Trading, in its simplest form, is the exchange of goods, services, or financial instruments with the goal of making a profit. It involves buying and selling assets, such as stocks, currencies, bonds, and commodities, over a short period. This can involve taking on risk, using leverage, and understanding market volatility to capitalize on price movements. The goal is to profit from the difference between the purchase price and the selling price#trade #TradersAnalysis #trading

📈 Market Basics

Stock – A share in the ownership of a company.

Bond – A debt security issued by corporations or governments.

ETF (Exchange-Traded Fund) – A fund that holds a basket of assets and trades on stock exchanges.

Index – A statistical measure of the performance of a group of stocks.

Dividend – A portion of a company's earnings distributed to shareholders.

Yield – The income return on an investment, typically expressed as a percentage.

Market Capitalization – The total market value of a company's outstanding shares.

Liquidity – The ease with which an asset can be bought or sold without affecting its price.

Volatility – The degree of variation of a trading price series over time.

Blue Chip – Stocks of well-established companies known for their reliability.#TrendingTopic