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<title>Random Investing Articles</title>
<link>http://www.articletrader.com/</link>
<description>Articles at ArticleTrader</description>
<language>en-us</language>
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<title>Managed forex trading</title>
<link>http://www.articletrader.com/finance/investing/managed-forex-trading.html</link>
<guid>http://www.articletrader.com/finance/investing/managed-forex-trading.html</guid>
<pubDate>Mon, 19 Nov 2007 00:00:00 -0600</pubDate>
<description><![CDATA[ In a company, there will be a department exclusively to handle the accounts and finance section and one for human resources. This helps them run the operations in a smooth manner with little confusion and to establish a good working system. The same applies when a person is interested in investing in the foreign exchange market. They can follow a Managed forex trading system to help them keep track of all their investments, what is the position of the investments and other related details. For beginners who feel lost or are overwhelmed with too much upload of data and information, using this managed forex trading system will bring in some order and help them to focus on one trade at a time. This way the person's money will be in safe hands and possibly even have the help of a professional advisor who can handle all of the investments and keep the investor updated about the status of said investments. While following this system, the trader needs to open a live account with a broker, and he will manage the account on behalf of the individual. When a businessman is interested in forex trade but unable to grasp the full details about the same, he can use this mode.<br /><br />Since the forex market is open all 24 hours of the day, it is easy for the trader to place an order at any time during his working hours. But while using managed system, since they operate through a broker, there are limitations on when a broker can make a deal, and he cannot do the same round the clock. And the investor will be kept posted about whatever decisions the broker takes and only then will the order will made. You can sit back and watch how he operates and learn from the broker, and if you want to try your hand, you can make an attempt in forex trading.<br /><br />And in this form of trading there is no commission involved, so there are no extra charges that you or your broker need to foot. Also known as peak to peak management system, this refers to you enjoying your profits when trading and if not, it remains static and unchanged. Through this system the brokers tend to help their investors lower their risk levels by lower leverages. Thereby, you have the full bandwidth to trade and be assured of good returns.<br /><br />Another form of managed trading is where the investor uses the computer to control his investments. This is like an automated system that generates reports, gives you updates and makes decisions on your behalf. The only drawback of this system is there is no human intervention and the system directly makes the orders without any emotions in place. These are programmed by professionals to read the market trends and information fed into it and give out the required output. Since it is completely programmed, it works using the technical analysis method as data needs to be keyed in or the data source must be given so it can obtain the necessary data on its own.<br /><br />--<br />Nick Schultz is a Forex Trading expert who recently developed an eCourse that details a step by step process for success Forex investing.  If you are interested in learning more about his "9 Steps to Better Forex Investing" eCourse and learning how to make greater profits from your Forex Trading, please go here right now! :  <a href="http://www.forexinvestingcourse.com">http://www.forexinvestingcourse.com</a><br><br>Source: <a href="http://www.articletrader.com/">http://www.articletrader.com</a> ]]></description>
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<title>Bad News Regarding Swift System From Swiss Banking Authority</title>
<link>http://www.articletrader.com/finance/investing/bad-news-regarding-swift-system-from-swiss-banking-authority.html</link>
<guid>http://www.articletrader.com/finance/investing/bad-news-regarding-swift-system-from-swiss-banking-authority.html</guid>
<pubDate>Wed, 22 Jul 2009 12:25:44 -0500</pubDate>
