Thursday, December 20, 2007

Dont know how to trade? Let Rameshbabu velidi show you

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Golden lesson on trading methods
Million dollar lessons are here


See link
http://www.tradingacademy.com/newsletters.htm

see this articles
10/05/07
Objective Rule Based Trading with Consistent Low Risk/High Reward Results (Sam Seiden)
LINK
http://www.tradingacademy.com/newsletters.htm

JUST AIM AT FINDING SUPPLY AND DEMAND
when more supply comes price drops
when more demand comes price rises

look for proof for supply,then short sell
look for proof for demand then buy

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12/07/07
Expanding on Oscillators, Indicators and Supply and Demand (Sam Seiden)
http://www.tradingacademy.com/lessons/lessons20071207.shtm
11/30/07
The Objective Filter for any Indicator or Oscillator: Supply and Demand (Sam Seiden)
http://www.tradingacademy.com/lessons/lessons20071005.shtm
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09/13/07
A Lesson on Supply and Demand (Sam Seiden)
http://www.tradingacademy.com/lessons/lessons20070913.shtm
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Request
If you visited my blog liked it, then please drop a line to me at
ramesh151@gmail.com

If you wanted something and dont find it let me know to see if i can help
Thanks for visiting my site Read tip and benefit.
=======================================
Tip of today
Dont go on buying when a share starts going down, but dont leave without buying when a stock hits bottom,makes a support and fails to go down.
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If you bought a stock at very high price,dont worry.

Dont sell for loss.Just wait.

once the stock hits a bottom, buy some more.but only after confirming it hit a solid support level. now you bought at high price and low price average out your price,the overall buy price is lower now
repeat this exercise,only if the stock is good one.
finally sell for profit after a 3 month or 6 month time.
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Happy trading!!!

Sunday, December 16, 2007

basics of trading refer website

http://www.financial-spread-betting.com/Market-spread-trading.html

Legal matters help-websites

please refer



http://www.sridharababu.blogspot.com/
Excelent website for doubts on legal matters


http://www.helplinelaw.com/

refer this for rules

sameer website for trading tools

http://engrsameer.weebly.com/web-pages.html

excellent simple website.

but before using,visit onlinetrading academy lessons on basics

lesson-1 Objective Rule Based Trading with Consistent Low Risk/High Reward Results
lesson-2 SUPPLY DEMAND

SEE BOLD ITEMS IN BELOW LIST

http://www.tradingacademy.com/newsletters.htm

Without knowing basics you get lost in trading confusion,no indicators needed
-------------------------
List of lessons


12/14/07
Your Belief System is Your Trading System (Sam Seiden)

12/13/07
A Beautiful Equation (Stan Freifeld)

12/12/07
A Quarter's Not Enough (Gabe Velazquez)

12/11/07
It's Rate Cutting Time (Ed Ponsi)

12/10/07
Black Swans and Endogenous Uncertainty (John Mauldin)

12/07/07
Expanding on Oscillators, Indicators and Supply and Demand (Sam Seiden)
12/06/07
Avoiding Disaster With Portfolio Insurance (Stan Freifeld)

12/05/07
To Ease or Not To Ease? (Gabe Velazquez)

12/04/07
2008 Trade of the Year (Ed Ponsi)

12/03/07
The Financial Fire Trucks Are Gathering (John Mauldin)

11/30/07
The Objective Filter for any Indicator or Oscillator: Supply and Demand (Sam Seiden)

11/29/07
Positions: Opening and Closing (Stan Freifeld)

11/28/07
Moral Hazard and the Topsy -Turvy Market (Gabe Velazquez)

11/27/07
Forex and Existentialism (Ed Ponsi)

11/21/07
Volatility in Vogue (Gabe Velazquez)

11/20/07
The Legion of Doom (Ed Ponsi)

11/19/07
How Do You Spell Stagflation? (John Mauldin)

11/15/07
The Building Blocks: Puts and Calls (Stan Freifeld)

11/13/07
How To Spot a Bubble (Ed Ponsi)

11/12/07
Credit Crisis to Credit Crunch (John Mauldin)

11/09/07
Portfolio Diversification, Truth vs. Myth (Sam Seiden)

11/08/07
If You Haven't Traded Options Before, It's Worth Ano (Stan Freifeld)

11/07/07
Yesterday is History and Tomorrow's a Mystery (Gabe Velazquez)

11/06/07
Everything is Still Connected (Ed Ponsi)

11/05/07
Why the Fed Will Cut Again and Again (John Mauldin)

11/02/07
An Introduction to Foreign Currencies (Sam Seiden)

10/31/07
It's All Relative (Brandon Wendell)

10/30/07
Greetings From Singapore (Ed Ponsi)

10/29/07
As the Subprime Turns (John Mauldin)

10/26/07
"Set It and Forget It" - The Key to Taking Emotion Out of the Game (Sam Seiden)

10/23/07
The Amero, The Bubble, and More (Ed Ponsi)

10/22/07
Taking Out the SIV Garbage (John Mauldin)

10/19/07
Translating Floor Trading Emotion into Screen Based Trading (Sam Seiden)

10/18/07
The Market Looks Good Until It Doesn't (Gabe Velazquez)

10/16/07
Unintentional Comedy (Ed Ponsi)

10/15/07
The GDP Equation (John Mauldin)

10/12/07
Look To Your Left! (Sam Seiden)

10/10/07
The Fed Minutes: Another Excuse to Rally (Gabe Velazquez)

10/09/07
Throw the Ball Away! (Ed Ponsi)

10/08/07
The Slow Motion Recession (John Mauldin)

10/05/07
Objective Rule Based Trading with Consistent Low Risk/High Reward Results (Sam Seiden)
10/03/07
Are Happy Days Here Again? (Gabe Velazquez)

10/02/07
Special Forex Q&A With Ed Ponsi (Ed Ponsi)

10/01/07
The Return of the Muddle Through (John Mauldin)

09/27/07
Sea Change at the Fed (John Mauldin)

09/26/07
Cool as ISSE! (Brandon Wendell)

09/25/07
Part III: The US Dollar and the Thief in the Night (Ed Ponsi)

09/24/07
A Key Factor For Trade Success (Sam Seiden)

09/20/07
The Black Swan (John Mauldin)

09/19/07
Be Careful What You Wish For (Gabe Velazquez)

09/18/07
Part II: The US Dollar and the Thief in the Night (Ed Ponsi)

09/17/07
Success in the 30-Year Bond (Sam Seiden)

09/13/07
A Lesson on Supply and Demand (Sam Seiden)
09/12/07
The Waiting Game (Gabe Velazquez)

09/11/07
The US Dollar and the Thief in the Night (Ed Ponsi)

09/10/07
Should the Federal Reserve Cut Interest Rates? (John Mauldin)

09/06/07
Has the Last Shoe Finally Dropped? (Gabe Velazquez)

09/05/07
Ear To the Ground (Ed Ponsi)

09/04/07
What Happens When You Stick To the Rules (Sam Seiden)

09/03/07
Hope Is Not a Strategy (John Mauldin)

08/30/07
Important Rules to Follow (Sam Seiden)

08/28/07
Bouncing Right Along (Ed Ponsi)

08/27/07
Back to Basics: Limit Orders (Mike Mc Mahon)

08/23/07
The Panic of 2007 (John Mauldin)

08/22/07
Don't Stop Me Now! (Brandon Wendell)

08/21/07
Shelter From the Storm (Ed Ponsi)

08/20/07
A Lesson in Options (Sam Seiden)
08/16/07
The Fugu Ultimatum (John Mauldin)

08/15/07
Signs of Strength (Brandon Wendell)

08/14/07
Everything is Connected (Ed Ponsi)

08/13/07
Take Advantage of the Equity Market Volatility! (Sam Seiden)

08/09/07
The Mortgage Pig in the Python (John Mauldin)

08/08/07
Managing Your Mind's Energy Pie Chart (Mike Mc Mahon)

08/07/07
More Forex Q&A With Ed Ponsi (Ed Ponsi)

08/06/07
What is Going on in the Futures Market? (Sam Seiden)

08/02/07
The Subprime Virus (John Mauldin)

08/01/07
The Goldilocks Economy Meets the Big Bad Bear (Gabe Velazquez)

07/31/07
Chaos, Confusion and Opportunity (Ed Ponsi)

07/30/07
New Newsletter for Swing Traders (Sam Seiden)

07/26/07
Dealing With Stress for Trading Success (Mike Mc Mahon)

07/24/07
Stocks Rallying on Weak Dollar (Ed Ponsi)

07/23/07
Fun in the Subprime Summer (John Mauldin)

07/18/07
Runaway Bull Market or Irrational Exuberance? (Gabe Velazquez)

07/17/07
Forex Q&A With Ed Ponsi (Ed Ponsi)

07/16/07
The Birth/Death Ratio (John Mauldin)

07/11/07
Subprime: The Gift That Keeps On Giving (Gabe Velazquez)

07/10/07
Is the Forex Market Regulated? (Ed Ponsi)

07/09/07
Where is the Real Risk in the Subprime Debacle? (John Mauldin)

07/05/07
Range-Bound Redux (Gabe Velazquez)

07/03/07
'We Practice Like We Play' (Ed Ponsi)

07/02/07
$250 Billion in Subprime Losses? (John Mauldin)

06/26/07
The Forex Mailman Cometh (Ed Ponsi)

06/25/07
Blame It On Stability (John Mauldin)

06/19/07
Don't Stop Believin' (Ed Ponsi)

06/18/07
Be Careful What You Wish For (John Mauldin)

06/14/07
Always a Student (Fernando Gonzalez)

06/12/07
The Hawks are Circling (Ed Ponsi)

06/06/07
The Teflon Market (Gabe Velazquez)

06/05/07
Forex Questions and Answers (Ed Ponsi)

06/04/07
A Little Discretionary Spending, Please (John Mauldin)

05/31/07
Mergers, Acquisitions and Global Liquidity (Gabe Velazquez)

05/30/07
The US Mortgage Market - Overexposed and Overrated (John Mauldin)

05/29/07
Let's Get the Party Started (Ed Ponsi)

05/24/07
Compounding Risk and Damage Control (Fernando Gonzalez)

05/22/07
Blast From the Past (Ed Ponsi)

05/21/07
Are We There Yet? (John Mauldin)

05/17/07
Execution Strategy and First Class Seats (Fernando Gonzalez)

05/16/07
A Tale of Two Markets (Gabe Velazquez)

05/15/07
Never Argue With a Loonie (Ed Ponsi)

05/14/07
A Most Disruptive Technology (John Mauldin)

