Tuesday, October 2, 2007

Real Estate Investment 2005 - The Hottest Countries for Investment in 2005

Whether you are a real estate investor looking for a steady and safe investment in a proven market or a real estate speculator willing to gamble on the unknown and undiscovered in the hopes of gaining a significant ROI (return on investment), this article covers the real estate investment hotspots for 2005.

A recent UK government report discovered that there was a 250% increase between 2000 and 2004 in the number of Britons buying property abroad solely for investment purposes, and this trend does not seem to be limited to the UK nor does it seem to be slowing down!

The global stock markets seem to be in decline, there is a worldwide pension crisis looming and we have uncertainty in the Middle East, in the UK the housing market is unaffordable, possibly over inflated and unlikely to bring significant returns for investors late in on the game and so more and more of us are looking further a field for our investment opportunities. This has led us to look around the world for the next big thing - the next real estate boom.

So whats hot for 2005?

The latest EU entrants are proving of continued interest to the property investor as are those countries in line for EU ascension in 2007.

The likes of Malta, Poland, the Czech Republic and Cyprus who joined the EU in 2004 were hot before they joined and have proved solid for investors already in the market and are looking like safe bets for 2005 as well. Growth is set to be steady, the economies of these countries are improving and investor confidence is strong.

Hungary, Slovakia, Bulgaria, Croatia, Turkey and even North Cyprus who are lining up for ascension consideration in 2007 have solid emerging real estate markets which are proving of interest to the property speculator. Clearly the risk involved in investing in countries not already in line with EU fiscal and legal legislation is greater, however, so are potential returns.

The attraction of such markets to property speculators is quite simple these countries are working hard to improve infrastructure, attract inward investment, stabilise their economies and promote tourism, and ultimately they are hoping for EU ascension as this brings with it vast potential for economic advancement. In the meantime these countries often have deflated real estate markets offering incredible property bargains and undiscovered and under exposed tourism potential all of which adds up to potentially significant returns for anyone in on the real estate investment game.

Eastern Europe is opening up thanks to the budget airlines carving swathes of routes into all corners from Ljubljana to Salzburg, from Krakow to Riga and also thanks to overseas property investment clubs. It is now possible to invest in overseas property funds meaning your money can go far further than you ever have to!

Its possible to invest in funds which purchase and manage real estate in Spain, Slovenia, Poland, Bulgaria, Croatia etc., etc. These funds work just like any other general investment fund. The investors money is pooled and the fund managers then purchase a range of investments in this case a range of properties in various locations and manage them.

Anyone looking to invest in such a property fund should expect a minimum investment of around $10,000 - $20,000 with a 1% upfront fee, a 1% management fee and a performance fee. Obviously charges and investment rates vary from fund to fund and returns are not guaranteed.

There is still room for expansion in the popular property hotspots of Spain, France, Italy and Portugal. The markets in these countries are proven, strong and ever popular, and if you head off the beaten track, away from the main tourist destinations and airports you are still likely to find significant real estate investment opportunities.

New flight routes and new areas of interest in these European destinations are attracting more real estate investors month on month and the word in the market is that if you are interested in these countries you should consider the northern parts of Costa Almeria or Costa Calida in Spain for example, the Costa de Prata in Portugal or Languedoc, the Cote dAzur and surprisingly, Paris in France.

Further a field Dubai and Florida are established, proven markets with room for growth, Bahrain and Canada are countries worth considering, as are New Zealand and South Africa. The latter is of particular interest to speculators as it is set to host the world cup in 2010, the Rand is weak, the political situation is stable, it is possible to buy yourself out of crime hotspots and the scenery is diverse, breath taking and stunning and the property market is definitely hot!

If you are considering real estate investment for the first time or are keen to increase your presence in the real estate investment market place, make sure you are comfortable with any investment before you go ahead and sign on the dotted line. Read around and do plenty of research - the internet is a great place to start research the country you are considering investing in, and any investment, real estate or legal company you are considering getting involved with. Seek independent advice and always keep in mind that the value of any investment can go down as well as up.

To your success cheers!

Rhiannon Williamson is an experienced publisher who has produced articles for leading travel and tourism guides and financial magazines. Her specialist knowledge about both travel and finance gives her site Shelter Offshore the unique ability to literally cover every single aspect of moving & living abroad - including the often less discussed offshore tax advantages that can be available when leaving our homeland.

