£10,000 what should I do?

[new_trader]

He is single and young, life is too short.. thats why i wished i had started earlier.
I probably wouldnt give that advice to a 50 year old.

Whilst I agree, life is too short, I also wish that at age 23 I didn't think that 30 was old. If someone told me it would take 7 years to become a profitable investor/trader I would have said it's too long. I made a lot of mistakes in my 20's, investment wise, because I was too impatient for that 'success'. 50 doesn't seem that old to me anymore and I'm sure many look back to that age and wish they could have retired then.

 

[petermac23]

I genuinely want to become a trader. This is all I have wanted to do for a very long time. I dont wanna be one of those guys who says, "damn I wish I had started trading earlier" I have nothing tieing me down, no mortgage, no wife, no kids etc. I just want to get started to tell you the truth. This bit of money I have now annoys me when I know its sitting in a crummy low-interest savings account. I just want to invest it somewhere where im in control of it, and make a bigger profit than that of a savings account.

 

[donaldduke]

I genuinely want to become a trader. This is all I have wanted to do for a very long time. I dont wanna be one of those guys who says, "damn I wish I had started trading earlier" I have nothing tieing me down, no mortgage, no wife, no kids etc. I just want to get started to tell you the truth. This bit of money I have now annoys me when I know its sitting in a crummy low-interest savings account. I just want to invest it somewhere where im in control of it, and make a bigger profit than that of a savings account.

It is a nice dream.. i hope you have the commitment that is required to make your dream a reality, if you want to be really successful you have to devote your life to trading the markets, nothing less will do.

If you want to trade options open an account with someone like IB, although there are plenty of other brokers. I dont know if the age requirement is 18 or 21, you will have to check.
Once you open your account, IB have a nice simulator you can practice with.

 

[Splitlink]

I echo what Hotch said if you're serious about trading.

Also, just to let you know, the tags under the member's names here, such as "legenday member, veteran, senior, etc", are only to do with number of posts they've made on these boards, and absolutely nothing to do with profitability or ability in trading.

I say, old chap! You've just blown my cover.

 

[Black Swan]

Agreed with no experience trading is pure gambling, if you want to actually make money look at shares with a 1-3 year view.

Oh look..and there's a link to a share dealing service.. Are you suggesting buy and hold? You expecting The Bernanke to ensure permanent equities growth via more and more and more Q.E.?

BTW your post is wrong (on lots of levels), you can't get experience without doing it, that doing it will inevitably incur losses. It's imperative to keep those losses as small as possible whilst learning the job...comprende?

 

[Black Swan]

I genuinely want to become a trader. This is all I have wanted to do for a very long time. I dont wanna be one of those guys who says, "damn I wish I had started trading earlier" I have nothing tieing me down, no mortgage, no wife, no kids etc. I just want to get started to tell you the truth. This bit of money I have now annoys me when I know its sitting in a crummy low-interest savings account. I just want to invest it somewhere where im in control of it, and make a bigger profit than that of a savings account.

So risk 500 quid of it in a FX micro account with Oanda/fxcm etc..and see how you get on. Try and lose it as slowly as possible, perhaps 3-6 months. Keep visiting the various boards/forums see if it grabs you.

 

[eren_muduroglu]

Hi

the first point is to think what returns you would want on it. Then you can look at vehicles in which to place it. Are you thinking High/Medium/Low risk. Putting into your own account and trading is definitely High Risk...A split of the three would be my advice with 10% in a higher risk managed account with historical circa 100% annual returns. Split the balance with best fix return investments ( not my field Im in the 10% bracket)

Good luck email me if you need more advice

Eren

This is my situation. I finish university in May and I have a bond which has just matured at £10,567. I really don't want to put it back into another bond and be tied down as this is my only savings. However, I do want to make a bit more on this account but I'm not sure how to. I have been studying options trading for just over a year and I don't think this would be enough to begin with that just yet.

Any ideas on what I should do?

Thanks

 

[mean reverter]

what is a market sentiment indicator and how does it work?

 

[TheBramble]

what is a market sentiment indicator and how does it work?

It's an indiactor you use to determine if what you're posting bears any relation to the content and context of the thread in which you're posting.

Would you like me to send you one?

 

[TheBramble]

This is my situation. I finish university in May and I have a bond which has just matured at £10,567. I really don't want to put it back into another bond and be tied down as this is my only savings. However, I do want to make a bit more on this account but I'm not sure how to. I have been studying options trading for just over a year and I don't think this would be enough to begin with that just yet.

Any ideas on what I should do?

Thanks

What did you study?

What are you interested in?

What do you want to do to earn income?

 

[megamuel]

I agree with Black Swan (....Did I just say that?!). £500 in an account that lets you trade small stakes. Have a play around. Get to know all of the order types. How spread/commissions work and how they affect your trading/entries. Trading is not get rich quick, the aim is steady growth. Ideally by risking as little as possible! Experiment with all the crap like moving average crossovers and trying to find magical indicator combinations. This is naturally progression I think. Sometimes you just have to find out for yourself that things don't work. Never take anything you read on here as gospel.

In the meantime, I'd do what some others have said and buy some shares. That's what I do. In my opinion, being a beginner, you should try to stick with FTSE250 companies. They are generally not as risky as AIM (Alternative Investment Market) listed companies, and generally have a bit more growth potential than FTSE100 companies. Look at their balance sheets. I do this on Sharescope Gold which is only £16p/m. Your brokers should also offer you some research tools. Look at things like profits, assets, debts, dividends (Although that won't be so important with a £10k account) etc. These things are more important for investing than technical analysis of the chart. Decide what is important for you in a company. For example, the main thing that concerns me is debt. In the financial crisis the companies that suffered most were the ones with the most debt. So I like companies with lots of assets in relation to their debt. Do your research and take your time. Divide your £10k up and invest £1k in 10 diverse companies. DON'T pick companies because their share price looks cheap. I made that mistake when I started. It's cheap for a reason - because its sh1te!

Good luck,

Sam.

 

[Chartsy]

short sell penny stock pump and dumps seriously ! check out tim sykes , if stock trading is your thing. If it's currencies you want to trade then like others said go micro....i think dividing the £500 and change into 100 200 200+ would be good.

I've been at it two years solid and im only starting to become consistent now !

 

[MayZerG]

Agreed with Black Swan and Megamuel, have nothing else worth adding

 

[meanreversion]

what is a market sentiment indicator and how does it work?

Someone stole my username!

 

[meanreversion]

Life is very short, you know.

Life is actually the longest thing you'll ever do. Time may go more quickly the older you get, but I refute the notion that "life is short". As an example, look at how much Rihanna has achieved in her career, and she is 22. There's plenty of time to do what you want if you put your mind to it and work hard.

 

[Hilarymannah]

Buy something for ten grand, and sell it for twenty !,...then use the ten grand profit to use for your trading apprenticeship.
You seem apprehensive with the ten grand,.which is a sure fire way to encourage the bad habit of "fear",..
BTW: It's a buyers market out there,..go out there and take it,..it's yours !!!