Trading refers to the buying and selling of financial instruments—such as stocks, bonds, commodities, currencies, and derivatives—with the aim of generating profits from price fluctuations. This activity is fundamental to financial markets, providing liquidity, enabling price discovery, and facilitating efficient capital allocation. EN.WIKIPEDIA.ORG Types of Traders: Institutional Traders: These include entities like insurance companies, hedge funds, and mutual funds that trade large volumes of securities on behalf of clients or for their own portfolios. Retail Traders: Individual investors who buy and sell securities for personal accounts, often using online brokerage platforms. Market Makers: Firms or individuals that provide liquidity by continuously offering to buy and sell securities, profiting from the bid-ask spread. Trading Strategies: Day Trading: Involves buying and selling securities within the same trading day, aiming to capitalize on short-term price movements. Swi...
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