Trading lesson – Jan-17-2020

To make the best stock investment decisions in today’s stock market is a tough task. As I do not have so much time to do all fundamental analysis of individual stocks I decided that the fundamental analysis I will use in my position trades is going to be global stock market fundamental research.

The global macro approach helps you define the area of stocks, sectors or regions that could perform well in the coming months. These global macro fundamental ideas will not help you to select an individual buy pick immediately but can give you other parameters for the further selection process.

How to select the best stock investment in today’s stock market? What are the problems with fundamental approach? How to correct them? What is my stock market investing advice for you?

Reveal the secrets of the global macro fundamental research for best stock investment decisions.

Trading lesson – Jan-10-2020

Stock can be bought and sold privately or on stock exchanges, and such transactions are typically heavily regulated by governments to prevent fraud, protect investors, and benefit the larger economy. But the question is – how to select the best stocks to buy now?

The selection process can be based on several different parameters. How long do you plan to hold the position in stock you want to buy? Do you plan to buy them as a short-term opportunity for your swing trade strategies or do you prefer to hold these shares for a mid-term period as a position trade preferably?

The global macro approach of fundamental analysis can help you in defining the area of stocks, sectors or regions that could perform well in the coming months.

Find the way how to find the best stocks to buy now. 

Trading lesson – Jan-03-2020

Do you want to learn more about the basics of investment? Do not try to avoid some learning processes if you are a beginner. Only studying good teaching materials like books, videos or other relevant material could provide enough information about the stock market for a beginner.

A very good source of basic knowledge and investing tips about equity markets are good books. There are plenty of different titles for every beginner to choose from so I have put together a list of books that describe different issues of beginner investing in markets and stocks.

Discover the best books to learn beginner stock market investing.

Trading lesson – Dec-27-2019

We have talked about shorting a stock, also known as short selling, in the recent lesson. As you already know, short selling is an investment or trading strategy that speculates on the decline in a stock or other securities price. It is an advanced strategy that should only be undertaken by experienced traders and investors.

Short sell strategies are an important part of stock trading systems for most profitable traders. A selling short strategy is a valuable tool in neutral and bearish market situations. Short stock strategies could be based on several different ideas. The quite popular idea is to use some parameters of fundamental analysis to check whether shares are a good pick to short a stock.

Discover how to find candidates for short sell strategies.

Trading lesson – Dec-20-2019

Shorting stock, also known as short selling, involves the sale of stock that the seller does not own, or shares that the seller has taken on loan from a broker. Traders may also sell other securities short, including options.

A typical motivation for a short sale is the hope, fear, or perhaps only the tentative expectation that the market value of the asset will decline. For the realization of good and profitable selling stocks short strategies, it is important to short a stock. There are stock market situations when it is preferable to sell short instead of going long and buying shares, such as the bear stock market trend, the relative weakness or strong trend reversal.

Find out the technical reasons to short a stock.

Trading lesson – Dec-13-2019

A chart pattern or price pattern is a pattern within a chart when prices are graphed. In stock and commodity markets trading, chart pattern studies play a large role during technical analysis. When data is plotted there is usually a pattern that naturally occurs and repeats over a period. Chart patterns are used as either reversal or continuation signals.

There are several profitable chart patterns. The simplest and easiest to use are flags and pennant patterns. These patterns are characterized by a clear direction of the price trend, followed by a consolidation and rangebound movement, which is then followed by a resumption of the trend. They are continuation patterns, and forms when the prices of stocks rally sharply.

These patterns are typically found using a manual overview of different technical stock charts. What are the options for online screening for profitable chart patterns and what software for flags and pennant screening should you use?

Read more about the screening for profitable chart patterns like flag and pennant.

Trading lesson – Dec-06-2019

Have you ever heard of pattern trading? Who are the participants of this market exchange? Pattern day traders are traders who execute four or more day trades within five business days using the same account.

Day trading refers to buying and then selling or selling short and then buying back the same security on the same day. Intra-day traders are faced every day with the necessity to make quick decisions about the opening and closing of every single intra-day trade. The most profitable intra-day traders use very simple day trading systems.

Check out how to become a profitable pattern day trader.

Trading lesson – Nov-29-2019

Every trade you make on the markets should have an exit strategy. In general, in exit strategy is a means of leaving one’s current situation, either after a predetermined objective has been achieved, justifying premises or decision-makers for any given operational planning changed substantially, or as a strategy to mitigate imminent or possible failure.

It’s very important to have your swing trade exit strategy well defined in your trading plan to know how to exit your trade. Only when you exit the trade, that means to sell the shares you bought, does the real money come into your account.

Check out the two main exit strategies in position or swing trading.

Trading lesson – Nov-22-2019

Stock, ETFs but also currencies and commodities trade a lot of time without major direction and in an established trading range. A trendline is very simple technical analysis indicator that you should use in the stock chart analysis process.

It is absolutely critical to understand that there are different market-trend situations. It is very helpful in analyzing the stock market trends and ETF trend for the trading strategies used for trades with stocks and exchange-traded funds.

Some traders and investors only choose to trade during uptrends as they utilize various strategies to take advantage of the tendency for the price to make higher highs and higher lows. An uptrend describes the price movement of a financial asset when the overall direction is upward. Trend traders utilize uptrends by buying during pullbacks or as the price rises again, attempting to capture profits based on the concept that uptrends make higher lows and higher highs.

If you are interested in finding how to identify uptrend on stock market charts, read more about the uptrend on stock market charts.

Trading lesson – Nov-15-2019

The existence of liquid water on Earth is vital to the existence of life on Earth as we know it. Water plays an important role in the world economy. Approximately 70% of the freshwater used by humans goes to agriculture. Much of the long-distance trade of commodities (such as oil and natural gas) and manufactured products is transported by boats through seas, rivers, lakes, and canals.

Water is also a commodity exchanged in ETF trades. It offers a nice possibility to actively invest in ETF shares of commodities that are not so heavily tracked by investors.

How to invest in this ETF? Find out more about the water ETF.

Trading lesson – Nov-08-2019

“How to find the best stocks to invest in?” There are many ways to invest money. You can have several income streams that generate cash for you month by month. Investing in shares and trading is another option that could be used with other ways to invest money and generate income.

There are several ways to invest money in shares that represent international companies or complete international markets. There are plenty of international stocks available to trade on US exchanges.

The US stock market is the largest stock market in the world and it is possible to invest in international companies or regions using the US stock market, too. The US stock market offers a huge pool of liquid stocks that can be bought. US exchanges also offer plenty of different options on how to invest in commodities. Almost all parts of the commodity markets are available for equity investors. It could be one way to invest your money.

Discover good ways to invest money using US stock markets.

Trading lesson – Nov-01-2019

Analysis of stock market charts is a very important task that should be done by every short-term trader. Stock chart reading is a primary activity of any technically based trader but it is often difficult and complicated for many traders.

Reading stock charts is not rocket science. It is much easier than you can imagine. But you should keep it simple and easy. If you plan to make swing trades, position trades or even day trading, you have to understand how to read stock charts. Many of them are not about technical analysis but about the approach to chart reading.

Find out how to read weekly stock charts and how to analyze weekly stock charts in your charting software.