Analysis Topic: Investor & Trader Education
The analysis published under this topic are as follows.
Tuesday, October 05, 2010
Learn How Out-of-the-Money Butterflies Create Profits Trading SPX Options / InvestorEducation / Options & Warrants
By: J_W_Jones
Over the past few weeks the broad stock market has seemingly grown increasingly more bullish. Market pundits, traders, and even high profile money managers are stating publicly that the easy trade over the next few years will simply be being long high quality stocks. While time may prove these managers wise, it is likely a bit early to be that bullish. Read full article... Read full article...
Sunday, October 03, 2010
Flash Stock Market Crash, the Dark Side of Stop Loss Orders / InvestorEducation / Learning to Invest
By: Richard_Shaw
We are proponents of persistent percentage trailing stop loss orders to protect against significantly declining markets. If more investors used stop loss orders, fewer investors would have been devastated by the the 2008 stock market crash. Just like seat belts and airbags that save lives in auto crashes, stop loss orders save portfolios in market crashes. However, in a small minority of cases, seat belts or airbags are a partial cause of injury in an auto crash. Similarly, in a small minority of cases, stop loss orders are a partial cause of investment losses.
Saturday, September 18, 2010
Using Iron Condors to Create Profits Trading SPX / InvestorEducation / Options & Warrants
By: Chris_Vermeulen
This recent rally has many market pundits believing the market will continue higher, fueled by slightly improved economic data points. The bulls realize that the all important S&P 1130 level is not that far overhead; if they can push the SPX through that level with strong volume, a rally could play out. The charts below are using the S&P E-Mini contract for analysis purposes.
Friday, September 17, 2010
Learn How to Forecast Markets Using Technical Analysis / InvestorEducation / Learn to Trade
By: EWI
There are two camps of market analysts out there: the fundamental camp and the technical one. Fundamental analysts look at things like the GDP, unemployment, interest rates, etc. to make logical assumptions about where the stock market is going.
Technical analysts use none of that. They look at the market's internals to gauge the trend: things like momentum, trend channels -- and yes, Elliott wave patterns.
Read full article... Read full article...
Monday, September 13, 2010
Learn How Butterflies Can Create Profits When Trading Gold GLD ETF / InvestorEducation / Options & Warrants
By: J_W_Jones
In recent articles, we discussed that Theta (Time Decay) has the potential to cause option prices to decline dramatically, particularly in the final weeks leading up to option expiration. As it turns out, we are now in that very period of time and option strategies that utilize Theta (time) decay as their profit engine can really produce some outstanding risk/reward opportunities. Vertical spreads, butterflies, and iron condors can all be utilized to create profits in this environment, with a crisply defined amount of risk. When risk can be accurately defined, option traders can shape their expected perception of price action around their own unique time frame and risk profile. Read full article... Read full article...
Sunday, September 12, 2010
Information Brokerage in Financial Services / InvestorEducation / Learn to Trade
By: Elite_E_Services
This article is largely a response and elaboration on an excellent point made by Nadeem Walayat of Market Oracle about the ‘reason why 90% of traders lose’. Largely, trading is an information brokerage business. Data collection, storage (classification and identification), and analysis, is the process of decision making of any trade. Data can be price data, economic data, or other data, used to determine trades, with an expectation of future profit.
Sunday, September 12, 2010
The Ultimate Technical Analysis Handbook 50 Page Ebook Download / InvestorEducation / Learn to Trade
By: EWI
Dear Reader,
Today more and more investors are warming to the fact that psychology moves markets and therefore fundamental analysis, which fails to properly measure mass investor psychology, must be flawed.
Read full article... Read full article...
Friday, September 10, 2010
The Real Reason Why 90% of Traders Lose, Nadeem Walayat's Trading Lesson's / InvestorEducation / Learn to Trade
By: Nadeem_Walayat
The failure rate for traders has been consistently put at a high 90% for many decades, this continues despite all of the advances in information technology and the flood of new learning materials, therefore why do 90% of traders still lose ?
Read full article... Read full article...
Wednesday, September 08, 2010
Download The Ultimate Technical Analysis Handbook / InvestorEducation / Technical Analysis
By: EWI
Dear Reader,
Today more and more investors are warming to the fact that psychology moves markets and therefore fundamental analysis, which fails to properly measure mass investor psychology, must be flawed.
Read full article... Read full article...
