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You enter your credentials on Steam directly, and they are not shared with the third party.
The correct course of action for anyone wanting to use their Steam account to log into another site is to go directly to Steam first. Log in as usual. Now as long as you are logged into Steam, if you are asked to use your Steam account to log in elsewhere it should be just a simple Sign On button. Nothing more. If you're still being asked for login credentials then it's a good chance you are being phished.
There is nothing stopping a 3rd party website from switching out Steam's actual login screen with their own whenever they want.
If you do not want to trade one by one, by far the quicker way would be by buying them in the marketplace, Steam cut and all.