Where to start with trading shares?
Im looking at putting some spare cash to work and want to start trading shares but with so much information about whether to trade equities, options, forex etc and whether buying shares or speadbetting is cheaper on tax Im looking for people with a bit of experience to narrow down the learning curve.
I work during the day so will be trading/betting in the evenings on the US markets. I want to cover both short term and long term gains by buying and holding long term stock for the dividends but the short term trades (daily/weekly/monthly) should I buy the shares or bet on the price, which option is the most tax/cost efficient?
Trying to read about and learn all the aspects of trading will keep me busy for years so any advice on which areas/styles I should focus on as a starting point would be appreciated.
Thanks
Public Comments
1. You need to read some books first. What you want to do can take years to learn. Opening a trading account... just to give it a try is... not smart.
Having said that... the longer the term the less time it takes to learn. Equities are the easiest asset class. Swing trading is not as hard as day trading... but can still take years to become consistently profitable.
Read a couple of books on long term investing.... as you do that start educating yourself on shorter term trading. Keep in mind the number one key to success is risk control. Not getting the best/hot stock. Risk Control!!!
2. Open an account with an online broker. I strongly suggest TD Ameritrade. Their free software is phenomanal. They have free classes. They have free on line support. $9.99 trades. Talk with a TD Ameritrade broker in person. See if they will give you a one month "free" access to investool. They have 14 hours a day of live on line coaching. You can call them at any time. I deal with them , and have found them to be more accomodating than a full service broker.
3. Here are quite good companies, suggest to start from them:
http://financecreditforex.blogspot.com/
4. Try The Share Centre, they offer a free practice account where they give you £15,000 fantasy money to trade with how you please, it is great for practical trial and error without losing any money and you can use it as much as you like. They also offer free online trading guides, have a look at
http://www.share.com/a/try-trading-now-practice-account.html
5. As already said read a good book, investment magazines, forums: learn, learn, learn. If you don't understand something ask questions . I would say start trading shares. then maybe options. Don't spread bet or trade CFDs until you know a lot more (else you will just lose quickly).
6. Investing your fund in sport industry is great..it's long time highest share ranks based on http://bigstocktrader.blogspot.com/ report it took place 1st promising shares investing. try it!
7. Look at http://www.meta4forexbroker.com/ they probably will give you some tips on how to trading shares.