Question:
How can I get started in the stock market?
?
2010-12-27 09:05:50 UTC
I would like to start investing in the stock market, but I don't know exactly where to begin. Are there any guides that can expain the stock market to me from the ground up? Also, how can I get an online brockage account setup for little or no money?
Twelve answers:
2010-12-27 12:52:06 UTC
The first thing you need to know is that most beginners lose money. Most people rush in to trading looking for easy money without really knowing what they are doing.



Try virtual trading before you risk real cash.



Virtual trading will let you see if you can make money and will give you the knowledge and experience that you need to become successful without risking your savings first.



You will learn a lot and you will still have your start up fund in the bank until you know you can make money from trading.
2015-01-24 13:02:21 UTC
Penny stocks are loosely categorized companies with share prices of below $5 and with market caps of under $200 million. They are sometimes referred to as "the slot machines of the equity market" because of the money involved. There may be a good place for penny stocks in the portfolio of an experienced, advanced investor, however, if you follow this guide you will learn the most efficient strategies https://tr.im/c8109
gts747
2010-12-27 09:45:41 UTC
Start with Benjamin Graham's books.



Understand Mr. Market before getting into all the other smoke screens and legal stealing that are common in the stock markets.
?
2010-12-27 16:52:19 UTC
So you say you want to learn how to invest in the stock market.



Education is the key ingredient. Read all you can get your hands on about investing and the stock market. Knowledge is power, so become an educated invest before making your first buy.



You could start here: www.investopedia.com



I recommend a starter book called “The only investment guide you’ll ever need” by Andrew Tobias http://en.wikipedia.org/wiki/The_Only_Investment_Guide_You%27ll_Ever_Need



If you want to become a member, this is another good Organization to learn from: www.betterinvesting.org



Your next task is to figure out 4 things.



The amount of risk you’re willing to take?

No risk, Low risk, Medium risk

You get the picture.



What kind of investor do you want to be?

Saver, Speculator or Specialist



How long to want to invest?

Day trader, Short term, Long term or Life long



What do you want to invest in?

Stocks, Bonds, Coins, Precious metals, Money Market, Real Estate,Etc.



There are different styles of investing so learn them all and then pick the one that suits your risk tolerance and tastes.



I chose to be a Dividend Investor. I do reinvest my dividends and that buys me more stock. Since I’m in it for a life time I do not let the roller coaster ride of the stock market influence my decision to sell. I have set up an excel spread sheet of stocks that I have considered to buy and loaded them on to a portfolio on yahoo finance. When I copy and paste the current prices into spread sheet my excel spread sheet tell me when to buy, hold, or sell. It does this by the criteria that I set up in the formulas I created in my spread sheet. I research all the companies before they go my spread sheet.
A nobody
2010-12-27 13:09:27 UTC
Before you enter into any transaction, you should first know what you’re doing, why you are doing it and how to do it and the rules relating to what you are doing.



Before you invest in any security, the first investment you should make is in yourself, and the best investment you can make is by educating yourself.



Start your education by learning why you should invest and the importance of being able to make your own decisions or how the pro’s make theirs.



Here is some reading material that can get you started in the right direction,

Beating the Street by Peter Lynch

Bulls Make Money, Bears Make Money, Pigs Get Slaughtered, by Gallea

From Riches to Rags, by I.C. Freeley

Millionaire Traders, Lein & Schlosberg

How to Make Money in Stocks” by William O’Neil

24 Essential Lessons for Investment Success by William O’Neil

The Intelligent Investor, by Benjamin Graham

Common Stocks, Uncommon Profits, by Philip A. Fisher

One Up on Wall Street by Peter Lynch

Stocks for the Long Run, by Jeremy Siegel

The Interpretation of Financial Statements by Benjamin Graham

Trading for a Living, by Alexander Elder

What Works on Wall Street by James O'Shaunessey

You Can Be a Stock Market Genius by Joel Greenblatt

Your Money and Your Brain by Jason Zweig



Get into the habit of making daily visits to some websites like MSN Money and Yahoo Finance. (http://moneycentral.msn.com/home.asp , http://finance.yahoo.com/ . While at MSN following the strategy lab analysts to get a feel for what the pros are doing and why. This site has some basic information for beginners. If any site offers free information, take it.