05/09/07
The Bull Shows Early Signs of Fatigue (Gabe Velazquez)

05/08/07
A Global Tide Lifts All Boats (Peter Navarro)

05/08/07
The Song Remains the Same (Ed Ponsi)

05/07/07
Stuck in the Middle With You (John Mauldin)

05/02/07
The Search for a Market Top Continues (Gabe Velazquez)

05/01/07
More Forex Q&A With Ed Ponsi (Ed Ponsi)

04/30/07
The Last Bear Standing (John Mauldin)

04/24/07
Bad Bull (Peter Navarro and Andrew Vaino)

04/24/07
Sound as a Pound (Ed Ponsi)

04/23/07
What? Me Worry? (John Mauldin)

04/19/07
The Glass Half Full (Gabe Velazquez)

04/18/07
Gold Watch (Fernando Gonzalez)

04/17/07
The Clubber Lang Index (Ed Ponsi)

04/16/07
What Does a Dollar of Debt Get You? (John Mauldin)

04/11/07
Where Did All That Volatility Go? (Gabe Velazquez)

04/10/07
Forex Mailbag with Ed Ponsi (Ed Ponsi)

04/04/07
Why You Need to Understand Forex (Ed Ponsi)

04/03/07
Growing Undulation (Fernando Gonzalez)

04/02/07
Draw the Curve, Then Plot the Data (John Mauldin)

03/29/07
The Rules of the Road (Gabe Velazquez)

03/27/07
Thunder From Down Under (Ed Ponsi)

03/26/07
All Subprime, All the Time (John Mauldin)

03/22/07
The Fibs Tell Few Lies (Gabe Velazquez)

03/21/07
Forex and the Subprime Meltdown (Ed Ponsi)

03/20/07
Risk Management Notes (Fernando Gonzalez)

03/19/07
The Fingers of Housing Instability (John Mauldin)

03/14/07
Zero to Sixty in Four Seconds Flat (Gabe Velazquez)

03/13/07
Demise of the Carry Trade? (Ed Ponsi)

03/12/07
China and the Hedge Fund Dragon (John Mauldin)

03/08/07
Forex Contagion and the Lessons From Feb. 27th (Abe Cofnas)

03/07/07
Portfolios, Dimmers and the Ultimate Arbiter (Fernando Gonzalez)

03/06/07
China Wags the Wall Street Dog (Peter Navarro & Andrew Vaino)

03/06/07
Forex Q & A With Ed Ponsi (Ed Ponsi)

03/05/07
The End of Complacency? (John Mauldin)

02/28/07
The 51.9% Probability of a Recession (John Mauldin)

02/27/07
A BaldyLocks Economy (Peter Navarro and Andrew Vaino)

02/27/07
The Forex Answer Man (Ed Ponsi)

02/26/07
ETF Recon III (Fernando Gonzalez)

02/22/07
Crawling Up the Wall of Worry (Gabe Velazquez)

02/20/07
Congressional Counterattack (Peter Navarro and Matt Vaino)

02/20/07
The Rest of the Story (Ed Ponsi)

02/19/07
Gold, Housing and the Yield Curve (John Mauldin)

02/15/07
Is This Just Another Buying Opportunity? (Gabe Velazquez)

02/14/07
No Need For Yen Bears to Hibernate (Ed Ponsi)

02/13/07
ETF Recon II (Fernando Gonzalez)

02/12/07
Out of Africa (John Mauldin)

02/07/07
The Calm Before Storm (Ed Ponsi)

02/06/07
Raging Bull (John Mauldin)

02/06/07
China Rising (Peter Navarro and Andrew Vaino)

02/05/07
ETF Recon I (Fernando Gonzalez)

01/31/07
The New Definition of Rich (John Mauldin)

01/30/07
The Bush Oil Rally (Ed Ponsi)

01/30/07
Mixed Messages (Peter Navarro and Andrew Vaino)

01/29/07
Gold Update (Fernando Gonzalez)

01/23/07
Downer (Peter Navarro and Andrew Vaino)

01/23/07
The Rally Continues (Ed Ponsi)

01/22/07
Capital Keeps Falling on My Head (John Mauldin)

01/16/07
Britain Shocks the World (Ed Ponsi)

01/16/07
Virtuous Cycle (Peter Navarro and Andrew Vaino)

01/15/07
Should Oil Be $40 or $70? (John Mauldin)

01/09/07
Revenge of the Nerds (Ed Ponsi)

01/08/07
Forecast 2007: The Goldilocks Recession (John Mauldin)

01/05/07
2006 Year End Review & 2007 Outlook (Fernando Gonzalez)

01/03/07
Our Man in Shanghai (Ed Ponsi)

01/02/07
Real Estate and the Post-Crash Economy (John Mauldin)



2006
12/28/06
An Interview With Mike (Mike Mc Mahon)

12/27/06
My Personal Portfolio (John Mauldin)

12/26/06
The Pound Makes Its Run (Ed Ponsi)

12/19/06
Goldilocks Redux? (Peter Navarro and Andrew Vaino)

12/19/06
How Long Will the USD Rally Last? (Ed Ponsi)

12/18/06
Party Like It's 1999 (John Mauldin)

12/15/06
The Perfect Market (Fernando Gonzalez)

12/12/06
Ben & Paul Do Beijing (Peter Navarro and Andrew Vaino)

12/12/06
The Buck Pushes Back (Ed Ponsi)

12/11/06
When Will the Housing Market Bottom? (John Mauldin)

12/08/06
The Congregation of the Late (Fernando Gonzalez)

12/05/06
Money Manager Mania REDUX (Peter Navarro, Andrew Vaino & Matt Davio)

12/05/06
Where the Action Is (Ed Ponsi)

12/04/06
The Recession of 2007 (John Mauldin)

11/28/06
Fibonacci Part 2: Practical Application (Ed Ponsi)

11/28/06
Money Manager Mania (Peter Navarro, Andrew Vaino & Matt Davio)

11/27/06
It's All About Your Time Frame (John Mauldin)

11/27/06
Money Manager Mania (Peter Navarro, Andrew Vaino & Matt Davio)

11/21/06
Fibonacci: Debunking the Debunkers (Ed Ponsi)

11/20/06
The Coming Collapse in Housing (John Mauldin)

11/17/06
Ring the Bell (Fernando Gonzalez)

11/14/06
Money Talks (Peter Navarro, Andrew Vaino & Matt Davio)

11/13/06
Honey, I Created a Bubble (John Mauldin)

11/10/06
Bait and Switch (Fernando Gonzalez)

11/07/06
Not So Mixed Messages (Peter Navarro, Andrew Vaino & Matt Davio)

11/06/06
The Return of the Muddle Through Economy (John Mauldin)

11/03/06
Critical Mass (Fernando Gonzalez)

10/31/06
Why .6 is HUGE (Peter Navarro, Andrew Vaino & Matt Davio)

10/30/06
That Stubborn Yield Curve (John Mauldin)

10/24/06
Technical Quicksand (Fernando Gonzalez)

10/24/06
GDP Week - or Weak? (Peter Navarro, Andrew Vaino & Matt Davio)

10/23/06
The Permanently High Plateau (John Mauldin)

10/17/06
The Silly Season Tis Upon Us (Peter Navarro, Andrew Vaino & Matt Davio)

10/16/06
Some Additional Firming? (John Mauldin)

10/13/06
Final Frontier for Ursus (Fernando Gonzalez)

10/10/06
Mortgage Bear Hug (Peter Navarro, Andrew Vaino & Matt Davio)

10/09/06
The Inflation of Expectations (John Mauldin)

10/03/06
October Bull (Peter Navarro, Andrew Vaino & Matt Davio)

10/02/06
Trim Inflation Now (John Mauldin)

09/29/06
Inflation-Stabilization (Fernando Gonzalez)

09/26/06
That is Correct-Tion (Peter Navarro, Andrew Vaino & Matt Davio)

09/25/06
The Visible Slowdown (John Mauldin)

09/19/06
Technician's Nightmare (Peter Navarro, Andrew Vaino & Matt Davio)

09/19/06
Take Two: All-time High DOW (Fernando Gonzalez)

09/18/06
A Kinder, Gentler Mr. Market (John Mauldin)

09/12/06
Order Placement - Let the Games Begin! (Mike Parnos)

09/12/06
We Now Know the Answers (Peter Navarro, Andrew Vaino & Matt Davio)

09/11/06
The Fat Lady Hasn't Sung (John Mauldin)

09/07/06
Right, Wrong, Poker and Chess (Fernando Gonzalez)

09/06/06
Season of Extremes - Coming to an End? (Abe Cofnas)

09/05/06
Deja Vu All Over Again (John Mauldin)

09/05/06
Forecasters Speak With Forked Tongues (Peter Navarro, Andrew Vaino & Matt Davio)

08/30/06
Fingers of Instability (John Mauldin)

08/29/06
The Birth of an Option (Mike Parnos)

08/29/06
(Bill) Gross'ed Out (Peter Navarro, Andrew Vaino & Matt Davio)

08/28/06
Multiple Time Frames (Fernando Gonzalez)

08/22/06
Goldilocks and Just One Bear (John Mauldin)

08/22/06
What a Relief - Rally? (Peter Navarro, Andrew Vaino & Matt Davio)

08/21/06
Covering a Covered Call Question (Mike Parnos)

08/15/06
Checkers in a Chess World (Peter Navarro, Andrew Vaino & Matt Davio)

08/14/06
Economic Whiplash (John Mauldin)

08/11/06
Vertical Spreads I (Mike Parnos)

08/08/06
A Thousand Barrels a Second (John Mauldin)

08/08/06
Down-Shifting Into Neutral (Peter Navarro, Andrew Vaino & Matt Davio)

08/07/06
Simplifying Your Trading Decisions (Mike Parnos)

08/04/06
Fresh Volatility (Fernando Gonzalez)

08/01/06
The Return of Stagflation (John Mauldin)

07/28/06
Something to "Gloss" Over (Mike Parnos)

07/25/06
Goldilocks or Micawber? (John Mauldin)

07/24/06
Semi-Conductor Short Circuit (Fernando Gonzalez)

07/20/06
Real Trading - The Adventure Begins (Mike Parnos)

07/18/06
The Possibility of a Recession (John Mauldin)

07/17/06
Two Species of Trader - Which are You? (Mike Parnos)

07/14/06
Pressures from Overhead (Fernando Gonzalez)

07/11/06
A Cloud-filled Crystal Ball (Peter Navarro, Andrew Vaindo & Matt Davio)

07/11/06
The End of Medicine (John Mauldin)

