Spike investing. Could someone shed some light?

Question

I talked to a family friend earlier and he told me what he knew about spike investing on the internet. I'm now very curious, how do you start? Am I right that you register an account with your credit card and then you can debit or credit your internet account from there? Which site do you go to to register? Do you buy shares in companies and then sell when the value increases a bit? What sort of restrictions and rules are in place? Which companies are probably the best choice?

He also said you can buy specialized software to monitor for you and tell you the current value of your shares etc. Could someone please fill me in on the details? I would love to know more, it sounds fascinating, but he also said it's very risky. Could someone tell me about the pros and cons, things to look out for, how to get started?

Thanks in advance guys:)Is appreciated

Answer 1

I'd be cautious. Get educated before you invest.

Answer 2

It's a fancy way of saying "buy hot stocks".  As such, it'll work up until it doesn't -- as with all momentum-oriented trading strategies.  

It is not investing, really, it's speculating that if you move in the same direction as the lemmings, you'll do fine, as long as you stop shortly before falling off the cliff.