What is stock market?

Stock market or a stock exchange is a collection or aggregation of buyers and sellers. More or less all the traders are connected in some manner to each other. Since when trading is done, a stock or a derivative (futures or options) is either bought or sold. So when somebody is buying, someone else is selling.

Thereby the loose connection between all traders whether private or brokers or investment firms A stock exchange is a place or organization by which stock traders (people and companies) can trade stocks. Companies may want to get their stock listed on a stock exchange. Other stocks may be traded "over the counter", that is, through a dealer. A large company will usually have its stock listed on many exchanges across the world. Trade in stock markets means the transfer for money of a stock or security from a seller to a buyer. This requires these two parties to agree on a price. Equities (Stocks or shares) confer an ownership interest in a particular company. Participants in the stock market range from small individual stock investors to larger traders investors, who can be based anywhere in the world. A potential buyer bids a specific price for a stock, and a potential seller asks a specific price for the same stock. Buying or selling at market means you will accept any ask price or bid price for the stock, respectively. When the bid and ask prices match, a sale takes place, on a first-come-first-served basis if there are multiple bidders or askers at a given price.