Is The Stock Market A Good Place For a Beginner Investor?

By Patty Berker

The stock market is not a place for the timid as shown by its terrible performance over the last year or so. You should never invest money in the stock market that you cant afford to lose and this has never been more evident than this past year.

Stocks are risky and any stock you buy can go up or down no matter how much it is recommended. Anyone who tells you that investing in stocks is safe is not telling you the truth. If you want safety, you should be investing in bank CDs or government bonds but of course right now they are paying next to nothing in interest. You may get a higher return with stocks but the much higher risk comes with it.

The stock market seems to have become more volatile in the past 10 to 15 years with the advent of day trading and the ease with which someone can get involved who doesnt really know what they are doing. In years past, the stock market was a place for investors who placed long terms bets on companies in hopes those companies would prosper and the stock price would go up. Now days, with computer trading and trading via the Internet, it seems more like a mechanism for gambling with people trading in and out of stocks daily hoping to hit a score and run. An investor in todays market needs to keep a vigilante eye on his stocks as the market and market conditions can change at any time.

Anyone who is new to stock investing and the market may have a hard time understanding all the specialized jargon. Business shows on television and the radio are full of all the technical stock and trading terms that brokers and sophisticated investors use. This is something that confuses a lot of beginners and perhaps intimidates them into never getting started.

If you are interested in learning about the stock market, your best bet may be to do some studying first before you get involved. You can pick up some good books at the library or in bookstores that will explain market concepts to you and make getting started easier. You can also learn things online but it is important to know that your learning process will be a long one. There is a lot of information to understand about the stock market and stocks so you must be patient as your investing adventure will last a lifetime. - 23200

About the Author:

Are you interested in learning about the best stock market simulation game? If you are, please visit my website How To Buy Stock.

Index Options (Part II)

By Ahmad Hassam

The more volatile the market, the higher then index option premium! The duller the market, the lower the index options premium. Well it depends on the expectations of the traders whether the market will move sufficiently in the near future for them to exercise their buy or sell rights.

You can find many options types of options contracts. You will find futures options, currency options, stock options, ETF options and so on. Options offer investors far more trading strategies as compared to futures. Such strategies can range from highly speculative to highly conservative. Options are a far more basic instrument than the ETFs and futures. You can easily replicate any ETF or futures contract with an option but the reverse is not true.

Of course for anyone who buys an options contract there should be someone to sell the options contract to make a complete transaction. Now the seller of a call options believes that the market will not move sufficiently up in the near future so he/she can make money by writing a call options contract and selling it to someone who believes the maker will move up.

So in a way, buying and selling of options contracts make options trading a zero sum game. Either the market will move up or it will not. Either the option seller will win or the options buyer will win. The development of the stock index futures and the index options was a major development in'80s for investors and money managers. The buyers of the put options are in a way insuring their portfolio against possible market decline but who are the sellers of the put options. They are primarily those investors who are willing to buy those stocks but only at lower prices.

Heavily capitalized firms in the major stock indexes like the S&P 500 or the Dow Jones Industrial Average (DJIA) have always attracted money because of their outstanding liquidity. But with stock index futures and options, investors were able to buy in some way the whole market such as represented by these stock indexes.

Index options have some unique advantages. They already have the diversification inbuilt into them. But with stock index futures and options, investors were able to buy in some way the whole market such as represented by these stock indexes. Heavily capitalized firms in the major stock indexes like the S&P 500 or the Dow Jones Industrial Average (DJIA) have always attracted money because of their outstanding liquidity.

Index options give the investors the ability to insure the value of their portfolios at the lowest possible prices and save on the transaction costs and taxes. - 23200

About the Author:

Mr. Ahmad Hassam has done Masters from Harvard University. Try these cash printing Forex Signals from heaven. Discover a revolutionary Forex Robot System!

Morgan Silver Dollars For Collectors

By Richard DuBois

The Morgan Silver Dollar is one of the most adored and highly-collected American coins ever put out by the U.S. Mint. These popular silver coins are regarded for their attractiveness, design and resilient nature. Even though it possibly is the most familiar of all modern silver coins from the U.S., Silver Morgan Dollars hold a great deal of substance historically, being a main part of America's early growth to the west. There were an ample number of varieties made, making the completion of a collection of Morgan Silver Dollar Coins a real challenge.

Five Mints in total had a part in the production of Silver Morgan Dollars between the years of'78 until'21, these included San Francisco, Carson City, Denver, New Orleans and Philadelphia.

The production of Silver Morgan Dollars ceased in'04 due to a lack of raw silver, and then was resumed once more in'21. During that year, more than 80 million of the coins were made in Denver, Philadelphia and San Francisco. This was also the final year that the Morgan Dollar was to be made, as it was fated to be replaced by the Peace Dollar, which was produced to commemorate the end of the First World War just a few years earlier.

If you are searching for the least pricey method of acquiring Morgan Silver Dollar Coins while still amassing a collection of superior coins, then you should focus on coins that are in the grade range of EF to AU. You must be cautious when making an investment in some of the higher grades, as you would be better off buying coins that have been graded by PCGS or NGC.

With the popularity of the NGC and PCGS coin grading service, the customer is guaranteed of the coin's state and legitimacy. This creates a beneficial situation for both the buyer and seller, as the sale price is most frequently higher for graded coins than raw or unslabbed versions. While it may be a bit more expensive, a coin buyer can be sure that the coin he is purchasing is authentic and genuine. A panel of the top graders must independently agree on the coin's grade and then a final grade must be approved. Each newly graded coin is then sonically encased in a hard plastic case and assigned a unique serial number that allows you to identify and keep track of your rare coins.

