How to Play the Neopian Stock Market on Neopets

Have you ever dreamed of having a small neofortune that didn't require you to have to restock the rare gems in shops that are always gone before you even begin to haggle? Then perhaps the Neopian Stock Market is for you.

I know, I know you are thinking "But I don't want to risk losing my hard earned Neopoints on stocks." The surprising fact is that unless you sell your stock for less than you bought it for you risk losing virtually nothing at all - unless the company goes under (rare on Neopets, but I have seen it happen before.)

So, how does one play the stock market, and more importantly how do they play to make a profit? Well, read on, my friend and see just how easy it can be to do.

First of all you'll need some Neopoints to invest. If you already have a somewhat thriving bank account you are set and good to go. However, if your bank account indicates that you are poorer than a church mouse, you'll need to play some games or sell off some of your unwanted Neoitems. How much Neopoints will you need to start up? Well, that's a matter of taste. Generally the more you buy the better off you'll be in the long run. However, if you can only afford a few shares, buy them anyway. A few shares will always bring more of a profit than no shares at all. No matter how many Neopoints you have there is a maximum limit of 1,000 shares a day that you can purchase, so choose wisely when you buy.

Reading The Stock Market Page Abbreviations

It might seem a bit overwhelming trying to understand how to read the stock market pages. Here's a short run down of what everything means. Going from left to right: The logo is just the company logo of each stock, it doesn't do anything. Ticker is the abbreviation of the company and how it shows on the scrolling marquee ticker at the top of all the stock market pages. It also shows in your portfolio with this ticker abbreviation. Company is the full name of the company. Volume I believe is how many shares there are to be sold - not positive on this one. Open is what the stock was selling at previously. Curr is what the current rate the stock is selling for. Change is the change between the Open and Curr rates.

Buying Shares

What shares should you buy? Well, the lowest shares that you are allowed to buy got for 15np a share. I suggest you buy any company whose shares are at 15 np, but not more than that. First you'll need to look at the list of all the Neocompanies. Either click this link or click Find Stocks on the stock market home page. Once there, click where it says "or click here for a full list." = Once you are there look in the column that is marked CUR. That is the current rate the stock is selling for. You want any stock that is at 15NP. If you should find there are none selling at 15NP, check back again some other time. The stocks constantly change and you'll eventually find some at 15NP a share. Once you find some selling at this rate, buy them. It doesn't much matter what the company name is. They all rise and fall and they will eventually earn you a profit just the same. I generally choose a company I don't have a lot of in my portfolio or if I have none at all I buy a bit of each company. It's all a matter of personal preference- there's no right or wrong way to buy - so long as the stock is selling for 15NP.

Once you have bought your stocks they will appear in your portfolio. You'll want to check up on them now and again and see how they might be rising or falling. Do not panic if you see your stocks plummet - they can and probably will do that. Just let them sit and wait until they start rising again. Remember you lose nothing unless you sell for less than you paid for a stock.

What to do next. Well, if you can afford to, the best idea is to repeat this step for several days in a row. This helps you to build up your portfolio. Generally the more stocks you have the better off you will be. Remember you will get all these Neopoints invested back - and then some!

Reading The Portfolio Page

This is similar to reading the stock market pages, but there are some new things that should be addressed. Icon once again is the company logo. It doesn't do anything special. Ticker is the abbreviation of the company and how it shows on the scrolling marquee ticker at the top of all the stock market pages. It also shows in your portfolio with this ticker abbreviation. Open is the price the stock was at earlier in the day. Current price is what it is selling for right now. Chg is the change between the Open and Current prices. Paid is the total Neopoint value you paid for all your stocks. This breaks down by company as well as adding up your entire portfolio. MKT value is the value of the stocks right now. This is where you can see your profits and decide to sell or hold onto your stocks. You can also see a combined market value of your entire portfolio. % change is how much your stocks have changed since you bought them according to the current selling rate.

When And How To Sell A Stock

Congratulations! You think you are ready to sell your first stock? Well, let's see. Check your portfolio and see what the stock is currently selling for. Is it selling for at least 25NP a share? Then you can sell it if you wish. I personally like to wait until a stock is at 35-40 to sell, but it's all a matter of personal preference how long you wish you be able to sell your stock. It can take days, weeks, or months for them to rise this high. If you are not in any hurry for the Neopoints I personally suggest you wait until they are higher. The higher they are when you sell, the bigger your return on investment is. I've made nearly 90,000 on the sale of one stock before (It rose to over 70NP a share!) Now waiting for that to happen can take a while, but sometimes you'll get lucky and it'll happen before you know it. To sell your stock click on the small arrow by the company name in your portfolio. It will drop down and show how many shares you own of that stock. Punch in the numbers of stocks you wish to sell. You may sell all of the stock, or keep some to see how it will pay off later. Once again it's all a matter of personal preference. Remember that Nigel the Chia will charge you a 20 NP commission on each trade you make! You will see a screen after you successfully sell a stock stating your complete transaction.

Other Types Of Stock Market Trading.

Once you've mastered the art of trading stocks at 15NP a share you might wish to do what is referred to as Day Trading. Please note this is costly to do and VERY risky. Day trading refers to buying one of the very high company stocks that are selling at or above 100NP a share. You'll hold onto it for a day and then sell. The risk in this is pretty high since you pay so much per share of the stock, and in a day anything can happen. You could win a bit or lose a bit. I personally am not a day trader - too much risk for my tastes.

You'll soon find that the stock market is a nice way to make some spare Neopoints with little effort on your part. Eventually you'll see your profits rolling in and adding up. You might not become a Neo-millionaire from playing the stock market, but you will earn some nice cash for your efforts.