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-Archives- Wednesday, September 5, 2007
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Wednesday, September 5, 2007
Swing Trading for Gigantic Profits - Choosing A Winning Stock Market Trading System
It is surprising that many traders fail to take into consideration their own risk profile and also trading psychology in trying to find a winning stock market trading system that they can use daily to make consistent profits from the stock market.
On one occasion a trader approached me for some advice to create his own winning stock market trading system. Flushed with funds, he invested in a copy of an advanced stock market analysis program that had won awards for some 5 consecutive years as the best technical trading system for stocks and commodities. Costing over $5,000 this software would be a trader's dream in tracking and trading the markets.
The use of the software involved re-learning a process of trading. The software had trading systems based on a combination of advanced WD Gann and Elliot Wave Techniques, and soon this trader was familar and able to input his trading system into the system tester to track, analyse and trade.
But was he happy with his system?
One week later, he rang me up on the phone and said." Why is it that the stock pick list from the system does not change for 4 days? Why are the stock picks not moving anywhere...even after 4 days they have been identified."
You see, he has not considered his trading needs, his personal risk and trading psychology.
Here he was, a trader who thrives to trade and can take more risk. Here was a trader who loves the trading action. He would be best seen making trades every day, and not sitting down there at the trading room or in front of his own trading desk observing and watching for the best moves to develop before he places his trades.
Instead, he has invested in a software that delves into the longer term trading system of elliot waves, of trading with the trend, of watching for trading opportuinities to set up when time and price meets for a change in trend according to the teachings of WD Gann. All these take time to develop, chart patterns take time to form and meanwhile this trader is unable to just sit and wait!
So if you are a trader who can take more risk and you want action - you want daily action - then choose a trading system that involves outbreaks of price and volume, rather than trading systems that are based on longer term setups involving time, price and pattern.
Of course, you can drop down to a lesser time frame to trade, so instead of using daily data to track your stocks with the trading system, you can move down to a lesser tracking time frame by using intra-day trading charts and trade the setups from the intra-day charts.
In the end what did this trader do? Did he chose to trade intra-day with intra-day charts?
No, this trader merely shifted his focus to an outbreak system of price and volume with a cheap software costing less than $500 and has been enjoying his trading ever since.
So if you are a trader, and are looking to work out a trading system with a software, consider your own trading psychology and risk profiling, and how often you like trading action.
Peter Lim is a Certified Financial Planner and had previously acted as a registered dealer representative for stocks and shares for over eleven years. He is the author of "Swing Trading for Gigantic Profits" which reveals how you can be a winning swing trader at http://www.signaldot.poolofwisdom.com/swingbook.phtml
He also provides free informative trading tips and resources for aspiring traders at http://www.online-guides.info/Swing-Trading
House Owner Insurance Basics And The One Tip That Most People Neglect But Pay's Off Bigtime!
'House Insurance' is an insurance policy that combines insurance on your physical house as well as your contents within. If something were to happen, flood, fire, vandalism, theft etc. you the owner will get back everything including your house and its valuable contents that were damaged according to the restrictions of the policy. Of course we all hope and plan that we never have to implement a claim and some never do. Yet, being prepared should you ever have to file a claim will save you alot of time, money and frustration at the worst of times; when you need help from your insurance company. With most large insurance companies developing an online presence many people can now compare prices and get a home owner insurance quote via the internet with relative ease.
Every home owner insurance policy covers two basic important areas, that being the property with physical contents and liability or damages to self and others. If you the home owner are responsible for unintentionally injuring or damaging other's property then your policy will also protect you from paying for damages done to other people. If the insurance company determines that you were at fault than the chances of getting a claim are pretty slim abviously.
The main benefits of a home owner insurance policy are as follows:
1) In case of any damage done to the physical house the owner of the house insurance policy gets back the amount that has been damaged.
2) The legal responsibilities of the owner are compensated.
3) The temporary living expenses are also given in case the owner is forced to leave his home because of a severe damage to his house.
4) Policies will cover your losses whether you are physically at home or not during the incident.
5) The house insurance policy covers the damage done to the house due to different natural calamities such as hurricanes, tornadoes, flood and earthquake but most of the time they are excluded from the standard insurance policy. If you live in areas that frequent natural disasters many insurance companies will provide insurance like this for an additional fee.
