Understanding Stocks

Understanding Stocks

I wanted to write a book that I can hand you and say, "Read everything in this book if you want to learn quickly about stocks." You don't have to be a dummy, idiot, or fool to understand the market. You also don't have to be a genius. After you read this book, you will realize that understanding stocks is not that hard. (The hard part is making money, but we'll get to that later.)

I also don't think you should have to wade through 300 pages to learn about the market. Too many books on stocks are as thick as college textbooks and not nearly as exciting. Even though this book is short, it is packed with information about investing and trading. I did my best to make sure you would have a short and easy read.

I also wrote this book because I wanted you to know the truth. Because the stock market is a brutal game that is often rigged in favor of the house, you should be quite sure you know what you're up against before you invest your first dime. Unfortunately, you can't win unless you know how to play. One goal of the book is to educate you about how the markets operate so that you can decide for yourself whether you want to participate. By the end of the book, you'll know the players, the rules, and the vocabulary.

I don't want to scare you, just prepare you. Understanding the market can help you make financial decisions. The stock market is the core of our financial system, and understanding how it works will guide you for the rest of your life. In addition, the market often acts as a crystal ball, showing where the economy is headed.

This book is also ideal for people who still aren't sure whether to participate in the market. By the last chapter, you should have a better idea as to whether investing directly in the stock market makes sense for you. Although I can't make any promises, it is also possible that understanding the market will help you to build wealth. Perhaps you will put your money into the stock market, but I will give you other investment ideas.

I wish you the best of luck. I sincerely hope you find that learning about stocks is an enlightening experience, one that you will always remember.



TABLE OF CONTENTS

WHAT YOU NEED TO KNOW FIRST

Welcome to the Stock Market

Stocks: Not Your Only Investment

How to Classify Stocks

Fun Things You Can Do (with Stocks)

Understanding Stock Prices

Where to Buy Stocks

MONEY-MAKING STRATEGIES

Want to Make Money Slowly? Try These Investment Strategies

Want to Make Money Fast? Try These Trading Strategies

FINDING STOCKS TO BUY AND SELL

It's Really Fundamental: Introduction to Fundamental Analysis

Fundamental Analysis: Tools and Tactics

Let's Get Technical: Introduction to Technical Analysis

The Psychology of Stocks: Introduction to Sentiment Analysis

UNCOMMON ADVICE

What Makes Stocks Go Up and Down

Why Investors Lose Money

What I Really Think about the Stock Market