I don't know even the basics like what a share is or trading is. Where can I learn? Is there a website? I just bought Stock Investing for Dummies but I need to know the basics first.
2007-03-02 08:50:22 · 11 answers · asked by Kitkat 1 in Business & Finance ➔ Investing
Congratulations on getting started. It’ll help you more than you know!
Your first dollars should be spent on getting educated on investing. You don't have to train to trade them professionally, but we are talking about your future here. So the more you learn, the more it'll help you! So let's start there.
You ask a very broad question, so be prepared for a pretty long answer. Just take it in chunks!
How to invest depends on what you already know. We'll assume that you're beginning since you say you are!
A good primer is How to Make Money in Stocks by William O'Neil. You can get it cheap just about anywhere. It’s widely available new or used. You can read that after the Investing for dummies, but I wouldn't necessarily follow any strategies in the I4D book. I'd use the I4D book more for terms and to better understand how the markets work.
Another good one is one of Jim Cramer's books like Real Money (he’s got a few).
But books will only get you so far. At some point, you'll also want to get at least a little training. There are some great education companies if you want to make the investment. Investools.com or optionetics.com are both very good companies.
For free, you can start by visiting thestreet.com and investopedia.com. That'll get you a pretty good primer so at least you'll understand what the markets are and what a stock is, etc.
If you get a chance, watch Mad Money on CNBC. Don't trade any of his picks until you track many of them over time. Just use the show to get you to understand some basics and get a feel for the market itself. He's great at breaking things down.
Next, subscribe to something like Investorsbusiness daily or something like that that can help you identify good stocks.
Once you understand stocks, go to 888options.com. It's a website that'll help you understand options (what they do, how they work, etc). You don't need to trade them, but the more you know, the more you'll see how options can really be the safest way to invest (once you're educated).
For discipline (which is crucial to successful trading), probably Trading in the Zone by Mark Douglas or Mastering the Trade by John Carter
I know that’s a LOT to absorb. Just take it one step at a time for now. Start with a book or two to give you an idea of where to begin. Take your time, and let it seep in.
As you get up to speed, you should papertrade to practice (highly recommended). This should help reduce your losses in the beginning as you get used to buying/selling.
You can practice for free on almost any reputable broker site (optionsxpress, scottrade, thinkorswim, etc). And yes, you can definitely deal easily online.
Start slow, then as you figure things out, you can buy more shares.
Congrats again on getting started. If you have any questions, please let me know.
Hope this helps!
2007-03-02 09:27:33 · answer #1 · answered by Yada Yada Yada 7 · 1⤊ 0⤋
If you read the book it tells you what a share is I know because I read it. It is a great book if you would like some glossary terms try this site http://biz.yahoo.com/f/g/ss.html also you may want to set up account with online broker. I use Trade King. By doing this you can see first hand what they are talking about when they say bid and ask prices etc... When you set up your account you don't have to fund it untill you understand every thing do not set up a margin account that means you can borrow money for more technical trades but I would start off for first 5 years in basics.Also if you email me at franksprung@yahoo.com I will send you right to Trade King to set up account I get 50 for referal but they are the best I have found for online trading. If you do this I will help you a bit on understanding the basics.
2007-03-02 17:17:10 · answer #2 · answered by franksprung 3 · 0⤊ 0⤋
The more you learn does not help you at all. No knowledge needed to begin only the will to do so. Index funds & the like can be bought without research & that is what you should buy. This mania for "reading up" just causes people to never start. ADX PEO, an S&P 500 index fund. Don't waste time - start today!
2007-03-02 17:54:00 · answer #3 · answered by vegas_iwish 5 · 0⤊ 0⤋
Contact your local college and enroll in a basic investing course there. Many colleges will let you audit the class for a nominal fee (less than 50.00 I'm pretty sure).
These Fundamentals of Investing classes will teach you the fundamentals of investing, risk and the financial markets...if your lucky its taught by a PhD in Finance but more likely a MS in Finance (Graduate Asst...he/she is working on Finance PhD).
Best 50.00 you will ever spend and it will introduce you to the world and tools/techniques that the pros use
2007-03-02 17:24:38 · answer #4 · answered by jw 4 · 0⤊ 0⤋
Start reading the book "Understanding Wall Street" and I suggest you take some stock trading classes at your community schools as they are very inexpensive. Learn technical analysis very well before trading.
Good luck.
2007-03-02 18:12:29 · answer #5 · answered by Anonymous · 0⤊ 0⤋
looks like you just need some really basic info before you crack that book open.
a share: is partial ownership of a company. companies sell shares of their company on stock markets.
a trade: is the buying or selling of shares.
that's all you really need before you read.
2007-03-02 17:47:11 · answer #6 · answered by jhshin2 1 · 0⤊ 0⤋
Best book is "How to Buy Stocks"
2007-03-02 16:54:08 · answer #7 · answered by frnchfries2000 4 · 0⤊ 0⤋
Open a brokerage account at Zecco.
I will help you for FREE.
Top 3 Answerer.
2007-03-03 00:59:37 · answer #8 · answered by Anonymous · 0⤊ 1⤋
CNN has a tutorial on all kinds of financial topics, including stocks. http://money.cnn.com/magazines/moneymag/money101/
2007-03-02 17:14:15 · answer #9 · answered by Dave W 6 · 0⤊ 0⤋
For terms you don't know the meaning of, go to
www.investopedia.com/ (no space) university/beginner/ or
www.investorwords.com
2007-03-02 16:55:21 · answer #10 · answered by gosh137 6 · 0⤊ 0⤋