STOCK TRADING AND INVESTING

There are two types of players operating in the stock market. The Stock Traders and the Investors.

Stock Traders 

Stock traders usually try to profit from short-term price volatility with trades lasting anywhere from several seconds to several weeks. They use several different types of stock trading strategies or approaches including day trading, trend following, market making, scalping (trading), momentum trading, trading the news, and arbitrage.

Traders face  considerably high level of risk, uncertainty and complexity. There are  unwise and inexperienced stock traders/investors who seek an easy way to make money quickly. They are mostly gullible beings led to the market by success stories, greed of magical profits and curiosity.The markets are difficult to predict and it requires a lot of study ,patience and luck to be succesful trader.

Besides losing money on the , trading activities are not free. Stock speculators/investors face several costs such as commissions, taxes and fees to be paid for the brokerage and other services, like the buying/selling orders placed at the stock exchange. Depending on the nature of each national or state legislation involved, a large array of fiscal obligations must be respected, and taxes are charged by jurisdictions over those transactions, dividends and capital gains that fall within their scope. However, these fiscal obligations will vary from jurisdiction to jurisdiction

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