<description><![CDATA[ What is SWIFT - SWIFT stands for "Society for Worldwide Interbank Financial Telecommunications". It is a cooperative of banks, brokers and financial institutions headquartered in Belgium. Swift does not send money; it just sends messages regarding monetary transactions. If you send a wire from a USA financial institution to another USA financial Institution the system used is the ABA system not SWIFT. If you send a funds transfer from one EU country to another, the system often used is IBAN. When you go to different countries with the exception of the IBAN countries then SWIFT is used.<br /><br />There are 43 nations in Europe using IBAN plus Israel, Saudi Arabia, Mauritius and Tunisia. IBAN transfers take 24 hours. IBAN is not secure, private or offering secrecy. Many of the non-private countries use it so forget any thoughts of more privacy. It is setup for speed and for the EU countries to monitor payments for their VAT and other taxes.<br /><br />Where is the SWIFT Data - Well it is kept in three places, Netherlands, USA and Switzerland.<br /><br />Bad News - The Swiss said that the data stored in other countries (USA) is not under Swiss banking laws even though it concerns Swiss banking transactions. The USA has been monitoring SWIFT transactions by obtaining the data from the SWIFT office in the USA. This data is going to be stored in the USA until the year 2012.<br /><br />Implications - This data seems to be likely applied in making claims for release of data on specific bank accounts as the new tax treaties go into effect around the world. The OECD lists no country as uncooperative anymore. We suggest closure of bank accounts you sign on corporate, foundation or personal before any tax treaties are signed in the nation you are banking in. If this is done after the tax treaty is in effect then all the bank records going back to day one can be requested. If the bank account is closed before the treaty enactment date then the bank records should not be affected by the new treaties. The treaties will not be retroactive. Then the answer would be trust account banking where the law firm is the signatory on the bank account not you. <br /><br />http://www.panamalaw.org<br /><br />--<br />Aurelia Masterson is an associate of Panama Legal law firm (http://www.panamalaw.org). She has years of experience in the field and now shares her observations of current events, politics, and law with the Internet community. She can be contacted at: aurelia@panamalaw.org.<br><br>Source: <a href="http://www.articletrader.com/">http://www.articletrader.com</a> ]]></description>
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<title>Stock Trading System</title>
<link>http://www.articletrader.com/finance/investing/stock-trading-system.html</link>
<guid>http://www.articletrader.com/finance/investing/stock-trading-system.html</guid>
<pubDate>Fri, 10 Aug 2007 00:00:00 -0500</pubDate>
<description><![CDATA[ <b>Stock Trading System - Can You Earn from Stock Trading? <b><br><br><b>Do you want a legal way to earn big money? </b><br>When you see birds flying in the sky, the urge rippling up in the sea of your thoughts is the wish to fly. Man is always urged to do new things, to possess new things. And to attain most of the worldly assets, to satisfy his need, he needs money. Earning more money is not impossible. It is just ignorance and timidity that keeps man from reaching his dreams. One of the easy, enjoyable, and yes, legal sources of earning money can be stock market. <b>Stock trading</b> has threatened many a newcomers from putting their feet in it. But, it is ignorance rather than knowledge that surges up the fear regarding stocks.<br><br><b>What are stocks? </b><br>Investment in stock market is not as risky a venture as laymen talk of it, provided, you are careful and do not lose your wits to greed. But before knowing what to do and what not to in the stock exchange, first know what stocks actually are. <b>Investing in stocks</b> means that you are investing in a company, which invests the money in its business. As it earns profit from the business, it gives your share of profit to you. So, you only invest money in the business and the skills of the company and it works for you to earn profit for you.<br><br><b>What are stock brokers? </b> <br><a href=http://www.sogoinvest.com>Stock brokers</a> are the people who mediate the stock transactions and charge commissions for their services. The commission rates are one of the major causes for discouraging the newcomers from making small investments since the commission rates in such cases would exceed the profit earned. <br><br><b>Where can you find low commission rates? </b><br>Nowadays, you can use the privilege of online stock trading, a thing that will help you a lot, more if you are a new chap in the field. Human brokers are often too dear for the beginners who want to make small investments. If you are one of them, online stock marketing may seem to be a lucrative deal for you. The online stock trading is often low at its commission rates, thus allowing you gainful trades even if you invest small amounts. So, if you are new into stock trading, you can invest small amounts to get familiarized with the business and also to earn some experience that will help you later in your bigger investments. <br><br><b>Need you jump into the offline stock trading after gaining experience? </b><br>The choice is yours. If after gaining all the experience, you feel that offline stock trading is better, you may opt for it, else not. Many big investors prefer trading through <b>internet stock trading</b> due to the easy accessibility, whereas there are still many who like the traditional <b>stock trading system</b>. For beginners, online stock trading is often more suggestive. After you gain knowledge and experience, however, the choice is all yours.<br /><br />--<br />Why Choose Sogoinvest:<a href="http://www.sogoinvest.com/Home/WhySogo.aspx">cheap trading stock options</a><br><br>Contact sogoinvest: <br><a href="http://www.sogoinvest.com/home/contactus.aspx"> Contact Online stock trading company</a><br><br>Source: <a href="http://www.articletrader.com/">http://www.articletrader.com</a> ]]></description>