Gold Stock Price Turned Back (Again)

Gold Stock prices have been turned back again from major resistance. The 3rd time in a year! What does it mean? Are we entering another gut wrenching correction or will we reverse higher?

Can I be forgiven for asking if Gold shares will ever break out?

Chart 1- Gold Stock prices bouncing off major support for the 3rd time in a year

So whats really happening here?

Two theories:

1 Gold has been a relative underperformer versus the stock market for the last 6 months. Now that momentum is waning in the stock market, Gold Stocks are slowing down alongside.

2 Gold shares are schizophrenic and dont believe that Gold is going a lot higher and prefer to act like regular penny stock listings.

The establishment banks have been trying for months to sweep the sub prime problem under the carpet. It just wont go away. Fears of credit problems continue to spread. There are no bids out there for CDOs or CLOs. The latter being the instrument of choice for Private Equity capital raising's!

Credit spreads are widening and no matter the spin, this credit problem will continue to grow and chip away at market confidence. And thats when Gold will shine. Gold stocks are by nature counter-cyclical and Gold bullion is the ultimate safe haven. When confidence turns to fear, the HUI will take out 370 and move much higher. But for now the level of confidence is still high. Investors prefer to move to the safety of Bonds or Foreign Currencies. In time they will realize that these financial instruments will also suffer from credit problems. The whole globe is fuelled by debt and that debt is beginning to implode along with the level of confidence.

Visit me at gold stock price and oil stocks please visit me at: http://blog.goldandoilstocks.com

A Bear Reminder

Every day I hear from the experts on CNBC-TV and the radio gurus that the way to buy stocks is find value. One man's Rembrandt is another man's connect-the-dots and fill in the spaces. Valuation is like beauty. It is in the mind of the beholder.

If valuation is the key to buying stocks then there should be some kind of a formula to determine what is undervalued and over-valued to know when to buy and sell. In every industry there are formulas for standards of performance. For cars we want to know the zero to 60 miles per hour in how many seconds. For soap we want it to be 99 and 44/100 percent pure. For alcoholic beverages it could be how long it has been aged. And on and on.

Yet in the stock market we have no hard and fast set of rules by which to judge a company performance. Ah, and theres the rub! No matter how good a company performance might be it may have no bearing on the price performance of the stock. Finding a good company within a sector that is doing poorly is difficult. Yet one company can be making huge profits and sales, but the stock price is going nowhere. There need not be any correlation.

When you are in a bull market almost every stock goes up even the dogs. When you are in a bear market almost every stock goes down even the best ones. We ended an 18 year bull market in 2000 and almost without exception every stock headed for the exit until 2003.

Bull and bear markets follow relatively standard patterns. If an investor owns stocks or especially index funds during the bear periods he will be lucky to have broken even at the end of the cycle. Cash in the mattress will outperform market returns while the bear is in charge. During bear times there will be periods when the market will have a nice advance that can last for many months leading investors to believe the bull has returned. These intermediate rises can ultimately bring many investors back into the market only to lose it when the rally is over and true valuation returns.

During any historical 10-year stock market period there has always been a bear market. Many of them have hurt investors with losses of 40% and more. No one knows when the next bear will come out of his cave to ravage stock investors. There can be many reasons for a sharp or sustained market break that may be apparent, but the market continues to advance. Logic does not give the answer.

Individual investors or their money managers must have an exit strategy. Without a solid plan they will lose again as they did in 2000. Investors must ask their money managers and financial planners what they will do when the next bear appears. If there is no solid strategy a different manager should be found immediately. Without it profits and principal will disappear.

No one knows exactly where the top or bottom of a market move will occur. Have an exit strategy in place at all times.

Al Thomas' best selling book, "If It Doesn't Go Up, Don't Buy It!" has helped thousands of people make money and keep their profitswith his simple 2-step method. Read the first chapter and receive his market letter at http://www.mutualfundmagic.com anddiscover why he's the man that Wall Street does not want you to know. Copyright 2007 All rights reserved

Malaysia: An Oriental Tourist's Haven and an Anthropologer's Delight!

Malaysia History:

Wikipedia, the encyclopedia says: the history of Malaysia is a relatively recent offshoot of the history of the wider Malay-Indonesian world. It is so because anthropologists and historians could see very little aspects culturally and linguistically, to distinguish todays Malaysian territories from the lands of the Malay Archipelago. According to their research, todays division of the Malay world into six different states-- Malaysia, Indonesia, Philippines, Singapore, Brunei and East Timor is largely the result of external influences, like the Hindu India, the Islamic Middle East and Christian Europe (west), China and Japan (north-east). Besides, the most direct shipping route passing through the Strait of Malacca, Malaysia has naturally been a melting pot of trade routes and cultures. Thus, it has been found out that the geographical position of Malaysia has literally made it difficult for the Malay people to resist foreign influence and domination.

