Tuesday, January 20, 2009

Understand Aggressive Growth Funds

The stock market and its lingo can be confusing sometimes, but it is important to know about the economy. Here is a brief tutorial on what aggressive growth funds are and what they mean for you!

Know that an aggressive growth fund is a specific type of mutual fund. Its main goal is to achieve the largest capital gains possible. Due to this, it is not as diverse as other funds that you may choose from.

Understand that aggressive growth funds are most accommodating for investors who are willing to take the higher risk to produce a bigger return on profit, but still want the safety net of a fund rather then an individual stock.

Realize that these types of growth funds are also beneficial for those who want a closer balance between mutual fund returns and stocks. However, as mentioned before, these types of mutual funds are not risk averse compared to something like an index fund.

Know that aggressive growth funds tend to produce fantastic results in good economic times, and horrible results during bad economic times like a recession.

by ehow.com

54. Simple Explanation of The US Economy For Traders Part 2

This is a video I found on YouTube by InformedTrades.com. Hopefully the information I provide will be useful to everyone.

A lesson on the second two components of the US Economy the Private and Government Sector and how these each affect forex, futures, and stock traders. In our last...

Monday, January 19, 2009

Thrive in Harsh Economic Times

When "The Secret" aired on Oprah, showcasing the Law of Attraction; people began to furiously think positive thoughts to magically transport what they wanted into their lives. Many unrealistic expectations were dashed because of what became better known as "wishful thinking". These same people didn't realize they needed to envision what they wanted with clarity and ask for it, be patient and take note of opportunities that came along, AND take action to bring what they wanted into their existence.
Soon after the law of attraction (via The Secret) hit the airwaves, the US economic climate began it's most noticeable landslide. No one knows where it's headed and fear is in the air. Is it possible, to not only survive, but thrive in the harsh times of today? Many believe it is. Read on to find out how from one perspective.

HAVE PATIENCE:

Many Americans can remember tough times. The Depression Era symbolized hardships of epic proportions. My grandmother is an active 96 years young and would be hard pressed to say that anything we're facing now is as bad as it was then.

In a statement, John D. Rockefeller said that "These are days when many are discouraged. In the 93 years of my life, depressions have come and gone. Prosperity has always returned and will again." (Quote from Wikipedia-see resource below.)

Patience will be key in thriving in the current harsh economy.

BE PREPARED:

Although waiting it out patiently is important, so too, is being prepared.

Be cautious what financial institutions you place your money in.

Pay equal attention to current, and future, investments. A savvy investor will realize that the current situation with the stock and real estate markets may very well be a cloaked opportunity.

With mounting food prices; you may want to watch more closely for sales, begin using coupons, store some staples in bulk amounts, eat at home more, and pare down on non-essentials.

Shop thrift stores for excellent buys on gently worn (and often times high quality, or designer, clothing).

Carpool when you can and save from making multiple trips when unnecessary.

Learn other skills to expand the value of your current work situation; or in the possiblility of losing your job and your income.

FIND PERSPECTIVE:

The harsh economic forecast is on the television, radio, internet, talked about around the water cooler and over coffee in restaurants. It's a non-stop projection of doom and gloom.

*How does one find perspective?

Start with a news fast. This is simply a break from the media -generated "top stories". It means DON'T start your day with the morning news and end it with the late news before bed. In fact, don't listen to any of it.....at least for a day or more, if you can stand it !

*Consider the following sobering thoughts and questions:

-Do you have a job? Many people in our country and all over the world are unemployed, or work for pennies.

-Do you have a home, electricity, running water, heat? Millions of people will sleep on the street, under a park bench, in an unheated shack on a dirt floor tonight. Running water is rain. Electricity is unheard of. Heat is a prayer that it won't reach low temperatures and a piece of cardboard or newspaper for a blanket.

-Have you eaten one, or more, meals today? Millions, including children and the elderly, will not eat this day...or the next. Or perhaps they will find scraps in a trash can or be fortunate enough to have rice broth.


