Below are the 20 most recent journal entries recorded in seti679's InsaneJournal:

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Friday, November 18th, 2011
10:00 am	Your Guide to the worlds Best Online Stock Photography Resource Center The process of utilizing existing photographs for various commercial, advertising and media purposes is termed as Stock Photography Gold vs Stocks. Especially for individuals in various creative industries like web designing, book publishing, advertising agencies, magazine editors, graphic artists, interior decorators and those working in various creative corporate groups, the availability of stock photographs in online sites proves to be a great boon. Along with providing you an easy way of browsing through thousands of professionally taken photographs relevant to your particular field of work, availing stock photographs proves far more economic than individually appointing professional photographers and obtaining photographs of different entities shot over various locales. Whereas, large databases of online stock photographs allow you to make selections suiting just your precise requirements, availing such existing photographs saves you a lot on time, money and resource investment. Epictura provides a large database of stock photographs to meet your every creative need. Professionally taken and clear in design, their stock images are tailored to suit your every creative requirement. In most stock photo agency, you will get a wide range of images, available in high and low resolutions to serve your various web and print purposes. Clear, sharp and captured with careful attention to every detail, the stock photographs available are ready for immediate use in your advertising and communication projects. Whereas, the images are all professionally captured by competent photographers, the images are also color corrected wherever required using the latest digital equipments so that the final products you are offered are in their best forms. The stock images available at Epictura are stored as JPEG RGB files in their database so that once you make your selections and purchase the photographs you can easily download them for your work. The image galleries of Epictura cover a wide range of subjects from holidays and festivals to various everyday categories. From pictures of various seasons like autumn and winter to those of festivals like Christmas and winter sports events, you will find stock images and illustrations in a variety of categories. At the same time, images of everyday topics like beauty, biotechnology, birth, cuisines, environment, life and security are available for your ready use. You can also search for images related to various occupations and workplaces like call centers in their stock photo databases. Purchasing stock images and illustration from Epictura is as easy as it gets. For your convenience this stock image agency presents a database of categorized resources available under various subcategories. All you need to do is visit the relevant galleries containing photographs of the topic you are looking for and a range of thumbnail images will be displayed to you. You can select the photographs of your choice by simply clicking on the relevant thumbnail to see a larger image and add it to your shopping cart if you plan to consider it for purchase. In you virtual shopping cart you can, in this way, collect (and change) as many images as you wish. Once you decide on the images or CDs you want to purchase, you can simply click on the checkout link provided and specify all your details according to the instructions specified. At this point you enter a secure server page where you specify all your personal details and payment options. No matter how many images you plan to purchase or the financial amount it involves, you can rest assured that all financial transactions are made under the safest conditions. As the server runs with SSL (secure socket layer) whatever information you provide during your financial transaction are encrypted and not visible during the transmission process. As a result of this, your sensitive details are kept confidential. Handled by Worldpay, the world's best secure payment gateway, all transactions made to and from the website are safe and secure. Once you have purchased your photographs, you can download the high resolution image files from your account section. In case you have ordered CDs you can rest assured your purchased products will be shipped to you within 24hrs. Whereas, all products are checked to provide you the best quality available, in case you are not satisfied with the purchases you have made or want to exchange some defective image, you can easily do so and request for new image file. However, all requests must be made within 48 hours of receiving receipt of images and CDs. In case you want replace some product you have purchased or exchange a defective product, rest assures your replacement will be made available to you within 24 hours in addition to time required for shipping the products. In addition to an exclusive collection of some of the best photography in the world, the CD collection available at Epictura is also one of the best that you will get today. From family, education and health to lifestyle, landscape and occupations, you will get whatever data collections you may require for your various projects. With over 800,000 images and 2000 CDs Epictura provides some of the widest collections of stock photographs available today. What is even better is that as these images are available in a wide range of prices, you can select whatever you require the most within your budget. Whereas, single images that you select can be downloaded in very short time, you can get the CDs of your choice within 24 hours of placing your order. A collection of stock photographs is often referred as photo archives and picture libraries. Such photo archives are essentially websites where large image banks containing thousands of stock images are maintained and stored. A look at some stock library section, will give you an overall view of the large collection of stock photographs maintained by the website. Looking through the various categories of images under different sections like -Digital Vision', -Medio mages', -Photodisc', -Stockbyte' and -Stockdisc' will give you a glimpse of the large number of collections the site maintains under each category. A look into the -inspirestock' section will provide you a view of the large range of premium business and lifestyle stock images avialable for your use. The image files are available in JPEG and RGB file formats in a number of sizes. As a result, depending on the nature of your work and the type of image you are looking for in particular, you can select stock photographs suiting your requirements the best. Whereas, the small files are usually 700ko to 2mb, multimedia 72 dpi and 500-800 Ko in jpeg file size, the medium ones are usually 10mb to 12mb with image size of 1/2page and 1-2Mo jpeg file size. The large files available are 20mb to 28mb, full page images and 3-5Mo jpeg file size the extra large images are 48mb to 55 mb, with double page image size and 3-5Mo jpeg file size. So, depending on type of work you are doing and the type of image you require, you can select stock images fitting your requirement and budget the best. The preview pages will provide you information on the different sizes and prices in which each of the stock images are available. You can readily use these images in different layouts without having to change the files first. If you are planning to use tem in designing web pages, it would be better to resize the images to fit their final size before using them on your web page. If you decide to use them in offset printing work, it would be helpful for you to translate the files to CMYK mode first. A look into the prices section will inform you on the different rates charged for the various categories and types of stock images available. In all cases, you are granted a royalty free license agreement according to which on your purchasing an image you are granted a non-exclusive and non transferable right to use that image. Albert Mills is a freelance photo researcher based in Barcelona, Spain currently contracting for an international publishing group based in london and leading advertising agencies in Europe. Current Mood: anxious (Comment on this)
Thursday, November 17th, 2011
7:09 pm	UTI Mutual Fund Investment Schemes Are you getting good dividends for your investments in Mutual Funds I was getting good dividends every year when I invested in right mutual funds. are silver prices tied to the stock market? If you can follow my guidelines, you can also get some good dividends for your investments. If you choose the right scheme from the mutual fund company, then you can get good dividends. I know some of my friends who invested in some of the schemes launched by UTI Mutual Fund. gold and silover where next in 2011/2012 The schemes were: * UTI Equity Tax Savings Plan * UTI Bond Fund * UTI Transportation and Logistics Fund UTI declared a dividend of 15% for the two funds listed above in the year December, 2009. They were UTI Equity Tax Savings Plan and UTI Transportation and Logistics Fund. So as my friend made clear analysis of the schemes before investing, you have to do the same to get good returns. I have listed some of my guidelines which would be helpful for you when you choose to invest in UTI investment schemes. * Unit Trust of India is a well reputed company in India. You have to check the profile of the fund manager of the particular scheme in which you are planning to invest. * You have to check the past performance of the particular scheme for the past 6 months, 1 year, 3 years and 5 years. If the company has declared a lot of dividends in the past, then you can surely go for it. But please note in this investments, the past performance is not guaranteed in future. Next Step: Read more guidelines before investing. Current Mood: weird (Comment on this)
Wednesday, November 9th, 2011
5:00 pm	Too Easy Mutual Fund And Etf Performance Index Benchmarking Darrell Huff wrote a short and very informative book, "How to Lie with Statistics," which was first published in 1954 and was amusingly illustrated by Irving Geis. This book is still in print and remains very popular on Amazon. It plainly and humorously discusses how statistics can be distorted and misused to serve the self-interest of the presenter. Using Easy Index Benchmarking to Advertise "Superior" Performance Historical investment performance charts will compare a particular fund's performance against some market index benchmark gold extremely underinvested. A market index is a market index, isn't it The question that individual investors should ask is whether the market index benchmark really is appropriate. All index benchmarks are not the same, and there can be very significant differences between market index benchmarks -- even when indexes seem to match the particular investment style of the ETF or mutual fund in question. When you look at a performance chart, do you investigate whether the mutual fund or ETF company picked a challenging index or an easy hurdle that they could more easily stumble over For more about the variations between index benchmarks, see Craig L. Israelsen's article, "Variance Among Indexes: Don't judge an index by its title" in the May/June 2007 issue of the Journal of Indexes (Pages 26 to 29) Dr. Israelsen analyzes the various indexes published by the six major U. S. index providers (Standard & Poors, Frank Russell, MSCI, Morningstar, Lipper, and Dow Jones) How To Invest In Precious Metals IRA. He finds very wide performance variations even with market indexes that supposedly represent the same "style" of investing. Dr. peter schiff india gold Israelsen concluded his article by commenting: "It is important to recognize that significant performance differentials among prominent indexes can lead to misleading conclusions about mutual fund performance. Funds with mediocre performance histories can be made to look better by being compared to a prominent benchmark with a weaker performance history. At the very least, the industry needs to recognize the existence of potentially sizable performance differentials among various U. S. equity indexes, and therefore view performance comparisons between Mutual Fund A and Index B for what they are: marketing materials. " Historical ETF and mutual fund investment performance charts present numbers that are historically accurate. However, their presentation in advertising, on line, and in printed materials can amount to lies from several perspectives. ETF and mutual fund performance charts are designed to lure gullible individual investors with an implied promise that superior past performance will continue. The financial research literature tells us clearly that on average this is a promise that cannot be kept. In other words, historical fund performance charts are a veiled lie. They may report factual information, but their purpose is to deceive. (Note that there is no business relationship between The Skilled Investor website and the Journal of Indexes. The Skilled Investor website has not received any kind of compensation for this article whatsoever. ). Current Mood: bitchy (Comment on this)