If one analyses the history of Malaysia, he can see these successive phases before the final assertion of Malay independence.

The domination of Hindu culture imported from India reached its peak in the great Srivijaya civilisation in Sumatra (from the 7th to the 14th centuries).

The arrival of Islam in the 10th century, leading to the conversion of the Malay-Indonesian world, having a profound influence on the Malay people. The Srivijayan empire broke up into smaller sultanates, the most prominent one being Melaka (Malacca).

The intrusion of the European colonial powers and European domination: (i) Portuguese, (ii) Dutch and (iii) British, who established bases at Penang and Singapore. This triggered off the most revolutionary event in Malay history the Anglo-Dutch treaty of 1824, which drew a frontier between British Malaya and the Netherlands East Indies (now Indonesia). Thus, the division of the Malay world was established permanently.

The British had obvious economic intentions in establishing their empire in the Malay world. In colonizing the Malay world, they had forseen financial profit, banking on the obvious attractions of Malaya, the tin and gold mines. However, soon after, the British planters started exploring the tropical plantation crops including pepper and coffee. On the other hand, there was a mass immigration of Chinese and Indian workers to meet the needs of the colonial economy. To meet the needs of a large and disciplined work-force, plantation workers, mainly Tamil-speakers from South India as well as immigrant workers from southern China were imported to the land. Thus, the Malay society suffered the loss of political sovereignty to the British and of economic sovereignty to the Chinese.

However, after the outbreak of the Sino-Japanese War in the 1930s, Chinese emigration to Malaya stopped significantly, thereby stabilising the demographic situation. In 1957, Malay became an independent nation, with 55% Malay population, and with rich export industries, consisting of rubber, tin, palm oil, and iron ore.

1963 was a significant year for the Malay world, when Malaya became Malaysia with the acquisition of the British territories in North Borneo and Singapore. It was followed by various political onslaughts like confrontation with Indonesia, the race riots of 1969, the establishment of emergency rule and a curtailment of political life and civil liberties forever. However, after the New Economic Policy introduced by the government in 1971, the Malaysian economy improved significantly, with the elimination of rural poverty, and with the identification between race and economic function. The political culture of Malaysia, on the other hand, remains increasingly authoritarian till recent times, with a notable decline of democracy. The question of when and how Malaysia will acquire a multi-party democracy, a free press, an independent judiciary and the restoration of civil and political liberties remain unanswered, despite its economic maturity which has been quite a phenomenon in the Malaysian history.

Malaysia Economy:

With a small and a relatively open economy, Malaysia is a country on the move. Earlier what had been a country dependent on agriculture and primary commodities has today grown to be an export-driven nation, thriving on high technology, knowledge-based and capital-intensive industries.

This drastic structural transformation of Malaysia's economy which has been quite spectacular in these forty years, has been the result of pragmatism and a number of decisive steps taken by the Malaysian government. Largely depending on its wealth of mineral resources, fertile soils, agriculture and manufacturing, the Malaysian economy achieved average annual growth rates of about 7% during the last decade. And it has been possible because the government did not rest on its laurels, but took important steps instrumental to the countrys economic progress, like eradicating poverty with a controversial race-conscious program called New Economic Policy (NEP). First established in 1971, it was designed in particular to enhance the economic standing of ethnic Malays and other indigenous people, collectively known as bumiputras.

The results of such a revolutionary economic policy introduced by the government clearly shown, as the GDP doubled to reach an estimated RM219.4 billion (US$57.7 billion) in 2002. On the other hand, the country has shown tremendous potentials in its exports and imports which have almost quadrupled to reach RM349.6 billion (US$92.0 billion) and RM298.5 billion (US$78.6 billion) respectively. These highly contributed in placing Malaysia among the world's top 20 trading nations, for which today the country even boasts of being an important trading partner for the United States. With a manufacturing sector that now accounts for 30.4% of Malaysia's GDP, Malaysia today is considered one of the world's leading exporters of semiconductor devices, computer hard disk drives, audio and video products, and room air-conditioners.