07/10/06
Are There Any "Free" Trades? (Mike Parnos)

07/07/06
Corrective Behaviors (Fernando Gonzalez)

07/04/06
The Coast is (Temporarily) Clear (Peter Navarro, Andrew Vaino & Matt Davio)

07/03/06
What the Fed Really Said (John Mauldin)

06/30/06
Were You Paying Attention? Let's Find Out (Mike Parnos)

06/27/06
Big Bang Theory (Peter Navarro, Andrew Vaino & Matt Davio)

06/27/06
2006 Mid-Year Forecast (John Mauldin)

06/26/06
Ask the Expert (Mike Mc Mahon)

06/23/06
The "Collar" of Money (Mike Parnos)

06/20/06
Up by Reflex (Fernando Gonzalez)

06/20/06
Truth Serum or Snake Oil (Peter Navarro, Andrew Vaino & Matt Davio)

06/19/06
The Problems With Indexes (John Mauldin)

06/16/06
Covered Calls IV - The Final Frontier (Mike Parnos)

06/14/06
"Something New" and Gold Update (Fernando Gonzalez)

06/13/06
Week of Inflationary Truth (Peter Navarro, Andrew Vaino & Matt Davio)

06/13/06
Central Bankers of the World, Unite Again! (John Mauldin)

06/12/06
Covered Calls III - The Fix Is In (Parnos)

06/07/06
It's All About the Data (John Mauldin)

06/02/06
Rubber Market (Fernando Gonzalez)

06/01/06
Covered Calls II - The Realities (Mike Parnos)

05/30/06
A Coming Fed Boomlet? (Peter Navarro, Andrew Vaino & Matt Davio)

05/29/06
The Problem With Stable Prices (John Mauldin)

05/25/06
Bringing On Change II (Fernando Gonzalez)

05/24/06
Covered Calls Part I - A Possible Place to Start (Mike Parnos)

05/23/06
Economic Fundamentals Finally Catch Up (Peter Navarro, Andrew Vaino & Matt Davio)

05/22/06
A Foolish Conversation With John Mauldin (John Mauldin)

05/19/06
Volatility is a Part of Life - Deal With It! (Mike Parnos)

05/16/06
They Don't Ring a Bell at the Top (Peter Navarro, Andrew Vaino & Matt Davio)

05/16/06
Bringing-On CHANGE (Fernando Gonzalez)

05/15/06
Do Trade Deficits Matter? (John Mauldin)

05/12/06
Delta & His Greek Buddies (Mike Parnos)

05/09/06
Bouncing Headlines, All News is Good, and DSCO Redux (Peter Navarro, Andrew Vaino & Matt Davio)

05/09/06
It's Value Time Again (John Mauldin)

05/08/06
The Party Hats are Ready (Fernando Gonzalez)

05/05/06
Are You An Innie Or An Outie? (Mike Parnos)

05/02/06
DSCO Inferno, Sector Rotations, & Bernanke's Semi-Bounce (Peter Navarro, Andrew Vaino & Matt Davio)

05/02/06
To Pause, Or Not To Pause (John Mauldin)

05/01/06
Risk Management Notes (Fernando Gonzalez)

04/28/06
Not All Options are Created Equal (Mike Parnos)

04/25/06
Putting on the Puts & Hu Was That Guy? (Peter Navarro, Andrew Vaino & Matt Davio)

04/24/06
Islands of Stability (John Mauldin)

04/21/06
Where It's At (Mike Parnos)

04/18/06
Trading Ranges: Tight Equities, Loose Gold (Fernando Gonzalez)

04/18/06
A Brief Lesson from GDP History (Peter Navarro and Matt Davio)

04/17/06
Richard Russell's Wisdom (John Mauldin)

04/13/06
Exercise Cycles - Don't Worry, It's Not What You Think (Mike Parnos)

04/11/06
Is it 1994 or 2000? (Peter Navarro and Matt Davio)

04/11/06
Fingers of Instability (John Mauldin)

04/10/06
World Markets (Fernando Gonzalez)

04/07/06
Let's Play 20 Questions! (Mike Parnos)

04/04/06
Parsing the Dollar-Yuan Peg (Peter Navarro and Matt Davio)

04/04/06
When Will the Fed Stop? (John Mauldin)

04/03/06
Time and Trends: The State of the US Dollar (Fernando Gonzalez)

03/29/06
The Bottomless Well (John Mauldin)

03/28/06
It's An Option Chain, Gang - Part II (Mike Parnos)

03/28/06
In Like a Lion, Out Like a Lamb (Peter Navarro and Matt Davio)

03/27/06
Wall Street "Groundhog Days" - The long version (Fernando Gonzalez)

03/23/06
It's An Option Chain, Gang - Part I (Mike Parnos)

03/21/06
Trader's Market (Peter Navarro and Matt Davio)

03/20/06
The Wind Beneath the Economy's Wings (John Mauldin)

03/17/06
Time and Trends (Fernando Gonzalez)

03/16/06
"Options" - Basically Speaking (Mike Parnos)

03/15/06
Smoot Hawley Lives (John Mauldin)

03/14/06
A Down-Shifting Market (Peter Navarro and Matt Davio)

03/14/06
And Now... More of the Same! (Fernando Gonzalez)

03/13/06
Focus on Fundamentals, Commodities and Currencies (Abe Cofnas)

03/09/06
"Putting" Things Into Perspective (Mike Parnos)

03/07/06
Readi-Whip Market (Peter Navarro and Matt Davio)

03/06/06
Central Bankers of the World, Unite! (John Mauldin)

03/03/06
It's Check Out Time (Fernando Gonzalez)

03/02/06
And Then There Were Calls... (Mike Parnos)

02/28/06
Raise the Ante or the Roof? (Peter Navarro and Matt Davio)

02/27/06
The Probabilities of Recession (John Mauldin)

02/24/06
It's Always Quiet Before the Storms (Fernando Gonzalez)

02/21/06
And Then There Were Options (Mike Parnos)

02/20/06
The Conundrum of Risk (John Mauldin)

02/17/06
Signs of Quickening (Fernando Gonzalez)

02/14/06
Helicopter Ben Gets Ready to Take the Fall (Peter Navarro and Matt Davio)

02/13/06
Greed by Four Lengths (John Mauldin)

02/10/06
Eureka: Gold Hits the Target! (Fernando Gonzalez)

02/07/06
The February Effect (Peter Navarro and Matt Davio)

02/06/06
Ahead of the Curve 2 (John Mauldin)

02/03/06
Keep Your Powder Dry (Fernando Gonzalez)

02/02/06
Post Greenspan Hesitation and Opportunity (Forex Insight with Abe Cofnas)

01/31/06
El Bizarro Bull Market or January Effect? (Peter Navarro and Matt Davio)

01/30/06
Ahead of the Curve (John Mauldin)

01/27/06
Winners, Losers, and Averaging (Fernando Gonzalez)

01/24/06
Bully, We Hardly Knew Ya (Peter Navarro and Matt Davio)

01/23/06
The Rules of Trading (John Mauldin)

01/20/06
Trends, Corrections and Reversals (Fernando Gonzalez)

01/17/06
The Real Fed Conundrum (Peter Navarro and Matt Davio)

01/16/06
What is the Sacrifice Ratio? (John Mauldin)

01/12/06
New Year's Firecrackers! (Fernando Gonzalez)

01/10/06
New Year's Bump or Grind? (Peter Navarro and Matt Davio)

01/10/06
Good Trading Potential as We Start 2006 (Forex Insight with Abe Cofnas)

01/09/06
On the Gripping Hand - 2006 Forecast (John Mauldin)

01/06/06
Link to John O'Donnell Interview on Entrepreneur Radio

01/06/06
The Must-Read '05 Review and '06 Forecast (Fernando Gonzalez)

01/03/06
Well-Timed Strategy (Peter Navarro and Matt Davio)

01/02/06
The Yield Curve, Part 8 (John Mauldin)



2005
12/29/05
End of Year Snapshot (Forex Insight with Abe Cofnas)

12/26/05
Be Careful What You Wish For (John Mauldin)

12/21/05
Opportunities Down Under (Forex Insight with Abe Cofnas)

12/20/05
Cash is the Holiday King (Peter Navarro and Matt Davio)

12/19/05
Do Trade Deficits Matter? (John Mauldin)

12/16/05
The Final Stretch for '05 (Fernando Gonzalez)

12/14/05
Intermarket Dynamics - Insight on Gold (Forex Insight with Abe Cofnas)

12/13/05
The Investor Base Becomes Momentum Driven (Peter Navarro and Matt Davio)

12/13/05
As If It Were Real Money (John Mauldin)

12/12/05
Gold Rush (Fernando Gonzalez)

12/06/05
Pulling the Plug (Peter Navarro and Matt Davio)

12/05/05
Empire of Debt (John Mauldin)

11/29/05
Contrarian Signs in Dollar Sentiment (Forex Insight with Abe Cofnas)

11/29/05
Continuation Rally? (Peter Navarro and Matt Davio)

11/28/05
Brave New World, Part 2 (John Mauldin)

11/23/05
'Mother Crux' (Fernando Gonzalez)

11/22/05
Turning Point for the Euro? (Forex Insight with Abe Cofnas)

11/22/05
Rain in Brazil (Peter Navarro and Matt Davio)

11/21/05
Hoping It's Different This Time (John Mauldin)

11/18/05
Moving Gold (Fernando Gonzalez)

11/16/05
Playing the Breakout Trade (Forex Insight with Abe Cofnas)

11/15/05
Jiminy Cricket's Virtuous Cycle (Peter Navarro and David Aloyan)

11/14/05
This Time It's Different (John Mauldin)

11/11/05
Tech Breakout (Fernando Gonzalez)

11/08/05
A Crosspair Worth Watching - The EURGBP (Forex Insight with Abe Cofnas)

11/08/05
High and Mighty Productivity (Peter Navarro and David Aloyan)

11/07/05
Some Thoughts on Pensions and Retirement (John Mauldin)

11/04/05
Reversing Reversals (Fernando Gonzalez)

11/01/05
On the Wings of GDP (Peter Navarro and David Aloyan)

10/31/05
The Bernanke Era (John Mauldin)

10/28/05
US Equities Theme Park II (Fernando Gonzalez)

10/25/05
Key Features for Shaping a Forex Day Trade (Forex Insight with Abe Cofnas)

10/25/05
Barron's Versus IBD (Peter Navarro and David Aloyan)

10/24/05
Inflation and Fed Policy (John Mauldin)

10/21/05
Gearing Up for Ursa Minora (Fernando Gonzalez)

