Infant to Trading

[dmgkgkgh12]

Hello all,

I am incredibly distant from the finance field, and just about starting to dip my feet in the waters here. I've always had the interest because of my Dad (who is a full-time trader, used to be an investment banker), but never pursued it because I was more into the health/science field.

I've been trying to do some research at home recently, and have a few questions that some of you might be able to help out here:

1)I've signed up a demo account with CMC, as I heard they're quite good of a broker - what are some other good brokers people are using?
2)Softwares - Are trading softwards independent of brokers? For example, with my CMC demo account, I can still see charts, but there are some things I can't add, for example, volume.
If I was to purchase a software for trading, would I be able to use my brokerage account on it?

and the last, but not least, WHERE DO I BEGIN STUDYING? I've started to do some "research" on ASX companies, but that's about it. Are there any online mentoring sites or books people recommend?

Thank you in advance.

 

[Warr87]

hey. welcome.

you will find there are people from many walks of life in trading. my background is philosophy. it's certainly not tied to a particular field.

I am with CMC and so far I like this. Can't say they are the best, but likely in the top. Interactive Brokers and ComSec are 2 other common ones.

As for software. Tradestation is popular. I use amibroker, as do a lot of others on this forum, and I think its great. You can also look at Python as it has a lot of opensource options and is used extensively by the banking industry and trading industry. You can set up how to plot charts with it (might be an option for later but I can't speak highly enough of Python). A further note on Python, look on youtube for anything with the hastag #PythonforFinance.

As for using the software. Most of us here are 'semi automated' which means we run our code on our software, get a list of buy/sell signals and then manually input them into our brokerage. Python has the ability to automatically send buy/sell orders to the Interactive Brokers broker but that is highend stuff so I would leave that alone for now.

You can read my thread for recommendations for books. I also recommend reading @peter2 and @Skate threads. @qldfrog as well.

One bit of key advice you will get is, find out what kind of trader you are.

Lastly, I also recommend the podcast 'Chat with Traders' by Aaron Fifield. It's free, give it a listen.

 

[Skate]

WHERE DO I BEGIN STUDYING? I've started to do some "research" on ASX companies, but that's about it. Are there any online mentoring sites or books people recommend? Thank you in advance.

Hi @dmgkgkgh12 welcome to the ASF community. New members always bring a fresh perspective & it appears you are starting out on the right foot acknowledging that education is the key. I'm the first to acknowledge that @Warr87 has already posted some great advice. As I was mentioned in his post let me supply you the hyperlink to my "Dump it here" thread, a thread especially written for you. (the hyperlink is below)

The "Dump it here" thread has developed over time
The early posts concentrates on the psychological side of trading "that I consider" to be really important to trading profitably & successfully - whereas my latest posts are more about charting & system development.

Help is only one post away
The Aussie Stock Forum is chock full of members who are only willing to help. In the meantime check out my educational "Dump it here" thread. I've "DUMPED" important information I've found helpful to understand this game.

The "Dump it here" thread starts here
https://www.aussiestockforums.com/threads/dump-it-here.34425/

What's trading all about can be found here:
https://www.aussiestockforums.com/posts/1040134/

Listen to everyone & read only the post that interest you
From my experience it pays to listen to everyone & you decide if it’s relevant or helpful to you. You get to decide what to keep & what to discard. If you don’t listen to advice you'll forgo the right to learn.

My Free ebook (ePub format)
Download my free eBook, the link is below. If you forget "the link to the eBook" is listed below my name in every post I make. The good news - you'll be able to read the entire eBook in a few hours. Read my eBook first before any of the books @Warr87 has suggested on his thread. My free eBook will answer most of your question & some - it’s an easy read & it can be found here:
https://www.aussiestockforums.com/posts/1014728/

One last thing
If you have a question that needs an answer straight away - use the search feature as it's most likely been answers before.

Best of luck..

Skate.

 

[sptrawler]

. I've always had the interest because of my Dad (who is a full-time trader, used to be an investment banker), but never pursued it because I was more into the health/science field.