Tuesday, November 8th, 2011
6:44 pm	The Difference Between Online Stock Trading and Offline Stock Trading Gold and Stocks The internet has definitely brought a gigantic alternation in society as well as in our very own personal lives. It has described multiple part of our life, may it be business or personal matters. The internet gave way to plenty of avenues which was inaccessible before, for example stock trading online Gold and Stocks. The field of finance has fully embraced the world wide web, where they have the ability to make everything with only a click away for their clientele. A great deal of investors have already formed the big shift to online stock trades. Will England need an EU bailout Whilst, this is not for everybody. There are some traders who still feel more comfortable with the original ways of offline trading are silver prices tied to the stock market?. One of their main reason for this is protection. The internet has delivered people with a very practical way to regulate their budget. Even businesses may be operated through the net. A greater range of markets may also be achieved through the internet. Stock trades online also have given way to a great database of data and equipment on stock exchange trading that once was only available to brokers and expert investors. Today, stock trading online is widely used in the world of investment and it consistently evolves. Services and offers still add and develop with many new offerings are silver prices tied to the stock market?. There is without doubt to the several benefits of online stock trades, and here are a few more to influence you why it really is worth your thought: Great Saving Opportunities. The amount of funds you'll need depends upon the online stock tradingtrading business you join with. They have diverse minimums and maintaining account balances why invest gold n silver now. Either way, you will discover many possibilities for saving, because the fees and capitals needed in online stock trading is lower than offline trading. Instant Access to the Internet Gold and Stocks. Provided that you have a computer and access to the internet, you are good to go, wherever you might be on the planet central fund of canada gold and silver-any problems. There is a good deal of restrain for you personally that was unavailable in the past. Trade Anytime, Wherever. You can trade at any time for the day, regardless of what time zone you are in. are silver prices tied to the stock market? This is surely an industry that knows no sleep. This is a great advantage particularly for investors who have very restricted schedules. But despite each one of these technological advancements, how come some individuals still feel more comfortable with the typical offline trading Here are a couple of their reasons that you might feel similarly about: Offline trading allows traders to have more guidance, so they feel more secure that they're not making their choices on investments alone. They hold the specialist of experienced brokers goldman sachs ruin europe. Many investors would rather hire excellent brokerage companies to take control of their investments while they wait. If investors usually are not secure using their own insight, they feel much more comfortable as a professional broker is there to consider on their behalf. Offline trading also permits person-to-person meetings with their broker which lets all their questions and concerns be cleared immediately. It is wise to hire an experienced broker to help you make the most from the investments. is china currency backed by gold But don't push aside the countless probabilities of online stock trades also. Current Mood: hungry (Comment on this)
2:50 am	Etf Trend Trading - Hype Or Untapped Potential It's common knowledge in the investment world that with more potential for gain comes more risk; therefore generally the highest profit types of investment tend to be among the riskiest peter schiff india gold. That's why I always like to keep an eye out for anything that can, if only slightly, stack the deck a little in my favor, and that's where ETFs come in Gold and Stocks. If you've been actively involved in the stock market for any length of time, you may have heard the term ETF (or Exchange-Traded Fund) being tossed around lately. impact of current gold n dollar prices on exchange rate The popularity of this investment vehicle has grown tremendously in recent years, with a 26-fold increase in the ETF market to a current level of over 600 billion dollars. are silver prices tied to the stock market? The main reason for the popularity of this type of fund is the relatively low risk-level, tax-efficiency, as well as their stock-like features allowing them to be traded with ease. And unlike many larger mutual funds, ETFs can often be more accessible to people with less capital why invest gold n silver now. Gold and Stocks Now, I don't mean to portray Exchange-Traded Funds as some kind of miracle investment vehicle that you should throw all your money into, but they should definitely be considered a key component of a well-balanced portfolio. Gold Miners at One Year Low while Gold at $1500 If you do decide to look into the potential of this market, I would strongly suggest doing your homework before jumping in. Gold and Stocks This may seem obvious, but I know sometimes enthusiasm can get the best of even the best of us. There are a number of good resources and courses available on the topic which can help you get a better feel for the intricacies of this sort of investment fund collapse fiat money. goldman sachs ruin europe For a serious investor, ETFs can provide a good opportunity to mitigate risk while still providing solid returns, even in a down market. comex warehouse eligible chart If you're the day-trading, trend following type this may allow you to stabilize your portfolio and generate some more steady returns without losing liquidity. Before putting any of your money into ETF trading, it would be wise to invest in a good training course which can show you step-by-step how to turn a profit from this type of investment vehicle The_World_s_Biggest_Debtor_Nations. The_World_s_Biggest_Debtor_Nations Like any market, it's best to approach ETF trading in a confident yet prudent manner; and in the end it's probably better to spend a little money on learning how to do it right than risk that money on the market, doing it wrong. Current Mood: pensive (Comment on this)
Monday, November 7th, 2011
11:50 am	How to Approach Stock Market Trading Trading 101- How to Approach Stock Market TradingTrading with a business like approach Outline: TRADING CAPITAL TRADING OBJECTIVE PLANNING FOR HOW TO REACH TRADING OBJECTIVE TRADING STRATEGY- WHAT TO TRADE AND WHEN DAY-TO-DAY MONITORING OF TRADING ACTIVITIES MISCELLANEOUS TRADING RULES A SAMPLE TRADING PLAN What shouldyou do beforeyou start tradingShouldyou createyour trading plan If yes, howThere is no straight answer or a standard plan. What works best for one person may not work well for others! So I am not going to give advice on how one should trade but I would strongly recommend that one should approach trading as if he were starting a business. How do most people get into trading world Most people start trading without putting any serious thought into it. It is interesting to know what brings people into trading. Gold and Stocks Many times, one hears a friend or a stranger talking about his impressive profit in a stock trade and this tempts him to trade stocks for seemingly easy money. He starts by watching a few stocks, say around 6-8, and as time passes, his list gets narrow as stocks that are not doing good will drop from his watch list! So after some time, he forgets about the stocks that were on his watch list but did not do well, and he keeps focusing only at those 2/3 stocks that are doing well. This fills up one with false confidence that he has exceptional stock picking skills and he genuinely starts believing that he is born with necessary skills for success in trading! Now he will not want to waste any time so he makes first trade. It may be just a coincidence or may be a lot of research behind it, but a person's first trade is more likely to be in profit than in a loss! Maybe that is the law of the nature to drag more people into trading! After first trade, there is no looking back! Before one even realizes, he is hooked up. He is addicted to stock trading! As mentioned earlier, people enter trading without any plan or any idea about how they want to approach trading. To me, trading is like a business and like in any business one needs to do some thinking and planning before he gets in. One has to decide how much money he wants to start with, what his strategy is and what the goal is. I strongly believe one should write down these things on paper before he makes any trade. This is like having a business plan. Let me give you some ideas about what should be part of a good trading plan. How much money do you need to start trading with There is no standard number. It all depends on one's financial situation, circumstances, experience, investment objectives and risk tolerance. For a novice trader, I think he should start with an amount from 5 to 20 thousand dollars comments on gold and silver commodities. This starting amount has to be the amount that if one loses it all, it will not create financial hardship for him or for his dependents. If it were all lost, it wouldn't create a stress on one's bank account, retirement plans or on lifestyle. This is like a risk capital. Let me highlight the importance of this starting amount. There is a big difference between trading and any other business. In any other business, it is not difficult to determine when to call the quit a gift to my children jim rogers quotes. However in trading, I have seen people continue trading for a long time despite the fact that they know that they are not making any money! May be it is hard for one to accept the fact that trading is not for him or maybe it is the hope of winning in the end that is not letting people quit the game. Nevertheless it is very important for a person to accept his limits and understand that there are a lot of things for which one does not have necessary skills, emotions and/or aptitudes. Every one of us can't be a successful auto mechanic, plumber or a heart surgeon! In the same way, the stock trading may not be appropriate for every one of us! This is why it is important for a person to start with a pre-defined risk capital to test himself for trading, and then if successful, he can keep doing it. If he loses his risk capital, he will need to stay away from trading for a considerable time if not forever. Write down here: My risk capital is: ___________________ What is our objective with regard to trading When a person starts a business, he has some goals, objectives or expectations about how much business he wants to do or money he will make/lose over a specific period. As I keep saying, trading is also a business but you would be surprised to know that there are a lot of people who have no goals or objectives when they are trading. (I am not talking about dreams of