Training Wheels and Triangles

[OutlawPajamas]

Perhaps I should preface this with the fact that I am a total newbie/ trading virgin. I originally came to this forum doing research for a fantasy stock profile because the last bowl game left me with a fantasy sports opening. Now, that being said I have a few questions that I was hoping someone could answer for me, just imagine that you are trying to explain algebra to a preschooler when you give your responses and we should be just fine. I apologize ahead of time if my questions are annoyingly ignorant but I am in fact annoyingly ignorant.

I am not even sure where to begin so I will just ask about what I have read that interests me the most. During my research I have been using yahoo finance to look at stock charts and I wondered when I was doing this if there is some way to look at the curves throughout the charts history and within a margin of error predict future curves based on past ones thus predicting future price rises and falls. I know there are other factors involved but I noticed in many of your posts that you discuss triangles and other such mathematical properties so that is question number one.

Secondly, because I have never done this and only saw my first chart yesterday I am somewhat at a loss as to where to begin. If I wanted to spend a few thousand just experimenting, what is the best way to do that. I saw mentions of discount brokers. Is this a good idea, if not what are some alternatives?

Finally, I have some concerns about the value of the dollar, reading many horror stories during my research warning of imminent worthlessness. Do you guys in your wisdom and experience think that this is a valid concern or just something that is propaganda to affect the market and I am falling for it? If it is a concern, should I only look at foreign markets? Are these harder to trade in? Should I just buy currency, i.e. euro? I know there are most likely way too many questions to be answered but like I said, I know nothing and would appreciate any advice you are willing to give. I am a full-time student and work a full and part time job. I save money and store it all over my house (I am a waitress and think I must have lived through the Depression in a past life and it still haunts my psyche.) but am sure that by doing this I am actually losing money.

Thanks for your help, any would be appreciated:roll:

[TonyM]

I don't think you can get a real feel for the markets until you see it happening in real time. I would recommend that you open an account with a broker, not to trade right away but to gain access to many more tools than Yahoo or some other free service will afford you. I think Scottrade would be an excellent platform for you to start out with, many tools even with the free basic platform and iirc it's $500 to open an account. Lot's of reading required before you buy your first share, imo.

As far as losing money by stashing it in the house, I'll agree with that, you could be getting at least 3 or 4% on your money from a financial institution, with no risk.

[OutlawPajamas]

Thanks Tony! Everyone on the forum seems to have only good things to say about Scottrade other than an occasional glitch which I am sure all of the discount brokers have. Only $500? I will just take that out of my sock drawer (truly). I will spend the next week studying up and let you know how it goes. Thanks again.

[TonyM]

I've been critical of them when those glitches occur, but after checking around I could not find another broker that fits my requirements and style of trading, so I must concede the pros outweigh the cons.

[Luc1Grunt]

Great advice Tony.

Good luck PJ. Since you admit you are very new, scan the posts without a ticker symbol or one's that have a trading "topic" as the title. Those have nuggets for basic and advanced knowledge. I say read those first to get a basis of knowledge as opposed to reading a thousand threads on individual stocks. That can wait. There is a goldmine in here (believe it or not). I would give out the names of knowledgeable posters, but I would I would inevitably leave out some good ones. You'll spot those as you read.

Here's one I ripped from another forum that has some good points in it.

http://www.onlinetradersforum.com/showthread.php?t=16386

[OutlawPajamas]

Now I am excited to learn but also terrified of that first phase that if I know myself will last last much longer than it should. Strict money management is something I have only done in cupboards and shoe boxes in closets so I know that the learning phase is going to take awhile. I will keep you guys updated on my inevitable early woes and hopefully later gains and insight. I will begin my search for the best risk/reward ratios as soon as I have finished the studying for a CLEP test I have been avoiding by posting here. Thanks again!

[OutlawPajamas]

I hope this works. I have tried to post several times but I believe the thought police are blocking me:mad: here goes again...

Now I am excited to learn but also terrified of that first phase that if I know myself will last last much longer than it should. Strict money management is something I have only done in cupboards and shoe boxes in closets so I know that the learning phase is going to take awhile. I will keep you guys updated on my inevitable early woes and hopefully later gains and insight. I will begin my search for the best risk/reward ratios as soon as I have finished the studying for a CLEP test I have been avoiding by posting here. Thanks again!

[Rich]

Now I am excited to learn but also terrified of that first phase that if I know myself will last last much longer than it should.

LOL, I'm 55, never traded before last year, I've been here about a year or more on and off. When you get my age your scared to death your going to loose it all! I'm almost comfortable in jumping in full force after all this time. Being this is a part time learning process for me its taking longer. Also, I my parents were real negative on everything in life so I tend to fear the worse.

As Luc stated, there are REALLY great people here, and Luc is one of them. Wonderful people, I can't stress this fact enough.

One reason that I missed so much over the year is I didn't know there was a chat room until our friend AJlightning mentioned it too me. Since then I've learned more in a few months than I did in a year. Funny how it was sitting right on top of the forums page!! (BTW, don't ask a lot of tech questions in the Chat, watch and read the exchanges between the pros, don't be a pest. I see more people do that and it distracts the traders. Save the questions for this part of the forum. )

BTW, don't get hyped up with Cramer or Fast Money and think you have to buy what they say to buy the next day. Their record isn't as good as many here on the board! Cramer recommended CELG in the mid 60s, its now the lower 40's, Recommended TM at 124 and said to get out when it was 112 and now its 104, NYX at 89 and its hasn't sceen that in a LONG time, he mentioned SHLD at 194, it lost $100 since November !!!!! Cramers smart but he's under pressure to do a show and some of his picks in my opinion are fill in stocks for his show. Don't do anything until YOU study and understand the facts and bounce it off a few friends.

Best too you, your in the best forum on the net because the best people are here. After awhile they become family.

Rich

[netwrangler]

I'll say an "amen" to the prior posts, and add two things:

There is a place on the OTF to ask questions. Ask them!
Believe it or not, some of the most knowledgeable folks on this forum actually scan the questions area to see if they can help a newbie.
They certainly helped me as I came into the OTF.
That said, the search tab is your friend. Before you ask a question, do a search.
You may find an answer already posted.
Most likely, you will see a way to make your question more precise.

BTW: Welcome to the OTF.