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How Do You Invest In Stock,?


Please Be As Detailed As Possible...Please

I no longer invest in individual stocks but indexs. Indexs are most safer and you don't have to watch the market all the time.
I like credit spreads on options which can generate 3-6% per month but you do have to risk alot of money to get that type of return. The recent market volatility is best suited for call bear credit spreads.

once you have a stock in mind you call your broker and ask him/her to buy you as much as $_x dollars will buy....and tell him to buy it at a low price or return your money. a stock is a piece of the company you like....a share is usually one millionth of the company's total holding....so a stock like GM or Ford might cost you between 6 dollars and 60 dollars...and you need to buy 1000 shares to hold a small piece or a millionth of a percent of its total.

its very simple

Look for the business news everyday for seven days, check about three diff chanels, u will know what is hot and what will be hot soon enough, check company's background, buy the average price share , and ya dont invest blind.

You won't find out on Yahoo answers. Buying stocks is easy. Investing requires time and effort.
First you need to understand the stock market and how it works. How companies are valued and what makes their price fluctuate.
Second you need to learn how to research companies. how to read annual reports and news releases.
Third you need an investment program. One time shots at buying the right stock at the right time won't get you where you want to go. Investing requires the discipline to build a portfolio over time.
You can find a million books on all of the above.
Make your own decisions. Stock brokers are glorified salesmen. If they knew the answers they wouldn't be brokers, they'd be rich.
Learn from the Warren Buffets of this world. Buy basic value and hold it.

stocks refer to an ownership with a firm. it can give you 2 benifits, one is price rise and the other is dividends. So before investing, do the following. step 1 - learn the economy as a whole. If u are in US, learn US economy fully. It includes political,economical and even technological factors. Then identify the industries and identify how they are performing. Once you have chosen a good industry, list all the firms in it and identify their quarterly sales, profits and earnings per share. Check for consistently performing companies in these aspects. Learn PE ratio. It helps in identifying cheap sectors. High PE means high priced stocks and low means otherwise. Identify industries with low PE, growing Sales, steady Profit and then check for price history. If price is high, buy it when it comes down. Learn dollar cost averaging as it will help you to reduce market risk. Try investing in one economy before going international. If u are in US, FYI, check for subprime crisis impact, Rising oil price and weakening Dollar. These will help u a lot.

please read the following books first. they will help you out a lot.

1. the intelligent investor

2. security analysis

3. a financial text book

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