New to Energy Trading

Discussion in 'Trading' started by robhargreaves, Mar 26, 2011.

  1. Hi im just starting out.

    Ive got $5000 to get started it is spare from savings and i want some higher risk higher return investments. Im interested in the energy market.

    To begin ideally id like to follow someone elses investments as a profile to be able to see what they invested in time to time, how it worked out, what they made what they lost.. etc..

    Is this available?

  2. Are you looking for more of an investment or trading?

    If you are looking into trading, it's really important you do your own research and lose your own money.

    When you start trading, you're going to lose money. $5,000 isn't much to start out with. I suggest you go into ETFs and stay away from futures. Futures can wipe a newbie out. Start reading oil inventory reports, news articles on oil, and most importantly, find news articles contradicting the viewpoint put forward on the last article you read.

    Learn position sizing. You aren't going to make a trade and immediately win (if you do, you're lucky on your first trade. Being lucky on your first trade is horrible as it makes you think you're better than you are).

    I recommend you start paper trading - mark trades on paper rather than risking your capital. After you start getting the hang of it move into money. When you deploy actual money, the game changes completely as you may experience crazy emotions from fear to giddyness.

    Start by picking up some good books. Reminiscences of a Stock Operator is a good start. Then try reading all three market wizards books and read a financial newspaper everyday.