Thursday, October 8, 2009

Should You Invest in Gold?

By Michael Swanson

In this economy, it is a good idea to try and make money wherever you can. Gold is one thing that you can invest in where in this economy is still profitable. When people end up hoarding gold, it really affect the price- the cost of gold will remain high. Because of the huge quantity of gold that is stored, the cost of gold is changing all the time. Stock trading with gold investing is a sure way to making money, eventually.

The gold used to represent the paper money. Today, there is more paper money than there is gold. Because of the bank failure during the great depression, President Roosevelt in the 1930's Passed a law to outlaw gold ownership.

Investors buy gold because they can make money on the increasing gold prices and also it is a great thing to have in case of social or economical turmoil where paper money would be rendered useless. This seems far fetched but it is actually something that could possibly happen.

You can buy bullion or coins or you can trade through the gold exchange traded funds. You can also invest in certificates, derivatives, shares or accounts.

The price of gold is constantly increasing at a pretty level rate. A lot of research needs to be done before you start investing, though. There is really so much to learn and know. You want to be fully educated so that you do not get ripped off and you know what you are buying. It really does make the entire process a lot easier.

Gold investing is really the way to go. Go online and read more about it and where you can buy it for less. You will be glad that you did as the value of gold continues to go up. You won't regret investing in gold. - 23309

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Position Trading Explained (Part II)

By Ahmad Hassam

After performing the fundamental analysis, the trader may be confident that the US Dollar is indicating overall weakness and the Euro is indicating overall strength for the coming six months.

Keeping in view the overall strength of Euro and the weakness of US Dollar, the next step for the position trader would be to open a long position in EUR/USD pair. This simultaneously provides the position trader with long Euro position and a short US Dollar position.

Going long on Euro and at the same time short on US Dollar, this combined trading position fulfills your fundamental outlook as the position trader on both the currencies. The long term directional bias has been formed by you as the position trader on the basis of fundamental analysis.

However, pinpointing the best time for the trade entry as well as setting risk managed control strategies is best accomplished by using technical analysis. Position trading depends on using fundamental analysis in identifying a profitable position in the currency market and then using technical analysis in setting up the actual trade.

As all currencies are traded in pairs unlike the stock market or for that matter other financial markets, this concept of strength/weakness fits extremely well with the forex markets. The position trading uses fundamental analysis in pairing strength with weakness.

Position trading with the strength/weakness model is the most logical fundamental method for approaching long term forex trading. Trading forex requires a directional commitment on two currencies for each trade, so position trading is ideal for forex trading.

Buying one currency because it looks like it will become stronger while simultaneously selling another currency because it looks like it will become weaker is a better way to trade as compared to other financial markets.

Your first step as a position trader should be to do fundamental research and analysis on all major currency pairs. Analyze the Central Bank policy statements, economic growth factors of these countries, global economic news etc to identify the currency with the strongest positive future prospects and the currency with the strongest negative future prospects at a given point in time.

Suppose you identify USD and CHF as the strongest loser currencies by performing fundamental analysis while EUR and AUD as the strongest gainer currencies in the foreseeable future. Possible currency pairs for position trading could be long EUR/USD, long AUD/CHF, short USD/AUD and short CHF/EUR.

Price action is never ever linear. It is always up and down with minor trends superimposed on major trends. You can enter the trades with the help of technical analysis and hold them as long as they move in the correct direction disregarding minor corrective swings and market noise.

Position trading if done properly can be one of the most effective methods of extracting long term profits from the forex markets. Position trading maybe the most difficult method of approaching forex trading for the beginners! It requires a great deal of patience and faith in ones own analysis to weather the inevitable swings against the trading position. - 23309

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Forex Trading Robot - Be Aware!

By Maggie Clark

For a hundred dollars there are numerous defectively mechanical Forex trading submissions that guarantee to make you bucks while you do nothing and without making any effort. There are several for sale; yes, traders still buy them even with the glaring fact that if they really worked as assured 95% of dealers would not be losing funds. The fact is that if you believe mechanical software performs better than the top fund manager, you will also lose money.

Essentially Forex trading is an easy system and because they are strong, by having lesser components to break, simple methods outperform difficult methods. In merely some weeks you can put together a simple methods and make income in just 30 minutes per day. Moreover, a few think that regular trading provides more possibility for gain, the opposite is true.

Dealing regularly results in accepting low odds of trades and losing. Besides, several believe that as they're intelligent and hard working traders they will succeed, this may be true in various jobs but not in trading Forex. Flourishing Forex trading needs you to be tolerant and wait for high odds of trades, which will earn you money with less effort.