10/18/05
The Music of Forex (Forex Insight with Abe Cofnas)

10/18/05
Bouncey, Bouncey (Peter Navarro and David Aloyan)

10/17/05
Smoothing Out Inflation (John Mauldin)

10/14/05
A Point of Inflection for the Long Term (Fernando Gonzalez)

10/11/05
Focus on the Loonie (Forex Insight with Abe Cofnas)

10/11/05
An Economic Colossus in Crisis (Peter Navarro and David Aloyan)

10/10/05
Solving an Age-Old Problem (John Mauldin)

10/07/05
Triple Threat (Fernando Gonzalez)

10/05/05
Gold and the Aussie - Lessons in Shaping Your Next Trade (Forex Insight with Abe Cofnas)

10/04/05
The White House Gets the Bird Flu (Peter Navarro and David Aloyan)

10/03/05
Solving an Age-Old Problem (John Mauldin)

09/30/05
Revenge of the Goldbugs (Fernando Gonzalez)

09/27/05
Even "Worthless Stock" Has Value at Tax Time (Traders Accounting)

09/27/05
The End is Nigh... (Peter Navarro and David Aloyan)

09/26/05
The Singularity is Near (John Mauldin)

09/23/05
Fed 'n Rita (Fernando Gonzalez)

09/20/05
I Forget, Did a Democrat Win the Presidential Election? (Peter Navarro and David Aloyan)

09/19/05
A Few Good Money Managers (John Mauldin)

09/15/05
Are We in a Corrective Phase? (Fernando Gonzalez)

09/13/05
We're Back! (Peter Navarro and David Aloyan)

09/12/05
A Critical Juncture (John Mauldin)

09/09/05
A Penchant for Climbing (Fernando Gonzalez)

09/06/05
Time to Call an Audible (John Mauldin)

09/01/05
TUI: Trading Under the Influence (Fernando Gonzalez)

08/29/05
The Fed Targets Your Home (John Mauldin)

08/25/05
Big Picture Matters (Fernando Gonzalez)

08/22/05
What Will Cause the Next Recession? (John Mauldin)

08/19/05
Time for the Big Picture (Fernando Gonzalez)

08/18/05
The Greenspan Uncertainty Principle (John Mauldin)

08/12/05
US Equities Theme Park (Fernando Gonzalez)

08/11/05
The World is Flat (John Mauldin)

08/09/05
The Market, Not the Movie (Peter Navarro and David Aloyan)

08/04/05
India - The Next Big Player (John Mauldin)

08/03/05
The Bamboozled Curtain, Part Deux (Peter Navarro and David Aloyan)

08/01/05
Munchies for Risk (Fernando Gonzalez)

08/01/05
So You Say You're a Trader? Be Prepared to Prove it to the IRS! (Traders Accounting)

07/28/05
Those Clever Chinese (John Mauldin)

07/27/05
The Naz Awakens (Fernando Gonzalez)

07/26/05
Yuan, Smuan (Peter Navarro and David Aloyan)

07/21/05
The Mid-Year Forecast (John Mauldin)

07/20/05
And Now...The Running of the Bears (Fernando Gonzalez)

07/19/05
Greenspan's Last Works (Literally) (Peter Navarro and David Aloyan)

07/14/05
Are There Too Many Hedge Funds? (John Mauldin)

07/13/05
The Running of the Bulls (Fernando Gonzalez)

07/11/05
Stiff Upper Lip (Peter Navarro and David Aloyan)

07/07/05
Thoughts on the Housing Bubble (John Mauldin)

07/05/05
Independence Day Conundrum (Peter Navarro and David Aloyan)

06/29/05
How to Calculate Capital Gains for Traders and Investors (Traders Accounting)

06/17/05
Keep Up with Your Estimated Taxes or Else! (Traders Accounting)

05/27/05
Traveling Expenses (Traders Accounting)

05/03/05
Attractive 401K Plans Attract Those Who Think Business (Traders Accounting)

04/19/05
What's Trader Tax Status Worth? Here's How You'd Fare Without It! (Traders Accounting)

04/05/05
How Do You Qualify as a Trader? Good Question! (Traders Accounting)

03/14/05
QQQQ's and A's (Traders Accounting)

02/18/05
Deductible Expenses (Traders Accounting)

02/16/05
A Little Bull-Put Spread Goes a Long Long Way to Profitability (Mike Parnos)

02/02/05
The Power of Mark to Market Accounting (Traders Accounting)

01/21/05
A Question of Volume (Mike Parnos)

01/17/05
Eight Steps to Successful Trader Tax Filing (Traders Accounting)

01/14/05
Forecast 2005: The See Saw Economy (John Mauldin)

01/13/04
2004 Review and 2005 Forecast (Fernando Gonzalez)

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Testimonials
"Sam, thanks for another good and informative article. You are my great teacher."
Peter A., November 2007
"Sam, I just thought I would send you a quick email and tell you how my trading is going. On the 18th I decided to switch from the Ym to the ES. In the 6 days since then I have had 15 trades and have made 19.75 Points. I know there might be a lot of people that make more money then me but for me that is huge. I trade with 5 contracts and so that is $4937.50 in 6 days. I have read about people that trade hundreds and even thousands of contracts and even though I may never go that high this is the first time I have ever thought that maybe I could really start going up. I can't tell you how much I appreciate your articles."
Rick H., November 2007
"Excellent report, thanks Fernando... still learning the trade here, and every so often you come by bringing great lessons, like a lighthouse shining in the middle of a thick fog. Blessings of gratitude!"
Maria, March 2007
"Your market synopsis has been an invaluable tool in deciphering the directions of the market and understanding the complex undercurrents that one has to navigate through. Please keep up the good work. From one who is still in a learning curve Sincerely yours,"
Richard H., August 2003




-------------------------------------------------------

Saturday, November 17, 2007

Daytradingcourse (examples)by PASCAL-special

gENTS,

PLEASE VISIT

http://www.pmtraders.com

http://www.pmtraders.com/TradeExplesFrmMembers.htm

SEE THE EXAMPLES AND LEARN
choose a strategy
fix entry exit stop levels
paper trade
if ok then use in realtime.

1. just aim at 1% gain, 2. use low cost broker

goodluck

Saturday, November 03, 2007

Learn trading basics -Look at this chart-move mouse

Gents,

Learn trading through basics takes you long way!

See these charts below



simply moove the mouse over the chart

you see new things.
just investigate what these new things are.

What you need to do?
Action plan

PART-A LEARN BY OBSERVATION JUST LIKE A KID BY SEEING EXAMPLES
PART-B APPLY THE THINGS YOU LEARNT
PART-C TEST IN REAL TIME, CONFIRM VALIDITY,SUITABILITY TO YOU.AND YOUR STYLE.
PART-D IF OK, SUCCESS MORE THAN 70%, USE IT.

First see these charts try to spot breakouts,breakdowns,exhaustion,
then take any chart from yahoo for your favourite stocks and try to spot breakouts,breakdowns,exhaustion,and reasonable stoploss levels.

LINK IS http://www.decisionbar.com/html/screen.html#
AND http://www.decisionbar.com/index.html
---------------------------------------

---------------------------------------
Trade positively using three or four simple things.
1.SPOT Breakouts and trade them
2.SPOT Break downs and trade them
FIND OUT WHEN TO BUY-GO LONG, WHEN TO SELL,WHEN TO HOLD,WHERE TO KEEP STOPLOSS

For stoploss see Jim berg formula
REF LINK


==============================
ABOUT "DECISIONBAR"
What Makes DecisionBar® Different

Here are a few of the things that differentiate DecisionBar from other trading software:

DecisionBar places historical trading signals on your chart exactly where they would have occurred in real time, so you can review them and optimize your trades for current market conditions.

Support and resistance (supply and demand) change from minute to minute. DecisionBar automatically charts and adjusts support and resistance levels in real time.
DecisionBar generates trading signals in real time based on supply, demand, and volume, which means...
1)
Whenever the price of a security breaks a support or resistance line (called a Breakdown or Breakout)... fails to break a support or resistance line (called a Failure)... or appears to have run its course (called an Exhaustion)--you can make a decision whether you want to enter a trade or exit a trade you've already made.
2)
What's more, you can use the proprietary risk oscillator at the bottom of the DecisionBar screen for additional confirmation.
3)
You'll also receive secondary reversal warnings to notify you of potential reversals. These warnings allow you to exit trades that don't materialize before you take a loss.

Now, this next one's a "biggie," and I feel it's important to call your attention to it...
----------------------------------------------------------------------
Some trading software adds buy and sell signals after the fact. The signals are delayed. Then, if they happen to be wrong, the software removes the false signals to hide the evidence of the mistake. But not with DecisionBar...
All buy & sell signals are issued in real time and are not removed once they have been issued.
Yes, you read that correctly. You receive accurate buy and sell signals in real time--they are never removed. DecisionBar Trading Software pulls no punches.

Furthermore, you stay in complete control. Only enter or exit a trade if you feel 100% comfortable with your decision.

Eliminate The Stress Of High-Risk Trades
Perhaps you've been stressed to the max and have had trouble focusing during the day and sleeping at night because you're holding a high risk position. Your emotions are almost out of control.

Once you become a DecisionBar member, you too will enjoy what it's like to be in low risk/high potential trades. It's a wonderful feeling compared to the "old way" of picking trades.
The DecisionBar methodology, which is spelled out clearly in the 77-page trading manual that is included with your membership, is low risk. By following my advice, you'll never risk much money on any single trade... but you'll position yourself for big upside movements. Because the DecisionBar methodology is low risk, your whole trading experience is low stress.


===========================
Ramesh151 SAYS this, read and remember,

Trading is of course by chances, but by practice,you learn to maximise your winning chances, and learn to minimise your loosing chances,learn to escape with minimum loss whenever market turns against you.

Nothing wrong if you lost a trade,question is did you make a big loss or not.
If you did not make a big loss,then you are ok,just needs more practice,more paper trading is needed.
iF YOU ARE MAKING BIG LOSSES CONTINUOUSLY,THEN YOU ARE NOT READY FOR THE MARKET, STOP TRADING, GO FOR PAPER TRADING.
just do this simple thing
Take a chart in a time frame you like.
think that the market just opened now at 10am, you close rightside of chart witha paper. and slowly plan your trading action, by moving paper towards rightside slowly,imagine you are getting to know the market price as time is passing.
write down your actions, trade from 10 to 3-30pm using yesterday or past month chart,
remember at 11am, you can see charet only upto 11am. rest is covered and you cant see it.

do this with different charts
analyse your actions
ask yourself can i maximise profit, minimise loss?
if answer is yes then go to real time trading.
Now trade without money
you act asif you are trading with money
record your actions
find out where is your weakness
try and fix it

repeat exercise in real time chart,without money
then you decide
-------------
Happy trading
Ramesh151


Record all your trades real or fictitious,
ask yourself
1 Was it a low risk entry? is the entry near a support for buying and near resistance for short selling?