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<title>Hedge Funds in India</title>
<link>http://www.articletrader.com/finance/investing/hedge-funds-in-india.html</link>
<guid>http://www.articletrader.com/finance/investing/hedge-funds-in-india.html</guid>
<pubDate>Tue, 30 Sep 2008 00:00:00 -0500</pubDate>
<description><![CDATA[ Bharatbook.com added a new report on "Hedge Funds in India" (<a href="http://www.bharatbook.com/detail.asp?id=81429">http://www.bharatbook.com/detail.asp?id=81429</a>)<br /><br />It focuses in detail about the global hedge fund market, the types of hedge funds prevalent in the industry and the size and growth of it. Additionally, the report covers the opportunities and challenges faced by the industry.<br /><br />The report will enumerate the industry regulations followed in different countries and its effects on the hedge fund industry. This is followed by the hedge fund industry in India in detail.<br /><br />The concluding part of the report covers the future outlook of the Indian hedge fund industry.<br /><br />Hedge funds are private investment funds that employ highly speculative techniques aimed at earning maximum capital gains. These funds ‘hedge' the risk by diversifying the portfolio of investments. In simple terms, hedge funds are pooled investment vehicles whose investment in publicly traded securities is huge as compared to average investors.<br /><br />Unregistered investment pools, such as venture capital funds, private equity funds and commodity pools, are also sometimes referred to as hedge funds. Hedge funds are available in forms like hedge fund ETF and hedge funds real estate. Prominent hedge funds with over USD 10 billion capital include Bridgewater, GSAM, Citadel, SAC Capital, Renaissance, DE Shaw, Vega and Tudor.<br /><br />There are about 10,000 hedge funds worldwide. Together they account for about 1 percent of the combined global equity and bond market. Financial experts assert that India has tremendous potential for investments. Global hedge funds have generated handsome returns by investing in the country. Variety in investment options and excellent growth prospects for hedge funds are the key attractions of the Indian market. Despite being a relatively new investment opportunity, the total hedge fund assets flowing into the Indian market was a whopping USD 2 billion during the 2003 session. The prospective Indian hedge fund market has attracted big names such as Renaissance Technologies, which is world’s largest hedge fund firm handling asset worth USD 35.4 billion. Additionally, some other well known names such as Old Lane, DE Shaw and Och-Ziff Capital Management have also entered the Indian hedge fund market. <br /><br />The unprecedented Bull Run in the US equity markets during the 1990s swelled investment portfolios. As a result, both fund managers and investors felt the need for diversification. Global hedge funds volume surged from USD 50 billion in 1988 to USD 750 billion in 2003 at a CAGR of 24 percent. Increase in hedge funds across the world has induced more outsourcing to India.<br /><br />As hedge funds inundate the Indian market, Securities and Exchange Board of India (SEBI) has felt the need to regulate them. SEBI intends to provide a broad-based, registered and regulated platform to these entities, depending on their individual track records.<br /><br /><br />For more information, kindly visit - <a href="http://www.bharatbook.com/detail.asp?id=81429">http://www.bharatbook.com/detail.asp?id=81429</a><br />contact Information<br /><br />Bharat Book Bureau<br />207, Hermes Atrium, Sector 11, PO Box.54, CBD Belapur, Navi Mumbai - 400 614, India. <br />Phone : +91 22 2757 8668 / 2757 9438 <br />Fax : +91 22 2757 9131 <br />E-mail : info@bharatbook.com <br />Website : <a href="www.bharatbook.com">www.bharatbook.com</a><br /><br /><br />--<br />About Bharat Book :<br />Bharat Book Bureau facilitates companies to take the lead of their industry with best practice business strategies and intelligence, through a unique combination of published reports, databases, country reports, company profiles and customized research services. Bharat Book Bureau provides strategic information tools to the executives, business analysts, and knowledge managers that will help them to probe into and support critical, timely business decisions and strategies.<br><br>Source: <a href="http://www.articletrader.com/">http://www.articletrader.com</a> ]]></description>
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<title>A Day Trading Strategy with a 90% Winning Percentage?</title>
<link>http://www.articletrader.com/finance/investing/a-day-trading-strategy-with-a-90%25-winning-percentage.html</link>
