Very basic newbie questions

[nopeda]

Hi,

I've never done any of this but have been thinking about it for around 20 years. Now I finally want to at least try it out but don't know how to get started. I'd like something to be involved with like day trading or something but don't want to--and can't--sit in front of a computer all day because of work, and don't have much money so would have to deal with low priced stuff. I've heard the term penny stocks. Is it possible to set it up in advance so things will automatically buy and sell when they reach different points so we don't have to be there watching charts all of the time?

Just in searching around for different forums it became apparent that there are a lot!!! of places for beginners to start, but I don't want to just grab whatever and hope it's worthwhile. So I'm asking around what experienced people have learned about and suggest as good specific tutorials or threads or whatever they think is best for beginners to learn the basics. I know nothing at this point so need to learn how to find out what to learn, if that makes sense. Where to start from the very beginning, from nothing?

Thank you for any help and suggestions!!!
David

 

[SamuelTrader]

Hello,
Have you seen this thread? http://www.trade2win.com/boards/first-steps/30625-i-m-new-trading-where-do-i-start.html

 

[dbphoenix]

Developing A Plan

 

[radex78]

If still beginner, included me , I am prefer with start from learn theory, first time i knows forex from babypips which this is popular site among trader around the wolrd, there we can learn anything related forex, but for me practiice is more important han only learn on theory

 

[nopeda]

Hello,
Have you seen this thread? http://www.trade2win.com/boards/first-steps/30625-i-m-new-trading-where-do-i-start.html

No, but thank you for a specific suggestion! I'll check it out.

 

[nopeda]

Developing A Plan

Thank You! I'll look at your pdf.

 

[hhiusa]

Thank You! I'll look at your pdf.

Ignore vendors like the plague.

 

[NVP]

Just take your time and research the basics.......basic systems and approaches , patterns and chart analysis......you will need to get into specialisation though before the real work begins

Find a market and a style that you think fits you. Then spend the rest of your life perfecting that edge

N

 

[NVP]

Developing A Plan

That's a nice piece for beginners .....db.

 

[nopeda]

Just take your time and research the basics.......basic systems and approaches , patterns and chart analysis......you will need to get into specialisation though before the real work begins
N

Can you suggest some good specific place(s) to do that? I keep seeing things that tell me I'll have to learn a lot about myself, and will have to learn to be patient, and will have to learn to handle risk etc, long articles about stuff like that, but so far not much that explains basic aspects of actually doing it, and terminology, and different approaches, etc.

 

[hhiusa]

Can you suggest some good specific place(s) to do that? I keep seeing things that tell me I'll have to learn a lot about myself, and will have to learn to be patient, and will have to learn to handle risk etc, long articles about stuff like that, but so far not much that explains basic aspects of actually doing it, and terminology, and different approaches, etc.

I told you to avoid vendors like the plague. Your questions are well founded. They cannot give any specifics because they do not know. Most people just eat up the garbage they say and do not ask questions. They cannot explain the aspects of actually doing it because they have not done it or mastered it themselves. They have no proof that they are actually trading. Just look at the posts of any vendor.

Your best bet is to do like most people and do some research yourself. Do not pay for any classes.

 

[dbphoenix]

Can you suggest some good specific place(s) to do that? I keep seeing things that tell me I'll have to learn a lot about myself, and will have to learn to be patient, and will have to learn to handle risk etc, long articles about stuff like that, but so far not much that explains basic aspects of actually doing it, and terminology, and different approaches, etc.

Depends on what you mean by "it". If you don't know what you want, then any answer you get will likely be generic, e.g., learning about yourself: if you have no particular questions in mind to answer, what exactly are you supposed to learn? There's no point in asking if you want to trade price or indicators or patterns if you don't know what any of that is. And there's not much point in exploring those options until you decide whether you want to trade stocks or options or commodities or futures or forex or any other instrument. And you can't answer that until you determine just how much time you have to devote to this: daytrading, short-term trading, intermediate-term trading, etc. Then there is the whole morass of risk tolerance.

Explain exactly what it is you want to accomplish with your trading and how much time you have to work toward your goals and you'll more likely get answers that are specific enough to be of actual use.

