How to Start Online Stock Trading

List: Posted: 03/28/11

If you’ve never done any online stock trading before, you don’t want to jump in head first without knowing what you’re doing. Even the professionals and experts don’t always know how stocks are going to perform, so you’re really gambling with your money by jumping into online stock trading without any education.

While you don’t need a degree in finance to trade stocks, you at least need to take some community education workshops, watch online tutorials, or read investment magazines and books. Online stock trading can be very profitable, but it also represents a fast way to lose money by making some common mistakes.

Some online brokers allow you to practice with fake money for your online stock trading before you commit with real money. This is a smart option, because you want to familiarize yourself with the website itself. If you can’t understand the website or its symbols, how are you going to execute a trade? Online stock trading involves advanced charts and trending tools and you need to learn how to read them to really make them work for you.

Online brokers also offer free market analysis and advice, which may be especially helpful for the beginner. Once you’ve followed the advice of experts for a while, you can slowly transition to making your own decisions as you get more comfortable in time.

Online stock trading allows for conditional orders, which helps you regulate your profit and loss. You can limit your losses while you’re away from your computer by placing a trailing stop or other conditional order. You want to maximize your gains while limiting your losses so that you don’t run low on your available funds.

Investment Services

    Edward Jones is an investment firm that believes your financial goals deserve a face to face conversation. We can help you prepare for retirement, save for education and be a tax-smart investor.

    • 43330 Junction Plz Suite 112 Ste 112
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      Edward Jones is an investment firm that believes your financial goals deserve a face to face conversation. We can help you prepare for retirement, save for education and be a tax-smart investor.

      • 44110 Ashburn Shopping Plz Suite 219 Ste 219
      • Ashburn, VA 20147
      • (703) 723-5590

        We provide a full range of individual and group life and health products and offer tax free income retirement planning as well as retirement planning using annuities and life insurance.

        • 43714 Cadbury Ter
        • Ashburn, VA 20147
        • (703) 729-9893

          Official site of The NASDAQ Stock Market featuring free stock quotes, stock exchange prices, stock market news, and online stock trading tools.

          • 21830 Uunet Dr
          • Ashburn, VA 20147
          • (703) 729-7034

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