Lux Investing - As a Beginner, How do I prepare myself to invest money in the Stock Market?

As a Beginner, How do I prepare myself to invest money in the Stock Market?

Since this is my first investment, I am planning on investing a small amount ($50 - $200) just so I gain some experience. I ask for some advice and/or tips in what I should do in order to be more prepared for my investment.

Public Comments

Diversify, mutual funds are good.
Read the following book: Invest Like A Shark by James Deporre
Do you need the money any time in the next 10 years? If so, don't invest.
In order to open an account at a brokerage firm you must be 18 years old and have to deposit monies with the firm in order to open the account. Most major reputable firms will require at least $500 to open the account, some will require more. Your $50 or $200 is not going to cut it Before you invest in any security, the first investment you should make is in yourself, and the best investment you can make is by educating yourself. Start your education by learning why you should invest and the importance of being able to make your own decisions or how the pro’s make theirs. Here is some reading material that can get you started in the right direction, The first book you should read is Rich Dad Poor Dad by Robert Kiyosaki Then try some of these What Works on Wall Street by James O'Shaunessey Beating the Street by Peter Lynch One Up on Wall Street by Peter Lynch The Warren Buffett Way by Robert Hagstrom How to Make Money in Stocks” and 24 Essential Lessons for Investment Success both by William O’Neil Get into the habit of making daily visits to some websites like MSN Money and Yahoo Finance. (http://moneycentral.msn.com/home.asp http://finance.yahoo.com/ ) While at MSN following the strategy lab analysts to get a feel for what the pros are doing and why. This site has some basic information for beginners. If any site offers free information, take it. Other website that can provide instructions and help with procedures and terminology are Investopedia - http://www.investopedia.com/ Stock Charts - http://stockcharts.com/ http://www.investorshub.com/ http://www.1source4stocks.com/