making millions! They are there in every trader! ! ) Unless a person knows where he wants to go, how can he plan Unless he plans, how can he reach there If a person has a goal, he can create a road map or a plan to reach there. To have some profit objectives is absolutely required if one wants to be a successful trader. what is an entry point/ economics If you are starting with 20,000 dollars, an objective could be to make 500/1,000/1,500/2,000 dollars every month. Or it could be like 10, 25, 50 or even 100% return per annum. Start with a number that makes sense to you and then later in the Chapter you will see if this goal is achievable or not. If not, you will need to fine-tune it. Write down here: My goal is profit of _______ per month or ____% return per annum. What is your plan to achieve your goal This is a tough question and there is no straight answer that fits all traders. However here are some guidelines and ideas. See if they make sense. If they don't, try to find your own version of it. For one to reach his monthly profit target or annual return objective, he needs to look at following factors: Trading Odds (ODDS). Desired Profit in a successful trade (PPT). Planned Maximum Loss in an unsuccessful trade (LPT). Trades per month (TPM). Let us take an example of a trader who wants to make 1,000$ per month. If his stock selection is average, his trading odds will be 50%. Half of the trades result in profits and half result in losses. Now if he takes say 300$ of profit in a profitable trade and 300 dollars of loss in a losing trade, you can see that with 50% success rate, he will not reach any where. poverty overtaking someone He will in fact lose money because of the commission on both sides of each trade. So to reach to his goals, we will need either boost his Trading Odds (ODDS) and/or increase Profit Per Trade (PPT) in comparison to Loss Per Trade (LPT). Based on these three variables and your monthly profit target, you will get an idea about how many trades you will need to make per month. Investing Gold ETFs Increase the odds. What is the success rate or odds for a trade to be in profit It can be any number between 0 to 100%. However for an average trader, it can be expected to be around 50%. If a trader makes ten trades, on average five may turn profit for him and five may result in losses. So to come out as a winner in this game of trading, one will benefit by increasing his trading odds. Question is: is it possible to increase odds of success If so, how far one can expect to go This is the area most addressed in investment and trading books. One will find several books on the topic and this one- Profit From Prices- also deals with it. Based on my experience, it is possible to push the ratio to around 70% with the signals discussed in this book. However at this stage when we are developing our trading plan, I will advise one to be cautious than being too optimistic. I think you should take 50% ratio in your planning calculations with a goal to push it higher to around 70% as you gain more experience in trading. Write down: I want to achieve a success rate of ___. 2. Have more profit in a winning trade than a loss in a losing trade. This is crucial to keep in mind if one wants to succeed in trading: Small Losses Big Profits. This is easy for anyone to say or advise but it is very hard to practice in real life. Most of the individuals have their emotions and psychology trained in quite an opposite fashion, and most of the time it acts against them. When a trader is in profit, he doesn't want to take any risk on that profit so at the first justification or sign of risk, a profitable position is likely to get closed. On the other hand, when a trade is in a losing position, he will neglect all negative developments and signals. Instead of acknowledging that he might have made a mistake, he will hold on to the position hoping/praying for one powerful positive news/development in the stock. A losing position is often time held too long in the hope that some day the stock price will reverse its course and there will be profit (or no loss)! ! ! So in short, normally an individual is practicing in the trading world what most of the religions have been teaching for thousands of years: Pass on the joy (profitable positions, I mean) to others and keep the bad part, bad incidences/happenings and bad luck to oneself (losing positions). Pass on nice smelling flowers or perfume to others but keep holding onto rotten bad smelling corpses for yourself! Believe it or not, the truth for most investors is: Small Profits and Big Losses! So how much money should one risk per trade How much profit should one go for in a trade There are no straight answers but one can risk anywhere from 1% to 10% of his risk capital per trade depending on his situation, circumstances and objectives. For most novice traders, I would say they should not risk more than 5% of their risk capital on an individual trade. Profit target should be around 2 to 3 times the amount risked on that trade. I have made this a guideline for myself: Before I enter into any position, I like to see if the position offers me two to three times more gain opportunity than the risk or loss exposure it has. My Goal is to make ____$ profit per successful trade and want to stop my loss at _____$ at most in every unsuccessful trade. 3. How many trades will be required per month Let us do little math here. Let us take ODDS as a ratio. For 50% odds, it is . 50 and for 70% success ODDS, it is . 70 Expected Profit per Trade= ODDS * PPT Expected Loss per Trade = (1-ODDS) * LPT Expected Net Profit/Loss per Trade = Expected Loss per Trade - Expected Profit per Trade. Hence, # of Expected Trades per Month = (Expected Monthly Profit)/Expected Net Profit or Loss per Trade. As an example, with an expected ODDS of 60% (. 60), PPT of 500$, LPT of 250$ and Monthly Profit Target of 1000$ Expected Profit per Trade = . 60 * 500 = 300$. Expected Loss per Trade = (1 - . 60)*250 =100$ Expected Net Profit or Loss per Trade = 300$ - 100$ = 200$ The_World_s_Biggest_Debtor_Nations. Hence, # of Trades required per month= 1000$/ 200$ = 5 Trades. Now, put your numbers in the formulae above and find out how many trades you will need to make per month to reach to your target profit per month. My Target Trades per Month are =_________ trades. What is my trading (entry and exit) strategy This is the major component that will determine any one's success or failure and it forms the central part of any trading system. How to select which stock to buy or short Does it have the required PPT potential at the risk of LPT When to take this position What is going to be an exit strategy It is not easy to answer these questions. Some trading strategies look at fundamentals of the stock or market to answer above questions. Some others use the news, announcements or earnings. Some strategies even look at interest rate movements, money supply, Inflation, consumer sentiment or other economic/psychological indicators. gold and silover where next in 2011/2012 However majority of trading systems base their trading decisions on technical indicators like MACD, ROC, Volatility, Bollinger Bands, or on contrary indicators. Or one can invent and use his own ratios. In short, a trader has thousand of choices. However, when you are choosing a strategy, you need to make sure it is capable of taking you where you want to go. Try to find answers to following questions: Has it the success rate you are looking forHas it the potential to give you your target Profit Per Trade at the cost of target Loss Per Trade Will it give you enough trading opportunities that you need to reach to your monthly profit trades target Once you select a trading strategy (trades selection method), before you go ahead and make trades, test it out- first on paper and then in real life. Find what works for you and then stick to it. This book is also primarily about trading strategies. In the subsequent chapters I am going to show you how to read daily stock prices and find trading signals to answer two most basic questions: What to buy/short and when. I will also show you when to book profit or close a position, and how to protect yourself in case of a loss with use of a stop-loss. How are we going to monitor or manage our business of trading Now thanks to the Internet, a trader should create a transaction portfolio on websites like Yahoo! Finance, or should use personal finance software like Quicken or Microsoft Money. Every trading day, he should look first at the aggregate portfolio value before looking at the prices/profit/loss of individual positions. Value of the trading portfolio should be viewed in context with our trading plan. One of the biggest traps for most investors is human psychology or emotions. An average individual hates to look at bad things or admit a mistake. Traders and investors alike keep looking at or talking about their winning positions more often than they look at or talk about their losers. This makes them feel happy and proud; but the neglected losers keep eating up their portfolio value more rapidly than what their winners are doing to make them wealthier. As mentioned earlier, winners stay for a short time but losers end up with a long relationship with most investors/traders. Being happy, feeling good is definitely a good thing but this has to be a secondary trading objective. The primary objective in trading needs to be to be rich and make more money. For just happiness and feeling good, Las Vegas could be a much better alternative! Also, before one enters into a trade, he should write down at least the following things. Our mind and way of thinking keep changing so often -that they work as our enemies in trading. Didn't you know that each of our friends and relatives sort of knew that we were in a big tech bubble during 1999-2000 I don't remember if anyone told me in those days that AMZN or Yahoo were about to crash from their 200 dollar levels; but if I ask most my friends today they sound like they were the people who knew exactly that there was a bubble going on! This does not help anyone! For success in trading, one needs to be honest with oneself and one way to achieve this is to keep a diary and enter the following information for every position he takes. Stock Trade Date Trade Price Number of stocks (100, 200, -1000-) Justifications for this position What are the risks Trading with trend or against trend Intended holding period in days/weeks Profit Target in terms of stock price and in terms of overall amount of profit Stop-loss in terms of stock price and in terms of overall likely amount of loss Update information as required. After you close the position, write down when it was closed, why it was closed, at what price and with how much profit or loss. What are the lessons learnt if any. Miscellaneous Trading Business Rules Keep a limit on Open positions. Decide in advance how many positions you can have open at any point of time at most. You can choose any number from one to ten. One natural trap in the market is overconfidence. When the market is around Top, there is good news everywhere. Everyone is talking positively. So we are tempted to exploit current opportunity in a big way. We start trading more aggressively, cross our limit and our portfolio gets overloaded. This is a too much risk if the market stages a reversal. What we might have earned over last few months vanishes over a short period of time. So avoid this trap, never ever let your open positions exceed your predefined limit. Take a break when all of the last three (or five) trades turn into losers. Take this as an indication that you are getting out of the sync with current market trend. Never average in a losing position. Never try to recoup from the same stock just because you lost in it last time. Similarly, resist the temptation to repeat a success story in the same stock in which you had a good profit last time. Trade objectively. Trade in the same stock only if you have a strong signal. Control emotions- particularly greed and fear. Follow all above rules. A Sample Trading Business Plan Trading Business Plan Date Created: October 10, 2002 Last Updated; October 01, 2003 Risk Capital: 20,000$. Trading Objective: 1,000$ Profit per MonthTarget Success Rate: 70%Desired Profit Per Trade (PPT): 400$ per TradePlanned Maximum Loss per Trade: 200$ per TradeIntended Holding Period for a Trade: 2-4 WeeksAverage Trades per Month: Around 6 -8 TradesAverage Amount to be invested in a position: 20% or 4000$ per TradeMaximum Open Positions permitted at any point in time: 3 Open Positions Stock Selection Criteria: Stocks with strong Trend Reversal signals. Trade in the direction of the main trend. Trades in stocks with average daily volume of 500,000 or more. Trade in stocks with Market Capitalization of 300 million or more. . Current Mood: tired (Comment on this)