Rapid industrialization became a boon for the country, after the government opened itself to foreign direct investments (FDI) in the 1960s. Currently, with its market-oriented economy, combined with an educated workforce and a well-developed infrastructure, Malaysia has been regarded as one of the largest recipients of FDI among developing countries. Though the Asian Financial crisis in 1997 saw Foreign direct investment in Malaysia falling at an alarming rate and Ringgit depreciating substantially from MYR 2.50 per USD to much levels lower (up to MYR 4.80 per USD at its bottom), the economy rejuvinated shortly afterwards as the country had a strong growth in exports, particularly that of electronics and electrical products to the Unites States. Today, the country enjoys faster economic recovery compared to the neighbouring South-East Asian countries, though it is true that the level of affluence that was before 1997 financial crisis has yet to be achieved.

Malaysia Culture/Religion:

A multi-ethnic, multi-cultural and multilingual society, housing 65% Malays, 25% Chinese and 7% Indians, Malaysia is also home to the largest indigenous tribe in terms of numbers, the Iban of Sarawak (over 600,000). As an interesting matter-of-fact, the largest community in Malaysia, the malays, are all Muslims since one has to be Muslim to be legally Malay under Malaysian law. However, there are also Christians and Hindus amongst them. Playing a dominant political role, the Muslims amongst the Malays are included in a group identified as bumiputera, speaking the native language Bahasa Melayu. However, despite Bahasa Melayu being the official language, when members of these different communities talk to each other, they generally speak English, recently reinstated as the language of instruction in higher education.

The Iban of Sarawak, interestingly, still live in traditional jungle villages in longhouses along the Rajang and Lupar rivers and their tributaries in Malaysia. Along with them, Malaysia also houses quite a large number of Orang Asli or aboriginal people, who comprise a number of different ethnic communities living in Peninsular Malaysia. Traditionally nomadic hunter-gatherers and agriculturists, many have been sedentarised and partially absorbed into modern Malaysia, though still remaining the poorest group in the country.

Apart from the original nomadic tribes, there are the Chinese comprising of about a quarter of the population and also Indians who account for about 7% of the population. While the Chinese are mostly Buddhists, Taoists or Christian, and speak a variety of Chinese dialects, the Indians are mainly south-indian Hindus, speaking Tamil, Telegu, Malayalam and Hindi. However, english as a first language is used by umpteen middle to upper-middle class Chinese as well as Indians in Malaysia.

The remaining population of Malaysia comprises of a sizeable Sikh community, of Eurasians (of mixed Portuguese and Malay descent as well as mixed Malay and Spanish descent), Cambodians, and Vietnamese. In most cases, the Cambodians and Vietnamese are Buddhists of the Theravada sect and Mahayana sect.

The Chinese forming a sizeable part of the population, Malaysian traditional music is heavily influenced by Chinese forms. Saying that, the Islamic forms also influence the music to a great extent. The music, based largely around the gendang (drum), also includes a number of interesting percussion instruments, and even flutes and trumpets. Infested with a strong tradition of dance and dance dramas, some of Thai, Indian and Portuguese origin, the malaysian culture also incorporates artistic forms like wayang kulit (shadow puppet theatre), silat (a stylised martial art) and crafts like batik, weaving, silver and brasswork.

In terms of religion, Malaysians usually tend to personally respect one another's religious beliefs. However, inter-religious problems arise mainly from the political sphere. Often non-muslims are said to experience restrictions in activities like construction of religious buildings. All Muslims here are obliged to follow the decisions of sharia courts, although when it comes to leaving/renouncing the Islam faith, the court of malaysia is said to have denied one the right (such as the Yeshua Jalilludin versus the Minister of Home Affairs case in the 1980's).

Malaysia Travel/Tourism:

A glorious haven comprising of island life, adventures, city excitement and oriental culture & heritage, Malaysia has been attracting tourists from all nook and corner of the world as an ideal travel destination for over a decade now. With energetic, entertaining dance forms, with a mythical culture that represents fertility, vigilance and dignity, with elaborate traditional festivals like the bamboo dance and the warrior dance, and with a strong sense of community, Malaysia is truly a land of many cultures, wonders and attractions in the heart of Asia.

A land of fascinating extremes, where towering skyscrapers look down upon primitive longhouses, it truly accounts for a memorable eco-holiday. Above all, with some of the best beaches and diving spots in the world, it is ideal for island getaways. It is no wonder then, that with promoting Malaysia as a destination of excellence, the travel/tourism development department of Malaysia has been able to increase the number of foreign tourists and also extend their average length of stay, thereby increasing Malaysia's tourism revenue considerably over the years.

