How to start trading...
Discussion
Right chaps i'm only after some guidance, not the step-by-step help to make me rich (although that would be nice, thanks!).
Recently i've seen a few opportunities to invest in things, and wish I had now looking at the growth. BP shares being one example - I saw these dip, didn't think they'd go any further. They didn't, they then started to climb.
Again the FTSE 100 this morning. I called it at exactly the same point. This has happened a few times now.
Please don't get me wrong i'm not saying that I can predict the future, and I do not think i'm invisible or that i'm Charlie-big-potatos giving it large with his gob. I have merely noticed a few things in the markets and called them correctly.
Now I'm looking at where the hell to start trading, how to start trading, what books I should read, websites I should visit etc. Anything information to help me would be nice!
I'm an eager to learn 21 year old who's interests go further than the end of his nose, I.E - I know how much s
t the world's economy is in, and what's been going on the last few days and how bloody important it is.
I'm anxious that readers of this may think I want to make a quick buck and i'm going to invest stupidly-this is far from the case, which is why I'm asking all these questions and for advice and help
Thanks in advance chaps!
Recently i've seen a few opportunities to invest in things, and wish I had now looking at the growth. BP shares being one example - I saw these dip, didn't think they'd go any further. They didn't, they then started to climb.
Again the FTSE 100 this morning. I called it at exactly the same point. This has happened a few times now.
Please don't get me wrong i'm not saying that I can predict the future, and I do not think i'm invisible or that i'm Charlie-big-potatos giving it large with his gob. I have merely noticed a few things in the markets and called them correctly.
Now I'm looking at where the hell to start trading, how to start trading, what books I should read, websites I should visit etc. Anything information to help me would be nice!
I'm an eager to learn 21 year old who's interests go further than the end of his nose, I.E - I know how much s
t the world's economy is in, and what's been going on the last few days and how bloody important it is. I'm anxious that readers of this may think I want to make a quick buck and i'm going to invest stupidly-this is far from the case, which is why I'm asking all these questions and for advice and help
Thanks in advance chaps!
RemainAllHoof said:
This is fun Anyone able to offer anything more to this thread?
Thank youStedman
My 2 cents.
You would be far better off focusing on being the very best at your job and working harder or honing whatever skills you have now.
It will make you richer far quicker and easier than day-trading yourself into penury.
If you want to trade stocks as a hobby, fine. But don't kid yourself that you are somehow saving for the future or "investing".
It's a hobby and it will cost you money, like all hobbies.
Here's why.
Think about your competition:
- Highly educated: PhDs, maths geniuses, MBAs, CFAs, financial experts.
- Highly experienced - they EASILY have Gladwell's minimum requirement for expert status: 10,000 hours doing this.
- HIGHLY INCENTIVISED. If these guys get it right they will be millionaires, almost overnight. Certainly within a year.
- Highly funded. If they need to run a survey of 2,000 people weekly asking about whether they prefer Vodafone over O2 - they will do it.
- Ridiculous access: they can get almost EVERY CEO in a publicly traded stock on the phone within hours if not MINUTES of any news release or just for an update on current trading.
- Time: they have 24 hours a day. If they need to go without sleep they will. If they need to stay up and listen to an Asian company report numbers and hold a conference call they will.
- Real time data: they all have Bloomberg (at c.$1,500 per month) which gives you real time data and real time news. Sure IG can give you real time data but for the news and alerts, you need Bloomy or Reuters.
Do you really think you are better than these guys?
Even despite all the above, the average manager fails to beat the market.
Hobby - fine.
Investment? - Put it in a tracker and forget about it until you retire.
If you think you might eventually become a PROFESSIONAL (i.e. managing other people's money) and the above sounds like the life you want to lead, then it is worth trading purely for experience.
Build a track record and take it to a fund with the history of your trades, returns on what asset base, rationale for investments etc... and they might give you a job. THEN you get rich.
My 2 cents.
You would be far better off focusing on being the very best at your job and working harder or honing whatever skills you have now.
It will make you richer far quicker and easier than day-trading yourself into penury.
If you want to trade stocks as a hobby, fine. But don't kid yourself that you are somehow saving for the future or "investing".
It's a hobby and it will cost you money, like all hobbies.
Here's why.
Think about your competition:
- Highly educated: PhDs, maths geniuses, MBAs, CFAs, financial experts.
- Highly experienced - they EASILY have Gladwell's minimum requirement for expert status: 10,000 hours doing this.
- HIGHLY INCENTIVISED. If these guys get it right they will be millionaires, almost overnight. Certainly within a year.
- Highly funded. If they need to run a survey of 2,000 people weekly asking about whether they prefer Vodafone over O2 - they will do it.