2.WAS THE REWARD TO RISK RATIO GREATER THAN 1.5?
3.DID i PLAN A STOPLOSS AS i ENTER THE TRADE?
4.DID i IMPLEMENT THE STOPLOSS?
5.DID I USE A POSITION SIZING FORMULA?
----------------------------------------------------------

Saturday, October 27, 2007

Tradestation add on indicators- Ts-3 NEXGEN

GENTS,

HAVING A GOOD SOFTWARE, having Good Indicators minimises your hard work and struggle.

Tradestation 2000i is one of the best things, with an inbuilt server and a radar screen that picks any changes in trading weather asap.

One of the fastest ways to learn trading through watching videos.

Look at NEXGEN site and guidance area.

http://www.nss-t3.com/guide.htm

Best of the lot is

T-3 ABC plot trends - by James Garza

fOR EXAMPLE

LET ME ASK
"WHAT USE IS THIS VIDEO?" "WHY SHOULD i WATCH?"
lET US SEE
You might have heard of fibonacci areas,levels.
you have seen a past trend and drawn Fibo levels.
nOW THE BIG QUESTION APPEARS,

which of these levels are valid and which are not valid?Watch this video and it tells how to find out which fibo levels are valid,and hold in reality.
Which become support or resistance?
see
SEE LINK --Should a Fibonacci area hold or break?



to continue later

Friday, October 26, 2007

Day trading stocks preparation,training resources

please visit
http://www.geocities.com/daytradingtutor/7-day-trading-steps.htm

http://www.geocities.com/daytradingtutor/money-management.htm

try paper trading with a simulator
http://www.geocities.com/daytradingtutor/currency-day-trading-form.htm
Learn basics first
http://www.geocities.com/daytradingtutor/daytrading-basics.htm
mOST IMPORTANT
hAVE A CLEAR TRESTED STRATEGY
http://www.geocities.com/daytradingtutor/day-trading-strategy.htm

--------------------------------------------------------
General
precaution zone

Trading needs,most importantly, [B]solid preparation[/B],at least the night before.
[B]It is not a 20 minute preparation, much much more.[/B]

A study and plan,visualizing where the leading stocks would move most likely, and a [B]counter perspective,preparatory approach to plan rescue in case it moves exactly opposite way.[/B]

[B]Proper identification of trend is must[/B].

[B]Confidence[/B] is top priority, based on [B]previous testing of strategies that are going to be deployed.[/B]

Weightage? my guess?
preparation=30% trend=25%, confidence=45%

[B]Anything else can help?[/B] [B]Apart from having enough capital,[/B]Tradestation 2000i, with its radar screen,preplanned alerts
Anything else?
[B]POSITION SIZING AND RISK CONTROL[/B]
[B]keep position sizing OPTIMAL,reasonable[/B],(SAY 5% OF TRADING CAPITAL)
[B]Try for good reward/risk ratio [/B]say 1.25, or 1.5 or much more,possible.
Try always for [B]Low risk entries,[/B]PREFERABLY [B]enter close to support zones so that in case of things getting worst,risk is minimal as you escape near support level[/B]

Sunday, October 21, 2007

What iS IN A NAME? eVERYTHING cALLED SUCCESS!!!

-----------------------------------------------------------------------------------
gEntlemen,

The letters in your name can work magic and success!!!

One or two examples.
The letters in your name can work magic for your luck!!

A R RAHAMAN has now nitials A R R tHESE GIVE LIFT, super lift to him
Before he had a hindu name called DILIP, somehow it never clicked.
change in name did what?
He had beaten ILLAYARAAJA and made the producers run after himself,Illayaraja went out of business practically. There is no looking back.today he is the king,language no bar.
check others in A R series
ARUNDHATI ROY,ARINDAM CHOWDARY etc

Film star RAJEEV BHATIA had a struggle till he changed name to AKSHAY KUMAR,then no looking back.

look at R K
Rama Krishna
RAJ KAPOOR
RAJ KUMAR
RAJENDRA KUMAR
RAMYA KRISHNA
Some unsuccessful exceptions were there like Raj Kiran,Randheer kapoor

K K
kARSHMA KAPOOR
KAREENA KAPOOR
SINGER K K


N T R

Nandamuri Taraka RAMA RAO
NTR
NAYAN TARA NTR

M B
Mahesh babu
Mahamad Barwani
Mahesh Bhoopathi

L V

L V PRASAD
LAS VEGAS

R R
good
R B Does not work well
Film star rajeev bhatia
film star ramesh babu-failure-even being brother of mahesh babu,being son of star KRISHNA, he turned a flop.

R V works
R venkatraman ex vice president of india.

V V GREAT, IT WORKS

---------------
Moral choose your name initials carefully, if choosen wrong change it before 25 or 30, then prosper!!!!!!!!!!!

Wednesday, October 17, 2007

Secrets of masters-TRADING GAME

-------------------------------------------------------------------------------------



GentleMen,

Wise men learn from others experiences (or planned scenarios), while fooolish wait for their own experience.

In trading, people make same mistakes over and over, and refuse to learn from mistakes.In this process money is lost.
-----------------------------------------------------------------------------------

http://www.iitm.com/pos-siz-game.htm
CLICK ON LINK at the bottom or use url given above

Here a trading game is given by playing which again and again,people are educated
about position sizing-the game designed by VAN THARP.

----------------------------------------------
People are always looking for the "real" secrets of trading success,

but their mental biases always have them looking in the wrong places and at the wrong things.

Consequently, they search for magical trading systems with 75% accuracy or better or for great entry systems that they think will help them pick the right stock. Picking the right stock has nothing to do with success and neither does the accuracy of your stock picking.

##############################################################################
Practically all Market Wizards agree that the key ingredients to your success are:

(1) the golden rule of trading—"cut your losses short and let your profits run;"

(2) that part of your trading system that tells you how much; and,

(3) the discipline to do both.

When you think about the golden rule of trading, it basically describes exits—how you abort losses and ride winners.

When you think about Position Sizing™, it basically controls how much you risk on any given trade.

Dr. Tharp designed the "Secrets of the Masters™" Trading Game to help you learn the secrets to trading success before you trade the markets.
This game totally de-emphasizes entry or "stock picking" and instead requires that you focus on the most important aspects of trading—Position Sizing™ and letting your profits run. Our new game has ten levels that get progressively more difficult to master. However, once you’ve mastered these principles, you’ll know you’ve mastered some of the key skills to trading success.

Download the game to your computer by clicking on the link above. You will have the opportunity to play levels one through three of the game for FREE.

If you choose to purchase the Secrets of the Masters™" Trading Game, which includes unlimited access to levels 4-10, all you'll have to do is order on line or call IITM at 1-800-385-4486. The entire game is $195. Once you order the game we will give you a personal access code that will allow you to play all levels of the Secrets of the Masters™" Trading Game.
-----------------------------------------------------------------------------------
OPINION

"I have found the game to very helpful, and I’ve played it over and over again with different money management programs. It’s one thing to read about the mind traps that traders create regarding probabilities and the gambler’s fallacy, or to read that random number series can contain protracted winning and losing streaks, but playing a simulation that feels like trading really drives home the lessons about disciple, systems, and expectancy. Playing the game over time helps reinforce the idea that you get the same probability distributions as everyone else, and that your trading plan will need to address this fact through money management, position sizing, trading rules etc.
"I have found that it also helps you change the way you frame the activity of trading, because the game focuses on systems results and strips away entries, setups and the other false control illusions that traders inevitably get wrapped up in. At first it didn’t feel like trading, because it didn’t focus on the things that I did when I traded, but gradually it

"It dawned on me that I might not be focusing on the right areas. The opportunity to view a trading system as the random distribution of hundreds or thousands of independent trials changed my view about my ability to "change the markets", and focusing on maximizing system outcomes has given me a fresh perspective on trading, systems development, and risk." —Alan Stevens, Boulder CO



*********************************************************************************
Just Play the Gameby Melita Hunt

Most of you know that we have a downloadable trading simulation game called Secrets of the Masters, which is designed to help you learn position sizing more effectively.

All in all, it is just a game, yet I am astounded at the number of people that call in trying to “get it right,” analyzing it and wanting to “learn what to do properly” versus just playing the game.
The game is designed to be experiential,

which basically means

that you just play it over and over again (without costing any real money) until you get an internal feeling or understanding of the various things that can happen to you in the markets and how your decisions about position sizing affect the random scenarios that you find yourself in. The more you have the experience, the more you learn.

Yet there are so many detailed folks out there who are so intent on getting down into the nuances of how it works, what it should/shouldn’t be doing and trying their best to determine the statistics, numbers and algorithms and what it is likely to do next, that they lose the enjoyment and experience of just playing the game.

I wonder how many people do this with the markets?

Are you a chronic “predictor” trying to get the markets right? Wanting to work out or know what they will do next?
==========================================================
Well I’ve got some bad news for you, the market doesn’t know or care when you enter or exit it. It just does what it does and the answers aren’t going to come until after the fact.
==========================================================
But don’t get me wrong, I absolutely encourage learning as much as you can about trading, but it’s like swimming or riding a bike. The real experience comes when you jump in the pool or take off those training wheels.
And if it’s not trading, then where else is it in your life that you haven’t been willing to just jump in and play the game?

You can contact Melita at mel@iitm.com
-----------------------------------------------------------------------------------
Trading basics
Position sizing, Money management,Trend,entry-exit rules,confidence(state of your mind)

Saturday, October 13, 2007

Money Management- A must for trading-Hints

-------------------------------------------------------
Gentlemen,

### First thing first, Education


please read articles at link given here.

http://www.traders.com/Reprints/ArticleList.html

http://www.traders.com/Reprints/PDF_reprints/TC_FINE.PDF



### Second thing:
What is most important for trading?

Preparation:
If you are going to trade tomorrow,prepare tonight.

