Trading is basically referred to buying and selling ofsecurities or commodities on short term basis, with the motive to make quick profits. Or you may say that every action that is performed by traders and other market agents in the financial markets is calledtrading. And the particular market which is used for this buying and selling process is called Market.
Generally the word trading comes from trade that means exchange of goods and services. In ancient days, People used to exchange their goods and services with same valued goods and services to fulfill their needs. That was also trading and was actually termed as barter system. Later, with the evolution of money, the exchange became easier as people pay money and get goods or services.
Time has changed that barter system is trading. Now people trade to gain profit. Different financial things are now involved is such transaction. A huge number of people are trading on daily basis. They come in the market, buy and sell their commodities and securities, and earn profit.
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