Db

 

[nopeda]

I told you to avoid vendors like the plague. Your questions are well founded. They cannot give any specifics because they do not know. Most people just eat up the garbage they say and do not ask questions. They cannot explain the aspects of actually doing it because they have not done it or mastered it themselves. They have no proof that they are actually trading. Just look at the posts of any vendor.

Your best bet is to do like most people and do some research yourself. Do not pay for any classes.

Don't pay for any classes. Ok. Then where to do the research? That's what I'm trying to find out. How about a book? And what book? What about Youtube tutorials? Why would anyone explain it for free on Youtube? But then again why would anyone explain how to smoke a brisket for free on Youtube? Doing a Google search brings up hundreds of thousands of hits, so how to choose what to look into? Just keep looking at whatever seems good and see if it helps, and if not move on to the next and see if that helps, and if not move on to the next.... It's that phase I was trying to avoid by asking for specific suggestions. I did get a few and will start there. Now I'm just trying to explain why I took this approach to begin with.

 

[nopeda]

Depends on what you mean by "it". If you don't know what you want, then any answer you get will likely be generic, e.g., learning about yourself: if you have no particular questions in mind to answer, what exactly are you supposed to learn? There's no point in asking if you want to trade price or indicators or patterns if you don't know what any of that is. And there's not much point in exploring those options until you decide whether you want to trade stocks or options or commodities or futures or forex or any other instrument. And you can't answer that until you determine just how much time you have to devote to this: daytrading, short-term trading, intermediate-term trading, etc. Then there is the whole morass of risk tolerance.

Explain exactly what it is you want to accomplish with your trading and how much time you have to work toward your goals and you'll more likely get answers that are specific enough to be of actual use.

Db

I guess I'll take the terms you mentioned above and do Google searches and see where it goes from there:
how to trade price
how to trade indicators
how to trade patterns
how to trade stocks
how to trade options
how to trade commodities
how to trade futures
how to trade forex
how to trade different instruments
daytrading vs short/term trading
short/term trading vs intermediate/term trading

also some other things I've already got in my notes:
stop, break, target, guideline, break above/below

So at least now I'm getting some actual terms to try to specifically learn about. Years ago a I read a book about it and it started from the position that the reader knew nothing about it and took it from the ground up, and at the end I understood what had been explained and felt I had a general idea about things. But that was about 30 years ago and at that time I didn't have a home computer nor did anyone else I knew. I saw the charts and different ways of viewing them from pics in the book but couldn't find them myself and didn't know how anyone else could. Years later I got a computer but it was years after that when I started thinking about maybe trying this, but never did. I wish I could remember the name of the book but it was something I probably just checked out at the library out of curiosity and didn't buy because otherwise I should still have it. My hopes in making these posts was that people would be well familiar with online things they feel are good for learning the basics that start from the ground up explaining ideas and terms like those now listed above, as that book did.

Also having wanted to learn the basics of making electronic music I came across things I felt were good for that, so if one of the music forums someone asked about a good starting point I would for example suggest this video:

even though the VSTi package he uses is now hard to come by the vid teaches very significant things about the DAW he uses so for me it was the foundation of learning specific significant things and was the real starting point for me. I was hoping for similar things from the posts I made to these forums.

I thank you and everyone who has tried to help me very much! for your suggestions, and will try to use them to eventually develop a basic understanding.

Thanks again!!!
David

 

[hhiusa]

Don't pay for any classes. Ok. Then where to do the research? That's what I'm trying to find out. How about a book? And what book? What about Youtube tutorials? Why would anyone explain it for free on Youtube? But then again why would anyone explain how to smoke a brisket for free on Youtube? Doing a Google search brings up hundreds of thousands of hits, so how to choose what to look into? Just keep looking at whatever seems good and see if it helps, and if not move on to the next and see if that helps, and if not move on to the next.... It's that phase I was trying to avoid by asking for specific suggestions. I did get a few and will start there. Now I'm just trying to explain why I took this approach to begin with.

