Should I wait for the FTSE market to drop or am I going to miss out if I don't invest now?My spread betting gambling handbook says...'you snooze, you lose'...but if I ignored that I would probably be rich..If the trade frightens you is probably going to be the profitable one. It's the institutions that control the direction of the indexes and they monitor fear. They know how the small trader functions and what drives him/her and...more
*Stocks were generally lower in Asian trade. Shanghai was down almost two percent, Australia lost 1.2%, the Hang Seng and Nikkei were both down a fraction. European indexes are little changed at the moment; the Dax is currently flat and the Footsie down 0.2%. US stock futures are lower by a quarter percent as I write. *The July reading of Japan's Tertiary Industry Index is +1.7% on a month on month basis, more than double the...more
The Forex market is the fastest growing market in the world with regards to new traders. It already is the biggest in terms of volume but its complexity is always completely underestimated by new traders. Rather than just throwing money at a particular currency, you need to analyze a huge number of variables which is best left to a professional.The lack of knowledge of the majority of new traders is startling yet it shouldn't be. All sorts of products hype up the market as some sort of magical guaranteed profit venture. Their worst crime is to understate the complexity of the market. To say that foreign exchange rates and what affects them is complicated is a wild understatement. The first clue to the difficulties that lie on the Forex market should be the high percentage of losing trades suffered by investors. The next hint should be the fact that sometimes trillions of dollars pass through in a day and the final one should be the knowledge that some thirty currencies are traded against one another.The simplified version of the market suggests that all a new trader needs to do is buy dollars and hope that it goes up against the euro. The fact that the main principle...more
Position sizing is determining HOW MANY contracts to trade when a trading system gets a signal. It is one of the most powerful and least understood concepts with many traders. Its purpose is to manage risk, enhance returns and improve robustness through market normalization. Position sizing can end up being more significant than where a trader buys...more
These days everyone wants to make a quick buck, investing in stocks is a good option for those, who have a fair knowledge about the market and can predict its highs and lows. There are various companies in which one can invest in, according to their market capitalization value; the stocks of these companies are grouped into small cap...more
For those who are interested in making money commodity trading or just simply diversifying their investment portfolio trading in stocks, forex and even commodities poses a great opportunity. For those who dont really know what commodity trading is but are willing to learn and invest in a lucrative commodities trading market should make sure that they first understand the basics.Commodity trading in simple terms is the buying and selling of goods, you could almost draw a similar line between stock trading and commodity trading. The only difference is the kind of commodity you are trading in, as there are several items that you can trade for instance, metals, oil, grains etc.These commodities are of certain value and considering that the quality of the commodities follows the same consistency pattern and are produced in mass by a few producers. If you think of investing in these commodities then you infact need to look at the number of resources and uses that the commodity has. If you are interested in commodity trading which almost draws its inspiration from the barter system, then you will have to participate in the commodities exchange. The plus point is that investors can trade...more
A swing trader looks for short-term opportunities in the market to go long at a relative low, or get short at a relative high, with the expectation of closing their position in one to several days.Swing trading involves a longer time...more
*Stocks were generally strong in Asian trade. The Nikkei and Hang Seng both gained about 1.25%, Australia was up three quarters of a percent, but Shanghai lost a fraction. European indexes are also generally higher on the day; at the...more
The Iron Condors strategy is perhaps the most dangerous option strategy around.The problem is that way too many new option traders slap down significant money and start trading iron condors immediately upon discovering them without...more
E-mini trading requires a number of different components to be clicking on all cylinders in order for a trader to be profitable. Everything has to be just right to get the maximum amount of profits out of the market. Unfortunately, there are some...more
With so many new trading products coming out every week it's truly difficult to gauge which ones do and do not work. The results given on sites many times are made up and purposely increased to get you to buy.That is the biggest problem...more
Drought and fires last month in Russia resulted in the biggest one month rally since 1972.Chicago Board of Trade (CBOT) wheat for September delivery broke through the $7-a-bushel level in US trade for the first time since September...more