<guid>http://www.articletrader.com/finance/investing/a-day-trading-strategy-with-a-90%25-winning-percentage.html</guid>
<pubDate>Fri, 30 Jan 2009 06:28:07 -0600</pubDate>
<description><![CDATA[ Day traders cannot avoid losses. If anyone tries to sell you a system that has no losses, or even as little as 10% losses, you can be sure that they are unreliable. The fact is that traders engage in a very risky endeavor, and, even with the best plans, the markets will do unpredictable things.<br /><br />One point to be careful of when researching strategies is the idea of a “winning percentage.” Many day trading programs will tell you that they have a winning percentage of over 90%. This sounds wonderful, of course, but what does it really mean? Does it mean that they profit from 90% of their trades? Does it mean that they always profit with an additional 90% of what they put in? By itself, this statistic tells you nothing.<br /><br />You can get away with making your winning percentage sound better than it really is. In day trading, your “winning percentage” is a function of the ratio between your stop loss and your profit target. If you increase your stop loss and decrease your profit target, your winning percentage will go up.<br /><br />Unethical advertisers will make their winning percentage seem better by using the following trick of statistics. An average trader may set a stop loss of $200 and a profit target of $300, which would give them a winning percentage of around 60%. But if you increase the stop loss to $2,000 and decrease the profit target to $100, the winning percentage might climb up to 90%.<br /><br />This increase in winning percentage does not actually mean that the system is more profitable. While the winning percentage increases, the average profit per trade decreases. Therefore, most of the profits on this example would likely be eaten up by commissions, actually resulting in less real gain than the lower winning percentage.<br /><br />Most reasonable day traders look for winning percentages between 60% and 80%. But the important thing is that they look at this statistic alongside others. You also want a profit factor of around 1.3-2.5 and a maximum drawdown of 10-20% of the yearly profit. With these other numbers mixed in, you can be sure that the decent sounding winning percentage actually translates into real profits once all the numbers have been crunched and commissions paid.<br /><br />You should also be aware that different types of systems usually show different winning percentages, although, from this information alone, you will not know how profitable they can be. Most trend-following systems have a winning percentage of 55%-65% while trend-fading systems typically have a winning percentage of 65%-80%. But some trend-following systems can actually be more profitable than trend-fading systems that have higher winning percentages.<br /><br />As the saying goes, the devil is in the details. Beware of looking at one statistic alone when researching trading strategies. Be sure you understand all aspects of a plan before putting it into practice, not just the most dramatic numbers. It may turn out that the right mix of modest sounding numbers is actually vastly more profitable than the one with the shining, blinking “90% Winning Percentage” stamped on the front.<br /><br />As we all know, if it sounds too good to be true, it probably is. Statistics can be manipulated in a number of ways, and you should understand exactly what they mean before committing to a program.<br /><br /><br />--<br />Markus Heitkoetter is the author of the international bestseller "The Complete Guide To <a href="http://www.rockwelltrading.com">Day Trading</a>" and a professional day trading coach. For more free information on day trading visit his website <a href="http://www.rockwelltrading.com">http://www.rockwelltrading.com</a><br><br>Source: <a href="http://www.articletrader.com/">http://www.articletrader.com</a> ]]></description>
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<title>Feel the Fear of Being a Losing Trader</title>
<link>http://www.articletrader.com/finance/investing/feel-the-fear-of-being-a-losing-trader.html</link>
<guid>http://www.articletrader.com/finance/investing/feel-the-fear-of-being-a-losing-trader.html</guid>
<pubDate>Tue, 08 Jul 2008 00:00:00 -0500</pubDate>
<description><![CDATA[ Emotions are something that every trader fears, but they should also feel the fear of being a losing trader. Nothing is worse than consistent losses, particularly when the rewards of your labor are the sole earnings for the month. Many unsuccessful traders find themselves in a position wondering where their next meal will come from, and certainly it won’t be from the thousands of dollars in losses that they have incurred.<br /><br /><b>Trading plan planner</b><br /><br />A trading plan planner is the key to avoiding losses and creating profits. Trading plan planners help build a quality trading strategy around your own <a href="http://tradingeverydayarticles.com">creative techniques</a>. A trading plan planner should be the first stop for anyone serious about preserving trading capital. Knowing how to plan, what to plan for, and why you need a plan is often the fastest way to eliminate losses and produce consistent profits on a day to day basis.