Know Your Investments Like the Back of Your Hand

By Rick Amorey

Investing your money can be hard, but it's also very easy. It all varies depending on how you plan to approach the business. And to me, the best way to approach it is to be free of making decisions based on one's ego. You see, sometimes our desire to be the perfect investor makes us over-think decisions before we make them.

One fundamental truth that applies to the world of investing: Everyone thinks differently from each other. No two people will think the same strategy with investing in stocks. So, as an individual, you'll need to know your strengths and weaknesses. Try to improve on the areas wherein you need the most improvement, but use your strong points to invest.

Basically, choose your playing field with care. If you are in a game show with multiple categories, for example, you will most likely pick categories you have knowledge in. If you're a Star Wars fan, you'll most likely pick the Star Wars category. The same goes for stocks, go for what you know.

If you find that you're trying to convince yourself to go buy a particular stock, in contrast, then it's probably not worth investing in at all. It's not a good idea to pretend to be smart by making all sorts of elaborate schemes that will result in those stocks becoming big gainers. If you don't know about that stock niche, then you don't know how it'll grow.

You may also find yourself in a situation where the opposite has occurred; you did something right, but got scared and then talked yourself out of it. How many stories have you heard about people selling too soon, missing out on a 100% gain? How about people who've sold because of a sudden drop, only to see those same stocks soar after? If you think you know the niche of your stock well, don't be discouraged that easily.

All in all, the advice I'm giving out is centered on one principle; do not over-think your investment. Sure, you should avoid making stupid decisions. But don't be a smarty-pants by looking at every possible problem that your investment will get. - 23210

About the Author:

The trading business carries no guarantee that you'll profit, and don't let anyone tell you otherwise. Rick Amorey instead suggests the comprehensive program of Emini Trading. Build up your portfolio with the help of Emini Trading System, and secure your future at a consistent pace.

Stock Market Falls- Stop The Loss

By forexStop

When it comes to trading one of the crucial areas that you must learn, and is pivotal in helping to protect your capital and to make you a successful trader is Stop Losses. A stop loss is an order to buy (or sell) a security/contract if the price of the security is to go above (or dropped below) a specific set price or stop price. If this specific stop price is achieved, the stop order is then activated as a market order (no limit) or a limit order (fixed or pre-determined price).

A very important key point to using a stop order is that you don't have to actively monitor how a stock is performing. This can allow you to do other things instead of being forced to monitor the trade. However because the order is triggered automatically when the stop price is reached, the stop price could be activated by a short-term fluctuation in a security's price, caused through lack of liquidity or other. Once the stop price is reached, the stop order becomes a market order or a limit order and you will be exited from this trade.

Especially when trading in a fast-moving volatile market, the price at which the trade is executed may be significantly different from the stop price in the case of a market order. Alternatively in the case of a limit order the trade may or may not get executed at all. This happens when there are no buyers or sellers available at the limit price.

TYPES OF STOP ORDERS:

Stop Loss Limit Order

The stop loss limit order is an order to buy a security at at no more or less than you set the specific prize at. This allows you the trader some control over the price at which the trade is going to be executed at, but this may prevent the order from being executed at. A stop loss limit order can only be executed by the exchange at the limit price or lower than you have set it at.

Meaning that if the stock was to open up in the morning and 'gap down' below the prize that you set the Stop Loss Limit Order would be triggered and then enter or exit you from that particular trade that you set the price on.

What are the key advantages and disadvantages of the stop loss limit order?

ADVANTAGES of a stop loss limit order is that the trader has full control over the price at which the order is executed at, as you set the order.

DISADVANTAGES of using the stop loss limit order is that in a fast moving volatile market your stop loss order may not get executed if there are no buyers/sellers at the limit price due to rare circumstances or when a stock or trade can be illiquid.

Stop Loss Market Order

The stop loss market order is when you place an order to buy (or sell) a security or contract once the price of the security climbed above (or dropped below) a specified stop price. When the set stop price is reached, the stop order is entered as a market order (no limit). In simple terms when a stop loss market order is a order to buy or sell a security at the current market price prevailing at the time the stop order is going to trigger the order. This particular type of stop loss order gives the trader no control over the price at which the trade will be executed.

