Noooobs: Heres how to start trading

[marketsurfer]

Successful short term stock trading is the dream of many people, yet very few are actually successful over the long term. Let's start out by defining the basic concepts for success in the short term trading game.

Perhaps the most important concept is stock knowledge. I do not mean fundamental knowledge of the underlying company whose stock you may wish to trade. I am referring to how the stock behaves and moves from trading session to trading session. All stocks have distinct personalities and choosing the stock with the correct "personality" is critical for success. For example, volatility, volume, and knowing whether the longer term trend is up or down are all important for short term stock trading.

Volatility: is the stock making large moves up or down? Or is it barely budging?

Volume: are there many buyers and sellers of the stock?

Trend: is the stock making higher highs and higher lows or lower highs and lower lows?

Strategy is the next critical concept. How will you enter and exit a short term trade? There are countless strategies, but in the stock market these strategies all boil down to one of a few different approaches: trend trading, counter-trend trading, breakout ................http://www.tradingmarkets.com/.site/stocks/how_to/articles/-76407.cfm

 

[3121]

If I'm a newb what should be my thought process? Let's say I've opened my account, have charting software etc.

What is the very next thing i should do?

(This can be a great thread)

 

[marketsurfer]

Quote from 3121:

If I'm a newb what should be my thought process? Let's say I've opened my account, have charting software etc.

What is the very next thing i should do?

(This can be a great thread)

thanks!
in my opinion
the next step would be to
practice on the simulator, if your broker offers one, to learn the software inside and out. you would be surprised about how much money is lost by stupid mistakes using the software.

this is prior to even knowing what style to use--- knowing your software is critical.

then when you start with real money, trade very very small.

paitence is a virtue in this game.

best wishes,

surf

 

[EPrado]

I am sorry Surf......but you teaching newbies how to trade ? This might be the most hysterical thing you have posted yet. You are a nice guy Dave, but an absolutely HORRENDOUS trader.


What's next.....Jefferey dahmer's mom starting a thread on how to raise a a well balanced son ?

 

[jprad]

Quote from marketsurfer:

in my opinion the next step would be to practice on the simulator, if your broker offers one, to learn the software inside and out. you would be surprised about how much money is lost by stupid mistakes using the software.

Learning how to use a trading platform before learning how the markets work makes as much sense as learning how to drive a car before learning the rules of road.

 

[annaland]

Quote from EPrado:

I am sorry Surf......but you teaching newbies how to trade ? This might be the most hysterical thing you have posted yet. You are a nice guy Dave, but an absolutely HORRENDOUS trader.


What's next.....Jefferey dahmer's mom starting a thread on how to raise a a well balanced son ?

Actually, marketsurfer has a somewhat natural sense for the market.

 

[Millionaire]

Quote from marketsurfer:
http://www.tradingmarkets.com/.site/stocks/how_to/articles/-76407.cfm

This guy is just spamming ET, driving traffic to stuff he sells or gets paid to write.

 

[Zentrickster]

Quote from EPrado:

I am sorry Surf......but you teaching newbies how to trade ? This might be the most hysterical thing you have posted yet. You are a nice guy Dave, but an absolutely HORRENDOUS trader.


What's next.....Jefferey dahmer's mom starting a thread on how to raise a a well balanced son ?

I know surf. How can you say this? The guy trades sick size at times and is very paitent with positions. He has an uncanny macro economic sense. I agree. He is often early on calls but via trade management the trades profit. You have no clue

zt

 

[3121]

Quote from marketsurfer:

thanks!
in my opinion
the next step would be to
practice on the simulator, if your broker offers one, to learn the software inside and out. you would be surprised about how much money is lost by stupid mistakes using the software.

this is prior to even knowing what style to use--- knowing your software is critical.

then when you start with real money, trade very very small.

paitence is a virtue in this game.

best wishes,

surf

What do i put on the stimulator?

 

[marketsurfer]

Quote from jprad:

Learning how to use a trading platform before learning how the markets work makes as much sense as learning how to drive a car before learning the rules of road.

i don't agree.

learning to drive in a parking lot is how most learn how to drive, prior to learning the rules of the road.

road rules are meaningless if you don't know the difference between the brake and accelerator.

just like in trading.


regards, surf