If I Can Learn About Investing, You Can Learn About Investing!
Just up to a couple of years ago, stock trading seemed like a different impenetrable frontier to me. The terminology was unfamiliar, the concepts were foreign, and if I ever tried to read a stock company’s annual report from my ROTH IRA, my eyes just glazed over. I guess it just wasn’t “buy low and sell high.” But I was thrust into a situation where I could either stick my retirement money in a CD (certificate of deposit) for 2%, basically going nowhere, or educate myself and try to increase my nest egg.
Find a System That Feels Comfortable to You
Two years ago a friend gave me a copy of “How to Make Money in Stocks” by William J. O’Neil. I was determined to read it, learn it, and use it. Why, I have two college degrees, a bachelor’s and a master’s, so surely I could figure this out. Just because they are in Music Education and are about as far away as finance as you can get didn’t deter me. Heck, I’ve directed Broadway Jr. musicals using 4th through 8th graders. Casting the roles, running 3-4 afterschool practices every week, getting the lights, sound, scenery, and costumes together, etc. is not for the faint of heart! This is just another animal to learn, right?
Study It, Learn It, and Try It
So I opened the book. And read. And reread. I marked up the book with a highlighter and penciled in question marks. And finally I was through chapter 1. Whew! I went on. Then about chapter 3 or so, my motivation wavered as the family member was taking care of my portfolio anyways because I was such a busy teacher. But a few months later, I started the book over. This happened at least one or two more times. Surely I could get at least a quarter of the way through.
So fast forward to Covid 19 season. I decided to take over my portfolio when the stock market turned, and I was losing money fast. I sold most of my stock right away and knew I had to figure this stuff out.
Find Mentors to Help You
The first thing I did was sign up for 2 free weeks at Investor’s Business Daily Live to watch experts talk about different stocks every day. I learned so much that I bought the subscription. Every day I spend 1 ½ hours watching and listening to different members of the team talk about the stock charts. I am also able to ask questions in the Chat box. Then later the session is posted on the website along with the edited Q & A. I read through all the questions and answers, learning even more and then copy and paste anything I feel is important or want to look up later into a stock journal.
I also got a free audio version of O’Neil’s book through Amazon Prime. It is easier to follow by reading the hard copy while listening to the audio. Yes, I started the book over AGAIN. I will say, that after watching IBD Live every day, the book made more sense. I really connect with this book because it takes a big part of the risk out of trading stocks, IF you follow the rules. See Selling Stocks, You Have to Have Rules! I’m sure there are other systems out there, but I seem to gel with this one.
Multitask to Learn Efficiently
Moreover, when I take my daily morning walk around the neighborhood, I’m always listening to podcasts, learning more about investing. There are a couple history ones that actually show charts so I listened to them another time when I was at home so I could follow the charts.
Put Your Knowledge into Action
And lastly, the most expensive subscription price is managing my portfolio. I say “expensive” because I did not follow one BIG rule: sell at a 7 – 8 % loss NO MATTER WHAT! See my “How Am I Doing” and “Week in Review” articles to see all the gritty details.
This is why I have started this blog. I’m just your average woman taking an interest in myself and trying to learn as much as possible. I’ll be showing you my successes and failures so you can decide if my path is totally crazy or I might be on to something. You can follow me down a similar path or go the exact opposite direction! Time will tell, right? In the meantime, knowledge gives you power. I’m not talking about finding the hottest tips on stocks to buy. Find an approach that looks for stocks with sound fundamentals and pays attention to the stock market. That will be an excellent starting point! And always remember, you are worth it!
Until next time,
Linda Davis (“Publisher”) provides this website (www.stockmarketgal.com) for informational purposes only. All information on this website is information of a general nature and is not intended to provide specific advice or recommendations for any individual or entity or on any specific security or investment product. In reading this website, you understand that Publisher is not advising you personally concerning the nature, potential, value, or suitability of any particular security, portfolio of securities, transaction, investment strategy or other matter. In making an investment decision, each investor must rely on his, her or its own examination of the investment, including the merits and risks involved, should consult with his, her or its own investment, trading, financial, legal, tax, accounting and other advisors, and should not construe any information on this website as investment, trading, financial, legal, tax, accounting or other advice. From time to time, Publisher or her affiliates may hold positions in securities discussed on this website and will disclose those positions if applicable, but neither Publisher nor any of her affiliates receives any compensation from the issuers of any securities discussed. Publisher does not warrant the accuracy or completeness of any information provided, either expressly or impliedly, and expressly disclaims all warranties of any kind.