Sunday, November 6th, 2011
4:49 pm	Investing In International ETFs Can Give A Much Better Return! Suppose, you get the opportunity to invest in the stock markets around the world, would you take it if you know that the return you would be making by investing in foreign stocks would be much higher than investing in the US stock market. A few years back, it was hard for American investors to invest in international stocks. Gold Money Report Many brokers couldn't process foreign trades. Tax paperwork for investing in international stocks was lengthy and complicated. Stock markets around the world were not that much integrated as they are today making it difficult to get the news about international stocks Investing in Gold. But things have changed now. With the click of a mouse you can invest in the International ETFs ( Exchange Traded Funds). International news travels much faster today. Just think about Twitter and Facebook how they are integrating the world. Financial news travels very fast on Twitter. Tax paperwork is now easy. For the past many years, emerging economies like Brazil and India have performed well. You can invest in International ETFs now just like you do in the NYSE. ETFs give you the advantages of both the stocks as well as the mutual funds with none of their disadvantages why invest in commodities. When you invest in ETFs, you can buy and sell the shares just like you do for an ordinary stocks anytime you want during the market open time. Each ETF is designed to follow some market index instead of following a single stock. So, you get the benefits of diversification just like you do when you invest in a mutual funds. However, unlike the mutual fund, you pay a very little fee something like 0. 7% when you invest in an ETF as compared to a mutual fund where you have to pay a fee that might be as high as 4-6% or even more. Think about the DOW Index as the barometer of the NYSE. Let's compare the return when you invest in the DOW as compared to an International ETF. Let's take a few examples. The Chile ETF (ECH) has risen 157. 8% since the beginning of 2009 while the Indonesia ETF (IDX) has risen more than 263. 9% since the start of 2009. The performance of Chile ETF has been 6 times better than the DOW while the performance of Indonesia ETF (IDX) has been 10 times better than the DOW. Make your own judgment! Always do due diligence before making you investment decisions! Good Luck! Current Mood: optimistic (Comment on this)
Friday, November 4th, 2011
6:05 am	Is ETF Trading Something For You An ETF or Exchange-traded Fund is another form of an investment portfolio made up of many investments that trade like stocks Gold Money Report. why invest in commodities It holds an assortment of securities that are intended to track the performance of an index and unlike many mutual funds; it can be bought and sold rapidly working in response to market movements similar to stocks or bonds that are traded throughout the day, mainly on major stock market exchanges. The American stock exchange is where ETFs are mainly found to be traded on. There is no minimum investment and investors can sell short or buy on margin investing little or as much as they want How much money Should You Invest. gold rises as global monetary cracks There are features and strategies that allow traders and investors to increase returns which mutual funds don't offer, where it can no more than sell or purchase at the mutual fund's closing price at the end of the day. The continuity of pricing throughout the day allows a trader to take advantage and react to the market condition on a basis that is intraday. An investor can trade ETFs in cash throughout the days' regular trading hours and even after hours on ECNs which is an advantage of being immune to market timing unlike open-end mutual funds where investors have to quickly trade in and out gaining from minor price variances to profit. With a closed-end fund or ETF it is different being that by the trading on the market the underlying assets of these funds are not affected in any way. Profits can be made by the difference in share value of the underlying assets of the ETFs and trading of the ETF shares. When the demand is low ETF shares will trade at a discount and when it is high at a premium to net asset value Gold Money Report. gold extremely underinvested In conclusion ETF can be a good investment when held over time. Current Mood: dorky (Comment on this)
Friday, October 28th, 2011
4:04 pm	Mutual Fund Pros Every investment type has its share of pros and cons, the same holds true when it comes to mutual funds. For many investors this is the only way to go while others are very wary or even contemptuous of those who elect to navigate the safer waters of mutual funds rather than taking the risks of the open seas of the stock market. Either way you should understand that there are many benefits to be found by working with mutual funds rather than stocks. How To Invest In Precious Metals IRA You will find a good many of these benefits listed here. * Safety in Numbers * Diversity * Professional management * Lower Transaction Fees * The Ability To Cash Out At Any Time * Easy As PieSafety in numbers. In a mutual fund you pool your money with a group of people in order to buy a certain set of stocks or bonds or some combination of the two. Investing in Gold In this you share the risks among you. Some will argue that you also share the rewards but that is the price you must pay in order to have the security that comes with shared risk. Diversity. You won't need to worry about intentional diversification with mutual funds for the most part because they are already diversified for you. In most cases you have to purchase very specific mutual funds in order to get a group of stocks or bonds that are too similar in nature, as this would defeat the purpose for many mutual fund investors. It is possible to purchase an industry specific mutual fund though that does increase your risks to some degree. Having your investments spread out across industries and investment type helps minimize the impact should a catastrophic loss occur in one area the blow is softened because the fund encompasses more than one specific stock or bond. Professional management. The average citizen would be hard pressed to afford the services of a financial advisor or stock broker and still have a significant amount of money left in which to invest. You are graced with the skills of a professional investor to guide your fund through the shark infested waters of the trading Bermuda triangle while you are allowed to put your mind to rest and focus on other things such as the places you will go when retirement strikes or the college educations your children will have courtesy of your investments today. Lower transaction fees. learn to invest gold This is a huge benefit to many investors who know without a doubt that those transaction fees can literally kill the profits you'd make on occasion. The reason the fees are often lower is that mutual funds are purchased in large lots because they use the collective monies of a large group of people to make a larger purchase rather than using a small amount of money from one person to do the job. Same fee, but more bang for the buck and it's divided among others in the group rather than one person absorbing the entire transaction fee. Gold vs Stocks The ability to cash out at any time. This isn't really different than stocks but for those who are considering all with no preconceived understanding you should understand that you can get your money out whenever you need to if emergencies arise. There are fees involved of course but you can recover your investment most of the time and bring home a bit of a profit on occasion. Easy as pie. This is something that most people overlook when making investment decisions but should pay a little more attention to. It is easy to purchase a mutual fund and it can often be done for very little money, especially when compared to stock purchases. gold rises as global monetary cracks There are a few downsides to dealing with mutual funds as well though for many the benefits far outweigh the potential for lower returns, which is the most commonly complained about detraction from mutual fund investing. It is still worth checking out the cons as well as the pros when it comes to investing in mutual funds compared to stocks, bonds, and other forms of investing. Current Mood: horny (Comment on this)
Wednesday, October 26th, 2011
5:30 am	Stock Market in Nigeria learn to invest gold The Stock market in Nigeria happens to be Africa's best performer for over a decade. Recently the stock market in Nigeria became about the worst market across the globe especially on the bank losses Gold ETFs. The stock market in Nigeria posted the biggest decline worldwide in the first quarter as bad loans to speculators pushed bank valuations to an all-time low, and by own humble opinion it was due to bad government policy that was immediately corrected and lead to a big shake up within the two regulatory bodies and that is the more reason why am confident about the rebound and future stability of the section. People investing in the stock market in Nigeria have experienced the good the bad and the ugly. Due to the financial industry since Nigerian regulators allowed banks to delay booking looses on so called margin loans backed by shares, emerging-markets brokerage Renaissance Capital says. why invest in commodities However the stock Market in Nigeria has hit the lowest point which the professional reffered to as support level and now there is just one way to go from here, and that's UP! Since it possible could not get any worst now is the time to start investing in the stock market in Nigeria. By starting off slow and making small wise investments you'll see that in a few weeks you can be making huge profits from your investments. Investing is without a doubt scary at times to say the least. However if you want to be successful you have to be smart with your money Gold and Stocks. You can't make your money grow if you don't invest. So by investing in wise stocks in the stock market in Nigeria you can in fact have a secured investment without worries of loosing your money Investing in Gold. The main reason people started losing their money in the stock market in Nigeria was for the fact that they made blind investments learn to invest gold. To be able to make investments you need to know what you're doing. You can't go into the stock market blindly and expect not to lose your money. The best way to invest in the stock market especially in Nigeria is to have the best help you can find. When I say help I mean by hiring smart stock brokers that knows what he is doing to be able to make your money grow without losing it. Then the place of learning cannot be over emphasized, there are many e-books on investing in the stock market in Nigeria today that were packed with everything you need to know about the stock market. Again, you could subscribe to relevant newsletters and make articles reading your habit I would suggest you get yourself acquitted with the system before venturing into making investment into the stock market in Nigeria. One of the best known e-books out today GUIDE TO NIGERIAN STOCK. Current Mood: worried (Comment on this)
Monday, October 17th, 2011
