Understand trading in very simple language for beginners

In very simple language trading is process of buying and selling financial instrument like , stocks, currencies , commodities and crypto currency with expectations of profit.

That's all trading defination is.

Now, trading have types only based on time.

# How many types of trading have based on time ?

= 3 types 

• Short term trading / day trading.

∆.short term trading refers to short time period from 1 minutes to 1 day or we can say that , short term trading involves buying and selling within short time frame in this we  make trade plans for one day . 

Using strategy like scalping and Intraday.

1. Intraday trading.

° Intraday trading refers to buying and selling within the same trading day it can  take anywhere time  between 1 minutes to 6 hours for completing the trade.

2 . Scalping / scalp trading.

° scalping refers to very short time frame like trades for 1 minutes to  10 minutes and making profit in small price movment in the  market.

• Mid - term trading / Swing trading.

∆.mid term trading is basically holding of financial instrument ( stock,etf , commodities, forex and crypto)  form 1 week to 2 - 3 months. 

IT is also called swing trading.

• Long term trading / Position trading.

∆ . Long term trading refers to holding  financial instrument ( stock etc ) for few months to 1 year.

IT is also called position trading.

∆ Option where we can do trading. 

This are some examples .

Stocks 

Commodities 

Currencies.

Crypto currency.

Etc.

This part is only introduction of trading  for beginners in next we learn how to start trading.

Important note : trading is not gambling so do not jump in directly without knowledge first learn then earn , if you try to be oversmart then you loose your capital.