People often ask me how I got started day trading in the stock market. They’re interested to know, because, I guess, I’m just 16 years old.
I trade because I’m a driven person – driven first by success, second by money. If I can make more money with a few clicks on my computer, I’ll do it. I hate seeing money sit in an account that gains .02% every year.
Sometimes hearing the alarm clock go off at 6:30am can be painful, but the excitement that comes after shaking off the cobwebs, is well worth the early morning wake up.
It’s hard to understand the feeling exactly unless you’ve experienced it first hand. If you’re curious to know the feeling but you don’t want to risk your money, here’s what you do to dip your toes in without going under.
Three Simple Methods to Get Started with Stock Trading
- Pick 3 or 4 stocks, choose their direction, and watch your prediction come true. This is the best way to experience the feeling of success and confidence in your gut instincts.
After you experience the excitement and want some more, go for it and get some more.
Set up your virtual trading account so you can learn how to actually place a buy, sell, short sell, or buy to cover trade. You’ll learn how to input the number of shares you want to trade, what stop orders and limit orders are, and you’ll gain an amazing understanding of how stock prices move on a daily basis. Once you taste the blood and understand the fundamentals, you…
Develop your philosophy. What style of trading/investing will get you excited to risk your money every day?
The best way to become dedicated to using the stock market to your advantage is to figure out your philosophy. Are you a swing trader, day trader, long term investor, short seller… Etc.
Which type of trading makes you the most money? Which style garners you the most success? Once you figure that part out, the dedication will exist naturally. You’ll feel a drive to invest your money. You’ll also feel an uncomfortable itch when you know the money is just sitting there, not profiting as much as it could be if you were investing it.
If you’re smart and fearless, there is so much money to be made for you.
To review, here’s what to add to your New Years Resolution To-Do List for 2013:
- Watch stocks from a distance to gain a taste of the excitement
Dig in a little and trade virtually to learn the fundamentals
Develop your philosophy and feel the drive
Open your account and let the trades begin!
Make your New Years resolution to trade a reality. Fearlessly invest this year and come out with more money than you had going in.
Have a happy and profitable 2013