The subtle differences between trading and investing have been debated for a very long time. Intuitively, trading refers to the short term while investing refers to the long term. To understand what trading and investment are, you first need to understand what they are not.
A trader does not focus too much on fundamentals or long-term value of the company in question. The focus of the trader is more on short-term opportunities. An investor, on the other hand, is more of a long-term player who identifies stocks that are quoting below their intrinsic value, invests in them and waits patiently for the results. He does not worry too much about short-term noise surrounding the stockā€¦