Advice to a rookie about shares???

BENJANI-4

Hi

i have about 400 euro that im willing to invest.first time at this and am open to opinions/ ideas?want advice on a good sort term or longish investment in shares! im aware of the can of worms this presents but any advice is welcome

cheers:D

strmin

Correct me if I'm wrong, but you can't ever open any broker account with €400. Forex or spread betting is an option, but not for rookie.

BENJANI-4

as mentioned COMPLETE rookie to this so apologies!:) i realise 400 is a minute figure but im a college student bound by the minimum wage and who isnt tryin to make a quick buck in these recessionary times!:D

Smcgie

This is what you are looking for www.sharewatch.com their websites rubbish but you can buy without an account for €50

Goodluck

strmin

Smcgie wrote: »

This is what you are looking for www.sharewatch.com their websites rubbish but you can buy without an account for €50

Goodluck

Buy/sell commission would be €100. Investment would have to return 30% profit just to brake even.

ixus

BENJANI-4 wrote: »

Hi

i have about 400 euro that im willing to invest.first time at this and am open to opinions/ ideas?want advice on a good sort term or longish investment in shares! im aware of the can of worms this presents but any advice is welcome

cheers:D

My advice would be to take your time and read through a number of threads here going back to about September. Then, use about €50 and invest in a few books you see mentioned throughout. Learn about compound interest and build up your cash pile (less inflation).

slemons

Read this thread
james16
Spend about 3-5 years hard work.
Buy forextester.com.
Practice for hundreds/1000's of hours.
Retire...

Idu

slemons wrote: »

Read this thread
james16
Spend about 3-5 years hard work.
Buy forextester.com.
Practice for hundreds/1000's of hours.
Retire...

I agree with some of this. You need about 6 months to learn but you should be working hard at your trading all the time and continuously trying to improve.

Can you trade shares on this forextester software? There are plenty of sites that offer free demo share trading

slemons

No - forextester is for offline testing.
So you can place trades, then fast forward to your exit point.
It is by far and away the best trading simulator out there.
Before i trade any currency or any strategy live, i have 2+years expierence trading that currency. With forextester you can get 2 years in a weekend...


Any broker offers demo accounts with paper money. This is an absolute must along with forextester. Its recommended that you go 3 full months on demo consistently making profit each month before you go live.

Personally i trade 1% of my account each time and take about 4-5 trades a month. I never set take profits and always trail behind my winners hoping to catch a runner.

Read 'Reminesences of a Stock Operator' for some ideas on how to trade. The book is 100 years old and still as applicable as if written yesterday. People are what drives the markets, not news or anything else. And people still do the same things pretty much...

To be a good trader you obviously need a plan. But this is the easy part (its not really easy but you can figure it out from james16). Finding an entry is easy enough. Having the courage of your convictions to stick to your plan and ignore some tipster is the hard part. Hold onto your winners as long as you can.

I think trading is a really cool game, cause you must learn so much about yourself.

Most traders fail btw. They say 95:5 ratio, but thats probably just made up. Id say 99:1 ...

Good luck!

Idu

I meant demo trade shares. Forex testing isnt of much use to people who only want to trade shares

slemons

Forextester accepts its input in the form of a CSV excel type spreadsheet, so if you can get the OHLC data for the particular share in say a 4 hour timeframe, then yeah it can do shares

pocketdooz

Its pointless investing €400 in shares

You'll lose over 10% when buying and 10% when selling

Your best bet (and you're not going to want to hear this) is to spend time learning about the markets and what drives company share prices.

pirelli

BENJANI-4 wrote: »

Hi

i have about 400 euro that im willing to invest.first time at this and am open to opinions/ ideas?want advice on a good sort term or longish investment in shares! im aware of the can of worms this presents but any advice is welcome

cheers:D

Your bets bet is to open a USA online broker acount. You can trade for as little as $4 as opposed to €50 in ireland, There is no tax or other charges.
Your €400 would also get you over 600 dollars which is all more than you need to open an account over there.

Just fill out the correct forms and post them to your broker to start your account. It is just as much hassle to start an irish account.

You can trade 3 times a week and you will actually make money. By buying and selling at the right entry and exits which you will learn, you can make that $600 dollars into $800 dollars in a couple of weeks.

That's what to do and i suggest finding online forums where traders share tips and you will be amazed what a 30% jump in share price in one day can do to your account.

Just google usa online broker equities, you could also try forex but it has a reputation for being the most difficult and some forex brokers are squeez money out of you whilst equities brokers are all legitimate and regulated.

