Investing basics. Practical guide for beginners about stock exchange. My experiences.

I’m individual investor for 2 years. I’m investing a real money on the stock exchange. Earlier I spent 2 years on portals offering the game on the virtual stock exchange.

Are you thinking how to start your investment adventure? If yes this hub is for you.

Saying straightest. Risk is a current sacrifice for the uncertain benefit in the future.

The risk of loss of your money on the stock exchange is huge. Risk management is one of the most important thing you should learn if you’re starting your investments. How much money you can risk in transaction? It’s very important question. Watch movie about risk management.

Do you know what’s the difference between secure bank deposit and investments on the stock exchange?

Return is the most important difference. That’s why you should learn about investing. Learn how to manage your own money. Don't give them back into unauthorized hands. The learning of investment will bring you the bigger profit in the future.

Golden rules:

1. More action=more risk

2. More risk=huge profit

3. Huge risk=longer time of investment(sometimes)

I’ll give you good answer by making good picture.

Stock exchange is place where split capital is being transferred by the stock exchange to companies. In theory this is effective allocation. For example you have money and you don’t know how to use them effectively but companies know how to create business that will bring you profit if you can give your money for them.

You can say ok but I don’t know how to start. Yes I know it’s hard without any practice make great profit. However I know the solution. It’s virtual investing. You can create account on site which offers free virtual stock exchange. It’s very useful because you learn how to invest without risking your own money. You can use this site

I’m investing money for 2 years and I know how hard is to survive great fall on market. I lost much money but thanks to this I learnt, that I have influence only for three things:

1. When to buy

2. When to sell

3. When to stop

I learnt that I can’t say: Hey you market stop now. I’m loosing money. You have only three exits: buy, sell or no action.

You must understand that your bad humour doesn’t change anything but can only bring you to depression. That’s why you should always remember about this three rules.

It’s the most important thing. You need to create your own strategy adapted for you.

Without strategy you’ll loose all your money. I’m sure. You should learn what is technical analysis and fundamental analysis. You should know everything about trend. You should learn a lot to create good trading strategy but learning can be your best profit.

You should create your own system and ask a few questions.

When I should buy?

When I should sell?

What conditions a market must have if you’re supposed to do the trade?

 You can do it. You can be great investor!