This is what Forex Expert Advisors, Robots and others want you to consider, that the market is moved by some higher power, but since when did science enter the market? Humans make prices and human nature is anything but predictable with scientific precision. If there were such a research that could foresee the future there wouldn't be a market as we would all identify the future rates.

Know that Forex trading is a likely game, you will make losing trades but if you earn a run of your proceeds and slice your losses, you'll make money in the long run. Trade the objective reality of price changes to prevent your predictions being as precise as a horoscope. - 23309

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Learn Online Trading: Start with Good Penny Stock Listing Options

By Zachary Riff

Stock trading can be easy if you equip yourself with the right information. If you're a beginner in stock trading investment, you can begin by investing your money in online stocks, start by trading in small investments and good penny stock listing options. These are good ways to begin with, as well as gaining experience and creating your own workable trading strategy. For beginners like you, it's best to rely on a good online stock trading firm to help you start up.

The two tools you will need in order to trade successfully is: a good and reliable online stock trading firm and several very reliable and fast stock trading information portals. Begin by surfing for an online brokerage firm that offers free start-up accounts.

There are several online brokerage sites offer courses on online stock trading. These sites also offer services like small stock options, penny stock listing information, as well as stock news and data reports. Sites like these also offer advice and services on how to start buying and selling online, as well. Choose a site that you like and whose registration process and site navigation are easy to understand and maneuver through. Pick one that not only offers the courses on online stock trading, but also has great turnkey applications and solutions.

Getting the right stock information is vital to learning how to become a good online stock trader. The most common kinds of stock information you can get online (through your online stock trading firm) are updates on your stocks, updates on new shares and penny stock listing options, and other stock market information that you can use in your buying and selling.

It's always recommended that you do your own research and browse through stock market news sites that cater specifically to the online stock trading community. Check for through online stock news portals, daily streaming stock quote and data and charts, and penny stock listing reports, and other stock updates.

These online financial and stock market news sites may also offer information about the stock market reports, penny stock listing data, and specific stock options that you may be interested to invest in. Be cautious, though: Don't be taken in by sites that say you don't need to learn about online stock trading. Online stock trading requires knowledge and experience, even for non-professionals who have been doing it for years. Start with small investments and penny stock listing options that are solid and reliable. Don't go for the kind that is highly erratic and unreliable.

Going online is probably the best way you can start practicing with stock trading. These investments are the perfect training grounds for you to develop experience and your own working trading strategy. Eventually, when you move on to trading bigger stock investments, you'll be able to apply what you've learned and find that online stock trading is a sound and reliable way to invest your money.

Remember that the keys to learning about stock trading is starting with small investments and good penny stock listing options, learning how the market works and gaining the tools and valuable experience to be able to buy and sell shares, and lastly (but not the least, by far), getting the vital information that you need to ensure that whatever trading movement that you do, it's always the best move you can make. - 23309

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Forex Strategies Management Of Money

By Chris Green

When looking at forex strategies, a good one to adapt is one called money management. It may sound simple enough, but it isn't. One of the most important strategies in forex is managing your money properly. Knowing the amount of your trading account to keep tied up in a trade is very important. It is never a good idea to put all of your money into one trade, this is a very high risk bad move. You may luck out and make a huge profit, but it won't be long before you find yourself angry with an empty trading account or even worse, debt!

When it comes to money management for forex strategies, it is a good idea to get this mastered. Without proper management of your money, it can make the difference between successful and bad trades. Any given time you shouldn't have any more than half of your trading account tied up into trades. Worse case scenario you will still have some lee way for the trades. Just remember that it is a good idea to keep to as many trades as you are comfortable with and can watch.

Learning a few forex strategies first, or even just starting off with money management is very important for any trader. Getting this mastered is not hard, once you do trading will be at a lowered risk level. Being in over your head, frustrated with too many trades is never a good position. This should not become a habit, once in this situation, it is never easy to recover.

When looking for more forex strategies, you could always talk to people in the same industry, make some online or offline friends that are common traders. Doing this can be a little secret to success, you never know what a long time experienced trader will show you. They could give you some amazing tips that could have taken years to figure out through trial and error. Test out your newly acquired strategy, and see if it works for you. What may work for one trader, may not always work for the other. Stick to the strategies that work for you.

After a short period of time you will find your forex strategies to be a tested and proven success result. After you build up a good handful of strategies, you will find that you want to soar even more. When looking at things to add to your trading that could substantially help, there is something amazing out there. There happens to be a little something you can add instantly that could double your profits! - 23309

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