Do not pay for anything. You do not need to buy books. Anything that is in those books or courses can be found online for free. There is no substitute for hard work. I would especially avoid people doing any tutorials. Even though Google will say that there are hundreds of thousands of hits, in fact, very few of them will be relevant. It should become pretty clear when you click the link whether or not it is relevant fairly quickly. This is not something you learn overnight. You will have to do some research for a while.

stockcharts.com is a good place to learn about technical analysis. They explain with examples what each indicator and oscillator does. There are several websites besides google finance and yahoo that provide historical data for backtesting.

 

[new_trader]

Making music Vs Being a musician

Also having wanted to learn the basics of making electronic music I came across things I felt were good for that, so if one of the music forums someone asked about a good starting point I would for example suggest this video:

Since we have a similar interest (electronic music) I thought I would add my 2¢. There is a big difference between making music and being a musician. Anyone can buy the latest and greatest midi software, synthesizers etc. and by following all the tutorials on YouTube you could probably compose a song within a few weeks. The problem is it will sound exactly like every other boring and unoriginal song being composed by every 3rd moron who has done the same thing as you with the same software. The chances of you composing a smash hit or even earning a meagre living from your music is near zero, and my guess is you don’t have any expectations of making money from your music. However, you think things will be different when it comes to trading, right?

 

[dbphoenix]

I guess I'll take the terms you mentioned above and do Google searches and see where it goes from there:
how to trade price
how to trade indicators
how to trade patterns
[etc]

Unfortunately, you're jumping way ahead. None of this is what I would call "step one". If you answer the questions I've posed in the first two steps of "Developing A Plan", I can prescribe something. Otherwise it's just the same old generic boilerplate.

Keep in mind that if you use what everybody else uses and do what everybody else does, you will likely end up in the same place as most everybody else: wasting time and losing money. This is particularly true with regard to indicators and candlesticks. As you're no longer a kid, one can hope that you are ready to approach this as a grown-up.

There's no hurry. The market will be here next week, next month, next year.

Db

 

[EnlightenedJoe]

Can you suggest some good specific place(s) to do that? I keep seeing things that tell me I'll have to learn a lot about myself, and will have to learn to be patient, and will have to learn to handle risk etc, long articles about stuff like that, but so far not much that explains basic aspects of actually doing it, and terminology, and different approaches, etc.

A good place to start is at Walmart. Walmart is a market place where you can buy stuff with your money, just like any other market. So, once you work out how to buy from Walmart and then sell for a profit, you would have learnt all you need to know to buy and sell in any other market. All markets are pretty similar with minor differences.

If you are unable to profit from Walmart, then your results in other markets will be the same. I think it is slightly easier to make a profit from your music. If you put it up on ebay, someone, somewhere will surely buy one to see what it is all about. The world is a big place, out of the billions out there, there must be a few who will like your music.

Now back to Walmart, practically anyone can understand Walmart. If someone is very clever and works out where Walmart is getting their stuff, that person could go buy from the same place, and stands quite a good chance of making a profit. So the plan is really very simple. You won't even have to learn all the charts, read the news, etc, etc.

 

[dbphoenix]

Now back to Walmart, practically anyone can understand Walmart. If someone is very clever and works out where Walmart is getting their stuff, that person could go buy from the same place, and stands quite a good chance of making a profit. So the plan is really very simple. You won't even have to learn all the charts, read the news, etc, etc.

This analogy also applies to the Big Money traders who buy wholesale, often before or after regular market hours, and everybody else, who buys retail. The latter, depending on how well they understand the auction market, are either farther back in line, at the end of the line, or are shopping at the wrong store. The last usually complain about having missed the clearance sale "yesterday".

Db

 

[EnlightenedJoe]

This analogy also applies to the Big Money traders who buy wholesale, often before or after regular market hours, and everybody else, who buys retail. The latter, depending on how well they understand the auction market, are either farther back in line, at the end of the line, or are shopping at the wrong store. The last usually complain about having missed the clearance sale "yesterday".

Db

Big money, small money make no difference if they don't know where Walmart get their stuff from, or how much they paid, or if they intend to buy more at cheaper prices.

Just because Walmart is simple to understand, doesn't mean it takes no effort or cleverness to understand them. Nearly all will fail to profit from Walmart's business and so they will fail in other markets too.

Like I said, easier money in music.