Saturday, September 04, 2010
Learn How to Create Synthetic SPX Equity Positions Using Options / InvestorEducation / Options & Warrants
By: J_W_Jones
For most equity traders, the S&P and/or the Dow are watched quite closely. While these indices are usually just as important to option traders, the volatility index is generally closely monitored as well. There are a variety of volatility indices to watch, but most traders look at the S&P volatility index which is commonly referred to as "The VIX."
Wednesday, September 01, 2010
10 Financial Scams For Investors to be on Guard Against / InvestorEducation / Scams
By: Money_Morning
Larry D. Spears writes:When Peter Allen and Carole Bayer Sager wrote the tune "Everything Old Is New Again," they were probably hoping for no more than a Top 40 hit. Instead, the song became an oft-recorded classic, mostly because the title proved a truism in so many areas - especially in the seamy world of financial fraud.
Friday, August 27, 2010
The Stealth Greek Of Options Trading: Vega / InvestorEducation / Options & Warrants
By: J_W_Jones
In my previous missives on the Greeks of the option world, we have spent most of our time focusing on Theta and Delta. In the real world of option trading, option prices are the subjects of three primal forces: price of the underlying, time to expiration, and implied volatility. Delta and theta address the first of these two primal forces. The third primal force, implied volatility, is by far the least known by newcomers to the option trading world. However, while it is usually not respected or even known by many new to trading options, it typically is the most frequently unrecognized force resulting in is the cause for significant trading capital deterioration.
Sunday, August 22, 2010
Yes, You Can Time the Markets – Here are More Ways! / InvestorEducation / Learn to Trade
By: Lorimer_Wilson
Trading without indicators is like running blind and it encourages emotional trading that is the bane of successful investment and speculation. It is hard to know what to buy or sell let alone just when to do prudently. Thank goodness there are indicators available that provide information of stock and index movement of a more immediate nature making life during these times somewhat more bearable.
Saturday, August 21, 2010
Risk Comparison: Options Versus Equities – Part 1 / InvestorEducation / Options & Warrants
By: J_W_Jones
While future articles will return to focusing on the option Greeks, a recent comment regarding risk really piqued my interest. The age old discussion about risk versus reward, equities versus options, and the fundamental difference between Nassim Taleb’s “Black Swan” risk and what most people perceive as ordinary risk.
Sunday, August 15, 2010
The Ultimate Way to Protect Your Money from Wall Street Scams / InvestorEducation / Dividends
By: DailyWealth
Dr. David Eifrig writes: "Dividends don't lie."
It's one of my favorite Wall Street sayings. Accountants can mess with a company's books in all kinds of ways, but they can't fake a cash payment. And if a company can pay a dividend, it's almost always making money.
Sunday, August 15, 2010
Learning How Theta Can Be Utilized to Trade Gold / InvestorEducation / Options & Warrants
By: Chris_Vermeulen
A fundamental knowledge of Theta is imperative in order to understand the mechanics and construction of option strategies. In many cases, Theta is either the profit engine or the means by which experienced option traders reduce the cost of opening a new position. Theta can even take an ETF that pays no dividend and create a monthly income stream utilizing a technique known as a covered call write.Read full article... Read full article...
Thursday, August 12, 2010
7 Common Trading Mistakes To Avoid / InvestorEducation / Learn to Trade
By: EWI
To be a successful trader demands knowledge.
If you'd prefer to become an unsuccessful trader, you can start by making the following common trading mistakes, detailed by a professional who spent 25 years in portfolio management, trading and forecasting in the financial capital of the world, New York City.
Read full article... Read full article...
Thursday, August 12, 2010
Free 32-page Trading eBook - Learn a powerful 'Ready, Aim, Fire' approach to trading / InvestorEducation / Learn to Trade
By: EWI
Free Trading eBook from Elliott Wave International: Get practical and actionable trading lessons from an experienced trader and trading instructor (details below). Learn more.
Wednesday, August 11, 2010
Defensive Investing: Use Dollar-Cost Averaging to Reduce Volatility Risks / InvestorEducation / Learning to Invest
By: Money_Morning
Larry D. Spears writes: Dollar-cost averaging has long been a strategic staple among mutual fund buyers. Longer-term investors use it to smooth out the effects of short-term price fluctuations, but the tactic seldom has been practical for purchasers of individual stocks - that is until now.
Monday, August 09, 2010
How to Turn $1,000 of Your Kid's Savings Account into $168,700 / InvestorEducation / Dividends
By: DailyWealth
Tom Dyson
writes: How would you like to turn $10,000 into $178,200 using an investment strategy that takes no work, skill... or even attention?
Even better, how does a $168,700 stake from an initial investment of $1,000 sound?