This is an order to sell at the best available price after the price goes below the stop price. A sell stop price is always below the current market price. If for example you buy a stock at $1 and the set the stop at $0.90 and the price was to trade next at $0.88 then you be exited from this trade at the $0.88 A major advantage of this is that you can limit the particular loss of the trade. The main disadvantage of the stop loss market is that the trader has no control over the price at which the transaction is executed at if it is below the set price they put.

The use of stop loss orders is a great insurance policy that cost you nothing and can save you a fortune. Unless you plan to hold a stock forever, you should always use stop losses.

For more education lessons please feel free to visit the CFD FX REPORTthey specialize in helping to educate traders, they can also assist you in finding the best online broker.

Happy Trading - 23210

About the Author:

The CFD FX REPORT is a real time trading tool that offers clients free trading reports, with trading ideas, stock market and forex market education as well helping them with. Also if you are looking for a Forex Broker, then feel free to visit our broker section as we recently reviewed all the forex brokers and have found the best on the market

Auto Forex Trading " Is It Just A Scam?

By Mike Chartman

First things first lets start by defining the term forex trading so you can have a clear view on what we will be talking about later. The foreign exchange market is whereby money trading takes place. It is where banks and other financial institutions allow transaction of foreign currency

How is forex trading done? Here one party purchases a certain amount of currency in exchange of another quantity. Exchange of currencies has been taking place since the 1960s. Each country or bank offers its own rates on trading forex. Forex is a liquid market and therefore it changes in value and amount. Different countries trade with each other through governments, banks and other financial institutions.

Turnovers recorded are gradually growing. Making use of auto forex is one of the largest, contributors to the economic growth and development. The values of auto forex are in that the forex market allows room for trade and investments. US Dollar, Sterling Pound, Deutschmark, Euro and Yen are some of the international currencies used for trade.

Auto forex trading is also known as auto execution. One can make the best profits out of selling currency. Customers have been offered auto forex trading automatically so that they can. To trade with the auto forex an individual has to first identify with the forex brokers and know which ones offer the service automatically

API is a techno-speak acronym used to allow users control their transactions and processes while trading. Auto trading is done online and works with only with software that has a forex specification. There are different types of software that can be used in forex trading. Examples of these software are Fabre Factor which a bit on the expensive side, or the Trade Bullet, which is a bit cheaper compared to the former. - 23210

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Before you carry on or begin forex trading make sure you checkout forex trading help zone as we're giving away a free book on forex trading to the first lucky 500 subscribers. Get your free copy before it expires!.

30 CFD Rules to Make you a Successful Trader

By CFDRULES

So you have been thinking about starting to trade Contracts For Difference (CFD) trading, well before you get started you need some rules and guidelines to help you become a successful trader. The other question you need to ask yourself is do you really want this? What are the reasons that you have decided to trade CFD's? If you write this down and continually look at these reasons, you will increase your chances of becoming a successful trader.

At the CFD FX REPORT we are big believers in these principles and we make sure that we are continually developing our members on getting better traders. If you are looking for a great Best CFD Brokerthat can help you implement these rules then please feel free to contact us

The 30 Rules to Follow to CFD Trading Success:

