I agree with the first person answer you question, What he said was so true. I just want to add the couple points to that.
To avoid being scam, you have to learn how investment work through educated yourself.
Every Investment , you have to analyze in 4 step processes, because if you missing ones, your investment would be a great jeopardy:
1/ Fundamental analysis (learn how macro economic, economic calendar, PPI, CPI, leading economic indicator, employment number, how cash flow of a company, balance sheet, income statement, OPEC, presidential election cycle, The FED interest rate cycle). TELL YOU WHAT TO BUY
2/ Technical analysis ( how the charts work, chart pattern, market indicators, momentum indicators, japanese candle stick charts) technical analysis tell you WHEN to take profit/ Buy in opportunity
3/Sentiment Analysis/ Contrarian Analysis( teaching you avoid the CROWD mentality, meaning when everyone buy, YOU sell, when everyone Sell, you BUY): Check out the VIX indicator, BULL/BEAR ratio, PUT/CALL ratio. These ratio will give you the best information when the market top or bottom.
4/ Seasonal Cycles: how to use : SELL in May, Go way", everything in this life involves cycle. Stock Market is no exception. Learn how presidential election affect stock. Secular Bear or Secular Bull market. If you can do that, you will win over time with patient because you know you will make the right choices with the best infromation you have
couple book you should check out:
Stock Trader's Almanac by Jeff Hirsch
Technical Analysis for Financial Market by John Murphy
All About Market Timing
couple websites:
http://www.stockcharts.com
http://www.incrediblecharts.com
http://www.pring.com
http://www.market-harmonics.com/free-cha…
http://www.bullandbearwise.com/
http://robertjmiller.us/sentiment.htm
http://www.sentimentrader.com/
I am in mid-30, but my 401k is about 100,000.00. My Roth IRA is 21,500.00. My cold cash is 30,000.00. Even in this recession , I feel less stressfull . No debt except my mortgage.
I am not showing off but just pump you up. If I could do it, so can you. You have to learn the right way. Educated yourself. Do not let nobody making decision for you but yourself.
Good luck. Last Point, AVOID AS MUCH DEBT AS POSSIBLE.