Looking to specialise in tech stocks

I'm looking to specialise in major tech stocks.

I've heard its best to invest in what you understand, and this is the area I work, live and breathe in. It would seem a bit silly to invest in banking or mining etc, these are other areas I would like to try in the future, but I thought I would play my first hand in Tech based stocks.

The problem is most tech stocks are based in the US.

Is this something you can broker through comsec? What are the negatives / benefits of investing in a stock that is in the US?

Is my money converted into a US currency to trade it? Does this mean, if the Australian Dollar continues to rise, and I sell US stock (which never changed in value), I would make a loss?

Also i realise comsec is a bit more expensive than other trading platforms, but I thought for a first time trader, it had all the right resources, and all my accounts are associated with them.

Sorry these questions may seem quite amateur / ignorant, but this is my first post too, even though I joined almost 2 years ago

stevo632 said:

I'm looking to specialise in major tech stocks.

I've heard its best to invest in what you understand, and this is the area I work, live and breathe in. It would seem a bit silly to invest in banking or mining etc, these are other areas I would like to try in the future, but I thought I would play my first hand in Tech based stocks.

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Doesn't guarantee success.

The problem is most tech stocks are based in the US.

Is this something you can broker through comsec? What are the negatives / benefits of investing in a stock that is in the US?

Click to expand...

Id us IB and you can trade in your base currency AUD---you'll buy or sell in the equivalent USD.

Is my money converted into a US currency to trade it? Does this mean, if the Australian Dollar continues to rise, and I sell US stock (which never changed in value), I would make a loss?

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The sale would be in USD so if it had fallen against AUD then yes

Also i realise comsec is a bit more expensive than other trading platforms, but I thought for a first time trader, it had all the right resources, and all my accounts are associated with them.

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Once you make the change you'll not go back!

tech/a said:

Doesn't guarantee success.

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I'm well aware trading is purely speculative and basically educated gambling.

tech/a said:

Id us IB and you can trade in your base currency AUD---you'll buy or sell in the equivalent USD.

Click to expand...

Not quite following exactly.

tech/a said:

Once you make the change you'll not go back!

Click to expand...

Change to another platform? What platform do you recommend.

Do you know any good threads that I can crawl through to pick up any information in regards to trading tech stocks?

stevo632 said:

I'm well aware trading is purely speculative and basically educated gambling.

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Some including myself would disagree.

Not quite following exactly.

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IB = Interactive Brokers US based.
You'll fund your account in AUD Think $15K is the minimum.
Youll trade US stocks with AUD buying the equivalent in USD

Change to another platform? What platform do you recommend.

Do you know any good threads that I can crawl through to pick up any information in regards to trading tech stocks?

Click to expand...

See above I recommend Interactive Brokers.
Trading a tech stock (technically) is like trading any other stock.
I suggest you read all you can on capital protecting (Risk management).

I'm a little confused, you say you want to trade tech stocks because your in the 'field'. Would that not then imply you want to INVEST, not trade? You want to take a long term view on an issue based on what your experience in the field tells you is a good business, like social media, as an example? This is not really what most would consider trading, where you would typically take a short or medium term position on issue for capital gain.

Anyway, Interactive Brokers is the cheapest broker with access to all kinds of global markets.

Cheers,


CanOz

tech is a sector which can generate plenty of alpha. Take the spread on Seagate vs Western Digital after the Thailand floods and those companies respective press releases. Take a look at Apple! Or inversely, the crap heap that is HP. I am in 'tech' as well, and know who is good and who is bad, what sucks and what doesn't.

Of course, this has nothing to do with being able to trade it, but it does provide a free high quality underlying fundamental filter. When the overall market is an up-trend I know what's worth following and when the overall market is a down-trend I know exactly which pigs have a little too much lipstick on.

CanOz said:

I'm a little confused, you say you want to trade tech stocks because your in the 'field'. Would that not then imply you want to INVEST, not trade?

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Sorry your right, im talking investing for 1years+ for the long term.