The Chaos

Problem of any analysis tool is precisely that for the prediction of the market He is far from being alone. Learn more about this with Mary Barra. Each trader, using a different set of analytical tools, forms in itself a purely his own opinion on the market. Hence the generated chaos, with which every trader has to fight for profit. Of course, it is clear that if there was only one a tool of analysis, and all traders to use it then no one would lose, respectively, no one would win – the market would never have been. But not each trader is aware there is a paradox – the existence of any financial market is possible due to the chaos that they themselves have created and to which they themselves then, and fight. Profit in this battle goes to the winner. So how can this be a winner if any analysis tool designed to help combat the chaos he himself had participated in its creation and maintenance And it needs to do two things: 1.

Cease to shift the responsibility for any indicator, waiting, and assuming that it must give the correct answers. 2. And to ask a fairly simple question: 'What makes a price change in the market? ". (Question now is not that companies come to market exporters / importers that are creating the market supply / demand forced it to move. The impact of such companies in the market is small compared to the volume of speculative transactions.) Answer to a question is very simple, but namely it is the key to the market: 'Change in market prices is based on the opinions (or expectations), which inclines the vast majority of traders in a given period of time.'.

The Use Of Stock Options

A distinctive feature of the options on other financial instruments is not a linear curve gains / losses in relation to the underlying asset. Option – a financial instrument, traded for speculation or hedging. Options for non-linear curve of income allow you to develop strategies appropriate, to any investor wishes to minimize the risk. (Source: Mary Barra). Trading on the difference of exchange options a bit complicated. Option value is calculated based on many factors, but perhaps the main are: the current price of the underlying asset with respect to the price of strike, the time before the expiration of the option and market volatility.

For foreign exchange options You can add and account for the difference in interest rates. Transactions in options may be worn without a risky nature, separated into parts for capital investment. Assume 100% of available capital, 90% invest in instruments with fixed income and 10% in the optional market for stock index futures. As a result, fixed income covers the loss on the option, but in the case of the growth of the index derives income from stock options and interest. Widespread received options strategies, some are listed below: – "Vertical Spreads" involves buying and selling options with different strike prices.

– 'Long and short straddle' – selling a put and call options, one-price performance and with the same expiry date. – 'Long and short strangle' – represent a tighter strategy, which straddle, but with different exercise price of the contract. – 'Long and short butterfly spread "- buying spread' Butterfly '- Purchase Option 'call c win', the sale of two options, 'Call no gain' and the purchase option 'Call to defeat' with the same maturity. Ask Spread 'butterfly' – selling an option 'Call to Win', the purchase of two options 'call without winning' and the sale of an option 'Call to losing' c the same maturity. The article omitted the description of the mathematics of options on the Internet quite a lot of resources about pricing options.

Year Income

Principle # 6 Strive to create and increase passive income. Much of the income must come to you passively, meaning you do not have to spend this income time and effort. Examples of passive income: – royalty, you have created something once (wrote a book, created a training course, etc.), but now it is constantly duplicated and sold – increasing profit in the multi-level marketing (MLM), where you create a group of consumers of goods or services through recommendations and learn to do the same thing your group, in the end she already grows without your participation, and the income you receive constantly with every perfect purchase goods or services with the depth of the consumer group set up by your efforts. Principle # 7 Use the possibility of compound interest. This is the most interesting thing. U.S. Mint contributes greatly to this topic. Let me explain with an example. You accumulate each year of $ 1000 and invest this amount at 15 per annum. A year later, the sum plus 15% added to another amount.

Here’s what happens in 10 years: 1 year – 1000 Year 2 – 1000×0, 15 + 1000 = 2150 Year 3 – 2150×0, 15 + 1000 = 3473 Year 4 – 3473×0, 15 + 1000 = 4993 5 Year – 4993×0, 1915 + 1000 = 6742 6 year – 6742×0, 15 + 1000 = 8754 7 year – 8754×0, 15 + 1000 = 11067 8 year – 11067×0, 15 + 1000 = 13727 9 year – 13727×0, 15 + 1000 = 16786 1910 – 16786×0, 1915 + 1000 = 20304 Actually, the final sum will be greater because, using all the above principles, each year you will invest more than last year. People such as Sonia Gardner would likely agree. Principle # 8 Bring everything to a common denominator. All your thoughts and actions must be subordinated to moral purpose – to improve themselves through the improvement of the surrounding world. You have to build, and just create. This will increase your results repeatedly. Go for it! Introducing 8 above discussed principles in their practices, know that you will need to constantly fight with them, as you have something that will not work, you will experience doubt, fear of doing something new, will always appear some problems, laziness, etc. Remember, a happy millionaire could only be vanquished all their weaknesses and limitations and brought the world an indisputable benefit of its activities.