Next
Money Management is top priority.
MM means how much loss to take, how many shares or futures to buy,how much to invest and how to calculate all that etc
read link

======================================================
Proper trade size=No of shares/futures contracts to buy

FORMULA
Proper trade size= (Risk amount- commission)/(Difference between Entry price and Stop loss price)

Remember, commission=brokerage and taxes
Putting in figures, (500-80)/1.5=280 shares
1.5= difference between entry price and stoploss level, 500 is the risk amount, 80 is the commission

Example
Max risk=2% of TRADING ACCOUNT SIZE,ie, capital per trade
Account size=25000
Risk amount=2% of 25000=500
stock=MSFT
Entry price=60 Initial stoploss=58.5
Difference between entry and stoploss=1.5
Commission per round trip,ie,for buying plus selling=80
MAXIMUM TRADESIZE= 280 shares by calculation
-----------
Summary

we invested in only so many shares,if loss comes it wont exceed 500,our max risk amount.

Amount invested=280shares at 60=16800
See the beauty THOUGH WE HAD 25000 AVAILABLE, WE HAVE CHOSEN TO INVEST ONLY 16800

------------------------
LIMITING RISK TO X% ON EACH TRADE IS THE KEY TO SURVIVAL.LIMITING MAX RISK TO
2% OF TRADING ACCOUNT SIZE IS THE KEY TO SURVIVAL.
wHY X% ON EACH TRADE? bECAUSE IT IS FLEXIBLE,BASED ON SCRIP AVERAGE TRUE RANGE, WE SET THIS X%.

Good luck

Wednesday, October 10, 2007

Investing tips in India -A Survey by me

Gents,

Agency providing paid investing tips & their validity/reliability

CAPITAFOLIO
Too late-by the time you get the tips the stock is already up -you need to look at sky helpless

Tradersedgeindia NOT WORTH

Indianstocks Under study

Tips4trade Reliable-they say what they mean


Portfolio management schemes PMS

SHAREKHAN PMS TOP CLASS RESEARCH-HIGH RELIABILITY-HIGH QUALITY
RELIGARE PMS RETURNS ARE GOOD-FEEDBACK LIMITED-DEPENDABLE
INDIAINFOLINE RESEARCH IS OK-50% ALRIGHT
ICICI DIRECT I DONT KNOW-ONLY THING I KNOW COSTLY PEOPLE- EXPENSIVE
BROKERS.

100% Return on your trading investments in India

=====================================================================================
Do you get worried about where to invest your funds in short term or long term in stockmarkets?

Here is the perfect answer.

Tips4Trade Google Group

Three steps 1. Join the group 2. Read the tips,note down 3. Implement.

Hello Customers / Members / Traders / Investors / Brokers / Sub-brokers and Operators


10 th OCTOBER 2007

The markets are on a new high.......and sensex crossed mark of 18000 as per our prediction about market........and thanks for your overwhelming response to Tips4Trade......
.our google group crossed mark of 10,000 people in simply last 1 year strong>

Earning profit in stock market is a combination of 3 things



Right Information + Right time + Right Stock = Good profit



We have always tried to help our investors in
picking right stocks
at the right time so
that they can earn good profit and

keeping that in mind we are now planning to revamp our website to guide our customers & Members to get good returns on their investment.


Looking forward to the same response from u in coming future............. :)



Join our google group –tips4trade immediately to get free stock market tips - Intraday call, Delivery Call, Super Call, Swing Trading and Future and Options for Indian Stock Market.
: http://groups.google.com/group/Tips4Trade

You can send Post/Query/General on indian share market too (email us : tips4trade@gmail.com )

Monday, October 08, 2007

Big volume comes first, Big price move follows next

gENTS,


pLEASE visit www.bigtrends.com

see this beautiful video with nice charts.

Did you miss the online seminar
with Bob Lang last week?

You can watch it now!
Simply click on this link to view the video and find out how Bob makes big wins in the GrandSlam portfolio:

http://bigtrends.acrobat.com/p63058608/





MACD and volume spikes can give you an alert of big price moves to come.



good luck

Tradestation 2000i Installation problems-solutions

Gents,


=================================================================================

Tradestation2000i is available at 75 to 100 dollars.(platinum edition in INDIA).

problem-1

INSTALLATION PROBLEMS
During installation, one faces problems,specially during Sp4update and Sp5update.The installation stops after going about 90% complete.

An alarm appears like "% s decompression failed.There is not enough space in TEMP directory"
----------------------------------------------
solution
go to
RUN
type
%TEMP%
then
enter,
you see the hidden Ts files in TEMP, delete all of them ,after careful check,so as not to delete any system files.
now restart pc, install your update pack SP4, it goes zoom.
----------------------------------------------------
Unless the sp4 and sp5 packs are installed, global version is not updated to version 822.
Unless Global server is of 822 version,you canot import real time data for trading from ESIGNAL .

ESIGNAL vesrion 8 is only compatible with tradestation 2000i, so dont install Esignal version 10. and you need an Esignal plugin utility which you can get online or get from esignal people.

Global server
While installing setup, just select server named DBC SUBSERVER, otherwise you cant import data from ESIGNAL data manager.

A tip to have good operation
After use, daily before swiching youtr pc, just go to global server tools, go and click on RUN NIGHTLY MAINTENANCE, it saves lots of problems.
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Friday, October 05, 2007

Trading edge comes from trading basics-not indicators

------------------------------------------------------------------------------------
Gentlemen,

First, let me thank the excellent coach,Sam Seiden, sseiden@tradingacademy.com for his wonderful insight into how trading is to be taught in a practical way.
------------------------------------------------
Objective Rule Based Trading with Consistent Low Risk/High Reward Results - The Online Trading Academy Way
------------------------------------------------
Please visit and learn trading basics.
There are free lessons.
Free Newsletter:
Lessons from the Pros are powerful trading articles covering all aspects of trading, including charting, technical analysis, shorting, taxes and more.
The recent best lesson you can find at



------------------------------------------
Summary:
1)Does your trading lack the "trader's edge" needed to be a consistent winner in the markets?
2)Do you find yourself entering and exiting positions at the very wrong time?
Learn to understand first why most traders fail
If you enter and exit along with the crowds using the charts,indicators and other tools the way they do,you will do what they do-say enter and exit trades with no trading edge.
The Nucleus or core of this lesson is
The whole thing is you must know how to properly identify and utilize support (demand) and resistance (supply).
Then you can become a consistent winner and benefit from those very consistent loosers of two groups who are (a)Never had any trading education (They decide buy/sell based on emotion or (b)second group are the people who have been thoroughly educated, Exactly the wrong way .

What is so special about second group of highly trained traders?

This group is in much worse shape than the first group
because they are walking east and west trying to find the North Pole
and don't even know it.


Now you can guess why 90% of traders fail?
Not due to emotion based trading(new traders and untrained traders), but due to
ignoring the trading basic number one-support and resistance coupled with low risk entry-misinformed folks. Just price chart alone is sufficient to trade,no need of complicated indicators.
-------------------------------------------------------------------------------
In case you cant open links given above, please read lesson below


Objective Rule Based Trading with Consistent Low Risk/High Reward Results - The Online Trading Academy Way
Does your trading lack the "trader's edge" needed to be a consistent winner in the markets?
Do you find yourself entering and exiting positions at the very wrong time?
If the answer is yes, you're not alone.
The good news is that there is a very specific reason why the majority of traders enter and exit trades with very poor timing. Also, the answers needed to fix this problem are far simpler than you may think.
To gain the edge and learn how to stack the odds in our favor, we will go back to the school of basics, not just to review the basic concepts but more importantly to look at them very differently than we have before.
At Online Trading Academy, we know that if we look at charts, indicators, and any other tools used to perform market analysis the same way everybody else does, we would just be entering and exiting positions with them as well which gives us little to no edge.
To gain the consistent edge which means low risk/high reward entries, we must first have a solid understanding of why most traders fail.
Second, realize that moves in the markets are driven by mass psychology and the pure laws of supply and demand.
Third, know how to properly identify and utilize support (demand) and resistance (supply).
Finally, we need to be able to see what this looks like on a chart and also have an objective and mechanical set of criteria for execution.
Today, I was teaching the Online Trading Academy Professional Trader Part 1 and 2 class in Houston Texas . It's now day six of the seven day class and for me, day six is always my favorite. The reason it's my favorite day of the class is because this is when I can really see the students trading the markets the way I have been teaching them all week. They tend to do well on days four and five but by day six, most are trading very well and having a blast doing it. While it's fun to trade and make money, by day six, they realize they have been taught the rules for obtaining consistent low risk/high reward profits forever, not just a strategy that will work in certain market environments, and break down in others.
They understand now that
when you have a solid understanding of pure supply and demand coupled with objective and mechanical rules for analyzing a chart and trading, you are able to perform the same in any and all markets, and market environments.
As I mentioned before, most people lose consistently in trading. There are two groups of consistent losers and it's important that you get to know them well. I will explain why in a minute.
The first group is the group who has never been educated in trading. This group tends to make buy and sell decisions based on emotion.
The second group are the people who have been thoroughly educated, the wrong way .
This group is in much worse shape than the first group
because they are walking east and west trying to find the North Pole
and don't even know it.
They don't know it because they are following the rules they were given and likely paid for so how can the education be wrong? It must work! Think again... The problem is that the foundation of their strategy and training is fraught with lagging indicators and oscillators that only increase risk, traditional chart patterns that are better served with a frame around them on your wall, and tons of illusions given to them by those who have more to gain by obscuring reality .
Let's go back to school and re-learn some basic concepts you may have already been taught, the wrong way.
The reason I said that you had better get to know the consistent loser very well is because these people are the ones who provide income for the consistently profitable trader.
Let's explore this by looking at three trades taken today by students in my class trading real Online Trading Academy money, using objective rules based on the laws and principles of supply (resistance) and demand (support).

This student sold short at the circled area.
Example1
The trading platform inserts the little green line at the entry price. The student inserted the blue lines to identify the objective supply (resistance) level. As price was rising for shares of ADBE, my student was waiting for price to come up to his level so that he could sell short. He only wanted to short at his predetermined level for the following reason...
This reason is the key to a proper foundation when buying and selling anything. It's the difference between consistent profits and consistent losses.
When price came up to his supply level, intelligently he sold short to the buyer who was buying AFTER an advance in price and at a price level where SUPPLY EXCEEDED DEMAND.
The laws of supply and demand ensure that the buyer of anything who takes this action will lose consistently.
The student who made this day trade gladly sold to this ill-informed buyer. Shorting at the turn in price means your risk is very low and your reward is very high. The longer you wait to short from the level, the higher the risk and lower the reward. We will revisit this topic in the weeks to come.

