Over the long term, the stock market news will be good. In the 20th century, the United States endured two world wars and other traumatic and expensive military conflicts; the Depression; a dozen or so recessions and financial panics; oil shocks; a flu epidemic; and the resignation of a disgraced president. Yet the Dow rose from 66 to 11,497.

Here is the advice – don’t buy into any of these myths that could one day keep you from living out your dreams …

Myth No. 1: It’s too early to plan for retirement.
According to a study, 49% of people ages 25 to 34 have less than $25,000 saved for retirement. While that’s not particularly surprising, this certainly is: A mere 23% of people over 55 have more than $250,000 saved up — and they’re within a decade of retirement!

Too early to plan for retirement? Hogwash! Can you imagine if Tiger Woods’ parents had told him he was too young to swing a golf club, or if Roger Federer’s coach had told him he didn’t need to practice his forehand yet? A large part of the reason those two men so dominate their sports is because they got a jump start — and they never let up.

The same holds true with investing for retirement. You need to practice, work hard, and focus — so that when game time finally arrives, everything is effortless and just falls into place. Is it a coincidence that Warren Buffett began investing at 11, has practiced every day since, and is now the richest man in the world? I think not.

So, what gives? I think it has a lot to do with the second investment myth you need to ignore at all costs.

Myth No. 2: I can’t beat Federer — so I shouldn’t play.
If you’ve watched professional tennis anytime in the past decade or so, you know that virtually no one can beat Roger Federer — except for Rafael Nadal. Likewise, most people can’t beat Tiger Woods, on Sunday or otherwise. You probably can’t, and I certainly can’t.

Furthermore, it’s not very likely any of us will ever be a better investor than Buffett. Nor is it likely we will one day be able to brag about how we got in early on the next Google (Nasdaq: GOOG) or Netflix (Nasdaq: NFLX) and then rode off into the sunset.

So what? Just because I can’t beat Roger Federer doesn’t mean that years of practice and dedication won’t turn me into an exceptional tennis player. I may never be better than Tiger, but hitting a bucket of balls at the range every day will nonetheless improve my drive immensely.

And just because you may not ever match Warren Buffett’s wealth doesn’t mean you shouldn’t follow his investing style — regular purchases of excellent companies selling for less than they’re worth. Yet many investors mistakenly believe that the only hope for securing life-changing wealth is to “get lucky” and stumble onto the next Genentech (NYSE: DNA) before anyone has ever heard of it.

But as my colleague Seth Jayson points out, there are plenty of well-known stocks that can still deliver superior long-term returns. Believe it or not, from 1957 to 2003, well-known names like Abbott Laboratories (NYSE: ABT), Crane, and Colgate-Palmolive would have delivered you more than 15% annual returns (assuming dividend reinvestment).

And thanks to the unprecedented market sell-off, many strong businesses with high yields are selling at nice discounts. Take, for example, Caterpillar (NYSE: CAT), Coca-Cola (NYSE: KO), and Philip Morris International (NYSE: PM).

Myth No. 3: Planning for retirement is hard.
The final thing that seems to keep many people from achieving their dream retirement is the very thing that could achieve it for them in the first place: hard work.

There’s no sage advice I can quote here, and I’d be lying if I said investing well or planning for retirement was simple. But you must make it a commitment and a priority today — for the sake of your future. Plus, with a little help, it can be far easier than you ever imagined.

If you don’t believe me, I invite you to take a free 30-day trial of Motley Fool Rule Your Retirement. You’ll get full access to all of our retirement experts’ tips and advice, as well as detailed information on the best place to invest your money — whether you’re 20 years out from retirement, 10 years away from retirement, or already there.

Remember, it’s never too early — or too late — to start working toward your dream retirement. Simply click here to get some help on ruling your retirement.

[Source: The Motley Fool]

Actually, stock trading isn’t terribly difficult to understand. Here are the basics.

How Stocks Are Traded

The actual trading of stocks takes place at a stock exchange. The most familiar stock exchange for most Americans is the New York Stock Exchange. This is the place that we often see on the financial report on the news. It is full of traders working to facilitate smooth, quick transactions between buyers and sellers.

But not every stock exchange operates like the New York Stock Exchange. Today, many stock exchanges are operated electronically. The NASDAQ is one such exchange. It utilizes a computer network to match stock sellers with buyers.

Stock Brokers

Not just anyone can access a stock exchange, electronic or otherwise. Only licensed stock brokers are allowed to interact with them. This helps ensure that all rules and laws are followed.

As with stock exchanges, stock brokers may be live or electronic. A traditional stock broker can provide a more personalized service, but this service comes at a price. Electronic brokers are designed to make trading faster, and they usually charge lower fees. Still, inexperienced stock traders often do better when working with a living, breathing stock broker.

Buying and Selling

When you choose a stock broker to work with, you must open an account with them. Most require a minimum deposit to get started. Once you’ve established your account, you’re ready to start buying stock.

It’s up to the investor to research any stock he is considering. Once he settles on a stock and decides how many shares he wants to buy, he contacts his stock broker. The broker places the order, deducting the stock price and a commission from the buyer’s account.

In order to turn a profit, the investor must watch his stocks and see when they gain value. When that occurs, he contacts his broker and lets him know that he is ready to sell. The broker once again sets up the transaction, deposits the profit into the investor’s account, and takes out his commission.

In order to make money trading stocks, it is best to make large trades. Brokers usually charge the same fees for small or large trades, so if you buy and sell in small amounts, the commissions will eat into your profits. If you plan to make small trades, an online broker may be a better option due to lower commissions.

The act of trading stocks is pretty simple. The hard part is deciding which stocks to buy and when to sell them for maximum profit. Trading is far from a guaranteed money-maker, so if you have a low tolerance for risk, putting your money into more stable investments could be the way to go.

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One of the biggest reasons people are unwilling to invest in stocks is because they simply don’t understand them. After all, the ability to buy a certificate and be entitled to a portion of the issuing company’s profits does sound a little too good to be true. But there is plenty of logic behind the concept.

Shares are, quite simply, pieces of ownership in a company. It’s up to the company how the initial shares are distributed. They may be sold to a select group in an effort to maintain as much control as possible over the company. Or they may be sold on the stock market, making it possible for anyone to buy them.

But why would a business want to sell off pieces of its ownership? In most cases, it is done to raise capital quickly. When a business needs to obtain assets, it is usually faced with a choice of saving the money to get them, borrowing money, or selling stock. Borrowing requires repayment of principal plus interest. Saving the money needed may take a long time. Selling shares is quick, and there is no need to repay the money received.

The issuing of shares also offers other benefits for the company. It provides an avenue for founders to cash in on their investments and move on to other ones. It provides a way for the company to gain notoriety. And some companies issue shares as a way of providing incentives for employees.

Some businesses sell off all ownership in shares, but many retain some of the stock to keep some control of the company. They may issue only part of their stock in their initial public offering (IPO), then issue more shares at a later date. This gives them a means of gaining additional capital when it is needed. They could also issue new shares, but this dilutes the value of both new and existing ones.

There are also plenty of benefits for shareholders. Holders of common stock receive voting rights at shareholders meetings, allowing them to have a say in how the company is run. Stockholders are also entitled to dividends in consideration for their investment. Dividend amounts are determined by how much profit the company makes, and they are divided equally among shares.

The issuing of shares is a win-win situation for the company and its future shareholders. The company gets the capital it needs to grow, and shareholders get the opportunity to reap a portion of the profits.

Ok, Here is a tip:

Below You can see a 15 minutes STOCK INDEX chart. It is very easy to see the secret/method. You can try to guess, or you can signup and get an 100% completely tested method of pure mechanical trading system..

Try to guess where the secret is?

Well, I’m sure you already got 25% of the secret… – but it is important to learn the exact trading method … Do it now

The “The Neatest Little Guide to Stock Market Investing” was written by Jason Kelly, the author of the popular “The Neatest Little Guide” series.

His latest edition of “The Neatest Little Guide To Stock Market Investing” offers the reader an essential resource book on stock market investment. The book covers topics like why stocks are good investments, how you make money owning stock, why and how a company sells stocks, how you choose a good broker to buy stocks, how you evaluate stocks, and much more. In fact, I learned more in the week I spent reading this book, than in 6 months of listening to tips from co-workers, on-line discussions, and self-directed research.

The book also features the Kelly’s Maximum Midcap Strategy, which is a successful investment program, real-life scenarios of successful investments, insider knowledge from highly successful investors like Peter Lynch, Warren Buffet and Bill Miller, analysis and comparison of their chosen methods, well-resourced and recommended internet investment sites, newsletters and books, and summaries of all the key points.

In each of the 7 chapters, he covers every area that a serious stock investor should be familar with.

In chapter 1, he defines all the terminology you’ll encounter in stocks. In a very readable manner, he quickly covers EPS, P/E, PSR, ROE, Beta, and numerous other concepts that are useful.

In chapter 2, he describes the methods of 6 all-time top investors (including: Buffett, Lynch, O’Neil, etc.) comparing and contrasting there methods.

In chapter 3, he explores what some historic evaluations of stock growth show. This is great stuff, especially during a down market.

In chapter 4, he explains in detail the Dow Dividend Strategy. Anyone can understand this and with only 30 minutes of work per year have a relatively successful investment plan.

In chapter 5, he covers the process of choosing a broker and placing orders.

In chapter 6, he covers some of the many methods you can use to research stocks. With a ton of web-sites, newsletters, and books, Kelly’s advice can save you countless hours wasting time looking for information from the wrong source.

In chapter 7, he explains his own strategy. With easy to understand worksheets and using the knowledge gained earlier in the book, he guides you into an investment plan that will suit you.

This book is for anybody interested in stock market investing. It touches on every topic a beginner investor should know before embarking on an investment career. It is informative, light-hearted, enjoyable to read and written in an easy-to-understand language. Even if you have a broker that you like, you owe it to yourself to educate yourself with this book.

My advice: If you are serious investing in stock marketing, get this book – “The Neatest Little Guide to Stock Market Investing” today!

So, who’s right? Well… it depends on how you view it.

In fact, there is no secret that practically all investments carry some degree of risk. Stocks can lose value, or their issuers could stop paying dividends. Bonds may not be repaid as agreed. That’s why it’s so important to thoroughly research any investment you make.

But some investors prefer to buy and sell attractive stocks in the hope that they will increase in value. If this works, it can bring them a nice sum of money in a short time frame. If it doesn’t, they could lose big. Trading in this manner is known as speculating.

Investing in its true sense is putting money into something and leaving it there for the long term. By using this technique with stocks, investors can collect dividends. While one dividend payment may not amount to much, dividends are usually consistent over time. They are usually even paid when the company experiences a downturn. Over several years, an investor that sticks with a reliable dividend-paying stock will almost always come out ahead.

Another component of a sound long-term investment strategy is diversity. While speculators often invest all of their money in one market sector, savvy investors know that spreading their investments out is far less risky. The various investments balance each other out, so while some investments may lose money, the gains of others tend to make up for it.

Speculators, on the other hand, tend to invest heavily in one market or market sector that is showing an upward trend. While this sometimes works out well, one must sell at just the right time to make a profit. This means looking for signs that the market in question is at its peak, and that’s not always easy to do. Often speculators wait too long, and the market crashes before they have time to sell. This can result in substantial losses.

Despite all the risks, speculating is alive and well. Those who use such strategies are usually looking for a way to turn a quick buck, rather than investing wisely and reaping the rewards later. But as with any get rich quick scheme, speculating has a tendency to blow up in one’s face.

Investing is a complex game, and it requires a great deal of patience. You may not see returns right away, but if you do your homework and choose solid investments, you can make lots of money in the long run. Speculating is more like taking your money to the casino. You might get lucky at first, but if you continue, the odds are not in your favor.

