Introduction to Trading
1. Introduction to Trading Trading is one of the oldest economic activities in human history. It began with barter systems where people exchanged goods and services. Today, trading has evolved into a global financial activity involving stocks, currencies, commodities, and digital assets. The core idea remains buying and selling to generate profit or fulfill needs. 2. Basic Concept of Trading Trading involves purchasing an asset at one price and selling it at another price. The profit comes from the difference between buying and selling prices. However, market prices constantly change due to various economic and psychological factors. 3. Financial Markets Trading occurs in organized financial markets where buyers and sellers interact. These include stock markets, commodity markets, forex markets, and cryptocurrency markets. Each market operates differently but follows the same principle of exchange. 4. Stock Market Trading In stock markets, traders buy and sell shares of...