-Do you have your health, in full, or partially? People all over America and the world will suffer, or die, today because they will not have access to medical facilities or treatment.

Perspective is a way of seeing things differently. If one chooses to chime in with the country-wide mindset of panic and forecasts of recession and depression, then that will be YOUR experience according to the Law of Attraction. This law states that what you focus on is what you will draw to you. If you think about your life, you'll realize that it is so.

Tips & Warnings

  • Consider what you can be grateful for. Friends, family, a home, warm clothing, food, a job?
  • Support your local merchants and business' to boost your community's economy.
  • Shop "made in the USA" if possible.
  • Try to maintain a more positive perspective by reading articles and blogs from others who are interested in helping people to improve their lives; physically, mentally, and spiritually - such as eHow writer and blogger: Kevin Freeman. See resource below.
  • If you eat, sleep, and breathe bad news on the state of our country's economy, then by the Law of Attraction you will contribute to it.
by ehow.com

Tell if My Money is Safe or is Your Money Safe

Is my money safe? This is a question that many people are asking in these unknown financial times. Read on to learn how to tell is your money safe?

First you need to take stock of all your investments, whether it is in savings account or in municipal bonds.

Next remember that your bank investments and CDs will not drop depending on the stock market, so keep that money where it is.

Look at your stock investments and decide whether you think stocks will go lower. When stocks are low it is not a good time to sell. If you do not need the money then keep the money in the market and know that the stocks will rebound and decide is my money safe?

By ehow.com


53. A Simple Explanation of the US Economy for Traders

This is a video I found on YouTube by InformedTrades.com. Hopefully the information I provide will be useful to everyone.

An overview of the US Economy and the first two components of the economy which are natural resources and the labor force. Explanation meant for traders of the..

Monday, January 5, 2009

Pick the Best 2009 Investments

2008 was the year of investment turmoil. Although economists claim the first half of 2009 will have a few more market cartwheels, the time is ripe to make specific investments. In the first few months of 2009, market bottom picks will offer the savvy investor a chance to feather his portfolio.

Look for that oil slick investment in 2009. With rock bottom prices for a barrel of crude, this is the time to buy oil, especially in domestic production as OPEC is currently negotiating to further reduce oil production in an effort to raise prices.

Try your hand at some Funds predicted to do well in 2009. ProShares UltraShort and Merger Fund look like top performers and don't count out Hussman Strategic Growth fund when you're shopping. All three are among the best potential performers for this year.

Expect big movement from JNJ (Johnson and Johnson) in the 2009 investment market. With a steady growth rate and the pharmaceutical industry working overtime to keep up with new drug demands, JNJ looks like a winner.

Tread carefully in 2009. After the housing bubble burst and subsequent market losses, the fallout is not yet over for that sector. The drop in housing values will likely see foreclosures, which will drive home values even lower throughout the first part of 2009. Direct investment in localized areas where industry advancements are expected could net you a tidy nest egg by next summer when the market is slated to be in full upturn.

Tips & Warnings

  • Avoid stocks that were volatile in 2008.
  • Invest in the big giants, such as Microsoft early in 2009.
by ehow.com

Learn about the Recession History

Recession and its history is something of great importance to all of us, for it is a part of our lives, regardless of our race, gender, age, religion, and ethnicity. Understanding and learning about the recession history will help you prepare for the future. Even more, this will give you the experience and knowledge so you can be least affected by the recession.

Go to http://recession.org/history. This site is the best resource for learning about the United States Economic Recession.

Begin to briefly read the earliest recessions of U.S. history.

Write down important pieces that state the cause of the recession, and how the U.S. got out of it. Do this for each possible recession period.

Thoroughly study and read the current (or most current) recession. Take notes as you did for the other past recessions, but this time be as detailed as possible.

Create a list of the factors that have created or caused a recession(s), as well as the factors that help either prevented a recession form happening or got out of it altogether.

With that list you have made, decide how you can incorporate all the positive aspects into your life, as well be sure to create a ways that will prevent from the recession to negatively affect your life in any possible way.