Other website that can provide instructions and help with procedures and terminology are Investopedia - http://www.investopedia.com/ Stock Charts - http://stockcharts.com/, http://www.investorshub.com/ http://www.1source4stocks.com/, http://www.tradingstocksguide.com/tradin…



Visit some of the more professional websites like Zacks - http://www.zacks.com/ Smart Money - http://www.smartmoney.com/ Schaeffer’s http://www.schaeffersresearch.com/ Some of these web sites will have advertisers who are worth looking into also. And remember, if they offer free information, get it.



Attend all the free seminars you can, just be careful and don’t get pressured into anything you really don’t want or need. Most schools offer courses in finance and economics, but very few will have courses on the mechanics of the investment markets, if they do try taking the course. You may want to consider on-line courses, the New York Institute of Finance use to have such courses. Try to get some fee information from the stocks exchanges they all have (had) free booklets, SIAC and some of the regulators (FINRA SEC MSRB CBOE) may provide some free literature.



You at least have made the right decision to start investing, this is the first big step and it won’t be your last. Keep taking those steps forward and along the way never take the advice from people that are not in the market or try to tell you not to invest.



Good luck on your journey
2010-12-29 04:39:19 UTC
You can get started in the stock market by searching for a reliable company whose shares you can buy. You can do the search on internet for this regard. You can also go for spread betting to get larger profits with less capital. There are several sites available for you to compare different spread betting companies. Comparison is very necessary to get the best prices in market. But you should be prepared to lose large money as high risk is involved in it.
2016-03-01 02:03:53 UTC
I would not invest in single stocks, I would invest in Exchange Traded Funds, or Mutual Funds. A good book that will give you overall financial advice is "The Millionaire Next Door". It is very easy to read.
2010-12-27 12:02:13 UTC
To Start Investing

It takes a long time to learn the stock market and for someone that wants to start investing in the market needs to decide what risk level he wants to take. CDs backed up by the government has about 3-4% annual return for the long term with a low risk. Bonds or Bonds Funds has about 5-7% annual return for the long term with a medium risk. Stocks or Stock Mutual Funds has about 8-10% annual return for the long term with a high risk and are more volatile than Bonds. Usually the more risk you take, the more return you will have, but not always. To see the Return vs Risk go to: http://i1223.photobucket.com/albums/dd520/jjmarcantell/RiskvsReturn.jpg If you can't see the Return vs Risk table, let me know and I will send it another way. The stock market is basally made up of stocks and bonds. Investment managers pick a group of stocks to make a mutual fund or a group of bonds to make a bond fund. They even put a mixture of stocks and bonds together and call it Growth & Income Fund.



1- Mutual Funds: I like mutual funds because they have a group of stocks, could be around 100+, invested in different sectors, and manage by a professional. Managers have lots of schooling for investing in stocks, around 8 years. So I think managers can pick stocks better than me. There are lots of different kinds of mutual funds that does not charge any fees to buy it's shares and they are called Noload Funds. There are also some funds called Load Funds that charge 5% of your investment. But what I don't like is the fact that most funds has trading restricting and you may not be able to trade more than 4 times a year. That's because it makes it hard for the fund to make a good return if there is to much trading in the fund, causing the fund manager to make more buys and sells. Mutual funds are meant for long term investors.

2- Stocks: Stocks is more volatile than funds unless you spread you money in about ten different sectors and know witch sector will do best. And stock trading restricting is only a few days and that's something that I like. If you own stocks, you need to keep up with all the company's business so you don't get stuck with a bad stock.

3- ETFs (Exchange Traded Funds): ETFs are like a mutual fund but trades like a stock and that is my main reason why I like ETFs. There are some ETFs that represents Index's. An Index is like S&P or DOW. Index's operate just like a mutual fund with a group of stocks in deferent sectors, manage by professionals. You can't buy Index's because they are not for sell. A company owns them. But you can buy a mutual funds or an ETF that has the same stocks as the Index they represent. There are a lots of different kinds of ETFs for someone to choose from. Some have 1x leverage, some have 2x leverage, and some has 3x leverage. There are some that represent almost every kind of sector.



You can find several good brokers that charge $8.00 and under, per stock trade and no fee on Noload Funds. Most broker websites have good research tools. Some popular broker websites are Fidelity, TD Ameritrade, E-trade, Scottrade and others. I think you need a min. of $500 (some sites $2,000) to open a broker account.