<br /><br />Professional traders understand the importance of learning to plan. Losing traders all have one thing in common: either a losing plan or an inconsistent plan. A <a href="http://www.tradingeveryday.com/TradingPlan.html">profitable</a> plan used by an amateur who understands why consistency is important will prove profitable, while the same plan in the hands of a professional unconcerned about consistency will lose.  <br /><br /><b>Master day trading</b><br /><br />To master day trading involves not only understanding the financial markets, but also the many variables involved in professional trading and investing.  While many think that knowing where to invest is the key to profitability, how and when are the two most important parts to creating profits. There are no true insider methods, but just trading discipline, which drives a trader to remain consistent and profitable.<br /><br /><b>Your own discipline</b><br /><br />Trading discipline cuts straight to the bottom line. It is common that those who plan wisely and chart out each position do well, while the gambling trader fights just to keep his head above water. Uptrend, downtrend, or sideways trends abound, the disciplined trader can make money in any market – even those that aren’t a point of interest. It all comes down to understanding your own trading plan and having the discipline to follow it.<br /><br />Traders who diverge from the path of planning and organization are quick to fail. Rather than focusing on creating profits, they’re looking for get rich quick investments and hoping to make a killing on one trade rather than produce long-term profits. Any trader serious about making money should instead look to the long term and the potential of everyday trading.<br /><br />--<br />Leroy Rushing is an active, professional day trader; trading coach; and author. He is the Founder and CEO of Trading EveryDay, a provider of educational trading products and services that are available worldwide. Trading EveryDay has complimentary/FREE products, a <a href="http://www.tradingeveryday.com/ToolsOfTheTrade.html">Tools of the Trade</a> eBook and a <a href="http://www.tradingeveryday.com/TradingRoom.html#gpm1_4">Trading Room Report</a>, that are downloadable for your convenience.<br><br>Source: <a href="http://www.articletrader.com/">http://www.articletrader.com</a> ]]></description>
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<title>Basic Tips in Becoming a Foreign Currency Trader</title>
<link>http://www.articletrader.com/finance/investing/basic-tips-in-becoming-a-foreign-currency-trader.html</link>
<guid>http://www.articletrader.com/finance/investing/basic-tips-in-becoming-a-foreign-currency-trader.html</guid>
<pubDate>Thu, 23 Jul 2009 00:23:04 -0500</pubDate>
<description><![CDATA[ One of the most lucrative business endeavors that you can try is becoming a foreign currency trader. However, this profession does come with its own ups and downs. Most people tend to focus only on the benefits of currency trading. They think that they can go into the business equipped with a currency trading system but actually, things can be more complicated. It takes careful planning and a whole lot of experience to make it big in currency trading.<br /><br /><br />To help you get started with becoming a foreign currency trader, here are some practical and important tips that you can observe:<br /><br /><br />Consider being an apprentice first - There are so many experienced traders these days that are looking for assistants. They need them because as they expand their reach in terms of currencies, they may find it difficult to focus on their existing ventures all by themselves. Aside from traders, forex brokers are also looking for assistants to help them out. Between the two, you might find it more valuable to become a broker's apprentice because it would really teach you about the ins and outs of forex trading from both a buyer and seller perspective.<br /><br /><br />Familiarize your self with the different forex trading systems - As a foreign currency trader, it is your responsibility to keep yourself updated with the latest trading systems used in your industry. This does a lot to help you spot profitable partners and traders to do business with. It would also allow you to penetrate niche markets much easier than if you only know a few common trading systems.<br /><br /><br />Create your own forex trading system - During the first few months that you are doing your own trading game, it may be alright to be an orthodox type of trader. But as you mature and gain more experience, don't let yourself get tied down with just this almost by-the-book system. Explore the world of trading by mixing and matching different systems together. Eventually, you will see loopholes in the trading system you are doing and it's okay. It only means that you must ready yourself for some changes.