The market for buying and selling of company stocks at a determined price is called the stock market.
All of these stocks are registered at stock exchange facilities.
Companies create stocks so as to raise financial support from the public through helping them partake in the growth of the company.
Shares can go up when the company is doing well and generating good profits.
Generally, many people are attracted in investing in stocks with prices that are bound to go up.
Thus, one has to keep an eye and learn about the growth patterns of the company that he has chosen to invest in.
When investing, you also have to pay attention to stocks that are likely to provide good dividends or the stocks that seems to develop at remarkable rates.
If you, as the investor sense that the price of the stock is more likely to fall, then you can choose to sell your share.
Meanwhile, the stock brokers are agencies or people who assist investors with the buying and selling of shares.
Needless to say, these stock brokers are well-versed about the most up-to-date trend as well as the saga of the stock market and this is the core of investing in stock market.
In any case, the biggest drawback of stock investing is its low down leverage.
Other kinds of trading like Forex trading have higher leverage compared to stock market trading.
What's more, short selling of stocks is difficult since a lot of time is required before the stocks can grow and start to generate revenues.
Also, in stock trading, there is no assurance for a steady income and a lot of people just wind up throwing away all their money in the hope to gain unlimited income.
Although, there are these disadvantages, one should still consider engaging in stock market business as it can really be lucrative provided that you play your cards right and take time to learn everything about it before finally starting out.