Join Date: Oct 2010
Location: Inglewood, CA
Quoted: 677 Post(s)
Total Points: 99,001,365,055,548,976.00
Originally Posted by akScoundrel
Id suggest instead of buying/selling stocks, look at trading 'options'. Basicallyy with options, you control the stock without having to pay for the stock in full, only a fraction of the stock price, and reap all the benefits. You can trade 'call options' or 'put options'....in other words you are betting on the stock going up (call) or going down (put). Technical analysis is huge for this, and there is alot to learn in that regard.
Theres alot to learn period, but this is where id start for you. Learning about call and put options, stop losses, and most importantly technical analysis.
Note: especially starting out, you WILL take losses. Hell, even if youre great at trading, youll still take losses. The key is to minimize the size of your losses(stop losses are very helpful) and maximise the size of your gains.
*basically a stop loss is a tool to help prevent you from losing too much ina losing trade. For simplicitys sake lets say you bought control of a stock for 10 dollars, and you are betting on the stock going up (call). You would set your stop loss at seven or 8, whayever you want. If the stock goes down, as soon as it hits that stop loss number itll sell the stock off, preventing you from losing too much in a losing trade. Takes alot of finesse, especially considering we are in a very volatile market.
Thanks man, I will definitely do my research before doing anything lol.