With all of you paperwork/ homework, contact as many possible marketing and government professionals so that they can advise you on your situation within the recession, as well as describe details to a recession.

Tips & Warnings

  • Any specific professional that you have found to be affected by a recession, then contact someone who can be of as much assistance to you as possible.
  • The more professionals you can contact and work with the better prepared you will be, and the more you will ahve learned about the recession history.
by ehow.com

52. Fundamental Analysis and The US Economy

This is a video I found on YouTube by InformedTrades.com. Hopefully the information I provide will be useful to everyone.

A lesson on the basics of fundamental analysis, the top down and bottom up, and the US Economy for traders of the stock, futures, and forex markets. there are two

Thursday, January 1, 2009

How to Read The Signs of The Stock Market

Reading signs from the stock market can be very difficult, but in the end the stock market is a very good predictor of many other things so those who can read the signs of the market are a step ahead of the rest.

The way the stock market trades over a period of time is generally a sign of something, but it can be very difficult to discern exactly what it is. Experience following the market and watching market trends helps a great deal. What else can help you read the stock market? Look below.

A large amount of volatility, or huge swings in both directions is generally a sign of uncertainty on Wall Street. This kind of volatility is particularly evident in bear markets and when the economy is going into a recession.

The stock market generally moves several months in advance of the economy as a whole. For example, if the economy is recovering from a recession the market generally bounces back six months or so before the actual economy does.

Wall Street hates uncertainty The number one thing that the stock market does not like is uncertainty. It has been said that the market can deal with good news and bad news, but it cannot handle uncertainty and I completely agree with that. Even when the news is bad, transparency is what the market wants.

When too many traders get either bullish or bearish it is often the time that a contrarian trade works well. Extremely high levels of strategists and traders that are bullish generally means the market is near a high and vice versa.

The number one most important rule of reading the stock market is to make sure you don't make too much of one day's trading. A day does not a trend make, so you'd be wise to keep that in mind!

by ehow.com

Protect Yourself From Economic Crisis

This is a question I think we all can relate to. In a failing economy how does one protect themselves from economic crisis? Lets Face it the economy is in a critical status. People are loosing their jobs companies are exporting work over seas and people are loosing their homes left and right. I'm surprised that the stock market hasn't crashed completely. With all this economic turmoil what is one to do? As they say if you do not learn from history you are doomed to repeat it. With all this bad news there is a ray of hope and it all comes down to the way your respond to the situation.

Protect your assets. If you own a home or are planning to buy a home, attempt in every way to keep your 30 year mortgage rate fixed and not a variable rate. In addition if you're having trouble with your mortgage, contact you're lender asap and see what you can work out. A lot of people don't know that it cost the lender roughly $60,000 dollars to foreclose your home, so it's in their best interest to help you keep your home.

If you invest in stock or have a 401k plan, I urge you not to concentrate all your money on one particular stock niche,or just your companies 401k . Instead look at your portfolio and diversify your stocks as much as you can to protect yourself. I hate to say this but the dollar is on a steady decline and your best bet is to invest in foreign stock. I suggest you make an appointment with a trusted professional to view your options.

Invest in gold bullion or precious metals. I can't tell you how important this is. Money has always been back up by gold unfortunately with the advent of fiat money the standard has been changed, however gold is always the more valuable commodity, in addition to other precious metals such as platinum, silver, Palladium etc.

Last but not least attempt in every way to reduce and manage your debt. I don't care how much debt you have, if you are adding to the pot you are hurting yourself. Instead find a way or seek professional help to manage your debt. It's terribly unreasonable to say eliminate debt, Instead I encourage you to manage the debt that you have.

By ehow.com

51. Maximize Trading Profits with Correct Position Sizing 2

This is a video I found on YouTube by InformedTrades.com. Hopefully the information I provide will be useful to everyone.

A lesson on the % Volatility Method for determining position size for traders of the forex, futures, and stock markets. The Link that I refer to in the video is her...