- Purpose: To explain the basics of how stock markets function and equip readers with the foundational knowledge needed to understand stock market movements.
- How to Expand:
- Stock Exchanges: Detail how major stock exchanges (like the NYSE or NASDAQ) work, who operates them, and how trading occurs.
- Market Participants: Introduce various players in the market—individual investors, institutional investors, and market makers.
- Stock Prices: Explain what causes stock prices to fluctuate (e.g., supply and demand, company performance, and market sentiment).
- Types of Orders: Describe how different types of buy and sell orders work (e.g., market orders, limit orders, stop orders) and when to use each.