4:26 am	Etf Investment Etf Investment Is The Way To Gain A Risk Free Profit Are you searching for adaptable investment mediums that you control from your collection Like stocks Then you should learn about ETFs Gold Money Report. What are ETFs ETF means Exchange Trade Fund. ETF binds stocks and other negotiable things that are traded the same way stocks are exchanged Gold and Stocks. The idea of ETF has been in existence for more or less 15 years. The first time that it arrived at the stock market was at 1993, it was most popular with the name spiders. ETF was not yet its symbol but SPDRs. SPDRs were in the Standard index of big corporations stocks. At the first part of the 1990s, a popular kind of ETF was brought in to the market. In the present day, there are so many kinds of ETFs that run on different countries around the world. In addition to that you could say that the number of ETFs in the world is one and the same as the amount of corporations and industries that take part in the stock market You might ask this, if I invest in ETFs, what would be its benefits for me Well, one of the many benefits of ETFs are the operating expenses will be low. Gold vs Stocks For example, lets say that the Asia Pacific Fund ETF has an operating cost of 0. gold rises as global monetary cracks 05% every year of its overall resources; therefore, we can rightly say that a one hundred thousand dollar ($100,000) investment would have a yearly cost of seventy dollars ($70) for its operation. One more benefit of investing in ETF is for its tax competence. Why Because ETFs does not need any type of security and as a result, there will be no taxable put on that you will take on. On the other hand the Exchange Trade Fund is capable of producing taxable profit gold rises as global monetary cracks. How to Invest in Gold In spite of this, the ETF will be put up for sale as a stock in the stock market. The owner of the ETF that was put for sale cannot buy it back. We can say that in order for a shareholder to recognize his money increase, he must put the share on sale or exchange the ETF to reveal the alteration of the underlying index. Finally, Exchange Trade Funds are much more adaptable when judged against other investment mediums like mutual funds How to Invest in Gold. As a result, we can say that mutual funds will only be priced one time, which is more often than not at the closing stages of the trade day. ETFs on the contrary can be purchased or put up for sale just like stocks and like stocks, you can buy ETFs without using your own money but other peoples earnings learn to invest gold. You can also loose profit if the markets state does not favor you. Current Mood: rejuvenated (Comment on this)
Saturday, October 8th, 2011
6:13 am	ETF Trading Strategies - 3 Systems to Zero In On Good ETF Trades STRATEGY # 1 - MOMENTUM RANKING This strategy takes its roots from the physics lab and the basic concept of inertia. Once an object is in motion in tends to continue its path and directory until it meets with resistance. This same concept applied to ETF trading is the foundation for ETF momentum trading. The twist on this strategy that makes it easier to follow and implement is the ranking process and the longer time horizon for analysis. In a nutshell, examine the universe of ETFs you wish to trade, analyze the momentum ranking of each ETF, and rank the list in descending order. Those ETFs ranked at the top of the list are your leading ETF trades and are exhibiting the strongest momentum. Invest in these ETFs until their position in the rankings falls. Re-rank your ETFs periodically (weekly, monthly, or quarterly), and adjust your holdings accordingly gold rises as global monetary cracks. We've found that monthly re-ranking cycles work the best for the right balance between long term performance and limited trading activity. How To Invest In Precious Metals IRA STRATEGY # 2 - RELATIVE STRENGTH COMPARATIVE RANKING Building on the first strategy, these ETF trading strategies now tries to focus only on ETF trades that are actually outperforming the benchmark equity index. The key to this strategy is using multiple timeframes in the analysis, and at each timeframe used, compare the actual strength of the ETF to the equity index, and take a measurement of this relative strength. Then repeat this process for many different time frames. Once you have this basic analysis, use a computer program or spreadsheet to average the time series measurements of relative strength, and then sort them in descending order. What you end up with is a list of the top ETF trades that have the highest ranking levels of outperformance when compared to the benchmark equity index. Invest in the top section of the list, monitor it over time, re-rank as set intervals and upgrade into new leadership positions. Its that simple. If you follow this strategy your portfolio will always remain invested in the top performing ETFs of the stock market and will sell fading ETFs as they drop in the ranking list. STRATEGY # 3 - EXTREME TACTICAL ASSET ALLOCATION Similar to the first strategy, this one adds in the element of asset allocation. Your first goal is to define your overall asset allocation thresholds for each of the 3 major asset categories (equities / fixed income / alternate asset classes), and then to apply strategy #1 separately for each asset category. You will end up with 3 different ranking lists each time. What you've accomplished now is zeroing into each asset category to identify the best ETF trades that are ranked in descending order of momentum strength. Each month or quarter you can re-rank your potential ETF trading universe of candidates, and rebalance your portfolio as needed. Use this ETF trading system to always keep your portfolio within your pre-defined asset allocation levels overtime. Current Mood: blah (Comment on this)
Wednesday, September 28th, 2011
4:03 pm	Best Mutual Funds for 2011 There are many people who are looking for the best mutual funds to invest in 2011. Though the best mutual funds for 2011 are many, choosing among them can be little difficult if you are not aware of the basic concept and working of mutual fund companies. How to Invest in Gold The top mutual funds for 2011 would be a good investment option for people of all age groups and the best one for those who have just landed a job. Before we move on to what are the best mutual funds to invest in 2011, let us first understand how to choose a mutual fund in the next section. Choosing the Right Mutual Fund Mutual fund investments should be done by considering the best mutual funds to buy now, in the market and by comparing the performance of the fund with other competitor funds. By analyzing the year on year annual returns given to investors, you will easily understand which mutual fund to invest in with a long term perspective. Now, the number of good mutual funds to invest in is quite large and hence, you need to be quite selective. A fund offering low initial investment and having approved track record would be the best mutual funds for 2011. Mutual funds for dummies will give you more relevant information. Your investment advisor will guide you completely regarding such investments. Mutual fund investments can be the best investments for 2011 because of many reasons. Here, you do not have direct exposure to the stock markets which can be volatile this year according to many financial experts. At the same time you can get benefits with good investment policies of talented fund managers in large mutual fund corporations. The top performing mutual funds can be from the large cap and mid cap category, where the risk is slightly higher because of sharp movements of stock prices. You would be able to know of the high yield mutual funds by personally consulting relationship managers of major firms. Best mutual funds to invest in 2011 would be the one which have a diversified stock holding across various sectors of the economy. These sectors can be banking, finance, insurance, automobiles, information technology and educational services. The funds should be allocated in such companies which have a high growth potential over the next five to ten years and are available at cheap valuations as compared to their prices. Identifying such investments would be the challenge before fund managers and wealth managers. When we talk of the best mutual funds for 2011 or the best mutual funds to invest in, we need to understand the time horizon which one should have. You should not expect your investments to double in a very short period of time through mutual fund investments as it is not practically possible. So, be cautious when you hear people promising astonishing returns in a small time period. Gold is Money Mutual funds would be the good investments for 2011 as per many surveys conducted at the beginning of the year. Given below are some of the best mutual funds to invest in 2011 or the top mutual funds for 2011. Best Mutual Fund Options Here are some of the best mutual funds to invest in: Fidelity Contrafund Dreyfus International Bond American Funds Capital Income Builder Vanguard Wellington Templeton Global Bond advantage For some more investment related articles, you can refer to: No Load Mutual Funds Best Long Term Investments Best Investments for Young People Short Term Investment Options Best Way to Invest in Gold Hopefully, this information on best mutual funds for 2011 or the best mutual funds to invest in 2011 will guide you in the right way in the process of wealth creation. So, use it fruitfully to earn more. Good luck! Current Mood: blah (Comment on this)
Tuesday, September 27th, 2011
12:14 am	Choosing a Good Mutual Fund How to Invest in Gold Mutual Funds are no uncertainty the prizewinning stem to start hit mart for a initiate Investor but whatever tending needs to be condemned patch chosing a shared fund. You verify whatever instance to analyse beatific whether a portion money is correct for you or not. Dont foregather Invest in a money effort tempted by the ratings presented in magazines. They are not ever authentic. How To Invest In Precious Metals IRA There are whatever factors you staleness wager before finance in a shared fund. Always wager who is the money trainer of the shared money and his time road records. You module ever poverty to equip in a money with a beatific manager How much money Should You Invest. Since you are essentially motion your money over to someone to equip for you, you poverty to be trusty that the trainer of the money has the estimation and undergo to equip that money well. Also, you poverty to be trusty the trainer is unstoppered to responsive whatever questions you haw hit along the way. The trainer haw be in calculate of finance in a shared fund, but you are in calculate of the eventual selection most where you poverty your money invested. Make trusty that the actualised % period convey coincides with the money managers tenure Gold and Stocks. If a newborn trainer was hired 1 assemblage time and the advertizing publishes a strange 5-year return, the another 4 eld were not produced by that manager! It is ever wise to alter patch finance in shared funds Investing Gold ETFs. Example you hit 10000 in whatever nowness then equip 5000 in digit funds why invest in commodities. Investing in Gold A super assemble of shared assets does not needs wage change because the companies whose stocks they stop module overlap. Use internet resources to garner up broad performing assets which hit a beatific road results in terminal fivesome years How much money Should You Invest. Also you staleness wager whether the shared money does substantially foregather your brief and daylong constituent business needs. Also opt a shared money in which you hit a beatific venture tolerance. Mostly every kinds of investments circularize risks of whatever category or the other. Always beatific analyse a shared funds story and be trusty that it has performed in a artefact that youd hit been easy with had your money been endowed during time years. Current Mood: accomplished (Comment on this)
Sunday, September 25th, 2011
