6 Responses to “How does the stock market work? I'm looking to invest in stocks and deciding whether it is worth it or not.?”

1. Natural Medicine Man Says:
   June 22nd, 2010 at 1:04 pm

   Read the other answers except HGSL who is promoting. I have been trading since 1963 and have come out very good in the long run. To explain the market in detail here would be impossible. Go to your local library and read all of the books. This will give you plenty of information and probably only take 2-3 years.

   It also depends on your education and how much you wish to invest. If you have less then 100K I suggest a mutual fund.

   To sum up the US stock markets it is like Las Vegas. Unless you know what you are doing you become a norm. Norm is for each dollar you gamble you get back 97.3%.

2. pay it forward Says:
   June 22nd, 2010 at 1:04 pm

   http://money.howstuffworks.com/personal-finance/financial-planning/stock.htm

3. Yahoo Help Says:
   June 22nd, 2010 at 1:04 pm

   Well, the stock market is a risky investment. It is impossible to determine which stocks will increase or decrease. It’s a risky take for investors. But, in order to make money, one has to take chances.

   Best tip available: Buy shares when the market is down, meaning prices of available stock are fairly low.

   I’d suggest you invest in the stock market right now, because due to the economic downturn, major corporations are down, so their shares are relatively low. When the companies start gaining profit, the shares of the company rises. When the company is losing money, the shares become cheap.

   Basically, the stock market is unpredictable. If people have the money than they should attempt investing.

4. ur9782 Says:
   June 22nd, 2010 at 1:04 pm

   The stock market is based on how companies are doing. The better they’re doing, the more the stock is worth. You can buy shares of stocks. If the stocks are worth 10 cents each, and you buy 10 shares, it’d be one dollar.
   So the stock market is thousands, if not millions, of people selling these stocks to each other. The better the company is doing, the more the stock is worth. So if the price of stocks drop one day, someone could sell some shares of stock. If you buy them, and they go up the next day, you can sell them for a profit.
   I wouldn’t invest in it right now though. You can maybe buy some shares of major companies, but not many. These would kind of be like junk bonds, they can either be really successful, or the company could fail.
   But it’s all up to you.

   If you want to try an easier, non risky version of the stock exchange, and you want some practice before you try it, you can go to this site:
   http://virtualstockexchange.com/Game/Homepage.aspx

   It’s pretty simple, and you wont lose or gain any real money
   Have fun!

5. Go For It Says:
   June 22nd, 2010 at 1:04 pm

   The reliable and safe investment is Managed Forex Acccount with myfxfunds if you would like to make 2% – 15% per month.

   search for myfxfunds in yahoo search engine for more information.

6. Nick_S_FINA4242 Says:
   June 22nd, 2010 at 1:04 pm

   The market is very complex so you should do your research first. If you do decide to invest, make sure to read up on your investments and don’t act based on other people’s ideas.

   In case you are looking for advice on an online broker to use, I would recommend Scottrade. Its free to open an account and I believe a $500 minimum initial investment is required. This way you can make all your own investment decisions and use the tools and reports provided by Scottrade. All the online dealers have different rates, but Scottrade only charges $7 per transaction so you never have to worry about what you will be charged with the random fees charged by other brokers. Scottrade has never charged me a dime other than for my trades.

   Scottrade transactions go through virutally instantly. I was very impressed with how quick my transactions are carried out and that my funds are available for trading immediately

   If you open an account and use: PVMI2081 as your referral code, you will get 3 free trades to start with. Here is a link to their web site: <www.scottrade.com>

   REFERRAL CODE: PVMI2081 for 3 FREE TRADES

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