I have to agree with OverTheLine. Only if you lose your ass will you learn the amount of preparation that it really takes to be successful. "I know of a few millionaires who started trading with inherited wealth. In each case, they lost it all because they didn't feel the pain when they were losing. In those formative first years of trading, they felt they could afford to lose. You're much better off going into the market on a shoestring, feeling that you can't afford to lose. I'd rather bet on somebody starting out with a few thousand dollars than on somebody who came in with millions...." --William Eckhardt Surviving long term isn't easy. Most who started in great bull run in the late 90's know this all too well; for a few years they made a killing but when buying the dips no longer applied, the market quickly put them in check.
just make sure you read and re-read the chapters concerning money managements in all the books you'll read. Proper money managements will keep you in the game long enough (few years?) to learn the art of trading. Otherwise, you could be wiped out within a few months, and didn't have a chance to learn a thing. Think of how much you could afford to loose, and not how much you could make. You could only control the loss, but not the profit. Also, have a few trader friends with you, so you could all go out for a beer and lick the wounds, tender the bruises together, it helps! Cheers!!
Nothing like a good bunch of trader friends to kick back with, and bitch too. Makes you feel, and will help you learn.
I really must admit two things: 1. I have quite a few trading books; but I can't recall much of anything that I've gleaned from them. 2. I am on the internet all the time; but my use of the market information and research services I subscribe to is probably the best use of my time. The best way to learn how to trade is to just get in there and start mixing it up with very, very small position sizes. Other successful traders I know agree; there is no substitute for experience.
I agree with bone's two points. I have a pretty extensive library of trading books but the majority are just collecting dust. You may be able to develop a strategy based on ideas presented a book you read, so I'm not saying don't read anything, but nothing beats real-world experience and learning from someone who already knows how to make money. Trying to stay on track of all the news or every story stock will drive you nuts. Even in this market, you can make plenty of money just focusing on a particular sector or even a few stocks in a sector or two. Trade what you know.
"The best way to learn how to trade is to just get in there and start mixing it up with very, very small position sizes. Other successful traders I know agree; there is no substitute for experience." i agree.a large part of trading is emotional.you cant get that in a book.
I really appreciate it. That is true. Before I start to trade, I do read some books, including Stock trader from Tony Oz, Financial Freedom from Ms. Tharp and so on. I think that I got some of the feeling of hte trading at least. To tell the truth, mentor is very important, but sometimes, I don't know whether this is really true. Mentor can give you his method to trade, but sometimes, people still need time to find something fit for his/her personality. So IMHO, understanding the spirit of method and knowing how to transform the method to self is more important. Am I right?
I really want to know this? And how? When I do research, I just don't know what to do. Totally like a blind man. So stupid.
company financials are designed so expert analysts cant figure them out so how can you?look at TYC you have expert analysts opinions running all the way from its going bankrupt to its a bargain.