Sean asked in Business & FinanceInvesting · 7 years ago

I'm 21 just started learning about the stock market?

I'm reading the book "The New Buffettology".

Where can I learn more about the stock market and stocks? I'm in school studying as well. How can I practice buying stocks or something like that.

Someone with a lot of info and background history please reply! I want to get an internship as well!

Thanks - future CEO

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  • 7 years ago
    Best Answer

    First of all, congratulations!

    Doing what you've done so far is fantastic!

    I'll give you a couple of sources to get started with.

    You just need to learn a few ways to invest and continue applying the discipline you've got.

    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 in the long run! 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!

    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.

    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 as is tmitchell.com

    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.

    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!

  • Anonymous
    7 years ago

    Dear future CEO,

    Reading is always a really good way to build a foundation knowledge base for investing in the market, but the greatest learning experiences are always real world experiences. I started by creating a free account on Morningstar.com and editing "my portfolio" with the imaginary stock positions i wanted to take. Its a really good website also because you can view how your holdings are doing from their app, which makes everything easier.

    Another great website to go to is wallstreetsurvivor.com, which gives you way more of a guiding and learning experience than morningstar, which just gives you basic monitoring tools. This website is also really good because you can take short positions, simulating hedge fund management.

    getting back to the reading portion, i recommend stock investing and trading for dummies, both are a great way to start understanding technical analysis and other means for you to understand the stock market. Once you become a little more advanced, you should read finance theory books like : The Most Important Thing: Uncommon Sense for the Thoughtful Investor, by Howard Marks. I am reading that one now and it is really interesting. Anyway, i wish you the best of luck!

    Source(s): Kiplingers Guide to investing success (book) Stock Investing for Dummies (book) The Most Important thing (book) Accounting I & II (college courses) Managing a $10,000 portfolio (5 + years) Wall Street (Movie, 1987)
  • 7 years ago

    Here's some other books, most of which would be alot better than what you are currently reading.

    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

    Trading for a Living, by Alexander Elder

    Uncover the Secret Hiding Places of Stock Market Profits by Joel Greenblatt.

    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

    Websites that can provide instructions and help with procedures and terminology are Investopedia - http://www.investopedia.com/ http://www.investorshub.com/ and 1 Source for Stocks - http://www.1source4stocks.com/info/stock-analyst-o... or Smart Money

    http://www.smartmoney.com/

    Visit some of the more professional websites like Zacks Research - http://www.zacks.com/ Schaeffer’s http://www.schaeffersresearch.com/ Investors Business Daily - http://www.investors.com/default.htm?fromad=1

    Some of these web sites will have advertisers who are worth looking into also. And remember, if they offer free information, get it.

    When you think you want to invest/trade, try some paper trading to test your skills without spending you money http://simulatorinvestopedia.com/ http://www.moneyworks4me.com/

    and/or http://www.tradingsimulation.com/

    Good luck, study hard and you'll invest even better

    Source(s): from the street
  • Anonymous
    5 years ago

    the best trading software http://tradingsolution.info

    i have attended a lot of seminars, read counless books on forex trading and it all cost me thousands of dollars. the worst thing was i blew up my first account. after that i opened another account and the same thing happened again. i started to wonder why i couldn,t make any money in forex trading. at first i thought i knew everything about trading. finally i found that the main problem i have was i did not have the right mental in trading. as we know that psychology has great impact on our trading result. apart from psychology issue, there is another problem that we have to address. they are money management, market analysis, and entry/exit rules. to me money management is important in trading. i opened another account and start to trade profitably after i learnt from my past mistake. i don't trade emotionally anymore.

    if you are serious about trading you need to address your weakness and try to fix it. no forex guru can make you Professional trader unless you want to learn from your mistake.

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  • 7 years ago

    Invest in your house by paying it off.

  • 7 years ago

    If you Google "investing" you will get "About 277,000,000 results."

  • 7 years ago

    Good for you, keep reading.

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