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Stock and Bond Trading Powers Modern Asset Allocation

For most individual investors, trading is approached in a totally speculative manner. Stock trading, in its more popular forms (Day Trading, Swing Trading, etc.) includes none of the elements that a conservative investment strategy would contain: little if any attention is given to the Quality of the equities selected; Diversification is determined by chance alone; no attempt is made to develop an increasing and dependable stream of Income. But stock trading by individual investors doesn't deserve quite as bad a "rep" as it has earned. After all, its very foundation is profit taking, probably the most important and most often neglected of the activities required for successful investment management. Unfortunately for most equity traders, loss taking is a more common occurrence.

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The Rally is coming! The Rally is Coming!

Always buy too soon--- because no one will tell you either when the rally will start or, more importantly, how long it will last. Of course those are the two things you want to know, but all you really have to go on is the experience of the past. This is not going to be a technical analysis of a series of numbers or chart formations that have predictive capabilities. Instead, it is intended to be a mild sedative to calm your collective fears and to allow for a relaxed analysis of the corrections of the past. You have to prepare yourself for the rally that is surely coming, and it may just arrive sooner than you think--- today, even.

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Juniors Testing the Nerves

Juniors will move once a stock market bounce gets underway: Whilst we spend most of our time talking about Gold in US Dollars we often fail to recognize that this is truly a global business.

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Wall Street Conventional Wisdom and Stock Market
During every correction, I encourage investors to avoid the destructive inertia that results from trying to determine: how low can we go; how long will this last? Investors who add to their portfolios during downturns invariably experience higher Market Values during the next advance.

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How to use P/E as a valuation tool
P/E is one of the more important fundamental valuation tools. P/E is a ratio of the stocks price and the stocks earnings per share. To calculate a P/E, take the price of the stock and divide it by it's earning per share.

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Stocks And Shares Explained - Devising A Proven Trading Plan For Stocks And Shares
Are you a profitable share investor or trader? Most shares investors and traders would move into shares trading or investing after learning some basic charting, usually moving averages and begin to invest, either making some money or losing some in the initial stages. This is of course, inadequate and a bad way for a someone to start off trading in stocks and shares.

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Stock Market Investments For Beginners
The Stock Market can seem like a place to make big money fast and easy. You often here in the news how a stock went up four, five or even six points. And you hear yourself say: “If I had gotten in on that one I could have made a killing”. Yeah, if…

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What Happens When Stocks Split
Stock splitting is one of the best things that can happen to an investor. When a stock splits, then the stockholders would receive twice as many shares as before. Though the volume of the shares would almost double, the value of each share would be reduced. Supposing a company splits its stock two-for-one, i.e. it issues one new share on each existing one, then the value of each share would be reduced to half. Thus the number of shares would become twice as before, but the total value would remain unchanged. It’s something like getting two five-dollar bills in place of a single ten-dollar bill. The value would remain the same, but the bulk of paper would become twofold.

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Pips and Stocks
Those of you contemplating on getting in on stocks or in the stock market, should take time to learn about highs/lows, bid/asks, charts, pips, spreads and so on to avoid up-and-coming high plunges. Staying informed is the key to successfully gaining in any stock market exchange industry. Despite, you want to commit oneself to charts and information that offers you trueness in the stock market, Forex exchange markets, and other stock industries. Failing to do so could lead to financial blunder.

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Future Options in Stocks
Future options in stocks are changing the patterns in the way that shareholders and investors use tools. Today the stock promoters are building innovative tools to help shareholders, and other investors get the most of their trading experiences.

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Dividend Growth Is A Differentiating Factor In Long-Term Stock Performance
Dividends have made a comeback from a period during the 1990s when investors prized capital growth more than dividends. Several factors will significantly affect dividend growth going forward, explained Judith Saryan, portfolio manager of Eaton Vance Utilities Fund.

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The Thomas Commodity Swing Method - Lock In Profits, Reduce Risk And Trade The Swings
Getting into a market is simple. Getting out with a maximum profit is difficult and is an art. How do we know when to take a profit and when to take a loss? Will I miss the big move if I get out now? Here's some methods that can take the mystery out of what to do at these critical times.

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What To Look For To Buy Stock Online
Getting into the stock market used to be the privilege of the wealthy, but thanks to many new options, even smaller investors can do well. The Internet is perhaps one of the best tools for anyone to use to start investing, but there are some serious considerations that should come into play before an investor hits the buy button.

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Independent Investor & Getting started and building wealth
Managing your own trading accounts can be exciting and more profitable than investing in mutual funds or just buying and holding. Some research and an understanding how prices move are required to make profitable trades. Most people see the stock market as a way to meet their long term investing goals. They place their spare funds in it and hope for a decent return over time. Now there’s nothing wrong with that way of thinking, but here is a more interesting way to look at things.