10:28 am	Professional Investing Is Far More Effective Than Predicting Stock Market Trends Unless you are psychic, and there is a good chance you are not, trying to predict stock market trends will lead to loss. Just as gambling in Las Vegas, your predictions may lead you to a profit, however in the long run you will lose. With millions of investors placing their money in the stock market, if investors and financial experts could accurately predict how a stock would perform, there would not be a market. The entire market would be investing in or selling off stocks at the same time, but where is the fun or profit in that Of course, reliably predicting a stock's performance would be great if you were one of the only ones who could do it. Investing is not a psychological game. It is important to have the right approach to investing and realize there are no trends that are completely accurate. The key to wise investing is to set a target that you are going to buy or sell one week ahead of time. If you do not set a target and stick to that target, you will question your choice and you will end up playing games and losing out on money. It is important to set a practical target for buying and selling. Simply contact your discount broker and enter the order. When the target is reached, you will make the trade or purchase without second guessing your decision. Rather than trying to predict stock market trends, you are approaching your investment portfolio with a business approach. When you are dealing with stocks and securities, it is important to take the emotional aspect out of your strategy by setting targets and only taking action when these targets are met. The only reason investors should invest is to make money from companies. Many men on Wall Street believe satisfying their ego and the unwillingness to budget is proof of their manhood. Egos and manhood should be left at the door or down the block when you are trading on Wall Street. By carrying out your investment strategies in a businesslike manner, you can keep your portfolio strictly professional. Guessing stock market trends is risky and inefficient. How to Invest in Gold Keep your investing methodical. When stocks begin to rise and fall, it is time to take action. As an investor, you should realize that buying at the all-time low and selling your stock at record-breaking highs is very rare. If you make a profit without risking your nest egg, you have accomplished your goals. Just like with any type of investing, investing in stocks is risky and associated with both losses and gains. It is important to understand you cannot predict these losses and gains. You can, however, approach your investments as a business proposal and keep it strictly professional. Current Mood: nauseated (Comment on this)
Monday, September 19th, 2011
11:16 am	A Review of the Penny Stock Prophet Forecasting Service There are any number of small cap stock forecasting services on the market today which claim to process real-time market data and deliver what they say are profitable penny stock picks so that you, the investor, need only to order the trades as you receive the investing tips. Many of these services rely on style over substance, and use their branding and promise of profitability figures to draw in potential clients. One such stock forecasting service which focuses entirely on hot penny stocks has been raising some eyebrows lately among a certain group of traders while adding to its own prestige with the accuracy of its picks in recent months. Mathematics whiz James Connelly's Penny Stock Prophet stock picking service targets only penny stocks using a computer generated algorithm that predicts just when a stock is ready for a breakout move in the market. According to his website's information, James diligently studied the markets for over two years while working on a way to be able to predict when a stock was poised to move in a positive direction. He tested his theories over and over again, finally perfecting a complicated set of mathematical algorithms which he used to isolate the one key statistic which told him that a stock was ready to make a major move upward. That key statistic is known as the "psychological support level" or PSL. The PSL is nothing new in the trading world; it charts the activity of human behavior that causes a stock to be sold at well below its actual value. Gold is Money But what James also discovered was that being able to find undervalued stocks is not enough. You have to be able to find those stocks which are poised to make a breakout move upward How To Invest In Precious Metals IRA. That's the hard part which kept him working on perfecting his formula. He combined what he learned about the PSL with another mathematical formula used to predict how human behavior affects things like population growth, crime, and terrorism called psythometric science. He thought: Why not apply this formula to the stock market Using all this information combined with four other variables he had uncovered, James eventually developed a formula that helped him be able to predict a bullish trading pattern before it occurred. It sounds almost unbelievable, but his calculations actually do work. You don't have to take my word for it, but can test out his forecasts for yourself. Just sign up for his free special report "Everything You Need To Know Before Investing In Micro Cap Stocks" on his website, and he will send you two free picks that you can chart for yourself. I wouldn't have believed it possible if I hadn't seen it with my own eyes. What makes Connelly's system of investing in top penny stocks so profitable is the amount of financial leverage that the little investor can gain by using these picks. Because you are investing in penny stocks, you don't have to come up with large investment amounts in order to realize sizable gains. For example, investing in a thousand shares of a stock at why invest in commodities. 30 cents a share (a $300 investment) which after a few trading sessions rises to . 90 cents a share translates into a $600 dollar profit. Now, just imagine if you were able to invest in more than 1000 shares what kind of killing you could make on just a few days investment. The majority of Connelly's picks only take a few days to come to their peak profit level. Gold ETFs Of course, you still have to be able to follow the "take profit" advice of Connelly's system in order to assure yourself of a successful trade. James Connelly's Penny Stock Prophet is well worth looking into if you are a stock market investor looking to protect your investment capital or are looking for a way to set up an income stream using penny stock investments as your vehicle. Current Mood: content (Comment on this)
Monday, September 12th, 2011
9:11 pm	Oil Stocks Will Continue To Under Perform The Oil ETF Oil Stocks will under perform crude oil and the Oil ETF for the next severl years - but Energy Juniors will outperform both. The Market is now setting up for a great entry point into Junior Oil Stocks. When it comes to morbid fascination, the chart takes the Cake! The Gold and Oil Guy Oil Stock Chart Chart 1 - Multi-Year ratio chart of Crude vs Oil Stocks What we have here is an EXPLOSIVELY BULLISH ratio chart of West Texas Crude vs Major Oil Stock. In the technical parlance, this chart has recently broken out of a multi-year reverse Head and Shoulders pattern (or Cup & Saucer depending on your interpretation) painting a target of 0. 14 at the least. Here's why the above Chart is to Significant The Gold and Oil Guy Oil Stock Chart Chart 2 - Dow (red) versus Oil Stocks/Crude Oil chart (blue) Chart - 2 Superimposes the above ratio against the Dow Industials. gold rises as global monetary cracks In order to demonstrate the relationship, the ration has been reversed to show the Oil Stocks versus Crude (blue line). What is imminently clear is that when Oil Stocks have under performed against Crude Oil, the general direction of the stock market has been lower! This is in and of itself is no secret as we have all be frustrated by the lack of progress in commodity stocks vs the underlying commodities. How to Invest in Gold But what is perhaps foreboding is that Chart 1 is telling us the relative underperformance is fated to go on for much longer - probably years. And by inference the Dow will remain in an extended Secular Bear Market. Confirming what we have been saying that returns on equities would be low if not negative for the next 5-10 years! The Highlight: Now that we'v painted the doom and gloom, there is some light at the end of the tunnel. Chart - 1 also shows the RSI is extended and the ratio is overbought. A pullback to the neckline (blue line) may soon begin and Oil Equities will out perform Crude -- the Dow will also rebound. We are now approaching an excellent entry point into Oil Equities. Pleas note we do not think that Oil Stocks will show negtive performance over the next 5-10 years but we do think they will lag the Crude Oil itself. Superior returns can be captured through smaller energy explorers and producers that will benefit from market trends as well as company specific news such as promising drill results. . . this is the place to get set and the time is now! _____________________________________________________________________________ This article is intended solely for information purposes. The opinions are those of the author only Gold Money Report. Please conduct further research and consult your financial advisor before making any investment/trading decision. No responsibility can be accepted for losses that may result as a consequence of trading on the basis of this analysis. Current Mood: weird (Comment on this)
Friday, September 9th, 2011
11:01 pm	Online stock brokers India provide various broking services online Ebroking, Futures and Options trading, Online securities trading, Share Trading Company, Share Trading, Portfolio Management, Financial Services, Depository Services, Online Stocks Trading, Portfolio Management Services, Stock Trading Firm, Currency trading, Investment Advisory Service, Online Commodity Trading, Stock broking, Trading and Investments, F&O Derivatives, Mutual fund brokers, Online Commodity Trading, Online stock brokers, Online Trading, Share Broker, Currency derivatives, Currency derivatives trading, Derivatives Trading, Financial Services Provider, Investment Advisory , NRI Depository services, Mutual Fund ManagementOnline stock brokers India provides various broking services online. The broking services can be in relation to anything. It can be related to stocks trading, securities, investments in bonds and shares, commodity trading, currency derivatives trading, derivatives trading etc. they have a huge gamut of services. And all this is available on one site. You can visit the website and know lots of information about various stocks, bonds, of your choice. It makes the process of broking very simple for the broker and also for the client. learn to invest gold Stock brokers India, being online has many advantages to boast of. This is because the client does not have to see the broker in person. He can avail broking services online. In todays world, broking services are offered by various banks. The charge they take to provide such services is called commission. It is dependent upon a lot of things. Sometimes the commission can be high and sometimes low. It also depends upon the type of services you want and for what (stocks, shares or securities) Online stock brokers India eases out the necessity to meet a broker physically. All you want is an internet connection comex gold price increases. comex gold price increases Online broking saves your time and you can avail these services easily if you know how to operate. Gold is Money Stock brokers India who provides services Online also charges less commission comparatively. This is because there is no manual work involved. You just need a credit card to do the work. You just have to login into your account and buy or sell whatever you want to. And this can be done in no time at all. If at all you want certain suggestions on what to buy and what to not, then you can go to the information sections. Online stock brokers India is always available every day. Many sites operate twenty four seven. Suppose you want to buy an IPO of XYZ company, then you can gather the details about this company on the site and the site will also recommend whether to buy it or not. Stock brokers India who deal Online is hence preferred by many investors and traders alike. Current Mood: recumbent (Comment on this)
Thursday, September 8th, 2011
