Archive for November, 2007
« Previous EntriesThe Power of Internal Dialogue
Friday, November 30th, 2007 by Robin Dayne
Trading Dilemma: “Bad internal dialogue and questions can disempower a trader”
When a trader is having a bad trading day all to often their internal dialogue, questions and language are also bad. This leads to trading with uncertainty, insecurity, fear, unhappiness, and other disempowering emotions. Also the result can be a continued pattern [...]
Basics of the Stock Market
Friday, November 30th, 2007by John Goldfinger
Financial markets provide their participants with the most favorable conditions for purchase/sale of financial instruments they have inside. Their major functions are: guaranteeing liquidity, forming assets prices within establishing proposition and demand and decreasing of operational expenses, incurred by the participants of the market.
Financial market comprises variety of instruments, hence its functioning [...]
Buying Options: Reading Options Prices
Friday, November 30th, 2007 by Rick Thachuk
Beginning traders are often urged to limit their initial trading activity to the purchase of options, buying a call option if prices are expected to rise and buying a put option if prices are expected to fall. Options have the primary advantage of limiting downside risk: for any option that is [...]
Buying Options: Picking the Strike Price
Friday, November 30th, 2007 by Rick Thachuk
In this article, I’ll discuss an issue that confuses many beginning option traders, namely, how to pick the right strike price of an option.
For any call or put option of a specific contract month, a list of options is available each having a different strike price. Consider, for example, call options [...]
High Probability Trading
Friday, November 30th, 2007by Neal Hughes – FibMaster
Even traders with limited experience start to realize that we are not trying to capture every market move. We want to improve our odds and reduce our frustration by filtering, for high-probability trades.
The combination of trend and Fibonacci techniques can provide powerful signals for higher probability trading. We already know [...]
Option Trading – Thinking “Outside the Box”
Thursday, November 29th, 2007by David Rivera
Wouldn’t it be great if we could buy an option with five months left until expiration and sell an option with 2 months left until expiration for the same price? You couldn’t lose. Well we can’t. I love options spreads so much I realized something very important. We can buy a spread that [...]
Understanding The Real Rate of Return!
Thursday, November 29th, 2007by Harald Andersen
There is one indicator more than any other which determines the health of an economy and it is the Real Rate of Return. Furthermore this is the simplest of all indicators to understand because it determines the safety of assets. Next time you hear the TALKING HEADS discussing the nuances of the markets, [...]
Trading for a Living-Part 2
Thursday, November 29th, 2007By Geoff Turnbull
In part 1 of this article I started to look at the financial implications of giving up the day job to instead start trading full time for a living. There are more than just monetary considerations as we will see later, but for now, there are some more costs to ponder.
More Costs!
Let’s [...]