Share trading

[Naggy]

Hi

Has anyone tried trading shares to make a bit of extra cash? A friend of mine left work after doing a share trading course and now earns about $36,000 a year by doing in for a few hours a day. The course and software was about $1500 or so. I know there's a few of them around.

I've bought the course he did (it's a home study one) but haven't had time to do it yet. I own shares already and know a bit about the stockmarket but if you don't the courses teach you.

I aim to study up and do a bit of trading when bub number 2 is here. I think the good thing about it is that you are in control - ie, don't need customers etc. The bad thing is that you do need money for a course but depending on your circumstances, believe this can be tax deductible.

Naggy

[xkwzit]

Hi Naggy
I gave it a go, set aside some money and read some books. I thought it was the kind of thing that I could be good at, but I didn't really get anywhere. I decided I was better off spending my spare time on other things! I am also working part time and sometimes could not trade as I wanted to because of not being able to place a trade at the right time. I didn't lose a bomb, but certainly didn't make any serious money either.

I am sceptical of the "black box software" that analyses the market and delivers signals for you to trade on (your software sounds a bit like this). Most of the books I have read say that successful traders are always trying to improve their techniques (and I'm not sure that you can do that if you are reliant on a software package).

Good luck to you, I'd love to be good at it, but it not something I could easily learn.

[Kaycee]

Hi Naggy, nice to meet someone else interested in the stockmarket, although I am more an investor than a trader. I belong to a forum which you might find helpful, if you haven't already stumbled across it. I will pm it to you.
Cheers
Kaycee

[Naggy]

Hi Kacey

Thanks for your message - I will have a look at the forum when I get two seconds to myself!

I too am an investor, but have decided that this time around I am going to study this course and do some trading when I'm at home with bub number two. I've nearly finished and have done some 'paper trading' and it seems to be pretty solid.

Cheers

Naggy

DH
DS - Sam - 3 yrs

[Ky]

My bil did this for a while, but found that he wasn't any better off and ended up spending all of his time on the computer and no more time with his kids than he did when he was working outside of the home! The only thing that he did gain was about an extra 8 or so cups of coffee a day!

Needless to say, this wasn't for him and he has now started his own business contracting in the electrical industry and is doing very well.

On the other hand ... I have a friend who lives nearby who has done this sucessfully and still continues to provide his family with a high income and standard of living through it.

if you find that you understand it and are willing to take a few risks and ride out the lean times, then go for it ... it sounds like it could work!

[Ineedsleep]

Hi

There are other options other than trading - i haven't done this but i do believe it sounds a bit like the post above.

I have been looking at Options (puts and calls). I'm going to meet with a group though so I have some support before i put in any money.

Main thing is to paper trade 1st and have your exit strategies in place. Also there are many different ways to make $ on the share market not just trading, so you should find something you like.

Good luck

[Ami&Sophia]

oh ,

I also want to join the share market as trader or investor or whatever... but I still do not have any ideas where to start... Do you have any ideas, advices, please help.. me.. to earn extra cash at home..with bub!

many thanks,
Ami

[Kaycee]

Hiya Ami,

A good place to start is the asx website (www.asx.com.au) your local library (there are heaps of books on the topi) and magazines such as "smart invester" or "money".

The asx website has free online courses if you sign up.

Some towns have "share clubs". This was how I was introduced to the sharemarket. It was a good social way of learning how the stockmarket works.

Good luck!!

Kaycee

[Foxymoron]

My cousin was talked into buying one of those courses, he is worse off for it now. Anything that makes an outrageous promise to you and costs an arm and a leg should be thoroughly checked out with relevant consumer groups before you go ahead. You need a lot of money to invest in the first place to really get into the share market, in the way these companies advocate...

We have blue chip shares, and a good financial advisor... That's a great start for anyone. Sit on them watch them grow, use your profits to buy more shares. Then when you have a decent portfolio, you can play the market a bit.

I think Kaycees advice is fantastic, join a group or go online to learn about it.

[xkwzit]

IMHO you should not need to spend lots of money to get ppl to tell you how the stockmarket works. If they are earning so much money trading, why are they charging you $3000 to teach you about it, rather than just sitting at their PC making another mill? I think I'm just suspicious by nature ;) .

There are a tonne of books at the library and the ASX does have a lot of info on their site as well. Start with the free stuff and see how it goes.

Cheers

[Ineedsleep]

I agree, a lot of courses out there, some are good but they all make the same promises. The ASX as mentioned has online training for free. There is also historical data somewhere (if you can't find it let me know and i'll look up the link). Find a good forum. Do your paper trading then use some data from the last "correction" was that in May to make sure you know what you would have done then.

Good luck.

[provencein3]

Hi i have done share trading and was hoping it would help me retire from work. I started during the techie boom and made good money. However the market changed and so I was not so successful.

To trade successfully it is basically a part to full time job...first to know how to trade, what signals to look at etc and then to watch the markets.

I accurately bought one of those very expensive software packages. Potentially I could have gotten a cheaper version but this seemed to do everything I needed. I actually worked for the company for a while. There are black boxes out there but the one I have actually filters the stocks for you by certain criteria. You then have to analyse the charts and make your own decisions. They have an online forum for education purposes etc.

I will eventually get back into the market however there are a few other things I need to start up first. To make a serious living from trading you need to have quite a lot of capital, but its likely to make some good cash on the side for you.

I have a friend who does not have a software package that I'm aware of. Most of the brokers have online charts for you such as Commsec, HSBC and ASX. I haven't used them all so not totaly familiar with them. The difference between them and the software packages is that you have to identify the stocks yourself and then analyse them. She is part of a social group that tradesthe market. They all have to research some stocks prior to their monthly or whatever meeting and then make their recommendations. She says the only disadvantage is that because there are so many of them now you don't always get to buy your preferred stock ie you have to be happy to make a shared decision. I personally think buying a particular stock should be a personal decision.

So I'd recommend it but agree you should start with the freebie stuff first and use it as a sideline for the time being.