Which is the more risky stock market investment, selling short or traditional long positions?

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In general, selling short is the riskier investment. Selling short means you're betting that the price of a particular stock will drop by selling shares today that you don't already possess and having to buy sometime later to account for these shares. Lets assume you short one share of a stock today at $20. Even if the stock drops to zero (theoretically) and you buy back the share immediately, then you made $20 in profit, which is the max you can profit.

However, theoretically, the stock could rise to any price, and thus your loss could be really high. So lets say it rises to $200 and you're forced to buy, then you've lost $180! Buying long positions mean you buy a stock and keep it for long term, hoping the price will rise. Lets say you buy a stock at $20. The MOST you can lose is $20. Whereas the gain theoretically can be infinite. Because of the above two examples, your potential loss can be much greater with short positions, and thus is more risky.

In a bull market, short positions are extremely risky, because a bull market means positive gains for stocks while you're hoping for drops. In a bear market, it's the opposite, as long positions are more risky, because a bear market means negative gains for stocks while you're hoping for rises. However, long term investors don't really worry too much about dips in the market. They're banking over many years that a well-run company's stock price will increase over time, which the market has shown historically over and over again. Selling short can be profitable, but requires lots of attention, as market timing is more critical, and you must be disciplined in knowing when to cover your positions. Due to the potentially high loss and timing factors, short positions are definitely more risky.

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Which software is the best tool for stock market investment ?

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I think the best way to invest is to first see what the best traders are buying and selling. Then use that knowledge to hopefully improve your portfolio's return. This is the idea behind the site http://www.top10traders.com. This is a free site that lets you create a portfolio of stocks with $100,000 in "play" money. Each day the site ranks the best performing portfolios, so you can see how your picks perform compared to other investors. You can also read posts on investing from the best traders, as well as share your own investing ideas.

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Stock market investment

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For investments, I've found that it's always difficult to predict precisely when a certain technology will take off, or which of various forms will dominate. In the end, I don't invest in companies like this until they actually start to show profits. By then, we can usually get a pretty clear picture of where things are going, and there's usually still a sizeable upside left.Hold on to your good idea, and wait until the winners become apparent.Meanwhile, I would guess that companies with holdings in both TV and Internet sites might have an edge.
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The best way to learn about investment

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I am in a similar situation as yourself. I began reading investment articles and books a couple of months ago. I have learned a couple of things that seem to be particularly important, primarily diversification. I learned a bit about how bonds and stocks work and what to look for. I also have learned a bit about mutual funds. My advice is this. Read about the investments that you wish to work with. Once you have read a little bit, get a little experience by doing some investing. I currently have 3 types of investments. 1) US Savings bonds. They don't pay very well but inflation and taxes seem to be the only way they loose value. 2) Stocks. I really dislike the fees that most brokers charge. I don't have a lot of $$$ to invest so $4-$15 a trade doesn't help much. I found a broker (Zecco) that offers 10 free trades a month. That way I can by 2 shares of Delta Airline stock (currently worth a whopping $5.42/ share) without having a 50% loss just because of the trading fee. I do have to have $2500 in the account to get the free trades. I leave that in a money market investment fund so it gets a little bit better interest.
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Introduction

There are two forms of the Return on Market Investment (ROMI) metric. The first, short term ROMI, is also used as a simple index measuring the dollars of revenue (or market share, contribution margin or other desired outputs) for every dollar of marketing spend. For example, if a company spends $100,000 on a direct mail piece and it delivers $500,000 in incremental revenue then the ROMI factor is 5.0. If the incremental contribution margin for that $500,000 in revenue is 60%, then the margin ROMI (the amount of incremental margin for each dollar of marketing spend is 3.0 (= 5.0 x 60%). The value of the first ROMI is in its simplicity. In most cases a simple determination of revenue per dollar spent for each marketing activity can be sufficient enough to help make important decisions to improve the entire marketing mix. In a similar way the second ROMI concept, long term ROMI, can be used to determine other less tangible aspects of marketing effectiveness. For example Market Investment, ROMI could be used to determine the incremental value of marketing as it pertains to increased brand awareness, consideration or purchase intent. In this way both the longer term value of Market Investment activities (incremental brand awareness, etc.) and the shorter term revenue and profit can be determined. This is a sophisticated metric that balances Market Investment and business analytics and is used increasingly by many of the world's leading organizations (Hewlett-Packard and Procter & Gamble to name two) to measure the economic (that is, cash-flow derived) benefits created by marketing investments. For many other organizations, this method offers a way to prioritize investments and allocate marketing and other resources on a scientific basis.

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