If you are a guru or a seer into the future you can make a great deal of money within a very short period of time by, what is known as, “Playing the market.” There is also the “Good old fashioned way” such as spending many hours each day analyzing the stock market trends, both long and short term, before making investment decisions. There are those who are “Day traders” who sell what they purchase or purchase what they sell short during the same trading day. There are those who purchase or sell options to purchase or sell capital stocks on the future exchange.
Either way, each type of “Stock trader” can or has the potential of making a great deal of money within a relatively short period of time. Some people simply “Hit it right” and happen to purchase or sell the stock of a particular business just before the management of that business makes an announcement that will add millions of dollars of profit to that business or simply say that the business will soon go bankrupt.
As those old saying go: “One man’s loss is another man’s gain” and “There is a loser for every winner.” An increase in the value of the stock of a particular business is just a paper gain until that stock is sold by whoever purchased that stock. So, you must sell the stock to make real money, no matter how long you have owned that stock and waited for its value to increase to a level where it is profitable for you to sell it.
Quick profits can also be made if you act on “Insider information.” However, it is illegal to purchase or sell capital stock when you act on knowledge that is not known to the public. If you remember, Martha Stewart profited from “Insider information” and went to jail for doing so. Then again, you have to be caught doing so and then be convicted of the crime within a court of law. Are you willing to take the chance that you will not go to jail for acting on “Insider information?” Thousands of stock traders who trade stocks after having such information from a person who works for that business or from a corporate spy do make a great deal of money and do not end up in jail for doing so.
People who consistently make money from trading stocks usually become super rich. What is your plan to become rich? Whatever it is you now have a few more ways in which to make a great deal of money or lose a great deal of money within a very short period of time.