Interested in Trading? First understand the Meaning, Types, and the Plus-minus!
Interested in Trading? First understand the Meaning, Types, and the Plus-minus!

Interested in Trading? First understand the Meaning, Types, and the Plus-minus!

Posted on– Reported by Investopedia, trading in general is the concept of economic base which includes the activities of buying and selling goods and services

Advantages of trading activity obtained from the compensation paid by a buyer in the seller, or the exchange of goods or services between two parties.

Trading is not only can be done with people from the same country, but also in so-called global with international trade

International trade market offers competition is fierce.

This also resulted in the creation of a more competitive price.

In the concept of financial trading refers to the process of buying and selling securities, for example stock.

In addition, trading is also often done in the futures market and the foreign exchange market or what is commonly called forex (foreign exchange).

Many people try trading for extra income because the profit is quite tempting.

Types Of Trading

There are several types of the popular trading is done instigators of the financial world, namely:

1. Forex Trading

Forex Trading is trading in foreign currency exchange rates.

As we know, the value of the foreign currency is always up and down every few certain time.

To do type trading forex, you can exchange the money at the money changer directly or online by depositing a certain amount of money first.

Profit from forex trading depends on the value of the foreign currency exchange the currency with which we want.

For example, if I buy 10 dollars today, we have to pay Rp14.000.

When we trade it in time to come, could be the value of 10 dollars current exchange it back into rupiah to Rp15.000.

Well, it can be seen that the advantage is Rp10.000.

Types Trading forex is considered one of the great profit. However, the risk is also quite heavy.

2. Trading stock

Be careful, don’t get confused between stock trading and stock investing.

Both indeed contain the word stock, but the concept is different. Investopedia even call both of them are very different things.

Stock Trading is the activity of buying and selling shares within a certain period of time, usually quite short.

Meanwhile, stock investing can be summed up as the activity of “saving” to profit from the purchase of stock for the long term.

To trade stocks, what you need to do is between the sell or buy when the price fluctuations.

Your decision should be just right to get the capital gain or profit margins, especially when stock prices are soaring high

3. Trading binary

Just like other trading, the activity of trading binary was not separated from the buy.

However, trading is considered very risky though it can also generate huge profits.

Often times, binary trading is a fraud.

Usually, the trading of this type are found in the transaction gambling horse race or a football match.

To do this trading, we have to define the target and risking a certain amount of money.

If the target is reached, there will be a great advantage obtained.

But, if you miss, you will experience losses.

4. Gold Trading

Gold Trading can not be equated with buying and selling, investment, and saving gold.

How to working of gold investment is not much different with forex trading and stock, only objects that are traded in the form of gold.

Gold Trading can be done through a broker.

It is important to monitor the price of the U.S. dollar if you choose trading of this type. This is because fluctuations in the price of gold is affected by the value of the dollar and the economic conditions of the United States.

5. Bitcoin Trading

Since the advent of some time ago, bitcoin trading is one of the alternative trading latest.

Objects in trading this type of course of bitcoin.

Purchases of bitcoin can be performed with the rupiah currency.

Don’t worry, to be able to trade bitcoin, we do not always need big capital.

Important, please monitor the rise and fall of bitcoin price so can make the right decision.

After viewing its kind, Glints want to know, dong..

You most interested in trading, what?
Forex Stock Binary Trading gold Bitcoin
Trading Profits
Trading is often considered to be beneficial because of several things, among which is the:

  1. Flexible

    Trading is preferred because no matter whenever and wherever you are, this can be done the origin of the lack of access to the internet.

In addition, trading is not the activity that is time-consuming, so it can be done on the sidelines of the service without disturbing the main priority.

  1. Practical

    Thanks to today’s technology, you can access the broker trading online.

Not only that, there are also auto trading so as to facilitate the trading process.

Monitor the price fluctuations and the determination of the price of buying and selling trading is no longer difficult with such features.

  1. The cost is affordable, and secure data

    Despite the advantages he had promised large, it does not mean large capital is needed to start trading.

Some online brokers do not charge the cost of making an account and charge commissions and spreads are not expensive.

In addition, by selecting an online broker that is reliable, you don’t need to worry about the security of personal data must be included to start trading.

  1. Demo account for beginners

    If still in doubt and confused about trading, you can start by trying the demo accounts also provide information and guidance trading strategy.

The Risk Of Trading

In addition to the advantages, of course there are a few things to watch out for a trader:

  1. A large Deposit

    Some service broker trading can indeed be accessed without a big expense, and trading can be started from a small amount.

However, there is also a trading broker that requires us to save a deposit in the amount of the big.

It brings a huge profit, but also losses that could not be underestimated.

If you intend to trading, you should be brave to face the risk because there is no institution or institutions that guarantee deposits.

  1. Error selecting a broker

    When looking for an online broker, we select the wrong.

There are many brokers to choose from online, there are hundreds to thousands.

They offer different excellence.

Traders especially the beginners should really be careful and do your research before choosing to do trading with a broker so as not to lose.

Also read: Explore the Type of Investment, Find the Most Suitable for You
Trading is an activity that can be done to gain the advantages when the spare time.

But, it can be concluded from the explanations Glints in this article that need extra caution so as not to experience things that are not desirable when trading.

To get tips more about the world of trading, you can visit the canal personal finance in Glints Community.

In there, there are thousands of users who are experienced in trading can give advice, especially for beginners.

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