Tips On Investing

This page was made just to give some personal tips on investing; that I have learned over the past couple years so maybe you can use or avoid some of them.

Believe me I have made my share of blunders. As I said before, I am still learning new things everyday, but here are a few things I have learned:

(1.) When you buy a stock always immediately put in a stop-loss order. This single step could protect you from complete financial ruin if you can not monitor your stocks daily.

(2.) Never purchase a stock you receive through an online email or regular mail. It more than likely is a Pump-and-Dump Scam. (Rent the movie "The Boiler Room" good flick about this kind of thing.)

(3.) Never use money to buy stocks that you can NOT afford to lose. In other words, do not play a game of black-jack with your mortgage payment.

(4.) If you are new to investing do NOT buy stocks on margin. You can use a margin account, but only use the actual cash you put into the account NOT what the broker is willing to lend you.

(5.) Avoid buying into a stock when the market first opens; because prices tend to be wild in the first hour the markets open, and you may pay to much for a stock. Stocks tend to stabilize a bit after the first hour of trading. Trying to chase a stock going up during the first hour will frustrate you trust me.

(6.) Learn how to use trailing-stops.

(7.) Control your own greed. Remember people first then money. If you start turning the stock market into a casino it will take you for all your worth.

I will be adding more tips as they come to me.

Best Wishes For Now,

Lucky Dog