Introduction
Recently there is a huge rush in the stock market industry. Stock market is a place where the shares of different companies are traded. The value of these shares depends on the present situation of the company. People do buy the shares when the shares of the company fall down by certain amount. Then they sell those shares again when there is an increase in the value of the shares. Thus in this way profit is made out with stock market. Stock market is predominantly dominated by investors of different kind, businessmen’s, bank officials etc.
Trading
Nowadays almost all the countries have a stock exchange of their own that is the national stock exchange. There are numerous stock brokers available in the market who deals with the stocks of the clients. They normally buy and sell the stock for their clients on their behalf. In return they charge a percentage of amounts from their clients. Stock market is one of the busiest places available in the world. Here the seller sets a price for his commodity’s shares and then the buyer bids for the same commodity and then it is sold. Normally brokers used to deal with stock earlier, but now due to invention of online trading the scenario has changed. Now the people can do the online trading sitting back at their home. They can see the happenings of the stock market 24x7 on their computer screen. This process has an extra advantage i.e in this process the seller does not have to deal with the commissions of the broker. NASDAQ is the exchange where all the online trading is been controlled. It is a part of New York Stock Exchange. Trading of shares via computer is also known as program trading. There are many types of investors who take part in the trading process. These are the individual investors, retail investors and the trade corporations. There is a high risk of downfall in the values of the shares in case of the retail investors.
Behavior
Stock market is the basic place where the organizations can make a good amount of capital through selling its shares. This market deals with stock and is the representation of the strength of the company. The behavior of the stock market is predictable in most of the times. The prices of the shares of the companies can be understood by the news about the happenings of the companies. There are ups and downs in the stock market all the times. Normally there is a crash in the stock market when there is a huge decrease in the value of most of the shares. This period is called as the recession period.
Conclusion
Thus the scenario of the stock market is described in a nutshell. In some cases the people not having personal share make profits with stock of the others. This is been done by the process of short selling or margin buying. The process of handling with the stocks in the time of recession is the main concern for the traders. Nowadays with the recent developments dealing with stock has become easier.
