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MYTH--"YOU NEED A LOT OF MONEY TO MAKE MONEY IN STOCKS"

The common misconception about investing in the stock market is that in order to make money in stocks you must have a lot of money to invest.

This is just not true!

Whether your account value is $100,000 or $1,000 you can still make money in the stocks.

Your money management strategies may vary depending on your account value but no matter what your account value, there are ways to trade stocks.

If you are just starting to trade stocks, I recommend you do not fund your account with more than $5,000 and less is fine.

Remember that returns in the market are all relative. If you have $100,000 and you make 10% you now have $110,000. If you have $1,000 and you make 10% you now have $1,100.

10% is still 10%.

If a stock moves 10%, the value of your position also increases 10% whether you have 10 shares or 1,000 shares.

After commissions, the net return may vary depending on commission rates from your broker.

If you want to learn how to invest in stocks, let Stock-Market-for-Beginners.org guide you. This is a stock market for dummies site. Here, we KEEP IT SIMPLE!

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Words from the Author

You don't need a lot of money to learn how to profit from the stock market. In fact, if you are a beginner, don't put more than $5000 into your trading account (less is better at this stage). The #1 rule is DON'T LOSE YOUR SEED CAPITAL! The more you put in, the more you will lose until you learn Money Management. BE CAREFUL!

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