How much should I have in my account?
Leverage?
What broker?
THANKS
U CAN CHECK OUR WEBSITE,JOIN OUR YAHOO GROUP & ALSO JOIN OUR SMSGUPSHUP GROUP FOR FREE STOCK TIPS WITH MORE THAN 95% ACCURACY.
FOR ANY QUERY MAIL US AT:–
prime.financials@yahoo.com
FOR STOCK TIPS ON UR MOBILE SMS:–
JOIN PRIMEFINANCIALS & SENDTO 567673434
FOR STOCK TIPS ON UR MAIL JOIN OUR YAHOO GROUP:-
http://groups.yahoo.com/group/primefinancials.
WWW.PRIMEFINANCIALS.BLOGSPOT.COM
Look at Cramer's record – it is worse than DOW's — so why should I listen to his recommendations
About day/swing trading — start with small amount (say $3000) learn on your own, read and practice, do not quit the job.
Do not listen to others. (including me!)
And thank you all in advance for your sharing of information.
My recommendation… get a full-time job… save some money in diversified mutual funds and retire early.
Good luck!
Are you asking if its possible to have a career in day trading?
Sure, you can be a stock broker…
Or
Are you asking, if you can make a living (support yourself), by trading stocks.
In this case, I would say probably not.
Even professionals that have spent their lives studying the stock market have trouble predicting changes. What hope does that give to an average person? Furthermore stocks are meant to perform well in the 'long run' and not from day-to-day.
I suppose its possible to make constant gain if you index the 'entire market', however it probably won't be enough to let you quit your day job.
Most on line brokers require a minimum cash account of around ten thousand dollars for you to day trade. I can't remember the rules exactly, but Ameritrade, considers day trading as buying or selling of the same stock within a couple days. And if you have two or three instances of this, they classify you as a day trader.
Stock options are something that employers offer to make a job more desirable. Usually offering company stock on top of their normal pay. Having stock in a company you work for also makes you care more about your company.
But what is options?
I heard that the risk is so much grater than stock. Also can you earn money by predicting which stock will go up or go down ? Is this option?
Does option trading similar to FOREX?
Sorry, does this means I have to specipy if stock a gonna go down to lets say from $ 9.45 to $ 7.30 SPECIFICALLY. If this is so. It is mighty difficult.
I know a lot of stock prices that is for sure to PLUMMET however to say i have to give a SPECIFIC price ? that is almost impossible ?
http://www.cboe.com/LearnCenter/Tutorials.aspx
<<<I heard that the risk is so much grater than stock.>>>
With options, if you understand them, you can choose how much risk you have, more, the same or less than with stock.
<<<Also can you earn money by predicting which stock will go up or go down ?>>>
Yes with the right strategies. If you simply buy options you should have predictions about which way it will go, how much the price will change, and when the price will change.
<<<Does option trading similar to FOREX?>>>
The only real similarity is that both allow you to use leverage.
———–
A few comments about some things said in other responses.
All options have expiration dates. Normal options expire on the Saturday following the third Friday of the month, up to eight months in the future. Some stock also have long term options known as LEAPS, which can expire up 30 months in the future. I have no idea why one the responses talked about nine months.
As for the comment that trading options is gambling, that can be true but does not have to be.
Similarly, I would not say most professionals trade options to hedge. When they hedge it is to reduce risk, protecting profits or reducing losses. Most professionals initate option positions to make a profit, then adjust/hedge the position as required.
———–
One thing to understand is that option traders usually try to profit with predictions about the future volatility of a stock price at least as much as the direction the stock price will move.