<br /><br /><br />Consider learning through websites online and other trading courses - These days, becoming a forex trader is made much easier because the business is mostly done online. This allows you to access loads of forex information that may both be free or available at a specific cost. At the minimum, you can consult various article directories and blog sites created by forex professionals. There's actually a lot of valuable information that you can learn from these sources. You can also opt to budget a portion of your profits to fund your learning through online courses. Most of these courses can be customized to fit your schedule.<br /><br /><br />Being a foreign currency trader involves a continuous development process. It's a kind of job that sees no place for stagnation and thrives with changes. So if you are the type who enjoys learning a lot of things and experimenting on your own work processes then it would surely be a worthwhile career endeavor for you.<br /><br />--<br /><br />You can succeed in the forex market with the best <a href="http://www.freshpips.com">forex trading news online</a> place on the web.<br /><br />Now you can be updated with the most trusted brokers out there with: <a href="http://www.reviewpips.com">forex review broker scams</a><br /><br><br>Source: <a href="http://www.articletrader.com/">http://www.articletrader.com</a> ]]></description>
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<title>Successful Forex Trader Information</title>
<link>http://www.articletrader.com/finance/investing/successful-forex-trader-information.html</link>
<guid>http://www.articletrader.com/finance/investing/successful-forex-trader-information.html</guid>
<pubDate>Mon, 30 Jun 2008 00:00:00 -0500</pubDate>
<description><![CDATA[ I've been trading for a long time and I've had my ups and downs, but I'm confident now that I can call myself a successful forex trader. It takes a lot of adapting to do good in this business. If you aren't fast at adapting, than you're going to lose your money. You need to learn, adapt, rethink, learn, adapt, rethink, etc. It is important that you grow as a trader or you're just going to get caught up in old ideas that don't work any more.<br /><br />Do you act overly bullish? Well I used too. Back in the day when I wasn't a successful forex trader I used to look at the market always as bullish. I'm not sure if it came from arrogance or stupidity, but it definitely wasn't a smart move on my part. I always thought the market would perform a lot better than it actually did.<br /><br />What do you think is more important; entrance or exit? The exit of course. I didn't really become a successful forex trader until I realized that everything is defined by your exit and the exit price. You don't make a penny of profit until you sell. You don't even make a profit unless your exit is higher than your entrance. This should be the most important thing you look at.<br /><br />--<br /><a href="http://www.casualforex.com/forex-tracer/">Forex Tracer</a> is the key to smart trading. It focuses completely on the exit of trades, so the most profit is made. Automated and easy to use, your profits will greatly increase.<br /><br />Learn more at <a href="http://www.casualforex.com/forex-tracer/">Forex Tracer</a>.<br><br>Source: <a href="http://www.articletrader.com/">http://www.articletrader.com</a> ]]></description>
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<title>How to Start a Home Business with Options Trading and Credit Spreads</title>
<link>http://www.articletrader.com/finance/investing/how-to-start-a-home-business-with-options-trading-and-credit-spreads.html</link>
<guid>http://www.articletrader.com/finance/investing/how-to-start-a-home-business-with-options-trading-and-credit-spreads.html</guid>
<pubDate>Mon, 16 Mar 2009 20:50:30 -0500</pubDate>
<description><![CDATA[ If you are like most people, in these times of economic uncertainty you are looking for a way to earn extra money, that doesn't take a lot of time, preferably from home and that doesn't require a lot of capital to get started. If you fall into this category then options trading might be just what you are looking for.  Although trading is a simple business to get started in, it is far from easy and be wary of anybody who tells you differently.   Also you may have heard that trading options is risky, and while nothing in life is risk free, there are ways to substantially reduce the risk. <br /><br />How much money do I need to start? <br /><br />     One of the beautiful things about options trading is it's one of the few businesses that you can take for a free test drive to see if you can be successful at it. By trading in a simulator you can start your business with no money. Obviously you won't be earning anything either, but you will be gaining valuable knowledge.  You can find a simulator at CBOE.com. After you've traded in the simulator for a few months and become consistently profitable you can start with as little as $2,000. <br /><br />Finding a brokern<br /><br />     The first step in getting started in an options business is finding a broker.  