Stock Market for Beginners

Since the markets are closed today in observance of Presidents day, I thought I would give some tips of how to get into and get yourself prepared to trade.

1st thing I did was get a good book on charting,( you can google info) get definitions of different charting tools and how they are suppose to work, I will not recommend any one specific because they are many good books, what I would recommend is don't buy one that is selling their specific system. Get one that talks about all the different charting tools and the different chart formations, along with support and resistance information. This will give you a good idea of what the world of charting stocks is all about.

2nd thing , START CHARTING(Freestockcharts.com is a very good site and its FREE) different stocks, apply some of the information that you researched, you will start to notice trends. Start out simple using moving averages(really that is all I use today) I do recommend the 13 day and 21 day exponential moving averages. Add some different tools and get use to the terminology. ALSO JOIN IN ON BLOGS LIKE THIS. It is a great way to talk and converse with everyday traders who will give you honest answers and share their experiences with you. Everyone can gain by doing this whether your a beginner or a more experienced trader. Remember you never quit learning!!

3rd Thing, Start to look at different discount brokerages. There are many good ones out there. I happen to like Scottrade it is only $7.00 per trade and it gives me the tools I am looking for, again do your own research on these. With most of them you can set up a practice trading account they will put play money in and you would trade with them as if it were real. This is a big help because it gets you use to how to place a trade correctly.

How Do I fund My Account When I have no Extra Money? This may be simpler than you think. Most discount brokers want somewhere around $500.00 to get started. You can start out by just sending them money when you have extra and use this time to practice while you are building up to meet their minimum amount to actually start trading. I started out with $2000.00 in my account. I got extra money from selling things I no longer used or wanted on ebay . You can have a garage sale( I used this method as well). See there are many ways to fund your account when you are ready to start trading REAL MONEY.

I hope you found this helpful, if you have any questions I would be happy to answer them, just send me a post. Until next time...

Happy Charting