- Ridiculous access: they can get almost EVERY CEO in a publicly traded stock on the phone within hours if not MINUTES of any news release or just for an update on current trading.
- Time: they have 24 hours a day. If they need to go without sleep they will. If they need to stay up and listen to an Asian company report numbers and hold a conference call they will.
- Real time data: they all have Bloomberg (at c.$1,500 per month) which gives you real time data and real time news. Sure IG can give you real time data but for the news and alerts, you need Bloomy or Reuters.
Do you really think you are better than these guys?
Even despite all the above, the average manager fails to beat the market.
Hobby - fine.
Investment? - Put it in a tracker and forget about it until you retire.
If you think you might eventually become a PROFESSIONAL (i.e. managing other people's money) and the above sounds like the life you want to lead, then it is worth trading purely for experience.
Build a track record and take it to a fund with the history of your trades, returns on what asset base, rationale for investments etc... and they might give you a job. THEN you get rich.
walm said:
Stedman
My 2 cents.
You would be far better off focusing on being the very best at your job and working harder or honing whatever skills you have now.
It will make you richer far quicker and easier than day-trading yourself into penury.
If you want to trade stocks as a hobby, fine. But don't kid yourself that you are somehow saving for the future or "investing".
It's a hobby and it will cost you money, like all hobbies.
Here's why.
Think about your competition:
- Highly educated: PhDs, maths geniuses, MBAs, CFAs, financial experts.
- Highly experienced - they EASILY have Gladwell's minimum requirement for expert status: 10,000 hours doing this.
- HIGHLY INCENTIVISED. If these guys get it right they will be millionaires, almost overnight. Certainly within a year.
- Highly funded. If they need to run a survey of 2,000 people weekly asking about whether they prefer Vodafone over O2 - they will do it.
- Ridiculous access: they can get almost EVERY CEO in a publicly traded stock on the phone within hours if not MINUTES of any news release or just for an update on current trading.
- Time: they have 24 hours a day. If they need to go without sleep they will. If they need to stay up and listen to an Asian company report numbers and hold a conference call they will.
- Real time data: they all have Bloomberg (at c.$1,500 per month) which gives you real time data and real time news. Sure IG can give you real time data but for the news and alerts, you need Bloomy or Reuters.
Do you really think you are better than these guys?
Even despite all the above, the average manager fails to beat the market.
Hobby - fine.
Investment? - Put it in a tracker and forget about it until you retire.
If you think you might eventually become a PROFESSIONAL (i.e. managing other people's money) and the above sounds like the life you want to lead, then it is worth trading purely for experience.
Build a track record and take it to a fund with the history of your trades, returns on what asset base, rationale for investments etc... and they might give you a job. THEN you get rich.
Good advice I think.My 2 cents.
You would be far better off focusing on being the very best at your job and working harder or honing whatever skills you have now.
It will make you richer far quicker and easier than day-trading yourself into penury.
If you want to trade stocks as a hobby, fine. But don't kid yourself that you are somehow saving for the future or "investing".
It's a hobby and it will cost you money, like all hobbies.
Here's why.
Think about your competition:
- Highly educated: PhDs, maths geniuses, MBAs, CFAs, financial experts.
- Highly experienced - they EASILY have Gladwell's minimum requirement for expert status: 10,000 hours doing this.
- HIGHLY INCENTIVISED. If these guys get it right they will be millionaires, almost overnight. Certainly within a year.
- Highly funded. If they need to run a survey of 2,000 people weekly asking about whether they prefer Vodafone over O2 - they will do it.
- Ridiculous access: they can get almost EVERY CEO in a publicly traded stock on the phone within hours if not MINUTES of any news release or just for an update on current trading.
- Time: they have 24 hours a day. If they need to go without sleep they will. If they need to stay up and listen to an Asian company report numbers and hold a conference call they will.
- Real time data: they all have Bloomberg (at c.$1,500 per month) which gives you real time data and real time news. Sure IG can give you real time data but for the news and alerts, you need Bloomy or Reuters.
Do you really think you are better than these guys?
Even despite all the above, the average manager fails to beat the market.
Hobby - fine.
Investment? - Put it in a tracker and forget about it until you retire.
If you think you might eventually become a PROFESSIONAL (i.e. managing other people's money) and the above sounds like the life you want to lead, then it is worth trading purely for experience.
Build a track record and take it to a fund with the history of your trades, returns on what asset base, rationale for investments etc... and they might give you a job. THEN you get rich.
walm said:
Stedman
My 2 cents.
You would be far better off focusing on being the very best at your job and working harder or honing whatever skills you have now.
It will make you richer far quicker and easier than day-trading yourself into penury.
