I need to know whether there are any stock trading companies that wil allow me to trade day to day without a margin account. I want to buy a stock one and and sell it the next. I can’t do it with Scottrade because they require that I have margin in my account.

While you don’t need to have a margin account to day trade, you will be required to have 100% of the purchase price on hand if you are trading simply in a cash account.

I’m a college student and recently I’ve been playing stock simulation games online. Hopefully I gather enough capital to trade in the real market within a few years from now. What I do on the simulation game is simply buying and selling company stocks. I noticed some people make a lot of profit from doing options trade. How does Options Trade work? How is it different from regular stock trading? Would you say it’s riskier investment method than stock?

Options are contracts that follows the price of the underlying stock but takes far lesser money to buy than the underlying stock. That is why you noticed some people make a lot of profit from doing options trade. Thats because being able to control more stocks with lesser money gives you leverage and the ability to make more money from the same move in the stock.

In short, Call options allows you to profit when the stock goes up and put options allows you to profit when the stock goes down. Both kinds of options can also be "shorted" for the reverse effect. This makes options trading extremely versatile with almost countless strategies for hedging and speculation.

The problem with options trading is that options EXPIRE. This means that after some time, if the stock did not move enough to give value to the options, the options simply evaporate and you lose the amount of money you put into it. Thats why so many people say options are risky.

Well, thats just a very very very simplistic overview of options. Options trading is way too big a subject for me to outline here and there are even seminars that teach the basics of options for over $5000! I learnt all my options trading for free at the site below, hope it helps.

http://www.informedtrades.com

The first video in the InformedTrades course on stocks takes a look at what stocks are and what their purpose is in an economy.

Duration : 0:5:51

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I want to buy stocks…I am thinking of going with e*trade.

Has anyone on Y!A used these guys? If so, what are your opinions of them? Are they super expensive? Any suggestions?

Thanks!

E-Trade has been around for many years and they enjoy a well earned reputation.

HOWEVER, before you open a brokerage account, you should educate yourself on what you doing, why you’re doing and where you are going to do it.

Don’t expect E-Trade or any other broker/dealer take the time to educate you in the market and the various processes.

Zecco, which provides Free Online Stock Trades through Zecco Trading, has created a series of video tutorials to help improve your understanding of stock trading. This video covers technical stock analysis, including technical indicators, investing education, using technical indicators like MACD, Mac-D, volume, and stochastic.

Duration : 0:4:1

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