Stock Trading Practice Exam

Stock trading is the practice of buying and selling of shares in companies at stock exchanges or OTC (over-the-counter) markets. The practice involves making profits from price fluctuations by understanding of market trends, financial analysis, and economic factors. The practice can be short-term (or day trading) or long-term (or investment).
Certification in Stock Trading attests to your skills and knowledge in trading strategies, technical and fundamental analysis, and risk management. This certification assess you in trading and financial markets.
Why is Stock Trading certification important?

• The certification certifies your skills and knowledge of stock market operations and trading strategies.
• Enhances your credibility for roles in financial markets and investment firms.
• Attests to your knowledge of market analysis and risk management.
• Validates your practical skills required for making informed trading decisions.
• Boosts your career opportunities in stockbroking, asset management, and trading.
• Ensures your understanding of compliance, regulations, and ethical trading practices.

Who should take the Stock Trading Exam?

• Stock Trader
• Equity Analyst
• Financial Advisor
• Portfolio Manager
• Investment Analyst
• Risk Manager
• Stockbroker
• Wealth Manager

Skills Evaluated

Candidates taking the certification exam on the Stock Trading is evaluated for the following skills:

• Understanding of stock market operations and trading platforms.
• Proficiency in technical and fundamental analysis.
• Knowledge of trading strategies and portfolio management.
• Risk assessment and mitigation techniques.
• Familiarity with market trends and economic indicators.
• Compliance with trading regulations and ethical practices.
• Decision-making and problem-solving under market pressure.

Stock Trading Certification Course Outline
The course outline for Stock Trading certification is as below -

Domain 1. Basics of Stock Markets

• Types of markets (primary and secondary)

• Stock exchanges and their functions

Domain 2. Market Instruments

• Equity shares, derivatives, ETFs, and mutual funds

• Bonds and other fixed-income securities

Domain 3. Technical Analysis

• Chart patterns and indicators

• Trend analysis and volume studies

Domain 4. Fundamental Analysis

• Financial statement analysis

• Key ratios and economic indicators

Domain 5. Trading Strategies

• Day trading, swing trading, and positional trading

• Hedging and arbitrage strategies

Domain 6. Understanding Risk Management

• Identify and address market risks

• Stop-loss strategies
• Portfolio diversification

Domain 7. Understanding Market Rules

• Trading rules
  

• Ethics
• Insider Trading
  

Domain 8. Advanced Concepts

• Algorithmic and high-frequency trading

• Options and futures trading