There are many (excuse the pun) options available, a few of the good ones include, OptionsXpress, TradeStation and Interactive Brokers. These are all members of the Financial Industry Regulatory Authority (FINRA) and the Securities Investor Protection Corporation (SIPC), which are two organizations that protect you against fraud from financial brokers. <br /><br />Putting the Odds in your favor<br /><br />     While this isn't a comprehensive list there are a few things that you can do to stack the odds in your favor when dealing in stock options.  First of all rather than buying puts and calls you can use credit spreads.  This method of selling a higher priced option and purchasing a lower priced option alone will stack the odds enormously in your favor simply because this method can allow you to make money whether the markets go up, down or sideways. As a matter of fact using this method can allow you to win as much as 80-90% of the time, which is why professional traders use this type of trade to generate  consistent income. <br /><br />     The next thing you want to do is a bit of technical analysis and look at the S&P stock index.  If the index is moving above it's 200 day moving average you generally want to be purchasing stocks or using bull put credit spreads.  If the index is moving below it's 200 day moving average you should short sell stocks or use bear call spreads. <br /><br />How much can I earn? <br /><br />     This can fluctuate depending on market conditions but by using credit spreads you can make anywhere from 5-20% a month. So with $10,000 you can generate anywhere from $500-$2000 in extra income a month. <br /><br /><br /><br />Reducing Your Risk<br /><br />1.Start off by trading in a simulator at CBOE.com <br />2.Always use a stop loss or have your positions hedged.<br />3.Never trade with money that you need to pay for you day to day expenses with such as rent and bills. Nervous money always loses.<br /><br /><br />If you'd like to find out more about options trading and credit spreads click on the link in the resource box below and sign up for a free 10 part course.<br /><br />--<br />Palmer Owyoung is the Founder of http://www.OptionSpreadTrades.com<br /> a site dedicated to helping the average investor earn 5-15% a month.<br />Free lessons, and free forecasts.<br><br>Source: <a href="http://www.articletrader.com/">http://www.articletrader.com</a> ]]></description>
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<title>Stock Yields Outpace Bond Yields: First Time Since 1958</title>
<link>http://www.articletrader.com/finance/investing/college-tuition-rises-slower-than-inflation_1.html</link>
<guid>http://www.articletrader.com/finance/investing/college-tuition-rises-slower-than-inflation_1.html</guid>
<pubDate>Mon, 08 Dec 2008 23:28:06 -0600</pubDate>
<description><![CDATA[ For the first time in 50 years, the S&P 500 average dividend yield has risen above the 10-year Treasury note interest rate. Wednesday's close saw the bond yield jump slightly to 2.66. However the S&P yield is now 3.3 in favor of equities. Historically, the two asset classes competed for investor's money, with bond interest beating stock dividends, resulting in an average spread between the two investment vehicles by an amount of 3.7 points in favor of bonds.<br /><br />So are stocks a better choice now? Well they still generally are, but they are more volatile than they have been for a long time. When investors see substantial stock price swings, they expect the lack of stability to be offset by a greater dividend rate. This in turn pressures companies to increase their dividends. For the past half century, stocks have enjoyed a steady rise in prices - at a pace of about 7 minimum to go before stocks will match bonds in terms of return on risk."<br /><br />Dividends, along with bond interest, can play an important role in planning for retirement, but a retirement savings program should not depend completely on this income. Market forces - such as the current recession - can alter companies' dividend allocation. Although 212 companies have increased their dividends this year, tight credit markets have forced businesses to retain $648 billion in earnings (up from last year), and 41 companies - including 35 financials - have cut a record $37.9 billion in dividend payouts. Thus, there is no guarantee that stockholders will see dividend yields shooting up anytime soon. In fact, analysts expect fourth quarter dividend payments to decline by 10% from 4Q 2007, the worst year-over-year slide since - interestingly - 1958.<br /><br /><br /><br />--<br />Jack Sarkissian is a senior financial analyst at Ameri-Financial. Visit <a href=http://www.ameri-financial.com>http://www.ameri-financial.com/</a> for news and updates on personal finance that you cannot afford to miss. Use our <a href=http://www.ameri-financial.com/finance-test/personal-finance-test.html> free financial analysis tools </a> online to establish your financial goals and reach them faster.<br><br>Source: <a href="http://www.articletrader.com/">http://www.articletrader.com</a> ]]></description>
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