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How do I invest in stocks?

I am 18 so I can invest in stocks now! I am brand new to this so I need some step by step help! What is the best website to do it on and also which stock am i more likely to make money on:

Disney

Apple

4 Answers

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  • ?
    Lv 4
    8 years ago
    Favorite Answer

    I've answered this for somebody, but basically, you shouldn't just rush into the stock market without knowing what you're getting into. You can easily lose all of the money you initially invest. And fast.

    The stock market is entirely experience-based. Being ignorant and oblivious to how the market works will lead to failure. It's all about street smarts, which takes time to develop.

    Disney and Apple aren't exactly cheap stocks. They seem like good companies since you know about their brands, but that doesn't mean you can easily buy some of their stocks.

    At the time of writing, Disney's stock (DIS) is at $65.16, and Apple's stock (AAPL) is at $491.10. Almost nobody trades less than at least 100 shares, since you wouldn't even be able to earn enough for the commissions fees, most of the time, unless there's a huge jump or drop in price due to a fluctuating stock. 100 x that value is, well, yeah. Probably more than you'd like to invest.

    These two stocks are considered "blue chips"; that is to say, they're large corporations that are heavily influenced by market conditions and the news, and can cause a chain effect to other blue chips corporations from how it moves. For beginners, these can easily lead to huge losses since you can't properly predict their movement just yet.

    It's best you took some time to just analyze companies, news, and the market indexes (such as the S&P). They teach a lot in terms of where the market's headed, and how they affect it.

    Since you'll likely just trade stocks, you should have at least $5,000 to begin with, with the least being $3,000 if you're doing cheap (likely penny) stocks. Otherwise, continue to save up and just use the time to practice using test accounts (usually available by most brokers), or even just use a Google/Yahoo! Portfolio and "pretend" you're buying/selling stocks.

    Only start investing once you have confidence, and are willing to accept losses.

    Now regarding the Disney/Apple decision, there is no answer to "which stock am I more likely to make money on". It's just not possible to answer it, since both stocks go up and down from regular activity.

    Making profit off the stock market is entirely subjective to how well you predict the stock's movement. If you buy in when you know it's going to go up, and it does, you'll earn profit. If you sell when you know it's going to go down, you'll protect your capital, or earn more (if you try your hand at short selling).

    I suggest you do more research, and once you have a better idea of what the stock market is, you should ask more specific questions as to what you're interested in achieving. (Just figuring out how to earn money from the stock market isn't exactly a good enough topic to inquire about.)

  • 8 years ago

    When I started out there was someone kind enough to give me this tip: live stock are the best stocks. Other stocks are like cocks going cockadoodledoo early in the morning. As you probably have figured out by now this someone was not a city slicker, but great guy and the advice allowed me to become a money farmer.

  • Paul
    Lv 7
    8 years ago

    You need to get a stock broker so google stock broker and look carefully at the various options available to you and decide which is best for you.

    As for stocks I can't tell you what to invest in that's your money your risk your decision.

  • Anonymous
    8 years ago

    READ AROUND ON MORNINGSTAR.COM OKAY GET YOUR FEET WET AND GET A LITTLE BIT OF WHAT THE **** GOIN ON IN YOUR HEAD BEFORE YOU JUMP SHIP..THEN WHEN YOU GOT THAT "HOLY **** IT'S TIME TO STICK IT IN THE STOCK MARKET" FEELING, YOU KNOW YOUR READY. IT'S LIKE LOSING YOUR VIRGINITY. YOU KNOW WHO YOU WANNA DO. YOU KNOW WHERE YO MONEY GOIN AT THIS POINT *COUGH* E-CIG COMPANIES *COUGH* POOP *COUGH* GO FOR IT BROTHA.

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