Island Life highlights in Malaysia consist mainly of the Langwaki Island, Kedah, and the Pangkor Laut, Perak. While the local legends, beautiful beaches and natural marvels make the Langwaki Island especially enchanting and unforgettable as a fascinating Island getaway, the Pangkor Laut, Perak, is basically a private island whose market value has increased dramatically after it was voted as the Best Island in the World by the UK-based Conde Naste Traveller Magazine. Aficionados of adventure would just love to explore Mt. Kinabalu, Sabah, Malaysias first World Heritage Site and one of Southeast Asia's highest mountains (4,093 metres). Towering amidst a veil of clouds, while the largest cave chamber in the world at Mulu Caves beckons the tourists with its inexplicable mystery, on the other hand, lush tropical jungles teeming with wildlife for millions of years, like the Taman Negara, Pahang, would be tempting one to experience the exhilaration of endless escapades.

Those looking for city attractions in Malaysia like glamour, shopping, fine dining and more will definitely be able to satisfy their fine tastes and sensibilities. With the ultra-modern Petronas Twin Towers (in the Kuala Lumpur City Centre), the classic Moorish-style old Railway station, the luxurious and extravagant shopping malls and restaurants with succulent Chinese and oriental food fests, one cannot fail to revel in the umpteen alluring attractions of Malaysia.

With all these and much more in store, its no wonder that global tourists continue to return to Malaysia time and again to explore its mixture of cultures and environments for a fantastic, inspiring holiday.

Lopa Bhattacharya (Banerjee) now based in Buffalo, New York, United States, is a content writer/developer working for various overseas corporate website projects, CD-Rom presentations, brochures, flyers and other communication materials). Has worked on numerous SEO copywriting projects on varied themes ranging from travel, hotel industry, photography, web design and software development to US-based clubs and network communities. Was previously an editorial associate for the news, culture and entertainment portal based on the life and times of Kolkata.

Surviving The Commodity Markets, PART 4 - Trading Guidelines For Different Account Sizes

Of all the important skills in trading, survival is number one. For unless we make it through the inevitable bad times, we won't be around to capitalize on the good. I've laid out some trading account guidelines that specify the account size required to conduct various commodity futures and option trading activities. Stick within these guidelines and you will have an edge on most of the commodity trading public.

$10,000 ACCOUNT:

Risk no more than 7.5% maximum a trade ($750)

A $10,000 account is probably the minimum commodity amount to begin trading with. Remember that a bigger account is NOT for buying more futures contracts or commodity options, but being able to easily split it into fifteen to twenty different parts. We want to have enough money to support each new position, for many tries, until we hit the great trades that make up for all the losses, expenses and turn a profit.

Probability allows us to have times when we do everything right and have a good run of winners. But the outcome of INDIVIDUAL trades is impossible to predict. Only by doing things right over the long run will probability favor us over the commodity trader who is reckless and random.

The reckless trader will have times when he does very well. But in the end the odds will take him out and give his money to the ones who maintain control. We dont have to trade perfectly - just better than most.


With a $10,000 account you can now buy a better quality commodity option that has lots of time and is closer to the money. This may not be possible if the cat is out of the bag. This is a market that is already running strong and the option premium is inflated.

You want to purchase commodity options before the crowd starts chasing the futures market. We use our Timeline program for timing as well as commercial option analysis software to signal high probability trades that have undervalued options and room for the premiums to expand. The bottom line is you can risk $500 (5%) or perhaps even $750 (7.5%). But for a $10,000 account, a $1,000 option is high risk and done only if the trade looks exceptional and it permits you to purchase a great option value. In this case you would look to salvage some premium if wrong, rather than let it expire worthless.


A $10,000 commodity account gives you more margin money, thus the ability to hold two to three different positions at one time. Remember that we dont know which "high probability" trade will work out, if any, so this is one place where diversification may help.

Ive seen many times in the past where an account was too small to safely take advantage of four good trade opportunities at once. As sometimes happens, the trades that were picked did not work out, while the ones let go were stellar performers. Remember to risk no more than $750 per trade to stay within the risk parameters of 7.5%.


With a $10,000 commodity account, we are just beginning to get a small amount of flexibility. Very often when the TimeLine or Option Writing program signals an option CALL write, it may later signal a PUT write before the initial call is covered. We will then have two positions. This requires two margins instead of one.

