How do i play the stock market? serious question?
Question:
what's the smallest amount i should put on stock?
how should i even set up my account with fidelity?
if i loose money, that's more than what i have, how do i pay for it?
once a profit is made, do i take some of the money out for safe keeping and continue to trade?
does someone from fidelity choose your stock and do i get the full percent of my profit?
there's nasdaq and other stocks, are those certain branches that hold different stocks?
I really need help in making money, i understand that this is not a quick fix but i am a quick learner and i would appreciate someone's positive advice. thanks to all who comment!
Answer:
Ok, this is going to sound harsh, but you sound just like I did 5 years ago.
What ever you do DO NOT buy any stocks or bonds and my god stay away from futures and options. You don't stand a chance at making money--yet.
Stock trading is extremely tricky and is not intuitive. It does not matter how quick of a learner you are, "playing" the market is a good way to give people like me all your money.
Advice: Nothing, absolutely nothing has ever changed in the history of investing. There was a book written in 1934 by Benjamin Graham and David Dodd titled "Security Analysis." Its still in print. It's 700 pages long but worth every page. If you understand that book you'll make money.
Read the Wall Street Journal. You can't beat that paper.
Watch The Nightly Business Report on PBS. It's no nonsense.
Stay away from CNN, CNBC and any other cable station except maybe Bloomberg, and don't listen to the anchors, listen to the people they interview.
If you must buy stocks look on yahoo.com/finance and look for stocks that have beta's near 1. Those are safe. You won't make money but you will likely earn a decent return over the YEARS.
On the other hand you may get lucky. The first thing you should know is you must, you MUST, accept the risk if you want the return. If you want a large return you must accept a large risk. Over the last decade investors, especially home/real estate investors, have been fooled by the seemingly unlimited returns at very limited risk. The risk is catching up to them and they are feeling the pressure in thier home equity and 401(k)'s.
You could just "play" the penny stocks and hope one hits. I think that's what you should do. Right now you'll just lose more money then you have.
Good luck in the future. America needs more people like you.
go to the fidelity site and print the application, send it in with your deposit, then go online and buy and sell whateve stocks you want
to make money get a job with a 401k, to lose money "play" the market
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