This is a contributor’s blogpost …
With the massive potential for profits, countless people are attracted to the prospect of trading stocks. However, many who are attracted to the idea end up rushing in without much preparation, wind up getting burned, and lose their money unnecessarily. Like anything, becoming a great investor takes practice, trial and error. Having said that, there are many ways you can learn about trading stocks to give yourself the best start possible…
Open a Broker Account
No, we’re not saying that you should rush right into stock trading, invest a large sum of money, and play fast and loose with it. However, taking the first step and opening an account with a good broker can be an excellent way to start your learning curve. You can compare the features, pros and cons of different accounts on sites such as www.giocareinborsa.com to figure out the kind of broker account that would suit you best. Open an account, and start getting used to the layout and functions of it all. You should also take advantage of any of the free tools and research that the broker offers to clients. Some will give you access to a virtual trading platform, which you can use to trade with play money, and build up experience before you risk a penny of your hard-earned capital.
Start Following the Market
You may not be a trader yet, but there are still all kinds of resources at your disposal you can use to track the ups and downs of the market, and understand the various factors that can affect the way the stocks of certain industries fluctuate. Google Finance is a good channel to check out for complete novices, but as you learn more and begin to need more in-depth coverage, the only news channel you need to worry about is the Wall Street Journal. Getting a hold of quotes and fundamental data can also be a great way to learn about how the market moves.
Read Some Books
Seen as you’re attracted to the fast-paced world of trading on the stock market, you may not exactly be a bookworm. However, there are countless books out there which budding traders can benefit from, many offering step-by-step tutorials that will help you make great strides towards your long-term goals. Furthermore, they’re much more affordable, and often more dependable than all the classes and seminars you’ll see advertised online. You can read about some of the most well-reputed stock trading books at www.huffingtonpost.com.
Study the Big Names
Again, like any skill, you can learn a lot about trading stock by studying the people who are universally considered greats. This will provide masses of inspiration, perspective, and appreciation for the work it takes to make your money grow through the stock market. Benjamin Graham, Warren Buffett, and George Soros are just a few of the big names you should be reading up on. Just make sure you’re not modelling your habits on just one trader. The most successful stock traders always made a point to do something differently!