We may even get the opportunity to average in a second lot if the options are far out-of-the-money. And we also have the money to do an adjustment. This is taking a small loss and then immediately selling a new option farther away to possibly recoup the loss and make a profit.

As you can see, the advantage of a larger account is survivability - that is, being able to risk a smaller percentage of the total account. In addition, it permits more flexible strategies that involve multiple option writes and more complex positions. A larger account ($10,000) is NOT for taking on larger quantities of the same position. In other words, don't treat it like two $5,000 accounts.

Part Five of Six Parts- Next!

There is substantial risk of loss trading futures and options and may not be suitable for all types of investors. Only risk capital should be used.

Thomas Cathey - 27-year trading veteran heads the managed futures division of Thomas Capital Management, LLC. View his TimeLine Trading market predictions and get his complete, free 44+ lesson, "Thomas Commodity Trading Course".

Main site: http://www.ThomasCapitalManagement.com

How Do You React When Your Stocks Are Down

When investing and dealing with the market, losses are inevitable on occasion. It may be a bitter pill for many to swallow but for those who are pros to the game it is a pill that should be expected along the way.

Many people point to Warren Buffett as an example of how well the 'buy and hold' method of investing works over the long term. So while it is easy to hear those words and accept them as a reasonable investment strategy, its another thing all together to actually act on when your stock has dropped 20% during a single trading session.

If you have experienced a bear market, you know how difficult it is to stick with your original investment strategy. Should you sell now and protect your capital? Should you wait? Will it bounce? If you sell now will it bounce? Should I sell half now? Your emotions will often try and get the best of you. A good trader will control their emotions, and assess the current situation. What was the reason for the drop? Was there news released? Has the environment in which you are now trading in changed?

The buy and hold strategy requires discipline. Nerves of steel are also helpful. Most investors who risked more than they should will often head for the hills, and often make bad investment decisions along the way. Often, they will sell when they should have held, or held when they should have sold. Gain control of your emotions, and react accordingly.

If you have done your due diligence on your investment before you bought, then you should be able to weather the storm over the long term. As a matter of fact, the drop may provide the perfect opportunity to add to your position. Its important to remember that the buy and hold strategy works best with large cap stocks.

During bear markets, its perfectly normal for normally stable stocks to start to sell off. There are plenty of legitimate reasons, including, those who need to liquidate their positions (to buy a house, pay off some bills, go on vacation etc), to those who are looking to take some profits off the table. If your investment is up 50%, you too may be tempted to take some money off the table and invest it in something else. Since we don't know the motivation of the sellers, its something that we shouldn't spend too much time trying to figure out. Unless there has been news out that changes the direction of the company, its a safe presumption that the share price should continue to move higher.

We've put together 3 fundamental truths that should help you to weather the storm.

First: what you hold in your portfolio is more than a piece of paper; it is a part of a business. You own a share in that business and as a result have a stake in the prosperity of that particular business. You will find that along the way many people simply invest in stocks simply because they are going up and hope to sell before they go down below the price at which they were purchased. These types of investors are more like 'gamblers' than investors because they invest nothing solid into their holdings. What goes up must come down and these types of investors run a very real risk of loosing money on these types of ventures.

In order to be truly successful as in investor you must do two things. First, you must not let emotion rule reason. Business and emotions are never a good combination. This is no different when it comes to investments in the stock market. Second, you must be able to evaluate the business and the potential of that business completely separately from the price of the stock. Remember that even the best company in the world is a lousy investment if you pay too much for the privilege.

Second: If you are trading with the big picture or the long haul in mind then you should look at a bear market and falling prices as a blessing rather than a curse. The only times these should profoundly effect you as a long term investor is when you have an immediate need for access to your money. If you look at it from this point of view, then declining prices only really indicate a good time to purchase more stock at a discounted price (more stock for the same money).

Whether your are trading for the short term or long term, the following tips should help to improve your returns:

If you have made a tidy profit, take it. Many investors get greedy and leave money on the table for much longer than they should, resulting in a lower profit, or sometimes, a loss. You may sell too early, but its better than selling late. Just like you can never predict a bottom, you cannot predict the top. Sometimes its better to be mostly right, than completely wrong. We got into this market to do better than the average stock market. If you get a gain of 35% or more in a short time, take the money and run. If you feel the need to stay in longer, consider selling at least half.

