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  • The Warren Buffett Books

    Posted by admin on July 31st, 2009 and filed under day trading techniques | No Comments »

    Warren Buffett was born in 1930 in Omaha, Nebraska, USA and has become probably the world’s most successful investor. He is the son of a stockbroker and Congressman, and of course everyone wants to learn about his trading secrets.
     
    I don’t think that Warren Buffett has actually written a book about his investment principals himself, in that sense there is no Warren Buffett book, but he has from time to time given hints in his annual letters to share holders of Berkshire Hathaway, and in other short notes and reports to the media.
     
    However there have been a lot of books written about Warren Buffett by others who have tried to put together the story and ideas behind the man and his fortune.
     
    In fact if you go to Amazon and do a search for “Warren Buffett” will find 2,576 books being listed, compare that to “Bill Gates”, who for a long time was also considered to be the riches man in the world, and you only find 11 listings, that should give you some idea about the public obsession with the man.
     
    I have only read one of his books called “The Warren Buffett Way”, it was hard work and somewhat of a boring read. Much of the content of all these books on Warren Buffett seems to be the same basic information about value investing and being patient with your investments. I don’t think much can be gained by reading more than one of them.
     
    Here is a small selection of some of the better known ones:
     
    The Warren Buffett Way, Second Edition written by Robert G. Hagstrom, Ken Fisher and Bill
    The Snowball – Warren Buffett and the Business of Life
    The essential Buffett library
    Investing - the Last Liberal Art - by Robert Hagstrom
    Buffett, By Roger Lowenstein
    The New Buffettology, written by Mary Buffet and David Clark
    The Interpretation of Financial Statements, By Benjamin Graham
    Value Investing, by Janet Lowe
    Robert Hagstrom, The Warren Buffett Way -
    Buffettology by Mary Buffett and David Clark
    Janet Lowe, Warren Buffett Speaks – Wit and Wisdom from the Word’s Greatest Investor
    John Train, The Midas Touch: The Strategies That Have Made Warren Buffett ‘America’s Preeminent Investor’.
    Andrew Kilpatrick, Of Permanent Value: The Story of Warren Buffett
    Warren Buffett, Lawrence Cunningham (editor), The Essays of Warren Buffett
    Janet M. Tavakoli, Dear Mr. Buffett: What An Investor Learns 1269 Miles From Wall Street
     
    Many of these books are quite large, with many pages that would take a long time to read, and even longer to understand and make any sense of. A better way of understanding Buffett maybe to find investment articles which have summarised the Buffett principals into short concise lessons that can be quickly learnt and applied.
     
    One point of caution however, and this is not investment advice, Buffett has made most of his fortune during the years of the great USA bull markets, times have changed and maybe these principals are no longer as effective as they used to be.

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    Thinking about smart investing forex news is the news

    Posted by admin on July 30th, 2009 and filed under day trading techniques | No Comments »

    Forex brokers know one of the advantages of their field is that the forex market is open 24 hours a day, five and a half days a week. But a 24-hour marketplace means there’s forex news coming in constantly, too. With so much information coming from so many markets literally at all hours of the day, it can be hard to keep up with all the news available to you.

     But still, an informed trader is a successful trader. To make informed decisions on when to buy and sell currencies, you’ll have to keep an eye on all the news you can get your hands on. plenty of sites on the web make it relatively easy for you by corralling the forex news into one place, often dividing it into subcategories for easy navigating. almost any forest  trader, whether new or experienced, can find a news source he likes and check it often.

    Forex Killer

    a lot of theforex news websites give you commentary and analysis  beyond just a simple ticking off of the latest rates. Here you’ll find experts talking about the issues involved and perhaps offering insights beyond what you would have come up with on your own. Some news sites charge a registration fee for access to all their materials, its probably worth it on the long run Aside from running 24 hours a day, another reason there is constantly a stream of forex news is that so many factors can influence a currency’s strength. Natural disasters, government actions and other things  both foreseeable and not foreseeable  can cause a nation’s currency to go up or down in relative value. An experienced trader will look at all this news and know how to predict what effect it will have.

    Aside from running 24 hours a day, another reason there is constantly a stream of forex news is that so many factors can influence a currency’s strength. Natural disasters, government actions and other things  both foreseeable and not foreseeable can cause a nation’s currency to go up or down in relative value. An experienced trader will look at all this news and know how to predict what effect it will have

    Doubling Stocks 

    Often, forex news isn’t labeled as such. Any economic news at all can affect the forex market; a sharp-eyed trader is on the lookout constantly for news that might impact his trading. In other words, a good trader will have to be an expert on world affairs, monitoring political, social and other developments in other countries. All of this, combined with the more specific forex news dealing with the details of exchange rates and so forth, gives you the information you need to be successful at currency trading.

     

     

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    Day Trading Robot Hands Off Trades

    Posted by admin on July 29th, 2009 and filed under day trading techniques | No Comments »

    Jason Kelly is a somewhat well known day trader working the stock markets for all they’re worth day trading robot.

    I wanted to research whether or not his claims were true and perhaps find out what some others who have used his product had to say about its value and effectiveness.

    As you know the stock market is kind of a wild, wild west atmosphere where lots of opportunities are present but it’s also filled with loads of risk.

    It’s easy to get your butt kicked and lose a sizable portion of your nest egg in the stock market.

    As such I’d like to find someone who’s having success by day trading stocks using a proven system which takes the emotion and guess work out of the trading decisions leaving only the cold, hard facts.

    He was adept at describing how beneficial the system would be to me.

