| Learn. The best way to understand any language is | | | | negative publicity maybe some of the factors for |
| to learn its vocabulary and the same applies to any | | | | such a situation, but selling the company's shares |
| business. If you are planning to invest in stocks and | | | | during bears is quite often. However, devising short |
| the news and tips you come across are | | | | selling technique may also lead to purchase of share |
| non-understandable, then there is a need to mug up | | | | during bears.o Broker or broking firm: a person or firm |
| the stock market terms. It is tough to make trade in | | | | acting as a catalyst for trading in stocks between a |
| stocks without those terms. Few of the common | | | | trader and stock market is called a broker or broking |
| stock market terms are as follows:o Sensex: the | | | | firm. They charge for the acting as mediator and let |
| index that represents the direction of the companies | | | | a person trade in stocks. With a change in time and |
| traded on stock exchange, the word sensex comes | | | | increase in competition there are many services being |
| from the sensitive index being traded. Basically, it | | | | provided by brokers. Apart from providing tips and |
| counts the movements in the prices of shares listed | | | | advices, brokers are providing the facilities of |
| in it.o Stock exchange: it is the trading unit where all | | | | portfolio management and even investing on behalf |
| the companies who posses share are listed. Though, | | | | of the client. Each broker and company has its own |
| stock exchange itself is a market but because of the | | | | charge of brokerage, though this charge may |
| technological advances, it can be listed on computer | | | | differentiate on the basis of services availed.o Day |
| screens from where most of the traders trade in | | | | trading: it is a term that is used for the shares trading |
| stocks.o Bull: this is the most common term that a | | | | with in a day. The shares are not retained by the |
| trader comes across. To cut short, bull is an investor | | | | trader for more than one day and purchased and |
| that buys a company's share in the expectation to | | | | sold in one day. The broking charges for day trading |
| have a price hike. In other words, when a company's | | | | are comparatively less than any other investment, |
| share is facing a hike in prices, it tends to be bull. | | | | but, being traded in short duration, the frequent |
| Though, there are many factors that contribute in | | | | financial news has tremendous effects on stock's |
| the bull of a share like merger etc, but the buying of | | | | price.o Delivery: stock carried for more than one day |
| share is a significant feature of a bull.o Bear: it is the | | | | tends to be a delivery stock. Any stock traded on |
| counterpart of Bull. The share when start falling is | | | | futures contact is referred to as trading on a delivery |
| called a beer situation. Again, the factors like losses, | | | | basis. |