Things to know about the stock market
What is a share in the stock market?
The stock market is all about trading the shares of the companies. Among the corporations out there, there will be some companies listed in the stock exchanges after their approval as a public company. These companies will issue their ownership in the form of shares to the public. People could invest their money to buy these shares to their capacity. As the price will fluctuate in the market due to various reasons, one could see profits and losses during the trades of these shares. Each share will have a specific price set by the national board of regulation of stocks based on the company’s financials.
What to know about a stock quote?
A 股票報價 is a decimal indication with some wordings that could let the investors know the various information about a particular stock listed in the exchange. You will see a decimal number in either green or red color. This number is the current price of the share in the market. If it is green, it has increased. Else, it has decreased from the previous day’s price. Also, there will be mentions about the previous day’s closing price, the current day’s starting price, the maximum and minimum value of the share during the current day and the last year. You will get all the necessary information required to decide to buy the stock with the help of a stock quote. There are several websites and applications where you could see this quote. If you know how to look at the stock quotes, you can make better decisions in the stock market.
What are dividends?
As we know, buying the shares of a company is like being a part-owner of the institution. So, you would get a portion of the company’s profit if the management likes it. This issue will be in the form of dividends. Some publicly listed companies will wish to provide a small portion of their annual profits back to their shareholders. If your company does so, you can get the amount in proportion to your holdings.
What is meant by an order in the stock market?
Let us assume that you are about to buy a share. Once you click on the buy option on your brokerage application, an order will be placed in the stock exchange. Likewise, an order can represent the action of selling your shares also. Once the order is executed, you will get the shares or the amount credited to your brokerage account. There are some advanced options when you place an order in your application. You can choose the type of order, either delivery or intraday. If you go for a delivery order, your shares will not have any validity or limitations to sell. You can hold them as much as you want and sell them later. However, intraday traders are something different that will ask you to sell them off within the closure of the current day.