1. Know what type of investments you plan to make. Trading common stock, options, day trade and mutual funds are possibilities.

2. Make a list of potential online trading companies. A Publicly owned company is more transparent. Barron's magazine puts out a yearly review of online brokers. Check barrons.com for a reprint of the latest or see if your local library has a copy.

3. Compare account requirements and services offered. Some companies require a minimum deposit to open an account. Cash, margin and retirement accounts vary for this initial outlay.

4. Choose an online account and click the "open account" button on the home webpage. Follow the instructions. Answer each question and push "next" with your mouse. This process varies by company.

5. Determine in advance the type of account you want to open. Individual, joint and IRA are standard. Other types include tenants in common, community property and tenants by entireties. Margin and option trading have additional cond ...more

Source: How to Open an Online Trading Account | eHow.com