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Current Gold Prices Minus Current Oil Prices = Buy Gold Stocks
A brief inspection of the financial statements of any Gold Company reveals their biggest expenses are Labour and Energy. In fact, we often forget just how labour and energy intensive gold mining is and how much effort it takes to mine 1 oz of Gold!

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Gold Stocks vs. Oil Stocks
A question I get asked a lot is where should I be investing my money? “I’m a believer in the Commodity Super-cycle and in Peak Oil but gosh, just tell me what (and when) I should be buying!” For us the question really boils down to allocating between Precious Metals, Energy and Industrial Metals. In this article I want to explore the Gold Stock vs. Oil Stock relationship to see how we should position ourselves for the remainder of the year and what (if any) inferences we can make on the general market.

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Planning: A Key to Successful Trading
From time to time I get some very interesting confessions. Here is a very recent one, along with a solution. "Hey Joe! I had been looking at a profitable trade setup all day. I studied indicator after indicator looking for confirmation, even though I know many are correlated and redundant. But I just kept on searching. I thought, 'Maybe I missed something.' My account is now so small that I just wanted to be sure that this was the right trade. My thought was that I must take into consideration anything and everything that could cause this trade to fail. I can't afford to lose any more money. What should I do?"

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Become a Disciplined Trader
The number one problem for most traders, and reason they cannot get ahead, is that they simply cannot muster the discipline to get out of a trade when they should. No matter how often I say it, I cannot persuade others to get out in time. Part of the problem is human nature, and part of the problem is erroneous hype from most sources that traders encounter when first entering this business.

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Part one: Importance of Exits
The outcome of every trade is dependent on the exit. If we enter in a timely fashion and then exit poorly, the trade is likely to be a loss. If our entry happens to be poor but our exit is good we might still salvage a profit. The exits, not the entries, determine the outcome of our trades. This lesson about exits is easily demonstrated. Take any entry strategy and begin combining it with different exit strategies. You will quickly see that we can change the results dramatically by making only minor adjustments to the exits. In fact it becomes nearly impossible to tell if an entry is any good because the results are so exit dependent. Bad exits can make a good entry look bad and good exits can make a bad entry look good.

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Part 2: The Money Management Exit
In Bulletin #29 we emphasized the importance of exits in general and pointed out that it is the exits and not the entries which actually determine the outcome of our trades. Now that we have established the importance of exits we will be more specific and write about various types of exits. Probably the simplest and most critical exit is the money management exit or the classic "stop loss". This is the exit that protects our trading capital and prevents ruin.

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Investment Management Strategy: Seven Principles for Success
Many Investment Gurus, with a straight face and a gleam in their eye, will insist that successful investing is a function of expansive research, skillful market timing, and detailed technical analysis. Others emphasize fundamental information about companies, industries, and markets. But trends and numbers are secondary to a thorough understanding of the basic principles of Investing and Management, and their interrelationships. The ingredients for a successful investment portfolio are these: stubborn belief in the Quality, Diversification, and Income trinity from Investments 101, and operations that employ the Planning, Leading, Organizing, and Controlling skills introduced in Freshman Management. Here are some things to keep in mind while you season your experience with patience and marinate your investment process with discipline:

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The Trade Decision
1. Avoid adding to a losing position. 2. Always determine a stop and a profit objective before entering a trade. Place stops based on market information, i.e., what you see and know, not based on your account balance. If a "proper" stop is too expensive, don't do the trade. 3. Remember the "power of a position." Avoid making a market judgment when you are already in a position. 4. Your decision to exit a trade means you perceive changing circumstances. Don't suddenly think you can pick a price. Exit at the market.

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Investing Stock Market ABC’s
While most folks today trust mutual funds and their professional managers with their investments, it's still important to understand the basics of the stock market. Although investing in individual stocks may not be right for everyone, a basic understanding of the stock market is essential to understanding the workings of our economy and business sector.

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Stock Option Trading Millionaire Principles
Having been trading stocks and options in the capital markets professionally over the years, I have seen many ups and downs. I have seen paupers become millionaires overnight. And I have seen millionaires become paupers overnight. One story told to me by my mentor is still etched in my mind: "Once, there were two Wall Street stock market multi-millionaires. Both were extremely successful and decided to share their insights with others by selling their stock market forecasts in newsletters. Each charged US$10,000 for their opinions. One trader was so curious to know their views that he spent all of his $20,000 savings to buy both their opinions. His friends were naturally excited about what the two masters had to say about the stock market's direction. When they asked their friend, he was fuming mad. Confused, they asked their friend about his anger. He said, "One said BULLISH and the other said BEARISH!"

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