Introduction
Trading involves buying or selling securities such as stocks, bonds, currencies and commodities and investing, in contrast, involves buying and holding for a period of time. Success in trading depends on the trader's ability to be profitable over time. Trading simply means the process of buying and selling securities to earn money from day-to-day price changes.
1 What is trading?
Generally the term trading is used to earn money by buying and selling securities.
1 Trading vs Investing
Trading refers to buying and selling of securities while investing refers to the buy and hold strategy.
1 Terminology to understand candlesticks:-
1. Support
Support is the level at which demand is strongest, at which demand is strong enough to prevent the stock from falling.
2. Resistance
Resistance is the opposite of support. Prices move higher because demand exceeds supply. There comes a time when the desire to sell. buy more
It may outweigh your wishes. There could be a number of reasons behind this, such as the trader deciding the prices are too high or their goals have been reached.
3. Bearish
“Bearish” means that you believe a market asset or financial instrument is likely to move in a downward direction. Being “bearish” is the opposite of “bullish,” which means you believe the market will move up. 4. Bullish
"Bullish" means the possibility of an upward trend in the value of a market, asset or financial instrument. Being bullish means increasing buying in the market, which is called "going long" in order to make a profit by selling it in the future after the price goes up.
5. Window
• “Window” means the time during which a company's securities are traded. All days are trading periods, not just when the trading window is closed.
6. Bear
A "bear" is an investor who believes that a particular security or trading market is moving in a downtrend and may attempt to profit from a decline in the stock's price. "Bares" generally have a negative view of a given market situation.
7. Bull
A "bull" is an investor who believes that a particular security or trading market is going in an uptrend and wants to profit from a rise in the stock's price.
Can try. "Bulls" generally have a positive outlook about a given market situation.
8. Trend
"Trend" refers to the direction in which the market or the price of an asset is increasing or decreasing. In technical analysis, traders identify trendlines or price action. There are two types of trends: uptrend and downtrend.
9. Uptrend
An uptrend describes the direction in which a stock's price is rising. This continues until the value of the stocks increases from its previous value.
10. Downtrend
A downtrend describes the direction in which a stock's value is decreasing. This continues until the stock's value is lower than its previous value.
