Some quotes on “Stock Markets”:

1. Markets are voting machines in the short term and weighing machines in the long term.

2. Market is a place where people with experience meet people with money. Money goes to people with experience and experience goes to people with money.

3. In every trade, one is wrong.

Stock  Trading  Earnings for whom ?

when new comers/ beginners enter markets for the first time, in this age of internet, people tend to TRADE , than to INVEST
as in the older days. This is because now we are racing against time. Fast , Speed, quick etc are buzzwords.

So  years   reduced  to months, months  reduced to weeks  so on..

Observe who makes money  when you trade, when you are a beginner:

1. When you trade  about 10  trades a day, you are working for your broker, at your risk and at no salary.

2. When you trade  5  trades a day, you  are working for your broker and also for you, of course at your risk.

3. When you trade 1 or 2  trades a day, you are working for you  and paying your broker his due commission.

So  decide for whom you want to work, for your broker  or for you really.

Assumptions:

1. no of trades mentioned above are  just for an idea, the objective is you should earn more than your broker.
2. As an amateur loses money in trading. This does not apply for a pro.

Beginners in swimming who have to practice in swimming pools, which offer varied LEVELs,  are venturing directly in turbulent oceans, without knowing the real dangers of it.

Nonethless, they are great, once you master it.

So best advice is to master “patientence, perseverance, keen observation  etc”  which are very very imp  for success in markets

1. Understand “brokerage load” how much it costs, for delivery.
2. Never expect instant gains, or daytrade, though people do talk more about this. this is a loser game designed by pros in the long run
3. Do observe recommendations by brokerages locally in the media.
4. wait until you are comfortable.

“ONE SHOULD INVEST IN STOCKS, WHEN THEY ARE AT LOW, NOT WHEN WE HAVE MONEY”

Means keep the money idle in a bank, until the opposite comes.

Also there is a one more “POPULAR” and proven way of investing, called “SIP” systematic invesment plan, for people like you, offered by mutual funds, like fidelity, templeton, merril lynch etc. have a search in Google.