Make certain to only transact business with reputable dealers. Also, take the time to find the lowest price achievable and avoid purchasing the very first coins that you come across, even if sometimes you come to find that the first price was in reality the best price. The prices that you find will be different from dealer to dealer, so you will want to use that information to take full advantage of your coin purchase. - 23200

About the Author:

If you have enjoyed this article, you can find out more information on Morgan Silver Dollars by visiting Richard DuBois' site on how you can find the best deals on hard to find 1878 Morgan Silver Dollars for your collection.

ETF Trading Strategies For Everyone

By Patrick Deaton

ETF trading is exciting and can be thrilling when one is successful. When a person first starts trading, they will find that there are several ETF trading strategies, methods, and trading techniques that are available and can help one to be more successful. Before committing to a strategy however, it is important to take some time to find out which strategy best suits the type of trading that you will be doing.

There are some safety nets that a person can establish that will keep them protected when first trying out an ETF strategy. By having a plan and a safety net in place a person will be able to experiment with ETF trading strategies and find the one that is best for them without committing to the strategy before they are ready.

The ETF strategy that one employs will, in large part, be determined by the type of trading that will take place. A person who is adding ETF as a long-term part of an established portfolio will use a different trading strategy than the individual who is entering trading for short-term gains.

Most people who have ETFs in their long term portfolio do not get highly involved in ETF trading strategies. These people often have ETFs managed by their broker and may review the ETF with their mutual funds on a yearly basis. When trading is done, it is through their broker as with other mutual funds.

Knowing about ETF trading, the structure of ETF, and the methods for trading can make a significant impact on the returns that one sees from their ETF trades. Taking the time to research strategies before implementing them is critical to creating an effective strategy for an individual. There are many strategies that are advertised on the Internet. However, it is important to see how that strategy has performed from a historical perspective.

When a strategy is advertised that has been effective for only a few people, it does not have the history necessary to make it an effective trading strategy. The riskier the ETF trading that is being done, the more important it is to have a thorough knowledge of the strategy and confidence in its ability to provide consistent results.

Buy and Hold is one of the most popular ETF trading strategies used by people who are making long-term trades. The trades are spread among many sections and there is limited risk to a portfolio. This is the strategy that many financial advisers recommend and by individuals who want a fixed income or steady growth for their portfolio from any financial product. This is more of a hands-off strategy and an individual does not need to follow the index, make trades, or have in-depth knowledge about the sectors they are in. However, this lack of knowledge and tracking also means that a person is missing opportunities to make gains that occur in the market on a regular basis.

A more active role in trading occurs with the Active Long-Term Trading Strategy. This is a variation of the Buy and Hold Strategy and provides more opportunity of an individual to make trades. However, it is also designed for long-term, steady growth. An individual may choose the level of involvement they want to have in the trading activities that take place and can be more proactive with their portfolio.

The ETF strategies that are available provide a person with many opportunities to make gains in their trading. However, research and knowledge of the ETF and how it works is an important part of pairing the most effective trading strategy with the type of trading that a person does. When deciding on the strategy that will be most effective for one's needs it will be very helpful to talk to an individual who has expertise in both trading strategies and ETF as a whole. - 23200

About the Author:

Learn how it's very possible to make 6% per month in your investment accounts using etf trend trading! "Big A" is a recognized expert in the world of etf trend trading system and reveals trading and investment secrets that have been kept under wraps by hedge traders for years. Get his free report and webinar today!

Best Forex Signal Service

By Jimmy Karter

A reliable forex trading signal service is very crucial for a retail forex trader. We can define a forex signal as an indication for a forex trader which would help him make buy of sell decisions in the forex market. These indications are mostly system generated based on the technical analysis of currency prices. The forex trading signal service is currently being provided by many brokers and professional agencies.

These forex signals are sent out by various forex signal service providers which can be financial agencies, independent brokers or other institutions. This service is availed not only beginners in forex market, but also by experienced traders since it saves a lot of time and effort in monitoring and following events in the currency market. Based on these signals, the traders are able to make the sell or buy decisions quickly without having to go through the hassles of being updated every minute.

The forex trading signal service is being provided by a lot of professional experts and institutions. There are a lot of agencies which provide this service for free. On the other hand, there are various agencies which would ask for a monthly subscription fee. The difference between these two types of services is the quality of signals being provided. Generally, the free service provides computer generated signals purely based on technical indicators. On the other hand, the subscription based signals are managed by professional experts who analyze the signals before sending it out to the retail traders. That is the reason, these signals are much better.

When a retail trader is searching for a forex signal service provider, he should consider a few things. The cost of the provider should not be the only criterion to choose a service provider. The most important consideration should be the past performance of the provider. The provider should have a proven track record for last couple of years and should be reliable. The trader should also check whether the provider sends out signals based on the needs of the customer.

Some of the other important considerations while selecting a forex signal service provider are - speed of the service, different modes in which signals are sent, which type of forex signal software is being used, back testing results and spread of their recommendations. It is always recommended for beginners in forex market to make use of such service since it helps them gain experience in currency trading. It pays to research online before finalizing the service provider since you are able to compare the cost and features of different providers before making the decision. - 23200

About the Author:

The author writes articles on forex trading including best forex signal software and best forex signal service .