Dean Whittingham created A Traders Universe - Trading System Development in 2005 as a resource site for traders of all levels, with education, courses, brokers, tips, free videos, newsletters, trading systems, simulations and a free 7 step process for building a profitable stock, futures or forex trading system. Read how Dean illustrates how the change in currency exchange rates effect the overall performance of any overseas trade on your financial statement.
Picture this: you live outside the US, let’s say Australia, you think the price of Oil is going to appreciate over the next month or two. Your options are to buy the commodity through the futures markets, buy a CFD, or buy an ‘oil’ based ETF. Either way, you will be buying an oil based asset and in which currency? The US dollar.
What happens? Well the price of Oil appreciates, and low and behold, so too does your purchase (whichever that may be), in fact it appreciates 20% over two months. Nice! Then something strikes you. You look at your financial statement only to be reminded that your sale price has been converted back to Australian dollars; naturally, this is where you live and so too does your broker. Continue reading "The Currency Exchange Trap In Trading Global Markets"→
Todd Mitchell of Trading Concepts is truly dedicated to trading and educating fellow traders. This is immediately apparent if you have ever spoken with him or read one of his articles.
Todd has been trading full-time since he graduated from college in 1990 and since 1994 has been sharing his powerful and successful trading strategies with traders of all levels. Today Todd is going to cover price action and its importance in trading systems and how it relates to day trading. We would love for you to leave a comment here for him here, but you can also visit Todd at TradingConceptsInc.com.
Modern day trading systems use multidisciplinary approaches to determine appropriate trading setups and to gain an overall understanding of the mood of a given days trading session. At the heart of many trading systems is price action analysis, which is interpreted in a variety of styles and approaches that best suit the particular traders methodology. Price action analysis has always been an important facet in understanding intraday trading and short-term trading trends. In some trading systems it is the primary component in determining trade selection, and in others it plays a secondary or filtering role in determining trade selection. To be sure, there are well-known trading systems that utilize only price action analysis and eschew oscillators, indicators and all the other modern day mathematically based trading tools. Continue reading "Price Action Analysis and Day Trading"→
Please welcome Paul Judd to the Trader's Blog stage where he will present to you a very interesting trick...BONDS ARE GOOD! Paul should know as he's dedicated the last 14 years to treasury bonds where he's learned the in's and out's that we should all take a look at! So please read the article below, visit Paul's Blog here, and let the comments fly!
I can take a position in the bond market prior to the release of an economic report. Once the report is released, I can close out my position and take profits. Cash is King!
Not so if you are a long-term investor in stocks.
A popular slogan used by many “salespeople” on Wall Street is to buy and hold for the long term. However, not only is your money tied up for years but also holding for the long term doesn’t necessarily mean you will make a profit.
For instance, if you had invested in the stock market in 1962 and held until 1982, you would have lost money.
The following are comparisons as to why trading bonds can be better than buying stocks: