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What is Online Stock Trading?

Your capital may be at risk. This material is not investment advice.
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Written by trading expert:Professional Day Trader
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Short resume:
  • Author of the book Options Trading for beginners
  • Worked in finance in 12 years
  • Got a MBA in Finance, BA, International Business Administration And Marketing
  • Built a solid record of achievements through constantly developing financial markets
  • Traded on the most frequently utilized stock exchanges: TSE, LSE,NASDAQ, NYSE, Euronex Actively managed a 6-9 million dollar portfolio
  • Developed new and innovative trading systems and implemented them during trading hours
Matthew O'Connor is the author on the bestseller Option Trading for Beginners
Option Trading for Beginners - Written by Matthew O'Connor

Online Stock Trading is the means where traders can enter traders into a brokers online system and their computers can make the purchase or sell for the trader. In online stock trading, traders don’t have to go directly through a stockbroker as traders can simply do this with the click of a button when going through the brokers site, mobile app etc.

How can one trade stock online?

Trading stock online might be a hassle for traders who are used to calling stockbrokers over the phone who trade stocks on their behalf. However, with the internet and platforms such as IQ Option, trading stock online isn’t only fun, but also convenient as this can be done with a Smartphone in your hands.

The following steps can make it easy to trade stock online:

Step One: Open an Account

When you open an account, the trader would be guided on the appropriate steps to take when filling out important parts of the website.

Step Two: Deposit Amount

Traders can’t make money without using money. In ensuring that online stock trading is possible, traders have to deposit money into their stock trading account to ensure that they can make trades daily. For people who are sceptical about depositing money into a virtual account, many websites now have secured payment portals which guarantees the security of their identity the moment money has been deposited online.

Step Three: Practice with a Demo Account

The cliché practice makes perfect would not be over flogged here at all. In online stock trading, constant practice can’t be overemphasised. For inexperienced traders, it is important to get many hours of practice before plunging into the deep.

Step Four: Start Trading

This is the best part of them all – trading. For people who are new to trading, it is important not to get too excited though, as the learning process could mean losing some money. Just like any new venture, mistakes are bound to happen – especially online stock trading.

Does it Make Sense to Trade Stocks Online?

For people who are used to calling brokers on what trade to enter, online stock trading may not make a lot of sense. However, for those who are keen to master the art of online stock trading, then trading stocks online would be ideal. With the convenience it provides and easy access to many stocks, it is easily the best decision one can take.

Should You Use Internet Stock Trading?

For traders who want a wide access to securities such as bonds, stocks and financial instruments in many parts of the world, online stock trading would be the best bet. This is because online stick trading transcends borders, as a trader can reside in Hong Kong and own stocks in a country in Africa, Europe or the Americas.

Sign up now and start trading from any part of the world!

NOTE: This article is not an investment advice. Any references to historical price movements or levels is informational and based on external analysis and we do not warranty that any such movements or levels are likely to reoccur in the future. In accordance with European Securities and Markets Authority’s (ESMA) requirements, binary and digital options trading is only available to clients categorized as professional clients.
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