How does the stock market work?
My family has been thinking about getting involved in the stock market, as in buying stock and making money off of it. But how does the stock market work? and how can we tell what stocks are good to buy. and when to sell. so basically, how do we make money, not lose money?
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Answer by Steve D
If you do not know how the market works, you are not ready for investment. First, there is never any guarantee that you will earn money - the rule of thumb is that if you cannot afford to lose your money, don't invest it. Before investing, in addition to learning how the market works, you need to learn how to analyze stocks. For both of these, there are many books at your local library on investing.
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