How the stock market works?
A stock market is a platform to buy and sell stocks.
The stock quotes are decided by demand and supply.
Stock markets used to be market place where a group of buyers and sellers used to gather together and express the willingness to buy/sell a stock at a willing price. Whenever the two match a deal took place.
With the advent of IT, now the stock markets have become almost paperless. Now you open a trading account with a broker, transfer the requisite amount and you can start trading in stocks from home.
A stock market is a market place for trading shares of
public companies and related financial products
The price at which a stock trades at that moment depends on the demand supply for that particular stock.Usually stock prices move as per company’s financial performance.
The price movements are also influenced by the country’s policies towards business in general, industry in particular.
The demand also varies depending on the change in company policies, management, decisions like dividends, bonus, rights, stock splits etc.
As there are so many factors influencing the price of a stock, markets are highly volatile. The investment in stocks is a high risk, high gain domain.
A careful study of a country’s economy, prospects of a particular industry and the company in particular before investing may give rich rewards.
A stock market is a platform to buy and sell stocks.
The stock quotes are decided by demand and supply.
Stock markets used to be market place where a group of buyers and sellers used to gather together and express the willingness to buy/sell a stock at a willing price. Whenever the two match a deal took place.
With the advent of IT, now the stock markets have become almost paperless. Now you open a trading account with a broker, transfer the requisite amount and you can start trading in stocks from home.
A stock market is a market place for trading shares of
public companies and related financial products
The price at which a stock trades at that moment depends on the demand supply for that particular stock.Usually stock prices move as per company’s financial performance.
The price movements are also influenced by the country’s policies towards business in general, industry in particular.
The demand also varies depending on the change in company policies, management, decisions like dividends, bonus, rights, stock splits etc.
As there are so many factors influencing the price of a stock, markets are highly volatile. The investment in stocks is a high risk, high gain domain.
A careful study of a country’s economy, prospects of a particular industry and the company in particular before investing may give rich rewards.