Stock Trading: What It Is and How It Works
Stock trading involves buying and selling shares in public companies — called stocks — to try to make money. You may earn a profit by selling stocks for more than you paid for them.
What is stock trading?
Stock traders watch the short-term price changes of stocks closely, and then they try to buy low and sell high. This short-term approach sets stock traders apart from traditional stock market investors, who are generally in it for the long haul.
Most investors are best served by putting their portfolio in long-term, well-diversified investments like index or mutual funds. But if you have extra cash and you want to want to learn how to start trading, online brokerages have made it possible to trade stocks quickly from your computer…