Do not trade with less than 500 - 1000 shares of a security. If your trading capital is thin, you'll lose more money in commission than gain in successful trades.

Always focus on risk than return. This puts a limit on the amount of return you can expect. However this also allows you to sleep at night. This produces a comfort level. Never invest outside of your comfort level. If your portfolio drops 10%, are you still going to be able to sleep at night? No amount of return is worth sleepless night and friction caused by irritability just because you're nervous about losing your shirt (or 10% of it) in a sudden drop. Don't confuse this with a bad investment. A bad investment is a bad investment and should be sold immediately. However, if a 10% correction bothers you, invest in something less risky.

The biggest mistake stock market investor make is to make the current situation fit the one they bought the stock in. I've seen countless swing traders buy a stock based on the movements of the 15 minute charts, only to say well, the daily chart looks good. If the share price of your company is down, you need to reassess what is happening now. Based on the current due diligence, is this just a temporary move down, or is this part of a larger change in the trend of the share price.

There is plenty of money to be made investing in the stock market, however you will make more money if you invest without emotion, and assess the current situation to identify if the party is over, or if you have been presented with an amazing opportunity. Buy and hold does not mean buy now and look at your positions in 10 years. It means investing in solid companies, and assessing along the way. Sometimes, things change, and you have to be willing to accept the change. The successful investor can easily identify if the share price is down for a bad reason, or is down to present them with a perfect opportunity to add more shares.

Become a better investor today and learn more about stock market basics, the Alberta Oil Sands and stock market trading at 1source4stocks.com

Forex Trading Not Only For Banks and Investment Houses

Forex trading online is a booming business and a lot of people make a good living from it. Forex trading is a very interesting business idea, simply because it allows people from all over the world the chance to trade and strike it rich in a market that has enormous liquidity. Forex trading is a serious business and it is vitally important that you gain proper education, before committing your hard earned money to the markets.

Online forex trading are spreading like wildfire as people are looking to generate income. Online currency trading allows you to make transactions any time of the day, at your own convenience. The reason why this market has grown much more than other financial markets, is because of the rise in the number of traders working online rather than using the more old fashioned method of trading by the phone.

Systems for Forex trading are methods that makes it possible to verify entry and exit points, based on parameters, which have been validated by historical examination, on quantifiable data. Whether you are a smalltrader with as little as $200 to start with or a bigger investor wanting to trade multiple contracts, you'll need to have a reliable trading system.

To be able to trade with profit, you must be able to define and choose low risk entry points. A lack of self discipline in following a well thought out trading strategy will lead to losses. Now, with the proper education and big amount of self discipline, this is a striking and profitable Internet investing opportunity. You can trade from your PC or connected laptop from any place in any country in the world.

There is a wide variety of online training available. Therefore You'll be able to get educated from the comfort of your own home. Now, if you're interested in forex trading, you must start off by getting some good forex training. Make sure that your education includes currency simulation training, to help you understand the process and to minimize mistakes when you switch to the real deal.

Forex trading is an extremely lucrative, yet volatile and therefor risky market. It is very appealing to the online trading newcomer as it is a controlled environment, and quite simple to understand. Currency trading is no longer the private playground of the banks and investment houses. Forex trading is one of todays hottest business opportunities.

http://www.small-biz-ideas.net Provides you with a broad range of small business ideas. Learn more about Forex trading!

Day Trading For A Living

Every person that is considering trading in the stock market considers day trading. It is inherent to the game of investing to want to play with the Big Boys by day trading. It can be an expensive game to learn, and for some people, it will forever be a losing game.

Part of the problem with day trading, is getting information soon enough to make a decision. Another problem, is trying to scalp small percentage points like you see the analysts on TV doing. If you have a big enough bank account, and have access to really fast equipment, you might be able to pull this one off. My recommendation, leave it for the big boys who pay the big bucks to have a seat on the board of trade, as a small investor, you are never going to beat them at their game.

However, the biggest single problem facing a novice day trader is simply pulling the trigger. Most novice traders suffer from paralysis of analysis, they are trying to find the perfect time to get in or get out. There is no perfect time, you just have to make the best you can with what you got.

One of the saddest things that can happen, is for a trader to know deep in his heart that a trade has gone bad, but doesnt want to take the loss. He will sit there, holding a losing trade, knowing he should sell, but he just cant force himself to take the loss. Until he sells, it is just a paper loss, not a real loss, and the trade may turn around. When he sells, it becomes a permanent, real loss. However, while he is hesitating, his position is losing ground and when trading options, they can end up completely worthless.

