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What is trading – The basics you need to know

Trading is scary.
And it’s not enough to try to light a lamp for it to go away. Even if there is a lot of light, trading is going to be there… chasing you… because more and more people are opting for this way to earn a living professionally or to get some extra income at the end of the month.

But now seriously, What is Trading?
Trading is the process of buying and selling various financial instruments in a global and decentralised market. -It’s scary, so you don’t understand anything.

In other words, trading consists of buying and selling a series of assets that have a certain value in order to make a profit. These assets can be shares, cryptocurrencies, stock indices, commodities and currencies.
Each of these financial instruments has different characteristics and conditions, and although most of them have a global reach, some of them can only be found on the stock exchange of a specific country, for example, the Spanish Ibex35.

As a result, trading has become one of the most popular ways to make money from home. But if you have never traded before, it can be difficult to know where to start.
Stock trading, for example, involves working with a broker, which would be the platform that collects your buy and sell requests, and where you can see their stock values in real time.

Here we have prepared a blog so that you can find out more about brokers and what they are all about:

Every asset has a way of behaving, so studying them before working with them is the best possible idea.
Knowing how to read charts is the most fundamental task that a trader must perform. For this there are courses and classes on Technical Market Analysis that we recommend you to take if you are starting from scratch. (Basic BPT course)[(

Now that you know what trading is all about, here’s why it’s an option you should consider.

What you need to know before you start: Trading has its risks.
Trading has its risks. They are usually high investment trades.
Let’s say you have decided to sell a stock that has risen sharply in price and you need to make a profit. To do this, you need to identify a buyer who will pay more than the current price of your shares.
You then need to decide whether to sell their shares on a particular day, for how long and at what price.
This information must be taken from your chart readings, and knowing how to answer these questions is crucial:

What asset are you going to trade?

How many assets are you going to buy or sell?

When are you going to buy and/or sell them?

Why are you going to do it?

What do you hope to achieve with this transaction?

If you are just starting out, you will probably be very nervous, so it is important to remember that trading can be very exciting once you get used to it. You should also be aware that not everyone has to trade full time, although many traders do.
A great advantage of trading is that you can dedicate the hours that fit into your lifestyle. There are mothers who can only spend 2 hours a day trading, and earn extra income to take their children on holiday. There are traders who were civil servants until trading became their profession, as is the case of Francisca Serrano, director of Trading y Bolsa para torpes.

As long as you can profit from trading on a regular basis, it allows you to enjoy what is really a hobby, a very different feeling to the one most people get from their work. The opportunities are endless. Do you have enough time?

Do you want to learn how to invest in the stock market and make money?
Trading and Stock Market for Dummies is an investment course for beginners that teaches you how to invest safely using BPT strategies.
The courses are taught by industry professionals who will guide you step-by-step through all phases of the investment process.

Study from anywhere and at any time. It’s time to change your life! It’s time to change your life!

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