If you're searching for a new, exciting and addicting way to trade stocks, then look no further than Robinhood. This app for iOS and Android helps make zero-commission trades on the stock exchange. You don't have to go all in right away but if you're interested in trading, get this app and see what kind of extra cash you can dig up. To get started, check out the following tips.
Before you jump into Robinhood and start buying, you'll want to understand how it works. First, download the app and get your account up and running. Once you've done that, you'll need to connect your bank account. Here, you'll fund your brokerage account. For those just looking for how to earn money trading stocks, put whatever number you're comfortable with.
Now that you've deposited some money into your Robinhood account, you're ready to hit the market. Keep in mind, once you make that first money transfer, it takes about three days for it to appear in the app. Now, you're ready. How to earn money trading stocks has never been easier. If you know how to use Facebook, then you know how to use this app. Of course, no stock trade is complete without a little bit of research. So take some time before you invest in something.
Unfortunately, the question of "how to earn money trading" is not going to answer itself. It takes a lot of work to strike it big on the stock market. So while your money is waiting to clear on Robinhood, use that time wisely. Hit all your favorite financial news sites and take in all that information like a sponge. What you're looking for is the performance of a certain stock you're interested in. Let's delve into that a little more.
These five steps will help you on your path of how to earn money trading stocks. So grab a computer, head to a site like stockflare.com and think of these five questions. First of all, is the stock you're looking at cheaper than the competition? What does it's growth outlook look like? Is it profitable from earnings per share angle? Does the stock pay dividends? What's its growth outlook compared to the competition? Once you've tackled all of those, you can move on to actually using the app.
Success is all about organization. You'll find that rule anywhere you go and it's the same when trying to figure out how to earn money trading stocks. Thankfully, Robinhood makes organization all too easy. For example, the app lets you easily sort stocks by different traits. Furthermore, you can filter trade styles and sectors. All this helps you visualize your trade plan and initiate an attack.
The stock market is an addicting game. You want to get in the thick of it like in those NYSE videos. You want to rush around with a pencil behind your ear, throwing papers around and rolling up your sleeves. That sounds fun and all but it's not how you earn money trading stocks. Sure, that's one method but on Robinhood, patience is a virtue. Some people (but not all) find great success by not selling at all. So give that a try. Invest and then just play the long, waiting game. Just ride out those fluctuations and see what happens.
Robinhood is not a perfect app. It has its downsides and if you really want to know how to earn money trading stocks, you need to understand these downsides. That's all for this public service announcement. Moving on.
It's going to feel really good playing with stocks on Robinhood. That's why so many people find it addicting. You get in while the price is low and then watch it grow. While that can happen sometimes, remember, you're still going up against hedge funds with millions of bucks. They will often buy up early shares, drive the price up and then dump it on you and everyone else for two times what they bought it for. It happens all the time and it's an extremely frustrating part of earning money trading.
You'd love to trade a stock and then immediately use your profits to buy another one up but with Robinhood, that's just not possible. We never said finding out how to earn money trading stocks was easy but here are some more tips to help you out.
When using Robinhood, it's better not to buy stocks in real time. Instead, find a stock you want, hit the "buy" button, then go to "order types." Here, you'll see an option called "limit order." Essentially, this tells the app you want to buy a stock but only if it's less than a certain amount. When you buy in real time, the prices often change because of the delay in the app. "Limit order" prevents that and tells you how to earn money trading.
This might sound obvious but don't forget to add money to Robinhood in advance. Some people are so caught up in finding out how to earn money trading stocks, that they forget to add funds. Suddenly, that golden opportunity you wanted slips out of your grasp. Just don't forget it takes three days for your money to transfer from the bank to your app.
As we've discussed numerous times today, Robinhood is highly addicting. It's ok to have a little fun with stock. But your life can't revolve around the stock market. Hence, it's best not to check your stocks every day. Don't look at their daily value. Instead, just check out the value of your monthly portfolio in a spreadsheet. This way, you won't get freaked out by the daily fluctuations. Just sit back, relax and let the stock market run its course.
This app is amazingly helpful but just like in the stock market, it always helps to diversify. Don't just get all your research for one app. Use two, three, five, or however many you want. One popular option is WikiWealth. WikiWealth is based on Warren Buffet's stock picks so you know it's the real deal. Using this app, you get a basic recommendation for stocks. It also shows facts like a companies cash flow and potential returns if that sort of thing interests you. The stock market is a large and wild place. To succeed in it, you need to put in the right amount of research. Thankfully, the internet is making it easier every day for that.