Ben started to dabble in the Forex market.
He's just bought the Australian dollar versus the American dollar for the third time.
And just pocketed R10,000 from his R5,000 portfolio.
He's on a winning streak.
Ben feels that trading is the quickest key to his financial freedom.
Aaah, the jubilation! The smell of sea sand, while he hears the crashing of the waves.
Retirement here we... ››› more
When you buy a stock and it doubles, what do you do?
Many investors would sell, feeling like they've made a good profit. Then, they sit on the sidelines and watch as their stock goes higher and higher - cursing that they've sold too soon.
Founder of Agora Publishing, Bill Bonner gives a great example of this:
Financial writer Richard Russell of the Dow Theory Letters invested in Warren... ››› more
The great Albert Einstein once defined insanity as “doing the same thing over and over again and expecting different results.”
I'm sure on a personal level, you've experienced this insanity.
The fact is, we continually make the same mistakes in all areas of life. And when it comes to investing, this is especially true.
That's why today I'm going to explain the two most common inves... ››› more
I just want to let you know…
Being subscribed to Trading Tips, I cater to all levels of traders.
Beginner, intermediate and advanced.
Today I'm going to tackle a couple of advanced questions that YOU have asked me on the Investorsclub.co.za.
If you feel you're not ready to read this level of trading, then save this email and save it for a future date. Because it's important.
Every... ››› more
Timon Rossolimos answers all your most important questions on trading for the week. This week's mailbag includes questions on Forex, stop losses, candlesticks, CFD contracts, Options and more.
Enjoy today's Q and A session…
To place a stop loss or not to place a stop loss?
“Is it necessary to place a stop loss if I watch my account closely from 9 ‘till 5?”
Ans... ››› more
Today I want to explain one of the biggest mistakes investor's make.
It has nothing to do with what you invest in, where you invest or how much you invest. It goes much deeper than that.
It's got to do with your emotions and behaviour.
The fact is, every investor experiences it at some point. And if you keep doing it, you're guaranteed to lose a fortune.
Let me explain…
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Here's a question I got from Tony last week:
“I am new to Trading and having bought your Red Hot Storm Trader Service I am not sure what my loss would be if a trade went sour - I use your example below:
If you buy 10 Sasol shares at R450 per share and at a gearing of 10 times, you'd only have to pay R4,500 (R450 X 10).
So essentially, you're buying 100 CFDs on Sasol.
You'll have an e... ››› more
Do you walk into a room full of investors and struggle to understand what's going on around you?
Are you lost in the jargon and anxious that someone is going to ask you a question, you just can't answer?
Well, if that sounds like you then I have some good news.
You don't need to play second fiddle to your investment advisor, your broker or even your smarty-pants friends. You don't need t... ››› more
I receive a lot of e-mails with trading questions, and lately, I've noticed a couple of themes. It seems that many new traders have questions about stop losses, and even the more experienced stock watcher wants to improve his risk mitigation strategy…
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What would an extra R10,000 – R25,000 – R100,000 do for you?
Discover... ››› more
Two weeks ago, I attended a business conference at Château de Courtomer in France.
From 8:00 am until 4:30, I attended meeting after meeting in different rooms in the castle.
It was productive for business and it was a wonderful opportunity for Trading Tips as I now have new and exciting ventures I'll be working on for you.
Unfortunately, during this trip. I was hit by the biggest hidden... ››› more
I thought you may be interested in these recent trading questions I received on our www.investorsclub.co.za
Remember, I'm always here to help, when you have a question.
• Do you recommend we adjust our stop losses?
• Who are the best brokers?
• How much money do you need to start with Forex trading?
• Could you verify my analysis of the GBP/USD chart?
Q: Do you recommend we adj... ››› more
Today, I'm going to show you a simple strategy that'll allow you to potentially double your portfolio's gains (or more).
It's also a great way to protect your investments in a market downturn.
And, if the markets go bad, it can add another level of protection to your portfolio.
And the best part… When increased volatility makes the market tough to invest in, this strategy really comes ... ››› more
Traders must limit their losses and protect their winning trades. But the problem is this:
They work on convoluted methods with complex formulas, numbers and unnecessary calculations.
But it doesn't have to be so complicated.
I'm going to show you how to limit your losses and improve your win rate by 50%. Best of all, it will only take you 15 minutes to understand how to use it.
Here's... ››› more
If you're looking to grow your wealth by investing in shares, it's easy to get too involved with what's going on with one or two particular stocks.
When you invest in a share that only goes on to plummet, it's not a great experience. You hope its price is going to recover, but the truth is you need to cut it loose.
This will help you to achieve your overall goal of making money out of invest... ››› more
Moving averages are very handy. They can show you what the overall trend is. And they can show you levels of resistance and support.
By smoothing out price activity, they produce a much easier to read line than looking at the price alone.
So how can you use moving averages to know when to enter trades?
Read on to find out…
Which moving averages you should use together
If you’... ››› more
When you invest in penny stocks, there will come a time when you need to sell them.
This may be for a profit or for a loss.
So how do you know when it's time to sell?
Read on to find out…
The right price to sell your penny stocks at
When it comes to selling your penny stocks, you should give some thought to the price you’d like to sell them for.
You can set a limit order f... ››› more
The markets have been particularly volatile over the past couple of months.
When the market are like this, it's vital to manage your risk effectively when you're trading.
So how should you go about this?
Read on to find out…
Trading volatile stock markets
Volatile stock markets can be a trader’s dream. They bring lots of opportunities to make money. But with this comes lots ... ››› more
Trading contracts for difference (CFDs) can be extremely profitable, but trading CFDs is also risky.
If a trade doesn't pan out the way you want it to, you can lose more than you initially put into a trade.
So how can you deal with this risk?
You must use stop losses…
How stop losses work when you trade CFDs
When you trade CFDs, you can place stop losses with your stock broker ... ››› more
When the markets seesaw up and down like they have been of late, it makes many investors nervous. Will the market just keep falling?
The first thing that's important to realise is you can't forecast what's going to happen in the markets. No-one can.
But what you can do is take steps to prepare for what could lie ahead.
This means following a simple investment strategy that removes your e... ››› more
Stop losses are a great strategy to use. They prevent you from suffering a catastrophic loss with one or more shares.
The key to using stop losses is to stick to them. Over the long run, you should benefit from cutting the losers out of your portfolio.
But when stock market volatility hits and a number of your shares hit their stop losses, it can be disheartening.
But don't let it…
... ››› more
Disclaimer Note that FSP Invest, a division of Fleet Street Publications (Pty) Ltd, is a research house and not a registered broker, financial advisor or financial service provider. Our editors and customer services teams also do not give personal investment advice. The advice in this website is general advice only and may not be appropriate to your particular investment objectives, financial situation or particular needs, so before investing or if in any doubt about your personal situation, you should seek professional advice from a stockbroker or independent financial adviser authorised by the Financial Services Board.
We research our recommendations and articles thoroughly, but disclaim all liability for any inaccuracies or omissions found in this publication.
Remember: Never invest more than you can afford to spare and that the value of any investment, and the income derived from it, can go down as well as up. The past is not necessarily a guide to future performance.
Editors or contributors may have an interest in investments commented on in this newsletter. However they have signed restraints to prevent the abuse of their position as contributors to this publication.