The supply level here in ABAX again represents temporary price stability which gives the appearance of supply and demand equilibrium. The price drop from that level tells us objectively this is really a price level where supply greatly exceeded demand. Therefore, if and when price revisits this supply level for the first time, we can say that price is revisiting a level where supply greatly exceeds demand.
In any market, when price is at a level where supply greatly exceeds demand, prices decline.
Example2
Again, another intelligent student in class sold to a buyer who was buying AFTER an advance in price and at a price level where SUPPLY EXCEEDED DEMAND.
His short entry was at the circled area. Mind you, this is a daily chart and a huge low risk gain in a short period of time.
What I impressed upon the student was the fact that while the gain was nice, the most important part of the trade was the low risk entry taken to obtain that gain.
An Observation...
I have been trading and providing trading education for many years.
One of the most important lessons I have learned is that most people can't follow simple rules.
I can hand someone quality trading tools and a mechanical set of rules on a silver platter but if the foundation of their trading belief system is faulty, they will not be able to follow or execute the simple rules.
The problem is that they succumb to illusion filters they don't even know are present. These illusion creators can come in the form of lagging indicators and oscillators, market or economic news, so-called professional's opinions, green and red candles on your price charts, and so on.
This leads to falling for what I like to call, "the illusion trap".

At Online Trading Academy, our objective is to not only teach people how NOT to fall for these traps but also how to get paid from those who do with a set of objective rules.
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The consistent looser pays the consistent winner in the markets and the winner uses the right timing of entry exit based on support-resistance (demand-supply).
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TRADING BASIC NUMBER ONE TO BE A CONSISTENT WINNER IN TRADING

IDENTIFY DEMAND(SUPPORT) AND SUPPLY(RESISTANCE) BALANCE, SELL AT RESISTANCE,BUY AT SUPPORT (Loosers do exact opposite)

Thursday, October 04, 2007

What makes a Winning trade? trend,entry-exit,confidence

Ramesh,

We have all felt the jubilation of a winning trade. What makes the
difference between a winning or losing trade?
Is it timing, luck, or skill?

Whatever your trading tactic, I suggest watching this streaming video
that gives insight on what makes a winning trade. This could help you
put the odds in your favor:


http://broadcast.ino.com/videos/winningtrade/?WK929

See 4 real-market examples that show how technical analysis and good
old common sense combine to make a winning trade. Watch it for no cost
and no registration here:

http://broadcast.ino.com/videos/winningtrade/?WK929Great Trading and Good Luck,

Adam Hewison

Music Love song Tamil-Engae enadhu kavithai and others

================================================================================
List of songs
1.Nan thediya kavithai- TAMIL song

2.Meri NAZAR hai tujhpe- hindi song from moovie " The burning train"
EAST or WEST Which is best? Everything is as good.Even music wise
http://www.youtube.com/watch?v=GKNNC1rxu60
3.My favourite song in telugu
http://aakasavani.com/2007/07/28/jeevitham-saptasaagara-geetam/
Video available in google video.
Moovie Chinni Krushnudu, singer Asha Bhonsle, Music R D BURMAN, Actors Ramesh babu, Khusboo

4.Deewanon ko pata hai - hindi song

http://www.youtube.com/watch?v=-H5RTYVxA8U

-------------------------------------------
NICE VIDEO
http://www.youtube.com/watch?v=ArFpAumxUDo


Tamil Song - Enge Enathu Kavithai - Naan Thediye Kavithai
-----------------
Lyrics lovers: Song means
The romantic poetry I have been searching has come in the form of a beautiful girl,and the beautiful girl I have been searching for has brought the nice romantic poetry
--------------
Moovie name:
YENGAE ENADHU KAVIDHAI -
TAMIL LYRICS
Song: Naan Thaediya Kavidhai
Singer: Sujatha, Bharathwaj
-----------------------------
naan thaediya kavidhai
oru peNNaay vandhadhu
naan thaediya peNmai
oru kavidhai thandhadhu


rojavin vaNNam kenjum
nadai poattaal annam anjum
nilavukkum ivaLai kaNdaal
vetkam dhaan vidaiyaay minchum
yaaro yaaro ivaLdhaan yaaro


(naan thaediya kavidhai...)


aRiyaadha nesathai aRindhaenae unnaalae
idhu poalae innaaL varai unadhaaga sugamdhaanae
kaNmoodi paarthaalum un nenjam therigiRadhey
enakkuLLum karuvaRai uNdu adhu unnai sumakkiRadhey
vizhi paesa vaarthai edhuvum illai kaadhal kasikkiRadhey
uyiraaga neeyum vandhaay vandhaay idhayam karaigiRadhey
sila neram iLamai iLamai yutham seigiRadhey


(naan thaediya kavidhai...)


vaan vaanam veezhndhaalum en kaadhal un pakkam
adhai neeyum aRindhaal poadum vaeRillai en soRgam
unai paartha pin dhaanae ulagai naan aRindhaenae
sila naeram ennai naanae nesithum magizhndhaenae
en kaadhal undhan sondhan endru neeyum sollvaaya?
en nenjin aasai nooRu illai ondrae aRivaaya?
iru uyirin idhayam ondru enbadhu purigiRadha


un kaadhalai thaanae naan kadavuL enbadhu
nee thaediya kavidhai un swaasam aanadhu
idhayathil innoru idhayam puthidhaaga poothadhu udhayam
unai kaNdaal ennuyir sidhayum
kaadhal dhaan sonnadhu adhaiyum
yaaro yaaro nee dhaan yaaro


(un kaadhalai thaanae...)


http://www.youtube.com/watch?v=ArFpAumxUDo

===================================================================================

