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How do stocks work?

Updated: 9/27/2023
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13y ago

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how stocks work... well you buy a share of something when it isn't doing very good (let's say Dow Jones Industrial Average) because it is at a lower price and therefore cheaper to you. You can then either keep the stocks if you think they will do better so that you can sell them for a higher price (they're worth more if they do better) or if you think that they're going to tank you should sell them before they do so you lose very little money or none at all. Although stocks could tank or rise at any second so it's kind of hard to determine what they will do sometimes.

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13y ago
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9y ago

Stocks are traded in the capital markets. You can buy and sell your stocks at will depending on the advice you get from stock brokers who analyze various stock trends.

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