How to begin investing in the stock market?

[Alexa Smith]

Hello everyone,

I've built a decent amount of savings over the years and I'm ready to start investing some of it. When it comes to personal finance and creating wealth, there is no better long-term investing strategy than the stock market. But how do I start investing? What do I need to know? Please help me.

Thanks,
alexasmith.

 

[Enivid]

You need a broker to start investing. Also, you need to know which stocks to buy. That's a tricky part. You'll probably have to spend some thousands of hours reading books on stocks and studying financial statements of companies.

 

[Alexa Smith]

Thanks for the answer, Enivid. I am reading books on stocks, and they are really helping me understand various trading concepts. A friend of mine suggested I enrol in a trading course. Should I do it? Please advise.


Thank you in advance.

 

[Enivid]

If the course is provided by a reputable company and the price is reasonable, I would advise going through it.

 

[Sumita]

Hello Alexa,
Its good to hear that you have saved decent amount of money and you are planning to invest it in the stock market. But before putting your money into these markets, have a better understanding of how market functions and reacts to the global and domestic events.
To invest your money into the forex/stock market, first put efforts in making your trading basics clear which can be done through reading trading based books or journals, watching trading videos and learning about technical and fundamental analysis. After this, it would be good if your open a demo account with a reliable broker so as to know about the trading conditions. (It is important that you open your demo account with various brokers, so that you will come to know about the best of them all)
Once you are satisfied with a broker, go for investing but start with minimum amount. If your confidence gets boosted in the course of trading then invest good amount of money. (Don't put entire amount at one go. Brokers want you to invest as much as you can; and they have the capability to make you lose the entire amount, so beware before putting any trade or making any deposit.)

 

[daniele roos]

Investing in stock market is something which anyone can do as it is your money , you can invest where ever you want but making profit out of such investment is something that requires time, patience and knowledge. If you are a beginner and want to invest in stock market without losing your money, so first you have to gain knowledge about stock market, how it works, basics of trading, learn technical and fundamental analysis. Then open a demo account, here you can experience live trading environment with virtual investment and can build your own trading strategy. Practice at least for 6-7 months to refine your trading skills and once you gain confidence, then you can go live and invest your real money.