Short selling consists of borrowing someone else's stock and selling them. You would do this since you believe that thestock will drop in price, which will allow you to buy it back at a cheaper price. It is the same concept as "buy low, sell high" but in reverse order. You will need a margin account with a brokerage firm to do this. A margin account is a brokerage account that allows you to borrow money or stock for the purpose of investing. When your brokerage firm receives your sho sell order, it will first check to see if there is another client in their firm that is holding the stock you wish to short sell in their margin account. You are not allowed to borrow the stock from an account that isn't a margin account. If the shares are available, you will be able to sell it. Short selling has a special rule called he "downtick rule". This means that your order will not execute if the last trade price on the stock was lower than the previous trade price. In other words... if the stock you wish to short sell last traded at $10 and the trade before that was at $11, your trade order will not execute until the stock "ticks" up in price. This rule was implemented to prevent short sale orders from driving down the prices of the stock during volitile and frenzied tradiing sessions. Sometimes, you may be forced to buy back the stock before you wish. This will happen because the person from whom you borrowed the stock (the identity of which you will never know) may decide to sell their shares and your brokerage firm cannot find someone else from whom you can borrow shares. This is an important risk to keep in mind when short sellling... you may be forced to buy the shares back even though you may not want to. In order for a stock to be "short-saleable", it has to be considered "marginable". there are federal rules on what makes a marginable stock, but many brokerage firms implement margin rules that are more stringent than the feds. Thus, a stock that is considered marginable in one brokerage firm, may not be marginable at another.
Stop loss is setting a lowest limit when a stock is going down where you want it to sell if it goes down that much, to protect your capital.
That's easy, you either hold them for long term or short term. I trade stocks short term. I buy a stock online at an online broker such as scottrade when the stock is at a low in the morning or afternoon (Fridays usually end on a low so Friday afternoon is the best time to buy stocks in my opinion) and then sell it the next day when it hits a high. What you want to do is invest about 8 grand in each stock when their shares are in the $8-21 range. Any stocks more expensive or cheaper than that I stay away from. That's a nice range to work with I think because they fluctuate more and then I put a "sell limit" on the stock so it automatically sells when it hits a certain price. If you sell your stock everyday with that amount of money and your only goal each day is $80 or less, you can easily start making daily income trading stocks, but right now is such a bad time to trade stocks, at least usa stocks. I would stay out of the market this year. Domain Investing is hot right now and just like stocks. You can learn how to do that by going to richkits.com or namepros.com. Rich Kits explains stuff that other people wont tell you so its real useful and Name Pros is like a community of domain investors so they are good to talk to when it comes to advice. hope this helps.
This is an interesting question. The short answer is the varying degrees of success associated with each.
With the Lottery, the odds are astronomically against you. Some have associated getting struck by lightning as being more likely to happen than winning the lottery.
The casinos, in comparison to the lottery, have a higher probability of success. It should be understood, however, that all games in a casino have a slight edge going to the "house" (even if only 51%).
This brings us to the Stock Market. While there is absolutely no guarantee of being successful in the stock market, there are also no odds that are pre-established against you. With the right information, the right asset allocation, the right diversification, and a little luck, one could be successful. The stock market, unlike the rest, is subject to many factors (economy, global markets, interest rates, etc.). While no one can eliminate ALL risk, the right advice and planning can help to limit the risk incurred.
Find an online broker that lets you trade in the Hong Kong market. I believe both E-trade & Interactive Brokers will let you trade on the Hong Kong market as well as several others - including of course the US markets.