6) A policy can also contain items that you take with you away from the property like laptops for example.
The One Tip That Every Home Owner Should Do:
I certainly hope you never have to file a claim, but just in case you do this is one tip that will save you hours and hour of frustration. There is one big problem that frequently occurs when someone has to file a claim. The insurance company wants to know what you had and how much it was worth. Well, that's all fine and dandy if they'll just take your word for it but most of them are going to want to see proof in the form of receipts. I'm sure most of you are following my thinking on this already. How do you produce the receipts if they have just been lost in a flood or fire? Or what if your not able to turn up the receipt because it got lost somehow. An insurance claim can get really sticky at this point because it becomes your word with no proof of your previous items. This has been a really big problem for insurance companies as well as home owners.
How technology has come to the rescue:
Most people either have a home video camera or know someone that does and if not can probly find a store that rents one. In an effort to make the insurance claiming process simpler most home owner insurance companies will recommend that you take a home video of every room of your house with contents and keep the video off site.
If you think about this it works really well - there are even home inventory companies now that do this full time and store the videos in a safe place for you. The insurance companies love this because now they can see firsthand what your trying to claim and it becomes way easier to determine the value of items when they can actually see the make and model simply through the video.
The benefits for you the home owner are huge as well and this has been known to really shorten a legetamite claim and will also guarantee that the price you get for your items is closer to what they are actually worth. The biggest benefit is you may find there are alot of items that show up in the video that you had forgotten about and therefore your total claim may end up being alot higher than simply be memory. It's recommended to update the video every so often as your contents change.
So let's recap: use the internet to get a home owner insurance quote to compare companies to ensure your not overpaying for your policy. Do a video inventory of your home with contents and keep the video off site or in another city if you can. It doesn't take long but may be well worth it to you at some point.
Submitted by Chad McDonald for those needing home owner insurance or searching online for home owner insurance rate products and services.
Credit Cards Utilized to Get out of Debt?
The purpose of this article is to outline some very important, yet often overlooked bits of information regarding the feasibility of utilizing credit cards to actually get out of debt. I am sure that most of you are inundated daily by credit card applications and the latest greatest credit card offers. It should be obvious that these offers are simply a prime example of the famous bait and tackle method. However, it is very possible to utilize these offers to your advantage. I will list a few methods below.
If you are currently bogged down by credit card debt and really feel stuck due to the high rate you seriously need to consider opening another credit card. That is probably the last thing you thought I would recommend, however, I firmly believe it is the best option for some people. Many will look to debt consolidation companies for a quick fix and you may have looked into them as well. You need to consider this before taking that step. Most debt consolidation companies affect your actual credit score almost as badly as filing bankruptcy does (one step up from Bankruptcy). Also, a majority of the debt consolidation companies out there are owned by the credit card companies. So, why open a new credit card?
You must utilize the credit card companies' bait and tackle method to your advantage and open up a new card. I should preface this first by saying that it is likely something you've already thought about, maybe even done already. This requires pure discipline and if you don't have it don't do this. I am aware that an abundance of people are already doing this and it is nothing new, all I am here to say is that it works and should be considered.
The first thing you need to do is focus on offers on balance transfers that give you either 0% or below prime for the life of the balance transfer. For example, I currently have two credit cards, one with a rate of 0% on the entire balance (for the life of the balance) and the other with a rate of prime minus 2% (also for the life of the balance). 100% of my credit card debt falls across these two cards and I can sleep at night knowing that I am not getting charged 20+% and that my debt snowball process will actually be effective. You should also consider that the offer is void if you make a late payment. This is where the discipline comes in. You need to use your banks online bill payment option, make sure your account has over draft protection and set it up to make your payment automatically. Also, and even more importantly, DO NOT ACTUALLY USE THE CARD!
Finally, there are a ton of misconceptions that opening/closing multiple credit cards will negatively affect your credit score. I am here to tell you that it will negatively affect your credit score, however, no where near like going to a debt consolidation company would.
Chris Jones is the director at Credit Card Insight. CreditCardInsight.net provides a wealth of information on credit cards, credit repair, and debt consolidation.
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