A stock trader is a person or a company which work in the jobs related to trading equity securities, these persons and companies are also known as equity trader and share trader. There are many kinds of these person, they can be stockbrokers, arbitrageur, speculators, investors and hedgers. They can work as individual persons or work in groups and companies; they invest money on many things related to equity securities which will be offering probable profitable returns for the invested money, in the form of interest, appreciation in value or income. The hold or sale the money or the shares according to nature of the economical environment or according to the assumptions of the people, who are running the economy of the world. This is a very risky and complicated business because no one can predicts in which way the market or the economy is going and no one can find out before time that what is going to happen, people can only assume things, but their assumption can go wrong with a very small change or happening in the world and it can ruin everything. No one has a power to hold back the regulation or prevent the irregulation of the economy.
Stock speculators are usually categorize as stoke traders in they invest in the market, the reason for this can be because people’s mind have set in that way, the stock traders on the other hand are the people who buy equity from the stock market according to their capacity. Stock speculators normally work in small time periods and work on small term profits; they will hold their stocks for seconds to weeks. These people are also known as full time or part time traders or investors and also work in other businesses too. They also work as advisers and managers and tell their clients when and how to manage their equity. He can be an individual investor or an employee of bank or a corporation. They also work to find other investors for corporations to invest in the businesses if a company is in need. There are many strategies that are helping these professionals such as trend following, market making, momentum trading, scalping, day trading and trading the news.
On the other hand stock purchasers are those people who purchase stocks of companies or corporations and hold them for long period of time, it time can be increase from months to years. These can be considered as the partners of the corporations in which they have invested. This type of trading increased its value in 1080s to 1090 when traders decline the value of short time trading. But the rate of this trading came down very fast in 2001 to 2003 because of the equity bear market, and that was the time when people start investing again in small time trading.