There are different markets: food, auto, flea, well in general a lot of different markets. There is also a stock market.

It sounds cool: world financial markets! In fact it is a simple gray market (not even a shop with counters) where a lot of people want or buy something cheaper and to sell it more expensive. There are more similarity to the gray market. Here scurry a quick gentlemen in caps. Want they to sell something or buy at first glance it is not clear. But if you want to buy a pleasing goods they are at once right by you. Without them there is nothing you can to buy or to sell. These people are called brokers. They act as intermediaries in the sale. For the fact that the goods pass from one hand to another the broker takes a fee. Both as sellers and as buyers have to pay to the broker. Such is the business of these comrades.

And just as in life among brokers occur unfair people. After buying a stock or currency you really want to have it. But is it not so easy! You can get only a nice-looking piece of paper or in more modern version only numbers on the screen. It doesn't have a real value. To really bought something the transaction must be indicated on the stock exchange (clearing). There all orders are recorded and if desired you can be found your purchase in these recordings. In fact the broker can do nothing for you and do not transfer your transaction outside his office. This is especially the case in the currency market Forex but other markets too are not immune from this. In this case you trade only with your broker and if will give you the right time your money back is not so simple question. However in fact they have no risk. Since most people (estimates vary from 80 to 97 percent) are losing money in the market.

Does have stock a price? It appears that stock doesn't have a price and it is formed from offers of buyers and sellers. If are more buyers and sellers then more trades and are fighting for every cent. Such goods are called volatility. You can buy or sell them at any time without a financial loss. Trade of exotic goods goes slowly. The difference between the price of the sale and purchase (spread) is high. If you ever bought exotic things and want it sell you should find buyers: they may not be or they offer a ridiculous price. At this moment you think that is better not to sell because suddenly something could changed? As you understand there is also a wide field for fraud.

If you bought the wrong stocks and then sold it right now then your losses will be determined by the spread. Plus also added various commissions. For simplicity we assume that the broker charges an amount you for the execution of the transaction. In fact this price is made up of many parameters.

A person who has chosen choose not a simple matter such as trade stocks called the trader. He is every day at the market and knows the price of stock, brokers, also is what the price will steadily rise or fall. This smooth price movement is called a trend. In general the trader is not an easy life full of anxiety and sleepless nights. In addition it is necessary to guess (calculate, intuition) how price will be for a particular asset which in itself is not an easy task. Also requires take into account all overhead costs. In addition to the spread and broker fees add a monthly payment for the trading platform and quotations from the markets.

The best traders (those few percent who earn) used trading system or algorithms.