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15 Key Stock Trading Terms you Must Know - Part 2

8 Jan 2016 | 13:00PM

Here are a few more commonly used terms of the share market.


“to buy” means to take a position – or, to buy shares – in a company.


- Conversely, means getting rid of the shares purchased


: is a basket of shares usually held by a person or a fund.


- A bid is what Dinesh is willing to pay for a stock.


- Ask, on the other hand, is what people selling stocks are looking to get for their shares.

Limit order

- When placing a limit order to trade in shares, Dinesh can set the exact price he is willing to pay for the stock.

Market order

- It is an order that an investor makes through a broker or brokerage service to buy or sell an investment immediately at the best available current price. It’s also referred to as an "unrestricted order."

Day trading

Day Trading or Intraday Trading is speculation in securities, specifically buying and selling financial instruments within the same trading day.

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