If you are interested to learn more, please Click Here.

By definition, investing is using our money in certain ways with the hopes that it will make us more money in the long run. For businesses, this often involves purchasing equipment or inventory. For individuals and banks, it usually involves the purchase of financial products.

Take a basic savings account for example. We put money into the account, and the bank adds interest at a specified rate. If we deposit a certain amount of money and leave it there for a year, there will be more money in the account at the end of that year than when we started. This is investing in its simplest form.

There are many types of investments available. They range from very safe to very risky. Some require no minimum amount to get started, while others require thousands of dollars. Here are some of the more common types of investments:

* 401Ks - Most companies that offer employee benefits offer 401K plans. A 401K is a retirement savings fund. Employees agree to have a certain amount withheld from their pay before taxes and put into the fund. Employers often match employee contributions up to a specified amount, and all contributions are invested in a fund of the employee’s choice. The fund is intended to be maintained until retirement, but employees may be allowed to borrow from it. Early distributions result in tax penalties.

* IRAs – These are similar to 401Ks, but they are set up by individuals rather than employers. The money invested has already been taxed unless it is rolled over from a 401K, but there are still certain tax advantages.

* Mutual funds – These funds are made up of different stocks and bonds, and are under the control of professional money managers. This is how many investors get started in the stock market.

* Certificates of deposit – Certificates of deposit, or CDs, require investors to lend money to a bank for a specified period of time. When this time is up, the CD is said to have reached maturity and the investor can withdraw his capital and interest.

* Money market accounts – These are similar to CDs, but investors may withdraw money from their accounts at any time. Higher interest is paid to investors who make higher deposits.

Investing is not just for the rich. There are investment opportunities that virtually anyone can take advantage of, and they are not necessarily complicated. By starting out small and simple, you can get a taste of investing without a great deal of risk. Once you’re comfortable with that, you can move on to investments with greater potential.

Perhaps both are correct! As the situation stands now, stock market analysts are waiting for the dreaded bottom to fall out from the market. They thought it would happen on Oct. 24th, but it didn’t.

While most experts are now saying we are in a “global recession”, if the foreclosure rate continues, we may hit bottom sooner than later. So what should you do?

First, don’t make decisions based on fear or panic. Think about the long-term effect. If the old mantra of “buying low and selling high” is true, then you may wish to wait until the stock market falls even further.

Analysts say there are many bargains out there, and now is the time to take advantage of them. However, we do not yet know the full effects of the recession and how it will play out nationally and globally, so you may want to wait awhile to ascertain if it is worth it to even venture out into the “path not taken”.

Warren Buffet has an entirely different view. He feels now is the best time to invest in the stock market and he put his money where his mouth is by investing $5 billion dollars in Goldman Saks. Of course, he can afford to take this risk. Those of us who live from paycheck to paycheck cannot.

Quite frankly, if you asked ten analysts and economists what they thought about investing now, you would receive ten different answers.

If you have never invested in the stock market before, you will need to spend quite a bit of time researching companies, profits, and other variables. You may even wish to tune in to Jim Cramer. Recently, he told his followers to sell all their stocks!

If you are an investor, you may have a pretty good idea of when to hold and when to fold. All of this requires prudent and thoughtful consideration to what is happening around the world. It is difficult to feel confidence in the stock market with foreclosures and unemployment on the rise, banks closing their doors, corporations dismissing thousands of people, cost of living higher than ever, and the prospect that OPEC will decrease oil distribution by 15 million barrels.

Perhaps this is a time when we start investing in ourselves by budgeting wisely, seeking promotions, applying for second jobs, or opening a home-based business. There is enough stress already, financially and emotionally – why add more?

Ok, Here is a tip:

Below You can see a 15 minutes STOCK INDEX chart. It is very easy to see the secret/method. You can try to guess, or you can signup and get an 100% completely tested method of pure mechanical trading system..

Try to guess where the secret is?

Well, I’m sure you already got 25% of the secret… – but it is important to learn the exact trading method … Do it now