If you want to short sell a share, you want to profit from its share price falling.
By short selling a share, you'll borrow it from an existing owner, pay a fee for the privilege and then sell it back.
You can use a number of trading instruments to short sell. These include single stock futures, contracts for difference and options.
So what are the risks with short selling? And how can y... ››› more
If you're looking to short sell, you want to make money from a share falling in value.
You can do this by short selling financial instruments like single stock futures and contracts for difference.
But how can you spot a share that's about to fall in value? Read on to uncover two tell-tale signs…
Short sell opportunity #1: Companies never off the acquisition trail
Some companies ... ››› more
When it comes to trading certain assets, some strategies just aren't suitable for the job. Take gold for instance. Think about how erratic its price has been this year.
So what sort of trading strategy can help you trade something like gold? You can use swing trading.
Read on to find out more…
What is swing trading?
Trading commodities like gold is a risky business. The gold price... ››› more
Over the last week or so, there's been a bit of a pullback in the markets. And when something like this happens, it sends some traders running to start shorting stocks.
But these traders should remember that bull markets don't turn into bear markets overnight.
So what should you do? Read on to find out…
It’s not time to short the market
When the markets took a bit of a tumble la... ››› more
Moving averages smooth out a share price (or price of another asset). By reducing a lot of the volatility you see, you can use them to help pinpoint when a share is going to take a move higher.
But how do moving averages work in practise?
Let's take a closer look…
A worked example of moving averages
To help you get to grips with the workings of moving averages, let’s look at som... ››› more
If you're looking for a trading tool to help you get into a trade at the right time, then moving averages could be for you.
Moving averages can help you enter a trade before the price leaps higher.
So how do moving averages work? Let's take a closer look…
What are moving averages?
Moving averages smooth out the action of an asset’s price. In other words, it reduces a lot of the ... ››› more
Short selling is the opposite of the traditional way of buying (going long) shares or another security. Unlike buying a share in the hope the price will rise, short selling involves finding an overvalued share and betting that its price will fall.
Short selling goes against the ‘normal' principles of investing. But if you want to speculate on the financial market this is how you can take adva... ››› more
When it comes to trading, traders tend to use one of two different strategies. They either use fundamental analysis or they use technical analysis.
With short-term trading, technical analysis does have its advantages. It can help you time your trades, set take profit and stop loss levels, and take advantage of the current trend.
So what is technical analysis? And what are the most used techn... ››› more
For the last five years, we've had a raging bull market.
The JSE All Share Index rose by more than 116%. And many shares on the market have doubled and even tripled in price.
But a lot of traders are battling to make money in this market.
So today, I want to share with you what's probably the simplest strategy you'll ever find to make money trading…
How to get started using th... ››› more
A lot can happen on the stock market in a short period of time. If you want to try to enter a trade it can pay to move quickly.
So how can you time your trades and investments better? Well there's a nifty trading strategy that can help you do just that.
Read on to uncover exactly what this is and how it works…
How do Bollinger Bands work?
If you’re struggling to keep up with the mark... ››› more
Fibonacci analysis dates back to the beginning of the 1200s when Italian mathematician Leonardo Fibonacci unveiled a unique ratio and sequence found across the world. More recently analysts realised that his analysis works well when applied to the stock market. Let's take a closer look at why you should consider using Fibonacci analysis when you invest…
Fibonacci analysis applies across the w... ››› more
There is a mathematical sequence dating back to 1202 that has the potential to make you money in the markets. To make this trading tool work for you, you need to understand what Fibonacci analysis is. And you need to understand its workings so you can use it to make money. Let's look a little closer…
Fibonacci’s legacy still lives on today
Back in the 1100s, Leonardo Fibonacci was born in ... ››› more
When you trade, it's so easy to fall into some bad habits. If you can identify these bad habits and stick to a few important principles, then you have the makings of a successful trader. To get you on the road to financial trading success, read on…
Successful trader ingredient #1: Be patient
Whatever type of financial trading you do, don’t be in a rush to put a trade on. If your targets ar... ››› more
Over the past week, Bloomberg reported that militants connected to al-Qaeda extremists have been attacking in Iraq again.
The group already seized Mosul which forced a halt to repairs on the main oil pipeline from the Kirkuk oil fields to the Mediterranean. And now they're moving south.
Now, no one wants to see violent attacks anywhere in the world. But as a trader you need to know how to re... ››› more
There is one thing that can take out the best of traders. It's a common trading mistake, to new and old traders alike. And for whatever type of financial trading you do. It's vital you avoid it at all costs. So what is it? And how can you stop doing it? Read on to find out…
The worst trader trait of all…
It’s overtrading. It’s the worst thing any trader doing any sort of financial trad... ››› more
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