or error in this information, then you can comment or mail it, and if you like it, then share it with yourself. And do share with your family so that they too can collect savings for themselves by learning about trading and investing their money in the right place.

NOTE: – If you have thought that you are going to do trading, then we have given below the PDF of that book which book you need to learn, you can learn trading very easily by reading this book, given below Download the pdf and read carefully.


Disclaimer:- We are not the owner or owner of the pdf given by us, if you have any problem with this pdf, you can mail us, if you have any problem, this pdf will be removed from here.

Mail – official.byjusnotes@gmail.com

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