I've been trying to do some research at home recently, and have a few questions that some of you might be able to help out here:

Firstly hello and welcome.
Have you tried going around and having a talk with your dad, if he is a trader and was an investment banker, he may have a wealth of knowledge.
If that isn't possible, there are some excellent traders on this forum who are very open to passing on their knowledge and answering any question you may have.
Looking forward to some interesting questions from yourself, as everyone here says, the only dumb question is the one not asked.

 

[dmgkgkgh12]

Wow, thank you all for the reply! did not expect this to be given in such a short time.
I guess this is where my journey starts and I'll be on here more often than I am now. I've been looking at some shares to buy, but they werent available on CMC? I have no idea why this would be the case. Perhaps @Warr87 you would be able to shed some light on this?

I've opened up a Commsec account, and was able to find it there.

 

[sptrawler]

Wow, thank you all for the reply! did not expect this to be given in such a short time.
I guess this is where my journey starts and I'll be on here more often than I am now. I've been looking at some shares to buy, but they werent available on CMC? I have no idea why this would be the case. Perhaps @Warr87 you would be able to shed some light on this?

I've opened up a Commsec account, and was able to find it there.

I use Commsec, so have no idea what the problem could be with CMC.

 

[Warr87]

Wow, thank you all for the reply! did not expect this to be given in such a short time.
I guess this is where my journey starts and I'll be on here more often than I am now. I've been looking at some shares to buy, but they werent available on CMC? I have no idea why this would be the case. Perhaps @Warr87 you would be able to shed some light on this?

I've opened up a Commsec account, and was able to find it there.

I'm unsure why that would be the case. CMC offer a broad range of products (not as broad as IB but still not bad).

 

[tech/a]

my Dad (who is a full-time trader, used to be an investment banker),

Id have thought he'd be your first point of call.
At least your related and trust him.

Id expect he'd be straight with his son.

 

[dmgkgkgh12]

Id have thought he'd be your first point of call.
At least your related and trust him.

Id expect he'd be straight with his son.

Right now, he's asked me to straight up be a sponge. Just absorb as much knowledge as I can before I start trading - and I agree with him on this.

However, although I am always entirely open to learning things, I have absolutely no idea where to start.

 

[tech/a]

Try this

Hey Dad you’ve been trading for years.
I’m keen to learn
In your opinion what do I need to know
And what in your opinion don’t I need to know!

some day I’d love to share trading ideas and investments
With you.

 

[willoneau]

Right now, he's asked me to straight up be a sponge. Just absorb as much knowledge as I can before I start trading - and I agree with him on this.

However, although I am always entirely open to learning things, I have absolutely no idea where to start.

As a beginner trader you need to try as many aspects of trading to see were you gravitate to. He will not know what type of trading suites you any more than you do.

 

[frugal.rock]

He will not know what type of trading suites you any more than you do.

I beg to differ... if he has years of experience he WOULD know what type of trading suits the sprog of his loins.
Psychological trends are usually; like father like son.

 

[willoneau]

How do you explain him telling his son to be a sponge?
to absorb as much knowledge as possible.

 

[frugal.rock]

How do you explain him telling his son to be a sponge?
to absorb as much knowledge as possible.

Because he knows him.
Am guessing you haven't children.

 

[willoneau]

Because he knows him.
Am guessing you haven't children.

you shouldn't guess.

 

[willoneau]

It is possible that he is testing his son?

and to imply you need to have children of your own to know what his father was thinking ,pleaseeee.

 

[willoneau]

I watched a vid the other day about prop trading were a junior trader was struggling with his trading. The firm noticed and put him with a different mentor with a different trading style and his trading improved.

 

[frugal.rock]

It is possible that he is testing his son?

and to imply you need to have children of your own to know what his father was thinking ,pleaseeee.

Haha.
Yep, he's testing his son.
It's a dad joke.

 

[frugal.rock]

To the OP.

You could start with terminology and definitions as applied to trading or investing.
Such as;
Risk
Capital
Loss
Liquidity
Drawdown
Portfolio
Blown account
Undercapitalisation

F.Rock

 

[PZ99]

"Simulation" is another term of undefined value for any beginner

Play the ASX trading game and grow your skills without risking your dough. IMO.