If you want to trade stocks as a hobby, fine. But don't kid yourself that you are somehow saving for the future or "investing".
It's a hobby and it will cost you money, like all hobbies.
Here's why.
Think about your competition:
- Highly educated: PhDs, maths geniuses, MBAs, CFAs, financial experts.
- Highly experienced - they EASILY have Gladwell's minimum requirement for expert status: 10,000 hours doing this.
- HIGHLY INCENTIVISED. If these guys get it right they will be millionaires, almost overnight. Certainly within a year.
- Highly funded. If they need to run a survey of 2,000 people weekly asking about whether they prefer Vodafone over O2 - they will do it.
- Ridiculous access: they can get almost EVERY CEO in a publicly traded stock on the phone within hours if not MINUTES of any news release or just for an update on current trading.
- Time: they have 24 hours a day. If they need to go without sleep they will. If they need to stay up and listen to an Asian company report numbers and hold a conference call they will.
- Real time data: they all have Bloomberg (at c.$1,500 per month) which gives you real time data and real time news. Sure IG can give you real time data but for the news and alerts, you need Bloomy or Reuters.
Do you really think you are better than these guys?
Even despite all the above, the average manager fails to beat the market.
Hobby - fine.
Investment? - Put it in a tracker and forget about it until you retire.
If you think you might eventually become a PROFESSIONAL (i.e. managing other people's money) and the above sounds like the life you want to lead, then it is worth trading purely for experience.
Build a track record and take it to a fund with the history of your trades, returns on what asset base, rationale for investments etc... and they might give you a job. THEN you get rich.
That'll be the financial wizards who saw us through the last financial crisis with such aplomb, the ones who bought CDOs without doing their due diligence, and failed to hedge out their counterparty risk properly? Don't believe the hype, they aren't infallible. My 2 cents.
You would be far better off focusing on being the very best at your job and working harder or honing whatever skills you have now.
It will make you richer far quicker and easier than day-trading yourself into penury.
If you want to trade stocks as a hobby, fine. But don't kid yourself that you are somehow saving for the future or "investing".
It's a hobby and it will cost you money, like all hobbies.
Here's why.
Think about your competition:
- Highly educated: PhDs, maths geniuses, MBAs, CFAs, financial experts.
- Highly experienced - they EASILY have Gladwell's minimum requirement for expert status: 10,000 hours doing this.
- HIGHLY INCENTIVISED. If these guys get it right they will be millionaires, almost overnight. Certainly within a year.
- Highly funded. If they need to run a survey of 2,000 people weekly asking about whether they prefer Vodafone over O2 - they will do it.
- Ridiculous access: they can get almost EVERY CEO in a publicly traded stock on the phone within hours if not MINUTES of any news release or just for an update on current trading.
- Time: they have 24 hours a day. If they need to go without sleep they will. If they need to stay up and listen to an Asian company report numbers and hold a conference call they will.
- Real time data: they all have Bloomberg (at c.$1,500 per month) which gives you real time data and real time news. Sure IG can give you real time data but for the news and alerts, you need Bloomy or Reuters.
Do you really think you are better than these guys?
Even despite all the above, the average manager fails to beat the market.
Hobby - fine.
Investment? - Put it in a tracker and forget about it until you retire.
If you think you might eventually become a PROFESSIONAL (i.e. managing other people's money) and the above sounds like the life you want to lead, then it is worth trading purely for experience.
Build a track record and take it to a fund with the history of your trades, returns on what asset base, rationale for investments etc... and they might give you a job. THEN you get rich.
Bing o said:
That'll be the financial wizards who saw us through the last financial crisis with such aplomb, the ones who bought CDOs without doing their due diligence, and failed to hedge out their counterparty risk properly? Don't believe the hype, they aren't infallible.
I was more thinking of the hedgies: none of whom needed bailing out (this time!) and many of whom saw it coming and made out like bandits.In equities, hedge fund flows appear to be driving the vast majority of the moves up/down.
I think this chart appears to describe very well what often happens in any given theme of investing.
You want to be the smart money, but unfortunately you probably aren't.
The guys who drove the crisis were very few in actual number, even so, of course no one is infallible, but chances are they are a lot less fallible than most.
Bing o said:
That'll be the financial wizards who saw us through the last financial crisis with such aplomb, the ones who bought CDOs without doing their due diligence, and failed to hedge out their counterparty risk properly? Don't believe the hype, they aren't infallible.
No, he's talking about the ones that were doing the opposite, selling dog st that they maanged to get AAA ratings on, buying CDS's etc. There are some seriously smart people around don't kid yourself. They might not be in RBS and Lloyds though!!Gassing Station | Finance | Top of Page | What's New | My Stuff