Sunday, March 04, 2007

Part-2 LONG TERM INVESTING-SCALE IN

Part-2 Long Term Investing With Trailing Stop
JDS Uniphase:
A Perfect Run-Up in the Stock MarketAnd now we've come to our quintessential example of the power of the trailing stop: JDS Uniphase.
Even though the story is almost five years old, it defines the profit-making power of trailing stops like no other.
In March of 1999 we heartily recommended JDS Uniphase. We said then that "it would be the company that would create the next great fortune," and it "is one stock investment that you don't want to miss." We placed the normal 25% trailing stop on it. It turns out this was sage advice, as the stock had a perfect, even breathtaking, run-up.
It rose from our recommended price of $10.95 (split adjusted) to $110.12–a whopping 905.66% in 14 months.
But amazingly, during that entire stretch, the stock never had a real pullback in the market. Without the 25% trailing stop strategy, it would have been tempting to sell some or all of it at 100% or 200%. Had we done that, we would have missed out. When the stock reached $150 we were still in it, and subtracting 25%, the lowest price we would sell this stock would be $112.50.
As it turned out too, $150 was the high point for the stock. Of course we didn't know this at the time, nor did anyone else. But that's the great thing about the trailing stop system–it takes the "guesswork" out of trying to determine a stock's value. We let the market tell us when the run is over. The trailing stop system always keeps us from losing our shirt and always locks in our profits when a stock has had a significant gain.
How many times have you heard of investors saying they made 100%, 200% or more–only to give it all back when the stock corrected? That's not happening with our system–sure, we may give back a little, but we're always locking in profits on our winners. If JDS Uniphase had continued to rise above $150, we would have been along for the ride. But in this case, $150 was the top, and it gives one a great feeling knowing that even if the worst were to happen–a stock collapse–we would have a huge 905%+ profit. That's the beauty of the 25% trailing stop strategy.
The Rest of the Story–Don't Buy and Hold
JDS Uniphase also provides a dramatic example of the benefits of our system versus the perils of holding and hoping. As we said above, we took more than 906% profits from this investment. JDS was a grand slam for us. Unfortunately, for investors who don't use a trailing stop strategy, JDS is also the perfect example of the "big fish that got away." From its high of more than $150 per share, the stock has plummeted. As of July 2004, JDS was trading at a little over $3.28 per share–that's about a 97% drop from the high.
Use Daily Prices in Your Stock Market Investment Strategy
We use end-of-day prices for all our calculations, not inter-day prices. You should too. This makes things easier.
If a stock has gone to $100, put a mental stop at $75. If, subsequently, the stock closes at or below that $75 level, sell your shares the next day. The Oxford Club's web site features daily updates and posts on our recommendations. The instant one of our stocks triggers our trailing stop, we immediately post notification on the web, so that you can take immediate action. This means that you don't have to follow the stock yourself or worry about when you should sell. Remember, the key is discipline. This is a good technique. Stick to it. Choose a broker who understands trailing stops and will do the work for you. Stock Market Investment Advice You Can't Afford to Miss Out OnIf you use a discount broker or trade on the Internet, there may be times when you are moving your stop up each day–even when you are on vacation (that's a great problem–it means you're making money). We know that most people need time away from the stock market to recharge their batteries. Each person has to decide whether it pays to go with a full-service stock broker who can run their investments for them. To help with this decision, we initiated our Oxford Club Safety Switch e-mail service. Now, any time one of our recommendations hits our trailing stop, we immediately alert our members via e-mail. One thing about life is certain: You are never going to know the future. Nobody–even the most astute analyst or investment advisor–can know enough about a particular company, industry or the nuances of the stock market to anticipate with 100% certainty the future price of a stock.
But common sense dictates two investment fundamentals:
1) Taking small losses is much better than taking big losses.
2) Letting your profits run is much better than cutting them off prematurely.
Using trailing stops is the best first step you can take to greatly improve your portfolio's return. Follow this time-tested technique of the world's greatest investors and your investments will outperform those of your friends, neighbors and even your fund managers. This is the first step to having a coherent, reliable system that will let you sleep at night and give you the satisfaction of knowing you're maximizing your profits. Once you apply trailing stops, you'll be that much further ahead of the ordinary investor. Now, you're ready to go to the next level in our 'Stock Market Investment Advice' White Paper–and learn the next secret of the world's greatest investors...
Secret #2: Go With "Low Risk"–And Then Let Your Winners Run
You've learned that the first secret shared by 99% of the world's greatest investors is that they never–ever–allow any one of their investments to rack-up huge losses in the market. We've seen how trailing stops help there.
The other secret is that they always invest in what they call "low-risk" opportunities.
Now, as you'll see, that doesn't mean their stocks or investments carry no risk or that they're not expecting very high gains from these investments. Quite the contrary. After all, we can't make 30%, 50%, or 70% each year if we have our money in savings accounts or money market funds. Those are low-risk strategies for your money, but they're also extremely low profit. For the world's most successful investors, low risk means entering only into positions where the probability for high profits far exceeds the possibility of losses over the long run.
They invest their money in such a way as to position themselves for maximum profits while–at the very same time–ensuring that their exposure to serious loss is absolutely non-existent.
A High-Profit Tool for Sophisticated Investors
"Position sizing" is really all about money management. But it's not the kind you use to make sure you have enough money on hand to pay expenses like the mortgage, household bills, college tuition for your children, car payments, etc. The money management connected with position sizing is strictly limited to your investment portfolio. And it's every bit as crucial to your profits as trailing stops and the stocks you choose. That's because this management process tells you how much you should invest in your positions so that you're not risking more than you're comfortable with. Position sizing also helps you when you decide it's time to add to your winning investments–a process we'll discuss in a moment.
Investment Advice in the Form of a Marble Game? At the many seminars he speaks at each year (including The Oxford Club's Investment U), Dr. Tharp illustrates the importance of position sizing by having the participants play an investment game using a bag of marbles... At the start of the marble game, participants are each given $100,000 in play money to seed their portfolio. There are 20 marbles in the bag, each one representing either a losing (black marble) or a winning (white marble) trade. There's one more interesting variable. Sixty percent of the marbles in the bag are winners while 40% are losers. And each marble is replaced after it is drawn. One of the winners is a "10 times winner," and one of the losers is a "5 times loser." Now, the odds of winning in this marble game are far higher than the odds you and I face in the markets. Still, when Dr. Tharp conducts this game with his seminar audiences, more than two- thirds of the participants always lose money. And a full one-third go bankrupt! How is that possible? How can a majority of people lose in a game in which the odds are so heavily in their favor? The answer is very simple: Those who lose money do so because they have no idea how much they should be investing in any one marble draw. They are playing the game without a "system," so they're really doing nothing but gambling. This sort of approach doesn't win the marble game. And, in the real-world investment game, it won't lead to long-term wealth. The key to success they're missing in the marble game– and the strategy you should use in your portfolio–is position sizing. Successful Investing Is Emotionless Investing Just as we saw when we were looking at trailing stops, investors in this marble game lose money because they get caught up in the emotions of investing. During his marble game, Dr. Tharp does just what's needed to push all the "hot buttons" of his audience... For example, after 10 pulls from the bag, he'll ask to see the hands of all those whose play-money portfolios have doubled in value. And a few hands always go up. Of course, when the others in the game–the vast majority–see that a few of their fellow participants have hit it big already, worry and envy enter the picture. And what do you think happens? In an attempt to catch up with the winners, the other participants start increasing their bets. Problem is, when these ill-considered bets turn out to be losers, they're doomed to failure–they dig themselves into a hole they can't get out of.Now, I'll show you how you could win in this marble game. It's the same way you'll win in the real-life investing game– the game that will determine the level of wealth you're going to attain in this life. Here's how you can pursue the very same low- risk ideas the world's best investors go after... First of all, I'm assuming that you'll be following our investment advice and always have 25% trailing stops on your investments. The 25% is our rule–you can chose your own percentage. The most important thing is that you use it consistently! Based on this assumption, for your investments to be low-risk, you should be dealing with odds of at least 2-to-1 or 3- to-1 in your favor, and that means you should be expecting returns of between 50% and 75% on your profitable investments. We arrive at those figures knowing that because you'll never lose more than 25% on any one investment (you'll be stopped out at a 25% loss), 50% and 75% gains represent, respectively, 2- to-1 and 3-to-1 odds. To give you another example,let's say you invest in a stock that you expect to return only 30% rather than 50% or 75%. To keep your investment low risk (and your odds at 3-to-1), you'd have to change your trailing stop from 25% to 10%. Whatever your expected profits, here are two "golden rules" you should follow: Know your worst-case scenario to keep from going bankrupt Determine how much you're willing to lose in any one investment Now we'll see how you would apply these two golden rules to Dr. Tharp's marble game in order to come out a winner. You'd first have to decide how much of your $100,000 you were willing to lose on any one marble pull. Now, because you're adhering to The Oxford Club's 25% trailing stop rule, that decision won't be difficult for you–you know that 25% is the maximum you're ever going to lose. So you would never want to put more than 5% of your money on any one marble–because if you were to pull that 5 times loser out of the bag, you'd hit your stop-loss limit (5% x 5% = 25%). You'd have to start with a bet of $5,000 (5% of $100,000). But what would you do next? Would you simply continue to bet $5,000 on every marble you pulled from the bag? Well, because the odds of this game are heavily stacked in your favor, that strategy would probably mean you'd end the game with more money than when you started. So it would be a good strategy–but it's not the best you can do... To really optimize the profit on your investments–in the marble game or in real life–you should scale the size of your investments to the amount of total capital you have in your portfolio. Our Stock Advice: Always Know Exactly How Much to Invest in the Market for Maximum Profit and Comfort If in the marble game your portfolio had grown from the starting $100,000 to $200,000, and you want to stick with your 5% rule, then instead of investing $5,000 on your next investment, you'd go with $10,000. Your risk stays the same (a $10,000 investment in a $200,000 portfolio is the same as a $5,000 investment in a $100,000 portfolio), but your potential for profit escalates because you have more money in play. Similarly, if you happen to start out with some losses, you only risk 5% of what remains in your portfolio. For your initial investment and for all subsequent investments, you should never take on a bigger risk than you're comfortable with. And you should have a systematic way of investing that ensures that no matter how the size of your portfolio changes, you'll continue to maintain that same risk level.
The advice we give at The Oxford Club includes a strong recommendation that our members never have more than 2% of their capital at risk in any one position. But remember, that doesn't mean that you can only invest 2% in any one position–it means you shouldn't have more than 2% at risk.
To illustrate this 2% rule, let's look at a $100,000 portfolio. I
f you follow The Oxford Club's rules for 25% trailing stops and 2% risk, the maximum you can invest in any one stock at any one time is $8,000. Here's the formula for figuring that out... [(.02 x 100,000)/.25]. Now here it is "spelled out": .02 times 100,000 = 2,000, divided by .25 = 8,000. If you decided you wanted to put less at risk–1% of your capital–our formula would be [(.01 x 100,000/.25] and your limit would be $4,000 in any one stock. The central message here is consistency: Decide on how much you want to risk... and then stick with that number no matter what. Stay with low-risk ideas... have a consistent exit strategy for the stock market... and you'll begin to make money just like the world's greatest investors.
Let Your Winners Run–"Scale" Your Way to Ultra-High Profits
As a final, bonus secret technique of the world's greatest investors–again from Dr. Tharp–I want to tell you about "scaling in" to investments. The basic reasoning behind this technique is that once you've found a winner, you absolutely don't want to sell it. Instead, you want to put more money into it...
So far we've seen exactly how your portfolio will benefit from strictly following The Oxford Club's 25% Trailing Stop Strategy. And you've seen how following position-sizing opportunities keeps your capital safe while letting you rake in the maximum amount of profits available. That's a perfect combination. It's also one that few investors get advice on from their stock brokers. In scaling in, you'll be using a similar rule to what you learned in our look at trailing stops. Only this time, instead of selling when your stock falls 25%, you'll be adding to your investment when–and every time–it rises 33%.
Now let me pause for a just moment to issue a warning... At about this time, average investors will begin to worry. That's because to them the idea of adding money to a stock that's rising is every bit as frightening as selling a stock that's falling. Once again, emotion has come into play, and it threatens to get in the way of your profits. But by this time, you should be beyond that.
You've seen how being afraid to sell a falling stock can hurt you, so you understand the negative role emotion can play in investing. What's more, you should be able to appreciate how investing more money into a rising stock can help you... ======================
SCALING UP
One of the best examples that we can use to illustrate the power of scaling in involves the French telecommunications giant, Alcatel. When we first recommended this company to members it traded at a price of $22. We rode the stock all the way up to a 108% gain before selling it on the way down when we ultimately pocketed 78%. The fact that we gave back 25% off the stock's top didn't bother us a bit. After all, every $10,000 our members invested in Alacatel had blossomed to $17,000–and this money was safe from any further erosion in the stock's price. But here's how you could have done much, much better with Alcatel. Rather than just sitting back and watching their winning positions climb, the world's best investors will "feed" their successes more money–so that there's more capital on the table to take advantage of the high profit that will be thrown off by these winning rides. And, of course, they always know how much additional capital to add because they're using the position sizing technique.
As you've seen, our advice is to not put more than 1% or 2% into any one stock market investment or 1% in subsequent scale-ins of that investment. In other words, you put 2% in to start the investment, and then if it climbs 33% for you, you add another 1%... another 33%–another 1% goes in, and so on. I'll illustrate this principle using a very simplified scenario, but I will use a 2% scale-in to emphasize the effective use of scaling in...
Let's suppose that after your initial investment in Alcatel–and for the subsequent 14 months–the size of your portfolio was such that 2% equaled $4,000. That would mean that if Alcatel had gone up 33%, you'd be in a position to feed this investment with another $4,000. As we saw, Alcatel in fact rose 108% after The Oxford Club recommended it. Which means that you would have had opportunities to do three "scale-ins" of $4,000 each. This scenario is played out in the chart above. By adding $4,000 each time this stock went up 33%, you would have maximized your profit from it during the 14 months The Oxford Club recommended it. So instead of a $10,000 investment growing to a very respectable $17,000, your total stake in Alcatel would have skyrocketed to $43,514!
The reason we recommend you wait to do the initial scale-in until your investment has risen a full 33% is that by that point you're guaranteed never to lose any money on the stock as long as you get out at the trailing stop.
Because you'll be using a 25% trailing stop, the very worst that could happen to you at this point would be for the stock to return back to the point at which you bought it–a wash, in other words. An Ideal Profit and Safety Scenario Unfolds... The secrets that Oxford Club Investment Advisory Panel member Dr. Van Tharp discovered are used by 99% of the world's most successful investors, and are now yours to apply to your own investments.
At the end of the day, these secrets–limiting your losses and maximizing your profits–seem to spring from just plain common sense.
The problem, of course, is that common sense is an extremely rare commodity in the world of investing.
Many stock market investment advisors, newsletters, mainstream media financial TV shows, and Internet "gurus" make a living out of complicating the process with their own forms of investment advice, rather than simplifying it. After all, the more complicated they make it, the more mysterious it seems. And the more mysterious it seems, the more it can play on the emotions of investors. And the more emotional investors get, the more they'll turn to these very same self-proclaimed experts for "investment advice." It's a vicious circle. The Oxford Club takes a different approach. It is our hope that you now appreciate the absolute necessity of stripping emotions out of your investment decisions. Our goal is to make investing simple for you. We believe that if you follow a common sense–but incredibly powerful–system of controlling your losses through trailing stops and feeding your winners with fresh capital, you'll find yourself pulling in the kind of profits that will build real wealth for you and your family. Good investing,Alex GreenInvestment Director, Investment U, The Oxford ClubFor more information on the The Oxford Club,
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