To: Connor26 who wrote (61498 ) 9/15/1999 11:35:00 PM From: Susan G Read Replies (2) | Respond to of 120523
IBD also has an interesting article on the top 200 Tech Stocks today. But I TOTALLY disagree with that $10,000 trade one or 2 stock advice. If this was the way I traded when I started, I'm sure I would have lost it all by now. My best trades ever have been on approx. 100 shares - sometimes less on the expensive nets that are over 100 dollars. It's much safer as a newbie trader to buy smaller lots until you are more sure of yourself. And when you have 50 or 100 shares you don't totally freak out if they drop a buck or two - or FIVE. But with 500 or 1000 shares, it's harder to manage your emotions and you usually end up selling at the bottom in a panic, only to see it recover the next day. It is important though, not to own too many at once so that you miss a move because you have too much to keep track of. Jenna's advice was excellent - to only watch 20 stocks closely - more and it's overwhelming. I tend to hold stocks a little longer than most traders, a much easier feat if you have a small amount. For example, one of my recent trades: 50 shares of DISH at 60 3/8 one down day, 8/9. When I saw how low it was, I couldn't resist bottom fishing and spent the "loose change" in my account on those shares. This week it has been trading between 90 - 93, one month later. And although some days it was down 5 points, it was not stressful at all - a $250 loss, big deal. And now I have $1500 gain in one month on 50 shares. Not bad... So for all you new traders, don't feel hesitant to trade small amounts to start. Buying 1000 shares of a stock that turns down 2 pts quicker than you can click on your brokerage window can be very traumatic!! But with a few smaller, manageable trades it is not. AND...you will keep your sanity <ggg>