Forget commodities and options, you just want equites as a non professional speculator. The most important advice i can give you now if you do fill in the forms is to choose the margin account NOT the cash account.

equities - margin account - and you will be a very happy man!

pocketdooz

pirelli wrote: »

Your bets bet is to open a USA online broker acount. You can trade for as little as $4 as opposed to €50 in ireland, There is no tax or other charges.
Your €400 would also get you over 600 dollars which is all more than you need to open an account over there.

Just fill out the correct forms and post them to your broker to start your account. It is just as much hassle to start an irish account.

You can trade 3 times a week and you will actually make money. By buying and selling at the right entry and exits which you will learn, you can make that $600 dollars into $800 dollars in a couple of weeks.

That's what to do and i suggest finding online forums where traders share tips and you will be amazed what a 30% jump in share price in one day can do to your account.

Just google usa online broker equities, you could also try forex but it has a reputation for being the most difficult and some forex brokers are squeez money out of you whilst equities brokers are all legitimate and regulated.

Forget commodities and options, you just want equites as a non professional speculator. The most important advice i can give you now if you do fill in the forms is to choose the margin account NOT the cash account.

equities - margin account - and you will be a very happy man!

It's not this easy

Onikage

What pocketdooz said. 99% of people can turn $600 into $0.

rugbyman

Ben,
we are all travelling through uncharted waters in the financial world.
there may be a lot of opportunities to double or treble your money in the coming year. i do not know of any sure ,or even likely ones, but here are a few examples over the last two months.

Firstly ,with 50 euro commission on both the buy and sell leg of your transaction and 1 % tax, your 400 is about 290 euro available to buy shares.(as was pointed out to you earlier)

in the last few months Blackrock land has doubled in value from 4 to 8 euro,(was it nine?) . your 290 could have gotten you 580. profit of 180

in the last few weeks Bank of Ireland doubled from 1.00 to 2.00
in the same time frame AIb "" " " "
(yes i know they went higher)

the same gain could have been realised.

Independent News and media rose from 25 to 34, a rise of 36%.
however this gain would only have netted you 40 euros after costs




Equally , bank shares fell from 2.20 to 1.65 in a few days.



You are looking at a stormy sea, with boiling waves. they could sink your little boat or toss a salmon into your lap.

I suggest you spend a few days reading these threads over the last year.( as already suggested)

regards,Rugbyman

Block (8

rugbyman wrote: »

.

You are looking at a stormy sea, with boiling waves. they could sink your little boat or toss a salmon into your lap.

Thats one funny image conjured up in my mind
"toss a salmon into your lap" ehehe

I've been reading all these threads myself and read a couple and still reading books and have been admittedly lucky but careful in what I invest.
I intend to maybe buy and sell some along the way but mainly buying for the medium term.
Good luck to you all and I hope we still have our shirts on our backs when we look back on these threads in a years time

Idu

pocketdooz wrote: »

Your best bet (and you're not going to want to hear this) is to spend time learning about the markets and what drives company share prices.

This is the best advice you're going to get

Grawns

I took €1000 about 3 months ago and bought 550 shares in dragon oil at €1.59, (registered with goodbody €1000 minimum and paid about €30 commission) From the day I bought them they went up and I had a 100% return within 2 months and they're now at €4.40 and may be bought out by a controlling interest. Does this make me a financial genius or a lucky lucky bastard?


(I was fully prepared to loose the €1000 and was in it for a long term investment based on oil being a good bet and while I haven't read any books on the subject I intend to)

rugbyman

Does this make me a financial genius or a lucky lucky bastard?


Hello Grawns,
to answer your two part question
1 you may well be a financial genius ,but it is not clear. the attack dogs,with sloppy jaws, on here are tired i expect. they would say that if you had studied the market,done the maths, researched and made an informed INVESTMENT , then you may well be a F.G ( financial genius ,no political pun intended)

2 if you just picked it out ,thinking oil may come back(whether dragon has it or not) then they would say that you are a lucky bastard.


I say, BLOODY GOOD LUCK GRAWNS, perhaps consider taking your grand( your stake) out and let the rest ride. Or sell it all. 100 % is five times more than a seasoned investor would be happy with in a YEAR.

regards,Rugbyman

Grawns

Thanks rugbyman. I think I'm lucky ( and maybe have some small insight as have being reading the financial pages and supplements for years - studied business too) but anyone with a bit of money to invest in oil/commodities right now should make a profit if they hold for medium to long.