If you are stock day trading out of addiction, you are unintentionally flushing your money down the toilet. You might not realize it, rationalizing your “investment” options as you watch your wealth dwindle with each trade.
Regardless of your investment style, you must rein in emotion if you expect long-term profitability in investments.
In this article, I’m going to share with you the similarities between typical addictions and stock market addictions. Recognizing these characteristics is your first step to conquering the addiction, and will result in greater profitability, addiction or not.
Active trading has a higher degree of perceived control than passive trading, and this can be dangerous. It’s one of the arguments traders make against using mutual funds. The argument is that by active trading, one can nimbly trade around market circumstances that funds cannot. Forget that the fund manager is more qualified than the trader 99 times out of 100.
This is similar to gambling where a gambler has control over each individual wager, rather than ownership in the casino.
Active trading is exciting. With great risk comes the potential for great reward, and this reward is usually met with the release of the chemical dopamine in the trader’s brain. The presence of
What are Exchange Traded Funds?
Exchange Trade Funds (ETFs) are cousins of mutual funds. They correspond to baskets of stock that are bought and sold like stocks. Generally, there is a one day delay after a sell order is placed on a mutual fund; ETF sell orders are executed immediately during hours. During a market crash this difference could be significant. There are other advantages. Except for brokerage fees for trading ETFs, there are none of the maintenance fees associated with mutual funds. Also, there are no loads [penalties] associated with opening a mutual fund account.
What is a Leveraged ETF?
Over the past few years, a new class of ETFs has emerged – leveraged ETFs. To help you to understand leverage, let’s use an example: Let’s say we have two equities, ABC and XYZ. For every change in the price of ABC, the price of XYZ changes double the percent move in the price of ABC. If ABC were to change 5% then XYZ would change 10%. Notice this does not imply if ABC were to change by one dollar that XYZ would change by two dollars. It’s the percent change that matters, not the dollar amount.
In the past, it was common
After spending a significant amount of time and resources on developing an ASP.net site, using an international hosting company, instead of hosting it locally on your own server, is just like owning a Ferrari, but using kerosene oil to run it. In this article, we will analyze various hosting options available and find out that why hosting your own local in-house server is a better idea than outsourcing your hosting needs to other companies. We will consider uptime priority, security, customization and flexibility and cost parameters to compare these two hosting options.
First and the most important thing is priority for the uptime of your website or web application. As there are thousands of websites that are hosted by the international hosting and for them your site is just one among many. So despite promising a 99.9% uptime guarantee and 24 X 7 supports it simply isn’t practically possible for them to always resolve your issues on priority basis. While when it comes to your local in-house server, it’s always on the top priority, and everything is always in your control. For those of you have some experience of managing servers, they will understand that no matter how diligently you
If you are an FX trader, then keeping in front of economic announcements and events is important.
The problem is two-fold, how does one get access to the same info that the professionals have accessibility to and how do you sieve through all of the information that’s ceaselessly being released to get specific forex news?
There isn’t any lack of info providers and platforms out there….in fact, the choice can be quite discouraging.
The problem with almost all these services is that the standard news feeds contain information across the whole range of financial markets. As an example, you’ll get company trading updates and announcements, updates about stockmarkets around the globe instance .
This implies that you’ve got to spend your time fixed to your personal computer screen, trying to sieve through all of these headlines for nuggets that have relevancy to the forex markets.
Some platform service suppliers will let you filter the news by topic. This is obviously a help but still means you’ve got to remain fixed to your screens, watching.
OK, so many of us have a reporting service like CNBC on, or even Bloomberg. The difficulty now is one of repeated distraction and interference. It’s extremely simple to get distracted by
What is the real difference between Ranging and Trending markets?
In general, there are two basic types of market conditions. A Ranging Market or a Trending Market, as defined by the type of price movements currently taking place.
It is of the utmost importance to have a firm grasp on the basic differences of each market, especially when using automated trading software such as a forex robot or expert advisor (EA). Being able to determine whether you are in a ranging or a trending market may literally be the difference between your success or failure in trading.
Typically, a trading strategy is designed to work within one type of market condition. The opposite market will provide false signals, as such, it is very important to tell when market conditions have changed so that trading strategies may be changed as well. It is important to note, some of the best expert advisors can detect and adjust to changing market conditions automatically. That is something you should look for when comparing forex robots.
A Ranging market is simply when the price is moving up and down, staying between support and resistance levels. How much the price can move within a range can vary
Tobacco is being used for centuries across the world. Tobacco plan has been in cultivation since the 17th century in America and it is used widely in various forms for different purposes. However, the smoking tobacco is the roll of leaves in fine paper and this is done mostly by hand.
Knowing the history, cigarettes were first rolled by a man, Washington Duke from North Carolina in 1865 and were sold by him for good profit to others. This is how cigarettes began to get its origin and shape.
Emergence of Cigarette Company:
Later in 1883, a machine was invented by James Bonsack to roll cigarettes. Using the machine thousands of cigarettes was produced in just one day and the company was later developed as American Tobacco Company. This was the first company to produce tobacco product, cigarettes in large scale.
This mechanized cigarette production increased smoking among people and made cigarettes accessible to a huge number of people and tempted them to smoke. At the same time, the premade cigarettes were also made available for those who wanted to roll cigarettes and tobacco on their own. This type of product was also made available in packs of various quantities.
Emergence of Packaged Cigarettes:
Jesse Livermore is known to several as the ultimate speculator Wall Street has ever heard about, rivaling perhaps even Gann. Livermore is said to have engaged in all the most significant stock and commodities moves from 1910 to 1940. He needed to be doing something right to only have survived financially for three decades.
Livermore should be an excellent model for today’s computer futures trader. In the Livermore era there was no tv, no computers, and no online world. Even if were able to afford to pay a staff to chart stocks and commodities you would not have had 24×7 immediate access to financial data to keep those stock charts up to the minute. Any successful stock trading system that could withstand the test of time had to use easily accessible data, be easy to understand, and be simple to apply. Modern technical analysis tools like stochastics and the elliott wave oscillator were not possible.
His strategy was based on a trend following system. Livermore only took positions in the direction of the major trend. He opened up his position with a minor stake and added onto it as the trend persisted in its expected direction. Jesse Livermore asserted “Just recognize that