3:51 pm	Playing The Long StockShort ETF Pair Trading Strategy With the multitude of financial sites touting the next "double-digit growth stock", the most compelling, well-researched stock trading ideas remain plentiful. For many investors however, finding stocks to trade is the easy part. Pulling the trigger. . . well. comex gold price increases . . not so easy. . . This is because, no matter how positive the fundamentals or technical analyses exhibited in a particular stock - no matter how temporarily undervalued the stock appears relative to it's peers - there always exists the risk of negative broader market sentiment which can potentially wipe out any short-term profit. Like it or not, the major indexes sector trends drive the demand/supply in the majority of individual stocks. So, how do traders go about taking a long position in a stock, while ensuring they are not overly exposed to a sudden reversal in the broader market. . . In order to mitigate some of this risk, there is a trading strategy investors can learn, to 'hedge' any long stock position entered, by simultaneously shorting an 'equal dollar value' position in the stocks 'sector ETF'. This market neutral trading strategy, better known as pairs trading, significantly counters the broader market risk. . . For instance, using this strategy if you are entering a new $64,000 long position in Google, then you would simultaneously short $64,000 in XLK (the technology sector Exchange Traded Fund, or ETF). The thinking process and objective behind this (intelligent speculation if you like), is that Google is expected to outperform it's respective sector. . . The key point to grasp: With pairs trading, market direction is of no significance. The pairs traders only objective is to determine whether the selected long stock will do 'better' than the shorted sector ETF. Based on this strategy, in my own trading, I tend to 'group' a continually monitored list of around 40-50 stocks (my fundamentally strong watch list). comex gold price increases These consist of businesses exhibiting competent management, innovative product line, proven year on year growth, low debt ratio, and backed up by a strong, upward technical trend 'relative' to it's industry sector. Examples include Google, Apple, HP, as well as stocks within energy, alternative energy, consumer staples, basic materials operatives in Asia, REIT's (Real Estate Investment Trusts), and so on. . . gold rises as global monetary cracks For each stock within my watch-list, I continually keep track of what is known as the stock/ETF "ratio" chart. . . The ratio chart is a simple day-to-day plot of the stock price 'divided' by the sector ETF price. The result (ratio) can then be viewed from the perspective of a trend trading approach. A continually rising ratio chart (as shown in the AAPL/XLK example below) indicates that the stock has proven to continually 'outperform' it's industry sector. . . To add structure to the underlying trend, I have also plotted an equilibrium trend line (blue line) which cuts through the 12 month ratio chart. In addition, there is also a simple 14 day moving average (in red) of the ratio overlaid on to the same chart. The equilibrium trend line gives me a 'mirror' around which the ratio oscillates. It also indicates the 'degree' of overvalue/undervalue. . . Whenever the ratio drops below a 'rising' equilibrium trend line (blue line), and drops below it's 14 day moving average (red line), without any major fundamental shift (the stock remains fundamentally strong), I wait for the ratio to reverse back up. . . On the ratio reversing back up (from falling to rising), I wager on the stock climbing back up towards the equilibrium trend line. To capitalize on this speculation, I enter a new 'long' position in the stock, and at the same time, enter a 'short' position in the sector ETF, in equal dollar value. If the ETF cannot be shorted (on occasion), I short the next best ETF, the closely correlated SP 500 index ETF, (symbol: SPY). This long stock/short ETF, dollar-neutral trading strategy is more popularly recognized by hedge traders as stock/ETF pairs trading. . . In this example, I am entering 'long' a stock I deem to be fundamentally solid, but 'temporarily' undervalued, and simultaneously hedging this position by entering 'short', the sector ETF, in equal dollar value, providing some downside protection, in case I am wrong. . . By going long the stock and simultaneously short the sector ETF, a pairs trader endeavors to hedge against the overall, broader market risk (in case the currently robust market/trend reverses). . . In this instance, if I am long AAPL/short XLK, and a significant overnight event causes the tech sector (or the entire stock market), to re-open sharply lower, the profit on my short position would, more or less, generally counter-balance any loss on the long stock position. My daily stock trading research (and blog updates)focus primarily on the above strategy. Each day, and at frequent intervals throughout the day, I keep an eye on my core list of 40 or so 'fundamentally robust' stocks, plotted against the sector ETF (ratio chart). Investing in Gold I look to identify when any one stock/ETF ratio, drops below both the equilibrium (blue line) and below the MA (red line), and then turns back up (a 'ratio reversal', usually confirmed around an hour before the closing bell). . . At this point, I check the news-flow to ensure there is no significant 'event' (such as adverse earnings report, or change in stewardship), which could make the undervalue potentially long term. . . On clearance of this diligence, I enter the hedged pair trade position, going long the stock and short the relevant sector ETF. On the ratio returning back above equilibrium, I liquidate (exit) the entire position. You can follow my trade ideas (purely speculative - I am human, prone to mistakes, but continually learning adapting), posted live via stocktwits. com/tradepilot Wishing you every success in your trading, and good spirit. . . Shiraz Lakhi - Self Directed Trader/Publisher About the Author: Shiraz Lakhi is a Dubai based investor entrepreneur, presently CEO (and co-founder) of tradepilot. com, a free-to-use stock analysis screening portal for traders and investors, designed to automatically capture newly developing equity trade ideas, based on a 'combined' fundamental and technical analysis (cluster signals) approach to investing. View Shiraz Lakhi's real-time stock trading ideasblog - includes live alerts, trading Investing ideas, articles updates based on the "Free Cash Flow Yield" strategy. . Current Mood: nerdy (Comment on this)
Monday, September 5th, 2011
9:32 am	PORTFOLIO ANALYSIS APPLICATION AND EVALUATION IN INDIAN STOCK MARKET INTRODUCTION Harry Markowitz (1952) published the portfolio analysis method in 1952. Using this method, an optimal portfolio can be determined for an investor who can specify his risk level. Expected return and standard deviation of return for each security and correlation coefficient (or covariance) of return for each pair of securities in the set of securities that are considered for inclusion in the portfolio are required as data inputs for doing the portfolio analysis. Even though the method proposed by Markowitz is a normative method and detailed implementation steps were described by Markowitz (1959) in a book, the implications of the method were better captured in the equilibrium condition for the risky asset market (Harrington, 1983) and its application in portfolio formation and revision was relatively neglected. It is difficult to find in the published literature an example for the application of the Markowitz portfolio analysis to real life data based on quantitative expectations of investors or analysts. We may presume that analysts in stock broking companies and mutual funds and other professional investment organizations may be using the analytical method, but still descriptions of its application are not made available for the public at large. In this paper, the optimal portfolio formation using real life data subject to two different constraint sets is attempted. The objective of the research is to provide an example of optimal portfolio development using real life data. INPUTS REQUIRED FOR PORTFOLIO ANALYSIS For performing the portfolio analysis using the Markowitz method, we need the expected return for the period of holding for each of the securities to be considered for inclusion in the portfolio. We also require the standard deviation of the return for each security. In addition we have to know the covariance (or correlation coefficient) between each pair of securities among all securities from which we have to form the portfolio. The model proposed by Markowitz points out to the need for estimating expected returns in quantitative terms. But this line of enquiry (estimating expected returns over a period of time) was not pursued further adequately in the literature. That may be one of the reasons, why papers outlining the application of the model to real life data were in short supply. Analysts were giving their anticipation regarding the performance of various securities in twelve months or one year ahead even in 1920s. But Benjamin Graham (1940), known as Dean of Wall Street, was not in favor of such analysis. This analysis slowly developed into prediction of target prices 12 months ahead for many securities. These target price predictions can be used to determine the expected returns for one year holding period. Using the target price predictions to determine 12-month expected returns and then using these expected returns to form the optimal portfolios is a feasible and rational line of approach. This approach to quantitative investing is proposed and initiated in this paper. To estimate standard deviations and covariances, past data can be used (Grinold and Kahn, 2004). The historical risk measures of securities are more stable in comparison to historical expected return measures. RESEARCH ON TARGET PRICES Research on target prices is of recent origin. Bradshaw (2002) has examined the frequency with which analysts have used target prices to justify their stock recommendations. He reported that in two thirds of the sample reports that were examined by him, analysts used target prices. The target prices were determined using price multiple heuristics, with PEG (price earnings growth ratio) as one of the important rule for specifying the price-earning (P/E) multiple. Asquith et al. (2004) have examined the performance of target prices set by analysts of All-American Analyst award winners for the period 1997-99. They examined whether the price of the security crossed its target price within 12 months after the recommendation. When this definition of accuracy was used, the authors have found that 54% of the price targets were achieved or exceeded. Even in the case of remaining 46% of the securities or recommendations, on average 84% of the price target was found to be achieved. This performance is very creditable. But we have to notice that these price targets were targets of award winners, where the award itself was based on their performance. So, to generalize the findings, we require studies of more representative samples. Bradshaw and Brown (2005) have examined the accuracy of 12-months-ahead target price forecasts over the period 1997-2002. They reported that on an average 24 to 45 percent of forecasts were met. Analysts have shown more skill in forecasting company earnings compared to forecasting target prices. This study generated interest in study of success rate of target price forecasts. Gleason et al. (2006) have examined the performance of target prices over the period 1997-2003. According to this study, the buy recommendations have an average target return of 28 percent. They analyzed results over quintiles. In the most accurate quintile, 57% of the targets were achieved or exceeded within the 12 month period. In the least accurate quintile, the success rate was found to be 49%. The interesting finding of the study is that the return that would have been earned by selling each of the securities with buy recommendations at their maximum prices within the 12 months is 42. 49% even in the case of lowest quintile. One needs to compare this 42. 