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New investors taking their first steps towards learning the basics of stock trading should have access to multiple sources of quality education. Just like riding a bike, trial and error coupled with the ability to keep pressing forth will eventually lead to success. One great advantage of Stock trading lies in the fact that the game itself lasts a lifetime. Investors have years to develop and hone their skills. Strategies used twenty years ago are still utilized.The game is always in full force, So for new investors wanting to take their first steps a mentor can be of support. This could be a family member, a friend, a past or current professor, co-worker, or any individual that has a fundamental understanding of the stock market. A good mentor is willing to answer questions, provide help, recommend useful resources, and keep spirits up when the market gets tough
Shares are appreciating assets. When you buy company shares, you are anticipating that the company will appreciate in value, meaning that the shares you hold will also increase in value. When your their value increases, you can then choose to go ahead and sell the percantage you hold for profit. Another way you can benefit is through receiving dividends from the company, in that you could be looking at long at long term investment where by instead of selling your shares, you instead buy more shares so you receive more dividends. There's a disadvantage though with stock trading; even if you did good research, sometimes companies depreciate in value leading to losses. One of the most common scenarios is if a company declares bankruptcy, that suddenly makes every stock held with the company loose value.