    “So were the people using this system making money, generating profits, and getting a positive ROI?  Or were they like little sheep pouring rivers of cash down a rabbit hole never to see it return again?”

    What really caught my attention while using Google and Yahoo to surf the internet was that the same sort of results continued to appear regularly.

    Certainly, there were some people saying negative things and trashing the system but it digging a little deeper into their comments it was revealed they failed to respond to the exit alerts in a timely fashion and this is what caused their losses.  It wasn’t this system being bad it was their execution of the system which caused their failure.

    You’re well aware timing is everything in the stock market so this should come as no surprise you have to get out when you’re supposed to get out or you’re leaving money on the table.  The stock market is unforgiving in that way.

    It seemed to me the complainers were people who were half-hearted and didn’t put their full effort into stock trading which requires full effort or you get killed.

    Almost all of what I heard from people was positive comments.  The overriding quote was “when you follow the system you make money.  But you have to do most of the trades so the law of averages works out in your favor and you’re able to profit.”

    I know just enough about the stock market to be dangerous myself and this overriding theme from his customers seems to be good wisdom.

    Review the video here to learn about the system and to determine if it is a good tool to augment your investment portfolio based on your plans and expectations for future growth.

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    Currency – Forex Online Trading – Can A Newbie Really Make Money Currency Day Trading?

    Posted by admin on July 28th, 2009 and filed under day trading techniques | No Comments »

    Do you want to learn to trade in the nearly two trillion dollar a day Forex market? Are you concerned because you’re a beginner and you don’t want to lose all your money?  Are you worried that it could just be too tough to make a profit?

    Then this brief guide will give you a pretty good overview of the rewards as well as the risks involved with FX online currency trading.  Read it and you’ll probably see that if you’re willing to put in a little bit of work, this can be a great market to trade in – even if you’re a newbie.

    What Is Forex Online Trading?

    The Forex is the foreign exchange. The commodity you will be trading online is currency. The foreign exchange deals with only one thing – buying and selling currencies in order to make a profit.

    When you trade the FX online, your money can circle the world in seconds.

    Let’s say that you go long (buy) a currency.  By doing so you’re strengthening that country’s economic position and raising the value of its currency.   When the currency’s value increases, the percentage in point (pip) goes up. Each pip equates to potentially more profit for you if you are long that currency.

    A lot of FX traders appreciate the fact that you don’t have to be overloaded with information to trade.  In that way, trading the Forex is different than trading stocks and bonds.

    Now, this doesn’t mean you should just open an account and start trading. There still are a lot of things you should learn in order to be really successful. However, the learning curve is a not nearly as steep.

    When Does the Forex Market Operate?

    The Forex is in business twenty-four hours a day, six days per week – from Sunday afternoon through Friday. What it means to you is that you can pretty much do FX online trading on your own schedule.

    One of the things you’ll soon learn is that some times of the day are better to trade than others.

    Since you’re trading online, as long as you have an Internet connection you can trade from anywhere in the world.

    How Much Does It Cost to Get Started?

    The beauty of FX currency trading is that you can start with a small account. You can start an account with as little as three hundred dollars.

    And you don’t pay a commission to Forex brokers when you trade. This way you can make more on your winning trades and lose less on your losing trades. And what you save by not paying commissions really adds up.

    Where Can You Learn Forex Online Currency Trading?

    Some people try to learn by signing up at an online brokerage account.  Because brokers control the bid/ask spread on currency pairs, picking the best broker can be a bit challenging for the novice trader. The size of the spread can mean the difference between having a profit or sustaining a loss.

    That’s why most people want to find a good source of quality information such as highly recommended forex trading books or video courses before they begin to trade.

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    Should You Become An Options Trader?

    Posted by admin on July 27th, 2009 and filed under day trading techniques | No Comments »

    There is a lot of hype surrounding options trading, and for good reason, it’s a good way make a lot of money fast, or can be used to grow your capital consistently month after month.

    There’s also a lot of hype about how complicated it is and why you need to spend thousands of dollars on options trading education before you get started. Needless to say this last statement usually comes from trading seminar companies trying to sell your their trading course on options.

    Lets cover a few of the basics about options and set you straight about a few important points. Firstly yes it is true that you can make a lot of money trading options, but of course you can also lose money just as fast.

    When trading stocks your leverage is 1:1, if you go full out on margin you get get 1:2 leverage, but thats about it. With options it is not quite as straight forward to calculate the leverage but generally speaking you can get between 1:5 and 1:10 when you buy an option on a stock, or ETF.

    So with 1:10 leverage, when the stock increases by 5% your option can increase by approx 50%, and this can happen in just a few days, this is why swing trading strategies using options on stocks is so popular.

    However the downside is that the reverse can happen, if the stock drops by 5% your option can also drop by 50%, at which point you may want to close the trade and save some of your option value, it really depends on what your stop loss and risk management plan is.

    What I’ve just described is called directional option trading where you are betting on the getting the direction of the stock movement correct, this is highly speculative. Options can also be used in option strategies which are much more non directional, such as covered call trades, credit spreads and Iron Condors. In these trades there is much lower dependance on getting the stock direction correct, but it still matters.

    So should you trade options?, in my opinion you should not do directional option trades until you become an expert stock trader first. This is because you really need to be very precise with your entry and exit strategy and trading plan, and be very good at technical analysis.

    Whereas if you want to do non-directional option trades you don’t need to be such an experianced stock trader to be successful, but of course it does not hurt either.

    Learning how to trade options is a very useful skill you have, but don’t rush into it and blow out your account. Make sure that you get a good options trading education before you start, and also make sure that you have a very solid stock trading education as well, such one from Top Dog Trading Review.

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