View Full Version : trading stock indices and forex, is it worth investing time and money into it?


sams
12-21-2005, 08:54 AM
trading stock indices and forex, is it worth investing time and money into it?

Yarcofin1579
12-30-2005, 08:22 PM
You're better off with the stock market than foreign exchange. Forex is a lot more risky, although the rewards can potentially be much, much larger, so can the losses. If you saw the Forex infomercial, I wouldn't bother paying for that either.With some basic knowledge, the stock market will make you 10-15% per year. Last year my rate of return was 16.05%, this year I've done very poorly and I'm down -1.45% overall so far. You have to look long-term.It won't take you a lot of time. You will want to spend several hours reading and learning about the stock market before you put any real money into it. I recommend the tutorials on www.investopedia.com. They also have a Stock Market Simulator which lets you set up a pretend investment account for free just to play around and see if you are ready to put real money into the stock market yet.Once you get past the basic learning curve, it can take as little as minutes a day. You can just check your stocks each day, decide whether you want to hold or sell or buy more. If you are looking long-term you will be fine just checking your stocks once a week even. Or you can put in as much time as you want... watch the business reports on TV every night, read the business section of the newspaper every day, do hours of research into company's financial statements, etc.It sure beats leaving your money in the bank and losing value to inflation year-after-year, anyway.

CharlieMike6992
01-09-2006, 07:50 AM
It all depends. If you believe there is order in the seemingly chaotic symphony of events and prices and traders and investors....then yes. You can make money, but it will take more time and money. You will have to invest time and money.What I mean ? Somehow there is a correlation between the pscychology of traders to the decision they make regarding FX and the mathematics of prices as reflected in the charts.The charts is a mathematical representation of that psychology. A price in a point in time reflect what the seeler and buyer agree is the "optimum" price at that time.But over a period of time you will see "mathematical/geometrical" shape forming. Like triangles. Triangles represent the psychology of investors/traders" over that period in time. Basically indecision/ Uncertainty. Unwilling to risk more or risk less. Thus prices consolidates. Its a stale mate of sorts. To see who blinks first. Triangles are like rain clouds, there is abundant energy built up with no way to go. Like aman without "s_x" for a long time. Therefore it will shat they are shoot in either direction. And thats when a setup for a profitable trade comes in.However to be RICH in Forex, we are again like the price in the point in time, its not a single isolated event.Many fail becasue they fail to see the point. They are going to make many trades. Many hundres, many thousands. I dont consider myself a very active trader and I already make 60 trades a month. So over a year its about 720 trades.QUESTION : How to survive 720 trades and grow the equity.??