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A Free Guide on How to Start Trading in Stock Market
Before you start to buy stocks, try to learn as much as you can about trading - watch, learn and paper trade. Do not trust anyone's advice until you have confirmed that what they say works consistently. People out there will tell you the secret of stock trading tips is to trade in the direction of trend and they go further to say getting the trend is easy -- do this and that. Contrary to the believe that determining the stock's trend is easy, in real time this is very difficulty and you can not have a probability of 100%, otherwise each one of us would be a winner in the market. If you are considering buying a trading system from anyone, look at some of the reputable financial forums such as trade2win or moneytec. You will find a good number of them there and a good number of customers who are dissatisfied too.
A stop loss should be a must. Decide before every trade on a stop loss and go by it. It normally happens that every trader has a mental stop loss but how many make us of it is a completely different story altogether. Only make decisions based on your stop loss. Be prepared to deal with temporary setbacks. If you keep balanced portfolios, they will eventually increase in value in the long-term.
People out there will tell you the secret of stock trading tips is to trade in the direction of trend and they go further to say getting the trend is easy -- do this and that. Contrary to the believe that determining the stock's trend is easy, in real time this is very difficulty and you can not have a probability of 100%, otherwise each one of us would be a winner in the market. Some investment advisers and the media are either oblivious and always bullish or immoral, merely giving the public what it wants. Their stock trading tips is only a question of, is it this group of stocks or that group, this sector or that sector?
The real secret of stock trading tips is moving averages which are the forces that move the markets. Moving averages are a measure of accumulation of strength and weakness over time due to news, economic growth reports, manipulation, fear and greed. There are many moving averages just as there are different types of traders. It is through the dynamics of the moving averages that there are crests and troughs. The bad thing about this secret of stock trading tips of these moving averages is that they only tell us about what happened rather than what is happening.
Diversify Your Stock Portfolio
Index funds provide a balanced, low-cost (with low management fees) way of investing, and have consistent long-term gains. Instead of offering a specific amount and a timeframe for the stock, purchase the stock at market value which executes immediately. In as much as you may want to diversify your stock portfolio by owning stock in several industries, buy stock primarily in industries you are familiar with. Buy tech stocks if you are a geek, auto stocks if you read a lot of car magazines, etc.
Online Discount Brokers
Search Google for online discount brokers to find a list of brokers that you can use to buy and sell stocks online. Scottrade, Etrade, Interactive Brokers and TD Waterhouse are just a few of the many options. Be sure to compare their fees and see if they have any hidden fees before signing up.
The Author’s page is designed to help beginners and average readers make some money as an extra income to supplement what they may be earning elsewhere - details of which you can find in My Page, if you will.