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Types of Day Trading Stocks
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Common stock
Preferred stock
As the name might suggest, common stock represents the majority of stock held by the public. When you own this type of stock, you have voting rights, along with the right to share in dividends from the particular company. When you hear or read about stocks moving up or down, it always refers to common stock.
Companies that issue preferred stocks usually pay consistent dividends and preferred stock holders have first dibs.
On the current stock market, you can buy or sell shares from most publicly traded companies when ever the markets are open. As a day trader, however, you are likely to be concerned with common stocks rather than preferred stocks, because common stocks are the more volatile, and thus are more likely to produce activity for day traders.
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