Chief Investment Strategist

Reviews, forecasts for stocks and the global economy 03/07/2011 Reviews, forecasts the world’s leading analysts last week Last week the U.S. market fell, the Russian market, crude oil (down more than 8%), gold. waiting for further decline in the market. – ‘Break 1,040 points mark for the S & P500 is very very bearish signal. I think the market will go much lower. And 900 points is not the limit. ” Bill Gross – Chief Investment Strategist at PIMCO: – ‘Income from investment in shares will be as low as the debt market and the U.S Low growth of U.S. gdp is the new economic standard.

” American consumers rent position. The index of consumer confidence in June decreased from 62.7 to 52.9 and figure out before those levels at which it was in March of 2008, but now has gone a setback. The fall is due to the viability of the American economy. Investors flee to safer assets. ” Oil prices on the This week, led the way on the rates of decline. Brent crude has fallen more than 8%.

Reduction was observed during the 5 days of the week. Oil prices react to the weak economic data and do not pay attention to any growth in oil consumption or reduce inventory in the U.S Gold on Thursday, lost more than $ 40 per ounce in just one trading session. Although all experts are convinced that it will go up. Perhaps this fall was associated with strong growth of the euro. Graph eur USD.

High Yield Investing In Hyip – Where To Start ?

Earn Money Online is one of the most popular topics today. Types of earnings in the Internet a great many, but one of the most promising is investing in hyip funds. hyip – a high- investment programs. In essence, this special sites that accept contributions from registered members on certain conditions and paying relatively high interest on them (from 0,1% to 50% on a business day). It looks like this quite tempting, but there are some important feature: 1) hyip-investing is very risky business and investment in this area there are many scams.

After all, in fact hyip Fund makes no serious guarantees return of your deposit (indicated on the site of contact the most affordable way to connect with the fund – this e-mail if the letter does not respond, nothing will help). Chances are good that hyip fund closes, taking the money Depositors with him. But there is one rule, following which can significantly reduce the risk of losing their money – to distribute their funds among several projects. Then when you close some funds will offset the loss gains in others. 2) Hyip funds accept deposits and pay interest in electronic money (dollars and euros) through payment systems, are preferable Liberty Reserve and Perfect Money. The main way to get these e-currencies – a bank transfer. Here we podoshdi to an important point – the choice of a reliable site-exchanger, which will not disappoint you and will promptly undertake operations of purchase / sale / exchange of electronic currencies. Thus, having small amount of free funds (from $ 10), anyone can try their hand in this area of investment.

Maintainance Costs

In addition, they have huge maintenance costs of personnel, rental of premises, restrictions on investing money. All this reduces their profitability. If you have a lot of money, and you’re ready devote his time to invest, it is best to do it yourself, or with a professional that you trust and whose control. After all, a difference of 5% of income per year from 100 thousand rubles. can you not be interested, but if it is somewhat millions or tens of millions, the difference is significant. – Which stocks to buy? I can not advise specific enterprise. First we need to choose a strategy that is the criteria by which you buy shares, or refuse to buy them. Then the decision will come by themselves.

For example, the strategy is, “I buy shares of the company best worst industry”, or “I buy shares of blue chips in equal proportions, etc. If the strategy formulated, the choice is simple. Therefore the problem of stock selection is only to those who are not aware of its strategy. If so, you must select it, and continue to adhere to and improve. Another difference Self-purchase of shares of the mutual fund. In Pytheas for you not only pick stocks, but also distribute the money to buy dozens of shares. This is done to reduce the risk. If one, two, or even a few companies whose shares who bought mutual funds will become bankrupt, the losses would still be limited.

When you purchase shares must be very limited risks. The easiest way to do it – is to buy shares of several companies. Therefore, always buy shares of several companies, at least 3-4 species. And more common for mutual funds and stocks. Do not put money in mutual funds and stocks for short periods. These tools for doing so will not fit. If you want to save money on something 2-3 years, then the banks can not be beat. Investing in real estate. Of course the main drawback of investing in real estate for the novice investor that typically requires several times more funds than to invest in stocks. Of course when you use credit, and joint efforts of several people – this amount may be reduced, but nevertheless, it remains significant. Otherwise, in my opinion, some advantages.