Before we start any discussion about the building of a suitable or successful stock option trading strategy it helps to first accept one fact - you must do your home work i.e. you must do the research. Without knowledge about the particular underlying asset you are fundamentally operating while blindfolded, or in other words, you are just guessing.Naturally, any investor is going to have their own opinions and personal outlook, but the facts and...more
Before jumping into any new form of investment, it is important that you are able to thoroughly understand the activity. For example, can you explain option trading? It this is something which you will direct your nest egg or income towards, you must be able to recognize precisely what it involves.Someone who can explain option trading will naturally have a clear understanding of the fundamental terminology, processes, and policies. This is not...more
Stock brokers and share brokers, both connote the same meaning. They play an important role in helping you open a trading account, particularly a demat account. Different services mark the uniqueness of different brokers, but the key objective is to facilitate investors in trading in the stock market. Finding informed share brokers will help you meet your trading needs, which prove profitable. Stock brokers charge certain rates, more often based on the number of units of shares you buy. The more the number of units, the less is the charges; however brokerage charges are negotiable for big buys. When you contact share brokers, do also look for veiled fees that may be mentioned within the terms and conditions. Many investors fall prey to such hidden charges, ending up paying even for transferring money. These are more noticed in paper based work rather than online trading.Investors no longer need to get in touch with stock brokers every now and then during trading hours to gain information on shares. With online trading taking into its grip a huge section of the people from different vocational backgrounds and even homemakers, the stock market has witnessed an altogether new...more
Investors and share brokers are the two sides of the same coin; the coin in this case is the stock market. No stock market can exist without stock brokers and investors. And again without a demat account, trading cannot take place. But it solely depends on the investor to give the green signal to buy a particular share and sell it. The loss and...more
Most people do not have any idea about what securities lawyers do; however, as Americans nervously watch the bear market and have their confidence measured and tested by corporate collapses, the field of securities law has found itself in the limelight. What is a securities lawyer in the first place? A securities lawyer is a person licensed to...more
Upon hearing options trading strategy, what is then your understanding? You may want to take some time to understand this concept when you work with a broker and you have an investment portfolio. Same as other areas of financial market, options trading industry mandates investors to have a concrete knowledge of its conditions, their holdings performance, and any foreseen changes that might acquire (or eliminate) income.Indeed, for best results, an options trading strategy is an indispensable element. Developing an effective strategy is then now becomes the main question. Definite goals and plans is then needed, options trading however is such a versatile action that it can assist investors regardless of kind to meet their objectives. Regardless of the market condition, like for instance it goes down, improves significantly, or just stays "as is" for a long period of time, having in place options trading strategy for this particular market situation is the recommended approach. Explaining first a little about several activities is best for those who are interested in options trading, so that they may know how to strategically adopt this in achieving their financial target.Just like...more
When asked about futures trading, or day trading in general, the average fellow on the street will generally answer with something along the lines of, dabbling in the market is like Las Vegas, you can get lucky or be unlucky I always get a chuckle...more
Green chips refer to environmentally friendly stocks and they are gaining in popularity. With the government having an expanded renewable energy target of 20% by 2020, how can you know which companies will turn out to be the winners? Green...more
Most people know that the sharemarket is a vehicle for growing your wealth but we also know that not all shares grow. So what is it that differentiates the dogs from the pack leaders? The power of investing in companies in the sharemarket is the...more
The sharemarket has now fallen for four consecutive days with a loss of around 5%. Perhaps now is the time to take stock of where the market is at and whether this is a healthy sign for a sustainable rise. Bottomed out It's true that when...more
With the Australian dollar hitting a yearly high, it's great if you're heading overseas. But it also impacts you in terms of investing. Commodity prices The Australian dollar is at the highest level in 14 months. In 2009 so far, the Aussie dollar has...more
The market is full of analyst recommendations on stocks. Some good, some bad and some just okay. So how do brokers come up with these recommendations and what should you consider before acting on these recommendations? Intrinsic value Most brokers...more