backyardagain
Well-Known Member
so i have a little bit of money that i would like to throw into stock, or penny stock. something i can get a somewhat fast return.
how to get into stocks?
- Thread starter backyardagain
- Start date
backyardagain
Well-Known Member
no but i guess if i do somemore reaserch i could. not personally but find a good one.
backyardagain
Well-Known Member
i have a buddy that does stock. but hes a little stubborn bastard sometimes. he said he would help me get started just find out what i want to buy from stock.
bioWheel
Well-Known Member
Well - OK. I'd say stay away from 'penny' type stocks. Very risky and there's a lot of 'pump and dump' crap with those. You should just buy a couple shares of a company with a product you use/like. And - reinvest your gains. But as for quick money - don't use the Stock Market. For that - hit the local 'Pay Day Loan' or Bingo parlor.
GL - bioWheel
GL - bioWheel
cannabineer
Ursus marijanus
Getting in is the easy part. cn
Growinforprofit
Member
If your bankroll isn't that hefty, then you'd want to open a discount brokerage account ie Scottrade, E-trade, Fidelity, or TD Ameritrade are the top 4 imho...
$2,000.00 is required to open a margin account (2x) as per the SEC, and $25,000 to daytrade (4x margin). I would brush up on the trading rules the SEC has in place for low capital accounts. Trading too frequently (pattern Day Trader) without a $25,000 balance, and your account will be froze.
As far as educational resources, aside from the wealth of information online, the book "Trade Your Way To Financial Freedom" By Van K Tharp, Is absolutely the most worthwhile investment I've ever made. Secondly, you need a mentor. A mentor does something to your trading that completely eliminates emotion, they back you up when your decision on a trade is well thought.. And they let you know when a trading idea is rubbish lol. Finding a mentor isn't that hard nowadays, just show up to an investment club meeting (They are all over, Nationwide).
Lastly, Don't get discouraged by the expensive learning curve... Being successful in the market CAN BE the most rewarding (financially, mentally, emotionally) thing a person ever does. It's well worth the heartache most feel in the beginning. Losses are lessons learned.
$2,000.00 is required to open a margin account (2x) as per the SEC, and $25,000 to daytrade (4x margin). I would brush up on the trading rules the SEC has in place for low capital accounts. Trading too frequently (pattern Day Trader) without a $25,000 balance, and your account will be froze.
As far as educational resources, aside from the wealth of information online, the book "Trade Your Way To Financial Freedom" By Van K Tharp, Is absolutely the most worthwhile investment I've ever made. Secondly, you need a mentor. A mentor does something to your trading that completely eliminates emotion, they back you up when your decision on a trade is well thought.. And they let you know when a trading idea is rubbish lol. Finding a mentor isn't that hard nowadays, just show up to an investment club meeting (They are all over, Nationwide).
Lastly, Don't get discouraged by the expensive learning curve... Being successful in the market CAN BE the most rewarding (financially, mentally, emotionally) thing a person ever does. It's well worth the heartache most feel in the beginning. Losses are lessons learned.
My biggest single gain was with a penny stock. I made 1300% and sold out. The gain more than made up for all my loser stocks and then some, by quite a lot.
Because I sold the stock in the same year that I purchased it, the IRS wanted 35% of the profits, even if your tax bracket put you in the sub $14,000 a year category of 0%. Still made a heap though.
Because I sold the stock in the same year that I purchased it, the IRS wanted 35% of the profits, even if your tax bracket put you in the sub $14,000 a year category of 0%. Still made a heap though.
I have mixed feeling about penny stocks. I used to work in that biz and I bought plenty of $1 and $2 dollars stocks that did nothing and even went under on me. There was one however that is my "woulda, coulda, shoulda" story. A stock named interleaf back in the year 2000. I watched it for 5 years. In that time it went from around $20 all the way down to .79 cents. In the spring of 2000 I just got a 10k bonus and I was going to put a few thousand in it as a flier. At the last second I backed out since I had lost on penny stocks before. Well, in three months it went from .79 cents to $100 in just about a straight shot when they got bought out by Apple. I would have cleaned house making hundreds of thousands of dollars assuming I held it to the end of the run.
That being said I think the other posters who have told you to get into blue chips first and then when you have an establised portfolio you can fuck around with the penny stocks. Ford would have been a good one at $1 a few years ago. GE was 5 bucks and change during the crisis too.
If you want to play with trends you can get into currency trading. If you get on the right side of a trade with currencies you can do well. Keep in mind the pro's fall on their face all the time so your expectations should be in check and don't get too cute. If you insist on small stocks a mutual fund that specializes in them may be your best bet. For a good read check out peter lynch's book "beating the street." I never read "one up on wall street" but I have plans to since it's supposed to be better. Good luck.
That being said I think the other posters who have told you to get into blue chips first and then when you have an establised portfolio you can fuck around with the penny stocks. Ford would have been a good one at $1 a few years ago. GE was 5 bucks and change during the crisis too.
If you want to play with trends you can get into currency trading. If you get on the right side of a trade with currencies you can do well. Keep in mind the pro's fall on their face all the time so your expectations should be in check and don't get too cute. If you insist on small stocks a mutual fund that specializes in them may be your best bet. For a good read check out peter lynch's book "beating the street." I never read "one up on wall street" but I have plans to since it's supposed to be better. Good luck.