Baskadia

What is trade?

Trade is a fundamental concept in economics that involves the buying and selling of valuables. It may be goods and services for which the buyer pays some compensation to the seller. In other cases, trade may involve the exchange of goods and services between parties to a transaction.

In the context of financial markets, the assets traded are called financial instruments. They can be stocks, bonds, Forex currency pairs, options, futures, leveraged products, cryptocurrencies, and other instruments. If some of the terms on this list are unfamiliar to you, that's okay - we'll explain to them as we go.

The term "trading" is usually used to refer to short-term trading, where traders actively open and close positions over relatively short periods. However, this definition is somewhat misleading. In fact, trading can refer to a wide range of different strategies such as day trading, swing trading, trend trading, etc. But don't worry. We'll look at these strategies in more detail later.

What is investing?

Investing is an investment of resources (e.g., capital) with the expectation of making a profit. It includes using money to finance and start a business or buying land to resell it later at a higher price. In the context of financial markets, it usually means investing in financial instruments with the expectation of selling them later at a higher price.

The key concept in investing is returns on the n investment (also known as ROI). Unlike trading, investing takes a longer-term approach to wealth accumulation. An investor's goal is to accumulate wealth over a long period, (years or even decades). There are many ways to do this, but usually, the search for potentially good investment opportunities starts with fundamentals.

The long-term nature of the strategy allows investors not to worry about temporary price fluctuations. They tend to behave relatively passively and don't pay much attention to 

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