49% with average target return of 28%. These studies do provide evidence that target price estimates have utility to investors for their decision making. They also provide the evidence that investors, traders and fund managers are encouraging analysts to provide target prices and many analysts are providing them. USE OF TARGET PRICES IN PORTFOLIO FORMATION If target prices have information content that is useful to earn return over 12-month horizon, portfolios can be formed using the target prices as the basis. The expected return can be determined as the difference between the target price and the current market price on the date of portfolio analysis and this can be expressed as percentage of current market price on the date of portfolio formation. If the investor/trader has this information with him, an optimal portfolio can be specified for him using Markowitz portfolio analysis. APPLICATION OF MARKOWITZ PORTFOLIO ANALYSIS IN PRACTICE Markowitz portfolio analysis gives as output an efficient frontier on which each portfolio is the highest return earning portfolio for a specified level of risk. It basically calculates the standard deviation and return for each of the feasible portfolios and identifies the efficient frontier, the boundary of the feasible portfolios of increasing returns. The financial planners help the investors/traders to arrive at the risk level that they can assume. If the investor/trader specifies his risk level in terms of standard deviation of the portfolio return, the appropriate portfolio for him can be identified using the efficient frontier. Hence the final portfolio selection for an investor/trader requires the combination of portfolio analysis and financial planning. APPLICATION OF MARKOWITZ PORTFOLIO ANALYSIS IN INDIAN STOCK MARKETSources of Data: Valueline is a monthly bulletin published by Sharekhan (2005) a broking firm in India. The bulletin contains the target price information and the market price on the date of publication for various stocks researched and recommended by the firm. The data from the bulletin of July 2005, which was made available on the website of the firm for public access, is selected for getting the data of expected returns. Target price data was available for 43 companies. Covariance is to be calculated using 25 months closing price data. The monthly closing price data was taken from Prowess, an electronic data base of balance sheet and share price data of Indian companies published by Centre for Monitoring Indian Economy (CMIE, Mumbai). Out of the total 43 companies, for two companies, data was not available for the full 25 months. These two companies were dropped from the set of securities considered for forming the portfolio. Hence, the final list of stocks considered for portfolio analysis contains 41 companies. Calculation of Input Variables: The expected returns were calculated as the difference between target price and current market price of each security, expressed as a percentage of current market price. Monthly returns, required to determine the covariances, were calculated for each company from the monthly closing prices. The covariance matrix for the 41 stocks was calculated using excel covariance function. The monthly covariance between each pair of securities was converted into annual covariance by multiplying it with 12. The input data of expected returns and covariance matrix were thus made ready for the next step in the analysis. Portfolio Analysis: The software used is the excel optimizer by Markowitz and Todd (2000) described in the book -Mean Variance Analysis and Portfolio Choice'. The software was supplied by Todd on request by the author. The software can handle up to 256 securities. The software requires as input the expected returns of each security, covariance matrix for the set of securities from which the portfolio is to be formed, lower and upper bounds for the proportion of each security in the portfolio and additional constraints if any Gold Money Report. In the first alternative, the portfolio analysis was done with lower and upper boundary for investment in a single security as zero (zero percent) and one (100 percent) respectively. gold rises as global monetary cracks The additional constraint specified is that the sum of the proportions of all securities has to be one or 100%, the amount available for investment. In the second alternative, the analysis was done with the constraint for individual security holding for mutual funds in India, which is a maximum of 10% of the portfolio in a single security. In this case, the lower and upper bounds are 0 and 0. 1. The constraint that the sum of all proportions add to 1 or 100% remains. The results are reported in Tables 1 to 4. RESULTS AND FINDINGSThe 12 month target prices and current market price on 30th June 2005 for the companies included in the set considered for analysis are shown in Table 1. The expected returns for the following 12 months determined from them are shown in column 5 of the Table 1. The covariance matrix for the set of securities is shown in Table 4. The output of the portfolio analysis for alternative 1, lower bound zero and upper bound 1 for each security, is shown in Table 2. gold extremely underinvested Corner portfolios describe the efficient frontier. Between any two adjacent corner portfolios, the efficient frontier is a straight line, a weighted average of the two corner portfolios. The analysis returned 23 corner portfolios. The minimum return portfolio has an expected return of 13. 54% and standard deviation of 14. 35%. The maximum return portfolio has an expected return of 95. 96% and standard deviation of 36. 12%. Investor has to decide the risk level (standard deviation) he wants to bear to select the optimal portfolio from this efficient frontier. This action involves consultation with financial planners. For illustration, if the investor chooses a risk level of 20. 27%, the corner portfolio number -9' becomes the optimal portfolio. The expected return of this portfolio is 55. 98%. The portfolio is a combination of 9 shares. The proportion or percentage recommended for investment in various securities being: 1. X(2) =3% 2. X(3) =13% 3. X(9) =30% 4 X(14) =3% 5. X(16) = 35% 6. X(17) =4% 7. X(34) =9% 8. X(38) =2% 9. X(40) =1% The total adds up to 100%. The names of companies represented by identifiers X(2), X(3) etc. can be read from Table 1. In Table 3 are shown the results of portfolio analysis when restrictions on investment imposed on mutual fund portfolios in India are specified in the constraints. The restriction is that upper bound, the proportion invested in any single company's equity shares, is to be less than 10% of the NAV of the scheme. Accordingly lower bound is specified as zero and upper bound is specified as 0. 10. 52 corner portfolios form the efficient frontier in this alternative. The minimum return portfolio has an expected return of 14. 02% and standard deviation of 15. 59%. The maximum return portfolio has an expected return of 50. 64% and standard deviation of 29. 35%. It is interesting to compare risk-return characteristics of the maximum return portfolio of alternative 2 with the portfolio selected as an illustration in alternative 1 (55. 98% and 20. 27%). The expected return is more and standard deviation is lower in the latter case Gold is Money. Thus the constraints imposed through regulation on mutual fund investment are generating an inferior or suboptimal portfolio in this case. The performance of these two portfolios is compared over one year period from July 05 to June 2006. The mutual fund portfolio (Exp. Ret: 50. 64% and Risk: 29. 35%) shows a return of 58. 4% with 23. 13% standard deviation. The other portfolio (Exp. Ret: 55. 98% and Risk 20. 27%) shows a return of 21. 25% with a standard deviation of 21%. As the returns are expected to be more unstable and risk measures are expected to be relatively more stable, the observed performance can be rationalized in such a simple comparison of performance of the two portfolios over one period How to Invest in Gold. Empirical studies to evaluate the superiority of one-year horizon optimal portfolios formed using quantitative methods have to use number of one year periods in the sample. CONCLUSION AND FUTURE SCOPE FOR RESEARCH Markowitz's portfolio analysis can be operationalized and applied to real life portfolio decisions. The 12-month ahead target prices being published for various securities by security analysts can be used as the input for determining expected returns over the next 12 months. The optimal portfolios generated by the portfolio analysis represent the optimal policy for the investor who wants to use the target price estimates rationally. Acceptance of the methodology for developing and revising portfolios based on target prices provides scope for further research into improving the estimates of the inputs used for portfolio analysis. Also research is to be done to evaluate the performance of the optimal portfolios, in comparison to portfolios formed without using quantitative portfolio analysis models, over a long period of time. Review of literature reveals that research into the utility of target prices is initiated. Research needs to be extended to find out which target price finding methods are working better. Regarding covariance estimates, Grinold and Kahn (2004) have mentioned that there is possibility of estimation errors in case historical data over a lower number of monthly periods in comparison to number of securities considered for portfolio analysis are used. They suggest structural models. Researchers have to come out with useful models which investors can use on the basis of published data. Regarding the software for portfolio analysis, the Todd's program can handle 256 companies. In any particular country, brokers do not normally come out with more than 256 buy recommendations at any point in time. Hence, the software program may not be a limitation. But certainly there will be scope to improve the software, as more and more investors use the methodology, and thereby need efficient and easy to use software with more facilities to come out with various measurements. REFERENCES Ascquith, Paul, Mikhail, Michael B. , and Au, Andrea S. -Information Content of Equity Analyst Reports. -MIT Sloan Working Paper 4264-02, 2004. Bradshaw, Mark T. -The Use of Target Prices to Justify Sell-Side Analysts' Stock Recommendations. - Accounting Horizons, March 2002, Vol. 16, no. Gold Money Report 1, pp. 27-41. Bradshaw, Mark T. and Brown, Lawrence D. -Do Sell-side Analysts Exhibit Differential Target Price Forecasting Ability- Working Paper, 2005, Available at SSRN_ID926400_code175449. pdf. Gleason, Cristy A. , Johnson, Bruce W. , and Li, Haidan. -The Earnings Forecast Accuracy, Valuation Model Use, and Price Target Performance of Sell Side Equity Analysts. - May, 2006 Available at '06%20Conf/Gleason%206-06. pdf. Graham, Benjamin, and Dodd, David. Security Analysis, 2nd Edition, New York: McGraw-Hill Book Co. , 1940. Grinold, Richard C. , and Kahn, Ronald N. Active Portfolio Management, 2nd Edition, New Delhi: Tata McGraw-Hill Pub why invest in commodities. Co. , 2004. Harrington, Diana R. Modern Portfolio Theory Capital Asset Pricing Model, Englewood Cliffs: Prentice-Hall Inc. ,1983. Markowitz, Harry. -Portfolio Selection. - Journal of Finance, March 1952, Vol. 7, no. 1, pp. 77-91. Markowitz, Harry. Portfolio Selection: Efficient Diversification of Investments, New York: John Wiley Sons, 1959. Markowitz, Harry, and Todd, Peter G. Mean Variance Analysis in Portfolio Choice and Capital Markets, Revised Issue, New Hope: Frank J. Fabozzi Associates, 2000. Sharekhan. -Stock Ideas Standing (as on June 30, 2005). - Valueline. July 2005, p. 3,Available at. _______________________________________________________________________________ Browse Knol UsingDirectory - Main Categories Arts, Business, Countries, Democracy, Education, Engineering, Food, Hotels and Restaurants Games, Health, Industry,Information Technology, Knol, Management, Machines, Office and Factory, Political/Social/Economic Issues,Police/Military Recreation, Religion and Philosophy, Science -Natural, Science-social, Special Situations,Travel, WisePersons New Knols Directory . Current Mood: anxious (Comment on this)