Tuesday, June 10, 2014

Review of direct access broker::What Is Unique about Merrill Lynch Online







Review of direct access broker::What Is Unique about Merrill Lynch Online








When               you               hear               the               term               "stock               trading",               you               might               be               inclined               to               think               of               it               as               a               financial-based               game               of               trading               baseball               cards.

"Trading"               actually               means               buying               or               selling               (or               both).

Having               a               better               understanding               of               how               trading,               and               the               stock               market               works,               can               better               prepare               you               for               investing               with               confidence.

Here               are               the               basics               of               stock               trading               that               every               savvy               investor               needs               to               know.

Traditional               Trading               Versus               Electronic               Trading
               Traditionally,               all               trades               were               handled               on               the               exchange               floor               (such               as               the               NYSE               or               New               York               Stock               Exchange),               and               many               still               are.

The               perception               most               people               have               of               stock               trading               involves               lots               of               chaotic               gestures,               people               manning               the               phones               and               poring               over               computers               and               television               monitors,               crunching               data               and               buying               and               selling               in               a               frenzy.

Yet               it               all               works               out               perfectly               in               the               end               thanks               to               the               marvel               of               the               market.
               In               its               simplest               form,               you               tell               your               broker               what               stock               to               buy               and               how               many               shares.

Your               broker               then               sends               the               order               down               to               a               floor               clerk               on               the               exchange               floor               who               finds               another               firm's               trader               and               a               price               is               negotiated.

The               sale               is               completed               and               the               details               go               back               up               the               line.

It               can               take               anywhere               from               a               few               minutes               to               an               hour               or               more,               depending               on               the               complexity               of               the               trade.

You'll               then               get               a               confirmation               in               the               mail               about               your               purchase.
               Sound               slow?

It               can               seem               that               way,               especially               when               you               consider               that               we               have               the               number               crunching               and               online               connective               power               of               computers.

Electronic               trading               has               surged               in               popularity               recently,               simply               because               it               enables               the               first-time               or               hobbyist               trader               to               trade               alongside               more               experienced               investors               and               brokers,               using               the               simplicity               and               efficiency               of               the               internet.
               Electronic               stock               trading               works               similarly               to               the               traditional               exchange               floor,               except               computer               networks               match               buyers               and               sellers               online.

The               NASDAQ               handles               its               entire               exchange               electronically,               in               comparison               to               the               NYSE               on               the               fast-paced               exchange               floor.

You               fund               your               electronic               account               with               a               bank               wire               transfer               or               credit               card,               and               can               set               it               up               to               be               funded               automatically               at               different               intervals,               so               you'll               never               miss               out               on               a               hot               stock               trade               for               lack               of               funds.
               It's               important               to               note               that               even               when               you're               trading               electronically,               you               still               need               a               broker,               simply               because               the               public               doesn't               have               direct               access               to               the               markets.

An               online               brokerage               firm,               such               as               Firstrade,               can               help               you               set               up               an               account               online               instantly               and               start               trading               stocks               quickly               and               seamlessly               through               the               web.

The               entire               process               is               secure               and               straightforward,               and               many               online               stock               trading               companies               have               a               wide               variety               of               resources               that               can               help               you               learn               more               about               the               trading               process,               plus               give               you               tips               on               buying               and               selling.
               As               you               can               see,               stock               trading               is               more               about               "buy               low               and               sell               high",               although               that               old               adage               still               applies               whether               you're               negotiating               on               the               floor               or               over               a               broadband               connection.

Thanks               to               the               wide               range               of               interconnected               markets,               it's               never               been               easier               for               anyone,               with               any               level               of               experience,               to               start               reaping               the               benefits               of               trading               stocks.
               John               Hutchison               is               an               experienced               trader               and               author.

Based               in               New               York,               he               writes               about               online               stock               trading               and               advice               on               investing               your               money.

His               favorite               pastime               is               instructing               new               traders               and               he               saves               his               best               tips               for               his               introductory               stock               trading               page:               http://www.squidoo.com/online-stock-market-trading-for-beginners.






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