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[T1216]Trading Stocks For A Living

by Michael Comeau, Mic

Before the year 2000 it was much easier to make money, because the market was volatile and you could make nice money with the market swings using a proper plan, discipline and a quick but steady hand.

Since then it has become more difficult. Many of the day traders have gone by the way side for many reasons. Data still shows for the long term the stock market is the best place to be. I have put together just a few ideas of what I believe are good tidbits of information on the market and they are as follows:

1. Sell when you want to not when you have to.

2. Buy after the market has had 2 - 3 days of hard selling then takes out the high of the lowest day in that period. If your stock buy point matches then you got something to look at as a possible trade.

3. Sell after the market has had 2 - 3 days or wild buying then takes out the low of the highest day in that period. If your stock sell point matches then you got something to look at as a possible trade.

4. Use Discipline when trading. Have a plan that clearly states entry and exit points before you buy or sell a stock.

5. Understand your emotions. Greed will try to talk you out of taking a profit, letting the stock fall back before taking action. Fear of taking a loss will prevent you from taking action only to cause further losses.

6. Learn as much as you can by reading and taking seminars from someone who has been successful. Why learn from someone who is only talk. Check them out.

7. You trading plan should specify how much of your portfolio should be a risk for any given time.

I could go on an on. It's amazing what you learn over the years from trading, reading, seminars etc. I cannot tell you how much I spend on the knowledge side. It was worth every penny.

If you will do your research you can find software that can help you automate the process. I found in my research that they have gone way done in price. It's amazing what you can get now days for a fraction of what I use to pay. What should you do next?

Think about the above items, develop a plan, find software you like to implement your plan and hopefully you can automate the process. In doing my research I found some new exciting software that can not only automate the process, but help you with the decision making process as well.

Make your you do your research when looking for these programs by either using a website like mine, but not necessarily mine or do the work yourself. It is very important. Give your self a chance at success. Please feel free to read both this article or one of my many others by visiting my link in the resource box below. I always enjoy getting emails pertaining to my articles or my site. Your feedback is important to me.

I wish you the very best.

Just because you can access your account online, doesn't necessarily mean that your trades are instantaneous. Limit your losses in these fast-moving high tech markets by:

· knowing what you are buying

· understanding the risks involved in your trade

· know the trading process for fast-moving markets

Guard against some of the most common problems investors encounter in fast-moving markets.

Market Orders vs. Limit Orders

When stocks drop or soar suddenly, being stuck in the process of trading can mean the difference between making a sizable profit, and losing a bundle. Delays can develop in fast-moving markets, slowing down executions and trade confirmations. What you thought you were selling at one price, may be end up selling for quite another. Avoid buying and selling at prices higher or lower than you expected by placing limit order instead of a market order. Limit orders are executed automatically when they reach a set upon price, unlike a market order which is filled at the price that second, not necessarily the price set at purchase time.

For example, when you place an order for a $10 stock, placing a limit order will ensure that you don't end up paying $35. The same is true for selling. The stock will sell when it hits the target limit, eliminating sudden losses. The risk here is a loss of control to hold certain stock just a little longer in the hopes that it will continue to rise. Once it hits the selling target, it is sold.

Remember, Online Trading Isn't Instantaneous

Trading online can feature its own dangers. Problems with modems, servers, or delayed broker-dealer hardware can all cause a delay or failure in an immediate stock trade. Know what trading alternatives your firm offers (telephone, fax, etc), in the event a technological problem interrupts your transaction.

Avoid Double Buying/Selling

Too often investors mistakenly think that their order did not go through and place another order. This can cause them to buy stock they did not want, or even sell stock they did not own in the first place. Be sure to check with your broker on what to do if you aren't sure if your trade has gone through.

Choose the Best Broker

Buying and selling in a fast-paced market takes a broker who's capable of handling transactions quickly. There are no Securities and Exchange Commission rules that require any trade to be executed in a specific amount of time. Finding a broker that doesn't delay is up to you, the investor. Take your time and research brokers carefully in order to avoid losing important assets unexpectedly.

Article Source : How To Invest Stock Market

About Author

Both Michael Comeau & Bob Freeman are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.

Michael Comeau has sinced written about articles on various topics from Work From Home, Make Money Online and Jewelry. Michael Comeau has been owner of many successful businesses over the years including his current online business which can be viewed at. Michael Comeau's top article generates over 246000 views. to your Favourites.

Bob Freeman has sinced written about articles on various topics from Best Mutual Funds, Tax Liens and Finances. . Bob Freeman's top article generates over 1300 views. to your Favourites.