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    All Forums | Investments

    Thinking about getting on on the Stock Market

    icemantbi
    claycourtlesson
    whereismyhat
    Participants:
    Search
    Views: 96
    Posts: 5
     
    icemantbi
    icemantbi
    Legend
    Participation Meter
    Joined: Sep, 2007
    Posts: 35639
    Posted: Sep. 22, 2008 - 3:35 PM ET #1

    Been a frequent reader of the investment forum here and it has piqued my interest.  Thinking about trying out the stock market a bit.  Was looking around at the various brokerage firms like E-trade and Scottrade, and seems pretty straightforward.  So, my questions are:
     
    1.  How big of a bankroll would one need?  Would $5,000 to $10,000 do for starters?
     
    2.  What exactly is the process of trading stocks?  Is it like Matchbook, where you put in an order for so many stocks at a certain price, and then wait for it to get matched?
     
    3.  If a certain stock takes a beating, is it easy to get rid of it?  Or if no one wants to buy it, would I have to take a beating?
     
    4.  Shorting stocks.  I know the process to do it, but everyone says it's extremely risky.  Now, I heard about the emergency order from SEC to halt all shorting on Financials.  I'm assuming that anyone who had short positions on financials before the order are taking a sever ass beating?
     
    Sorry if these sound simplistic, just looking for some starting point.
    Reply
    To remove first post, remove entire topic.
    Been a frequent reader of the investment forum here and it has piqued my interest.  Thinking about trying out the stock market a bit.  Was looking around at the various brokerage firms like E-trade and Scottrade, and seems pretty straightforward.  So, my questions are:
     
    1.  How big of a bankroll would one need?  Would $5,000 to $10,000 do for starters?
     
    2.  What exactly is the process of trading stocks?  Is it like Matchbook, where you put in an order for so many stocks at a certain price, and then wait for it to get matched?
     
    3.  If a certain stock takes a beating, is it easy to get rid of it?  Or if no one wants to buy it, would I have to take a beating?
     
    4.  Shorting stocks.  I know the process to do it, but everyone says it's extremely risky.  Now, I heard about the emergency order from SEC to halt all shorting on Financials.  I'm assuming that anyone who had short positions on financials before the order are taking a sever ass beating?
     
    Sorry if these sound simplistic, just looking for some starting point.
     
    claycourtlesson
    claycourtlesson
    All-Star
    Participation Meter
    Joined: Jan, 2006
    Posts: 14917
    Posted: Sep. 22, 2008 - 3:40 PM ET #2

    Ice-
     
    My advice is to stay away from "trading."  It literally takes YEARS AND YEARS of hard knocks to understand short term movements and how to game them.  In that time, 5-10 gees will go up in smoke.
     
    If you're new to stock market, stick with mutual funds that emphasize foreign investments and commodities.  The USA is on the forget forever list with the latest round of bailout packages that are going to get rammed down the taxpayers' throats by the fascists in DC.
     
    If I were you, I'd stick to the hottie in your avatar and forget this stuff.
    Reply
    Ice-
     
    My advice is to stay away from "trading."  It literally takes YEARS AND YEARS of hard knocks to understand short term movements and how to game them.  In that time, 5-10 gees will go up in smoke.
     
    If you're new to stock market, stick with mutual funds that emphasize foreign investments and commodities.  The USA is on the forget forever list with the latest round of bailout packages that are going to get rammed down the taxpayers' throats by the fascists in DC.
     
    If I were you, I'd stick to the hottie in your avatar and forget this stuff.
     
    icemantbi
    icemantbi
    Legend
    Participation Meter
    Joined: Sep, 2007
    Posts: 35639
    Posted: Sep. 22, 2008 - 3:48 PM ET #3

    Yeah, you are probably right clay.  These online brokerage sites make it look so damn easy though.  And it seems so damn easy too.  Simply buy a stock, wait for it to rise, get out, collect cash.  Or short a stock, watch it go down, get out collect cash.  But I don't like how the SEC can control the stock market, seems like they can change the rules on the fly, like the no short order.  I'd be pissed if I was short on financials, and the SEC passes an order like that and I'd take a beating.  It's like if I make a bet on a team early in the week and find out the QB is injured and the sportsbook won't let me buy the other side to get out of it.
     
    I guess I'm just fascinated by the stock market.
    Reply
    Yeah, you are probably right clay.  These online brokerage sites make it look so damn easy though.  And it seems so damn easy too.  Simply buy a stock, wait for it to rise, get out, collect cash.  Or short a stock, watch it go down, get out collect cash.  But I don't like how the SEC can control the stock market, seems like they can change the rules on the fly, like the no short order.  I'd be pissed if I was short on financials, and the SEC passes an order like that and I'd take a beating.  It's like if I make a bet on a team early in the week and find out the QB is injured and the sportsbook won't let me buy the other side to get out of it.
     
    I guess I'm just fascinated by the stock market.
     
    claycourtlesson
    claycourtlesson
    All-Star
    Participation Meter
    Joined: Jan, 2006
    Posts: 14917
    Posted: Sep. 22, 2008 - 3:56 PM ET #4

    Ice-
     
    It just takes a long time to understand how this machine works.  It is certainly possible to make money as "the little guy" but no way is it going to be massive money.  In other words, keep your day job and just use this stock market stuff as an income supplement.
     
    Read as many books as you can find on stock "trading."  Read every one of them.  Some are better than others, but all of them can help you.  Next would be to just "paper trade" for at least enough time to feel it taught you something.  And then when ready to ante up and play for real, rule number 1 in "trading" is to use stops.
     
    You can make money, but forget it being HUGE money.  Keep your day job.
    Reply
    Ice-
     
    It just takes a long time to understand how this machine works.  It is certainly possible to make money as "the little guy" but no way is it going to be massive money.  In other words, keep your day job and just use this stock market stuff as an income supplement.
     
    Read as many books as you can find on stock "trading."  Read every one of them.  Some are better than others, but all of them can help you.  Next would be to just "paper trade" for at least enough time to feel it taught you something.  And then when ready to ante up and play for real, rule number 1 in "trading" is to use stops.
     
    You can make money, but forget it being HUGE money.  Keep your day job.
     
     
    whereismyhat
    whereismyhat
    MVP
    Participation Meter
    Joined: Oct, 2005
    Posts: 16136
    Posted: Sep. 23, 2008 - 10:57 PM ET #5

    Ice-
     
    I love her right titty in that picture
     
    It's just begging to show
    Reply
    Ice-
     
    I love her right titty in that picture
     
    It's just begging to show
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