1. You should never over-trade- Don't trade for trades sake, you will lose otherwise 2. Make sure that you never risk more than 10% of your trading capital in a single trade, protecting your capital is very important. There will be more trade opportunities 3. Ensure that you never trade without careful stops and use trailing stops 4. Don't cancel a stop-loss after setting the trade- other than get out 5. Never average down on a suffering trade 6. When you get into a profit never let it run into a loss. 7. Never buy or sell just because the price is low or high, as what is high and low 8. Never try to think tops or bottoms- otherwise go to the casino and pick black or red 9. You should never limit a profiting trade, instead move your stops to guarantee a profit- ideal trading is as soon as you get into a good profit at aleast ensure a break even 10. You should never close a position toget out of the marketplace because you have lost patience or get in because you are anxious from waiting. 11. Please never hedge a losing position. 12. Never change your position or close a trade without a great reason. 13. Never follow a blind man's advice, everyone has trading certainties. Use systematically approach 14. Make sure that you never enter a trade if you are unsure of the trend. Never buck a trend. Remember the rule TREND IS YOUR FRIEND 15. Try to avoid scalping for little profits and taking large losses if you scalp you need tight stops 16. Avoid trading after long periods of failure- take a break, re look at your goals. 17. If you have a great run don't keep raising your trade size, otherwise you will blow yourself up. Remember great runs will come to an end, and sometimes great runs turn into bad runs. 18. Avoid getting in misguided or getting in right and out wrong, making a big mistake. 19. Always identify firm support/resistance levels. 20. Always lock in a profit at predetermined increments on profiting trades. 21. EVERY trade must have stop losses 22. Always distribute your risk equally among different markets. 23. Don't be a one trick pony, make money from both sides of the marketplace 24. Always reduce trading after the first loss; never increase, it is ideal if you use equal trade sizes, do not double up and try and get your money back. 25. Always cut your losses short and let your profits run- remember learning to take a loss is the first step to trading success. 26. When in doubt, get out. Do not get in when in doubt- back yourself if it doesn't feel right don't do it. Follow your gut sometimes as most of the time it is right. 27. Only trade active markets- illiquid markets will leave you thirsty- remember small markets are easy to get in, but remember you always have to get out. This is why CFD trading is so popular. 28. Only pyramid trades that have a firm trend and should be accomplished once the price has crossed support/resistance. 29. Profits from a successful trade should be saved for future trade security deposits or put somewhere else, spread the risk. 30. Make sure you follow your rules

Extra Trading Tools:

If you are short term and trade goes bad, cut it, don't become a long term trader, other than you buying and hoping, not even buying and holding. Have a trading strategy before entering the market. Know before the trade is executed where you will take profits/loss.

Understand why a win/loss occurred and how you could of made the trade better. Consistency is the key to trading success, without it you have nothing. Your assessment is the only care, do not let outside factors affect the way you trade. Not everyone can be a trader, deem yourself worthy if given this opportunity. Most importantly have fun and stick to your rules and hopefully by following these rules they will increase your chances to becoming a successful Best CFD Broker

I hope this helps you achieve your goals. Happy Trading - 23210

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The CFD FX REPORT

The First Steps To Understand Forex Trading

By Matt Sewell

FX is done by selling and buying the different currencies. Forex trading is considered as the largest market exchange with $3 trillion trades daily around the globe.

Profits are created in vast when currencies in large volume are traded.but the profit margins in foreign exchange is less compared to other trading markets. In forex, dealing is done with two entities directly. There is no central body in between.this absence of central body makes forex different from others.

Another difference between foreign exchange and the stock markets is prices vs. levels. Stock markets offer traders access to the same prices while foreign exchange traders' access is decided by levels.

Regular banks, central banks, corporations, retail brokers and a handful of independent investors participate in foreign exchange trading because they have the maximum turnover and biggest number of deals at a certain level.in this level FX has large investment banks.

A financial institution can sell euro and purchase Japanese yen , or buy American dollars and sell British pound.trading of currencies take place either by financial institution or a individual trader.

In last three years the FX trading market has expanded crossing by 30% of the global FX turnover accounted for by the city's trading center.Currently London is considered as the biggest market of Forex trading.No commission policy is also a sign of bright light for many investors, as deals are done directly between two traders and they are in daily update wit h ups and downs in the market with The presence of online channels/internet.

London occupies the first position in forex market while New York is the second and Hong Kong and Singapore comes at third and forth position respectively. Detuche Bank, JP Morgan and Barklays are the biggest players in the forex market. Apart from these many other investment farms, hedge funds deals with forex trading.

Due to low cost of trading, high liquidity and currency exposure, forex trading become a very attractive investment option. - 23210

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You can find out more information about unbiased forex reviews, by going to this website about Forex Confidante Review.