Day Traders

I have around $700 saved up that I just don't have anything to spend it on right now, and I was looking into investing in stocks.

I was wondering if there was anybody that could potentially teach me the basics of day trading, or refer me to a "Dummy's Guide to Day Trading"?


Always,
Philosophic

 

Lol, best way is to practice small but to make anything big out of that your going to have to go with high risk.

 

With $700, you're better off putting it in a general stock index mutual fund roth IRA. You're looking at $5-7 trades at any reputable broker so day trading with $700 implies you'd need massive fluxuations to break even. Plus, since you don't really know what you're doing, you'll probably make more in the long run with the roth IRA. Any broker will help you set up that roth IRA if you give them a call.

Before you start actual trading with real money, I'd suggest doing it with play money (there's a ton of websites) and learn some of the trends, etc. It definitely helps if you treat it realistically ie don't make rash decisions or invest more than 7.5% in one stock/area. Some websites to start watching:

www.thestreet.com
www.zacks.com

I would say good luck but it's not about luck- do your research!