This is where having a good mechanical trading system will come in handy; it helps to eliminate the emotion from trading. A good mechanical system will have a set point to enter the trade, and a set point to exit the trade. As long as the trader remembers, and uses, the rules of his system, the odds of winning on a trade greatly increase. More importantly, the odds of having a devastating loss are greatly decreased.

To find what trading system works best for you, use paper trading until you completely understand what the rules are, where you should enter the trade, where you should exit the trade. Learn where to place the trailing stops to minimize loses. Dont be afraid that the time spent paper trading is time lost in the market. One thing you can be assured of, there will always be another trade coming along.

John Marston is a self taught trader who has traded online for over 15 years from his home in California. You can go to his website at http://www.Trade-The-Stockmarket.com which has a wealth of information about various trading strategies. You can also read his Blog which describes some of his personal trading strategies.

Picking An Internet Stock Broker

Believe it or not, a very important step in increasing your financial success is by choosing an appropriate internet stock broker.

You may be asking yourself, "Well Gerbec, what makes an internet stock broker appropriate?" Three things: cost to trade, in depth analysis of your portfolio, and in depth analysis of the stock market in general. Allow me to hit on each one of these individually now.

The first, the cost to trade a stock. I'm sure most of you have been searching the web and have come across ads where the brokerage company states, "Only $4 a trade!". I'm sorry, but, unfortunately this is not as straight up as it originally appears. Sure, you can pay only $4 a trade, but, you can only trade for $4 if you commit to a trading schedule. What does that mean? For instance, allow me to use the stock brokerage company I used to trade through: Sharebuilders.

Now, don't get me wrong, Sharebuilders is not a bad internet stock brokerage company. The company is great for beginner's because it has a glossary of terms and a few e-documents that explain things like options and puts. They also appeal to beginners because of their advertisement which states you can trade for only $4. You can trade for only $4, but, you have to commit to a trading schedule. Also, you only can get that deal if you commit to buying X dollars of such and such a stock every single week of the month. Basically, you will be paying $16 a month, instead of the $15.95 that it usually cost to trade on sharebuilders.

So, my first advertise is, shop around, call the 800 number, and ask what it really cost to place a live trade. I would much rather save my money for a month, and buy all the stocks at one time with an additional fee of $15.95, then have a computer buy it for me automatically every single week for $4.

Second, in depth analysis of your portfolio. What exactly does this mean? Well, your portfolio is the name we give to every single stock, mutual fund, ETF, money market fund, bond fund, bond, etc. that you own. Depending on each investor's own goals they should invest accordingly. For instance, say I have $25,000 that I'm investing for my child for when he goes to college. I don't need to touch this money for about 18 years and I also want to increase this money greatly because the cost of attending a university for four years by then will be close to $300,000. Therefore, I would invest my money in large company's hoping for long term, aggressive growth. On the other hand, if I needed the money in a a year or two, it would be much wiser just to open a CD account and also put money in a general money market fund. Believe it or not, there are internet brokerage accounts that will analyze your portfolio according to your goals and how long until you need your money.

Third, in depth analysis of the market. Now, they may or may not give you individual analysis of stocks, but, you don't need that. That's what I'm for! But, some company's make you pay for in depth reports in sectors. these reports range from $10.00-$400.00! Make sure to look for a company that does give out these reports for FREE!

Now, if you stock around for this long, you're in for a treat. I'm going to give you my choice for, hands down, the best stock investment firm in the nation. Ask any financial adviser and they would certainly agree. Charles Schwab.

Charles Schwab allows you to trade for only $15.00. Now, this may not be the cheapest deal out there, but, believe me, its worth it! Why? Well, because they are the ONLY website I have seen that will analyze your stock portfolio, tell you how your portfolio looks against what it should look like with your goals. Make 5 star recommendations on how to fix your portfolio. They offer those reports I talked about for FREE (also the only website I've seen that offers that). And, the best part, no minimum deposit. No annual fees. And a general cash fund that receives 5.25% APY.

Charles Schwab has received A+'s all around and is my internet stock brokering site.

Feel free to comment this blog or write in with suggestions for future topics.

This article belongs to and is owned by Jayson Gerbec. Feel free to place it else where, but, be sure to give myself, Jayson Gerbec, credit for the article and include a link to my website, http://www.freewebs.com/gerbeconwallstreet