If you want more info, click my picture and read About Me.
traderbobhn
2010-12-27 09:25:19 UTC
If you want to begin as a trader, you should first invest some money in educating yourself in technical analysis trading. Start by reading books. I would recommend two authors: Van Tharp and Alexander Elder. Subscribe to a magazine called Technical Analysis of Stocks and Commodities. Spend a year or two educating yourself before you place your first trade. Watch CNBC or Bloomberg TV to get used to the flow. Make some paper trades. Then get some money you are willing to loose and jump right in. You may spend some time making mistakes and loosing money. After a while, if you can make it through all that, you can make it.

Yes, some people are naturals, most are not. Its hard work at first. After a while, you'll find a trading style that fits your personality and you might find success.
2014-10-09 19:44:01 UTC
That's what my friend Nathan Gold uses as the starting point of a stunning 5-step "trade-wave" that he's just added to his already popular website.



http://penny-stock.keysolve.net



Nathan shows you how that lowly $1000 could potentially grow into an amazing 7-figure retirement nest egg that you simply have to see with your own eyes.
2010-12-28 21:13:58 UTC
Systematic monthly investment in index funds (iShares, Vanguard, etc) are the best and least risky investments if you are young or middle-aged, and therefore have a long-term investment horizon, such as 30 years (which all people, except those within 5 years of retirement, should have). This strategy is called “smart money” because it requires no thought and yet makes you automatically rich over time, based on historical market returns which no mutual fund manager can consistently beat, but which bank owner-voters, and related entrepreneurs, can beat.



As such, to become a bank owner-voter, and related entrepreneur (called the smartest of smart money), I suggest you join Strategic International Systems (a Yahoo Group) at the source below, having the following mission (but which requires no money):



1. To gather people into separate Group Web Sites of 65,000 Members (which group, tribe, or clan can span the globe), and thus enable each Group (or tribe) to make 256 Group Store Selections (of global franchise stores such as Wal-Mart, Coke, etc, within 5 miles of their home, wherever that may be). How? Using Yahoo Group Polls to make those Group Store Selections.



2. To use those 256 Group Store Selections to earn 3-25% free Sales Commissions (plus lower prices), in the hundreds of millions annually for each 65,000 Members (or tribe), on their Individual Product Purchases using today's free Store Key Cards (combined into 1 SIS Card).



3. To use those hundreds of millions in free Sales Commissions to invest in Marketable Securities (like Wal-Mart, Coke, etc) who's tens of millions in Investment Income can only be used to train each Purchasing Power Army to become the Marketing, Engineering, Science, and Administrative Workers needed to create their own Group Bank of 65,000 Members (again, spanning the globe of their tribe).



4. To use the resulting hundreds of billions in Business Loans from their “new” Group Bank to build an ultra-efficient-and-luxurious Neighborhood Design (anywhere, such as Orlando, FL, for tourists and your tribe), over 15 years, as described at www.VictoryCities.com (at 1/6 the size shown).



Why? Because executing this process will give each Member financial independence over a 30-year enlistment in SIS (or other such similar site); that is, as (1) 50%-controlling Bank Owner-Voters and (2) 50%-controlling Business Owner-Voters according to each Member's 1 of 12 Levels of Experience and Education (or Rank) as defined in the Enlistment Document.



Note, all ranks are easily achieved, by anyone, as a result of online study and testing, but each Member must become what’s legally called a “sophisticated investor”, over time, in order to become a Bank & Business Owner-Voter (and not just because the law requires it, but because it’s what the smartest of the smart money does).



Therefore, if each new Member, such as yourself, gathers 3 more new Members who each join SIS (or other similar such site) within a week (given your friendly encouragement), then your Purchasing Power Army of 65,000 Members (or tribe) will be created in just 10 weeks, and thus begin earning free Sales Commissions (plus lower prices) on your 256 Group Store Selections to begin the formation of your “new” Group Bank of 65,000 Members.



Why? Because a Purchasing Power Army of 65,000 Members is inherently valuable to any and all sellers, worldwide, if those Members make 256 Group Store Selections, and therefore from whom no money is needed -- ever -- to make them financially independent over a 30 year enlistment in SIS (or other similar such site).



Many thanks, and may the power of trust and truth (or TNT) be within you...sincerely,

Eric Atkinson

Strategic International Systems LLC
2010-12-27 09:09:38 UTC
Please get that thinking out of your head

the market is just plain stealing


This content was originally posted on Y! Answers, a Q&A website that shut down in 2021.
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