Lions Can Teach Us

What Lions Can Teach Us About Professional Trading Any professional trader, whether they realize it or not, shares many traits and behaviors with the ‘King of the jungle’. A lion in the wild provides us with an excellent metaphor to help us understand how to behave in the market. So, let’s see what lions can teach us about professional trading. Lions are known as the ‘Kings’ of the jungle for some very good reasons; they are strategic, confident yet patient, relentless yet intelligent and highly-skilled. Lions are finely tuned hunting…

Too Old to Start Investing

Are You Too Old to Start Investing? If you’ve forgotten to save for your retirement, then you’re facing an incredible uphill battle when it comes to your financial future. The longer you wait to get started, the tougher it is to amass enough in cash and investments to last you the rest of your life. Yet few of us managed to fully fund our IRAs with the money we earned from our summer jobs as teenagers. For real people who are starting to invest later in life, time may not…

Risk-On While It Lasts

Markets In Review – Enjoying Risk-On While It Lasts Markets grow appetite for risk, helping equity prices to new highs. ■ S&P 500 adds 1.6% weekly, marking new highest point since Dec 15’ ■ Safe havens such as sovereign bonds and gold lose amid markets’ risk-on sentiment ■ Oil prices peak over USD 42 per barrel in anticipation for Doha supply freeze Augmented appetite for yield dominated the weekly trading session, or at least the most of it. The S&P500, namely, saw a 1.6% weekly increase, with a Tuesday to Thursday…

Consumer Staples Stocks

3 Volatile Consumer Staples Stocks for the Risk Taker (WFM, SFM, WMT) Due to its noncyclical nature, the consumer staples sector has shown strength against the U.S. equity market in 2016 and 2015, despite many global macroeconomic conflicts. The S&P 500 Consumer Staples Index fared well against the market turbulence and ended the year up 6.6% in 2015, while the S&P 500 Index was down 0.73%. As of Feb. 25, 2016, the S&P 500 Consumer Staples Index is up 2.38% year to date (YTD), whereas the S&P 500 Index is down nearly…

Robo-Advisors vs Online Brokers vs RIAs

Robo-Advisors vs Online Brokers vs RIAs – Which is Best? The rise of the “robo-advisor” is hard to ignore. Startups Wealthfront, Betterment, Personal Capital, and others have shaken up the managed assets scene by letting algorithms determine the best allocation of capital. Investing with a robo-advisor has given investors the ability to accomplish long term investment goals with a much lower cost over using a traditional advisor. A similar trend of lower costs has been seen with the online brokers. All the major brokers charge $9.99 or less per trade, with a variety…

Trends In Forex

How To Trade Trends In Forex – A Complete Guide We’ve all heard the saying “The trend is your friend”, and while it sounds nice it doesn’t really teach us anything about trading a trending market or how to identify one. In today’s lesson, I am going to give you guys some solid information on trend trading that you can begin using immediately. Today’s lesson is all about trading trending markets with price action, and we are going to talk about how to tell when a market is trending and…

Why Should I Invest?

Have you ever ask yourself “why should I invest?” Welcome to Investing Basics! If you’ve found your way here, chances are you’ve either got some money socked away or you’re planning to do so. But first things first. Why is investing a smart idea? Simply put, you want to invest in order to create wealth. It’s relatively painless, and the rewards are plentiful. By investing in the stock market, you’ll have a lot more money for things like retirement, education, recreation — or you could pass on your riches to…

Oil And Stocks

About Oil and Stocks I have known oil industry expert Daniel Yergin since working for the Senate Foreign Relations Committee in the 1970s. Yergin attended our hearings on OPEC‘s quadrupling the oil price and then turned out readable versions of the revelations, forecasts, and strategies the Senators had extracted from their witnesses. My then-boss, Sen. Clifford P. Case, R-NJ, called Yergin a “terrible simplificateur.” Dan Yergin is still at it. This week, he managed to be quoted at the top of the financial second section of the Financial Times saying:…

Earning on Earnings Releases

Are You Earning on Earnings Releases? April 11th is the earnings release date for Alcoa, Inc. This is considered to be the official start of the earnings season. Regardless of the earnings impact on the markets, one of the core concepts we teach at Online Trading Academy is the preservation of capital and the proper assessment of risk for any trade. The purpose of this article is not to teach you how to trade before an earnings release, that is extremely risky.  Instead, the purpose of this article is to…

Futures Market’s Basic Structure

The Basic Structure of the Futures Market In this opening section, we will take a look at how the futures market works, how it differs from other markets and how the use of leverage impacts your investing. How Futures Work You are probably familiar with the concept of financial derivatives. A derivative is simply any financial instrument that “derives” its value from the price movement of another instrument. In other words, the price of the derivative is not a function of any inherent value, but rather of changes in the…