Useful Tools For The Amateur Stock Trader

Posted by Dan on 14 Sep 2010 14:17:40

If, like me, the world of stock trading has taken your interest since the financial crash of 2008, you may be always on the lookout for tools and services that wil help you.

The first thing that you need to consider is "which stock broker should I choose?". I started off in 2008 with Hoodless Brennan, but they closed their service down to nominee accounts in 2009. I chose Hoodless Brennan because they had a cheap pricing of £7.95 (or there abouts) per trade, with no subscription fees. At the time it felt to me like the best price for an amateur private investor. After they closed down, I transferred my holdings to Interactive Investor, who charge a flat fee of £10.00 per trade and again, no subscription fee. They do charge £2.00 for unexecuted limit orders on top of this. This seemed like the next best alternative to Hoodless Brennan.

It wasn't until recently that I started looking around for further alternatives and it was only yesterday when I discovered the "Execution Only" "no frills" nominee share dealing service provided by "X-O.co.uk" after being recommended on a bulletin board that I read. They charge a very competitive £5.95 per trade and again no subscription fee. There also appears to be no extra charge for limit orders either so if you are looking at changing service or choosing service, I would recommend having a look at X-O.co.uk

Another service well worth a look is RNSalert - a service which provides RNS news story alerts to your mobile or email address as soon as a company you choose releases a news story onto the London Stock Exchange. You can even setup "keyworded" alerts that allow you to be less specific about the company but instead receive alerts that match a given keyword in the headline.

I have found the keyword service to be very valuable as this morning I received an alert, based on a keyword "exploration update" from Solo Gold (SOLG) regarding their exploration activities. I managed to get in before the big spike in price and quickly into profit. If it wasn't for the RNS alert that I received, I wouldn't have been made aware of this opportunity. Again - RNSalert - worth a look if you are an AIM company investor in particular!

I must add that RNSalert was setup by myself so I am bound to be a little biased! It was setup out of an idea that I had as a private investor and I myself am now a user of RNSalert!