If a stock consistently fails to generate profits, do not hang on to it. Even if a stock isn't losing money, if it isn't growing your investment then it's time to look elsewhere. Look for something which moves more frequently instead.
One account you should have, is a high bearing account containing at least six months' salary. This way, if something crops up like an unexpected medical bill, or unemployment, you still have some money to take care of your mortgage/rent and have cash on hand to live on in the short-term.
Select stocks according to their values instead of only their price. Will the stock be a long term investment? If you find low prices, do some research about the reasons behind these low prices to make sure these stocks represent a good investment. Stay away from low-priced stocks unless you are confident that you are going to turn a profit.
A good way of saving money when making investments is by trading stocks online. Stock trading firms online are more cost effective than the normal brokerage firms. Just make sure you search around the internet for a really good deal. TradeKing or Fidelity are wonderful choices.
Avoid looking at stock investing as a scheme to make money quickly. In order to succeed with this particular market, you first must know about it. Take time to make some mistakes and then learn from them. If your plan is to make thousands of dollars overnight and then retire, you are in for a disappointment.
Understand that you will be pleasantly surprised on many occasions. However, the same is true for negative events that push down your stock's price. You should understand this when you invest in a business. One occurrence usually leads to another.