Wednesday, October 3, 2007

The Importance of Currency Trading Research

Here we are going to look at the importance of currency research and how to implement in a trading plan for big gains over the long term.

Currency trading research falls in to specific categories - currency research before you trade, research for traders executing a vendors signals and research for traders who want confirmation for their own trading.

Getting the right currency research will have a big influence on your trading success, so lets look at each area in more detail.

Currency Trading Research - Before you start

All traders need to know the basics, you wouldnt try to drive a car without lessons, and neither should you try to trade currencies without a bit of study.

There are plenty of good books on trading and here we are going to give you some books that you may like to consider.

Good books to read include any by Larry Williams, Jake Bernstein and Ken Roberts while not specific to currency trading their easy to read and digest and give you an idea of what trading is all about.

You also need to read some good books on trading psychology and there is no better place to start than Jack Shwagers Market Wizards and New Market Wizards that complies some stories of some of the great traders of all time including: Ed sekoyta, Richard Dennis and the famous turtletraders. These books are essential reading for any trader.

Other good books on psychology include ones by Alexander Elder and Dr Van Tharpe

And the classic reminiscences of a stock operator by Edwin Le feuvre

Good overall reference books to have are fundamental market analysis and technical both again by Jack Shwager.

Currency Trading Research - Following Mechanical Signals

Many traders like to follow currency research in the form of newsletters and currency trading systems from vendors and then act upon the signals they provide.

If you are doing this make sure you:

1. Have full confidence in the method they are using to generate the signals and know as much about the logic as you can.

2. You also should study trading history to see how successful trades have been and make sure you are happy with the risk reward.

3. Keep in mind if you are following signals or trades you need to follow them EXACTLY and this means having full confidence in the method used.

Currency Trading Research - To help you with Entry and Exit Levels

If you dont want to follow someone else and you wish to make your own trades then there is plenty of currency trading research services on the net.

There are services that you can pay for, but much of it is available free and in many instances, this information is the best.

Many of the larger brokers and banks have great research and cover both technical and fundamental factors affecting currency movements.

Do a search, and you will be able to find good daily, weekly and monthly currency research reports.

A Word of Warning on Currency Trading Research!

The amount of currency trading research on the net is vast and many traders feel that the more research they have the better and try to use 5, 10 or even more different services to help them with their trading.

The result? - They end up with to much information, much of it conflicting and get confused and unsure what to do.

The best way to use currency trading research if you are trading for yourself is follow a few services only, that reflect your trading style and use them as a filter for your own trades.

Currency Research - Helping to Make your Trading Profitable

If you are simply following signals or trades of someone else, you need to spend time doing your homework, so you have full confidence to execute trades with discipline.

Research is needed regardless of whether the method is totally mechanical or reasons are given for the trades.

To get the most from this type of research you need to follow ALL the trades, not just a few! Otherwise, you may miss the best opportunities and your track record will not reflect that of the service, which you bought.

The real problem for traders who want currency research to just help them confirm their own trading material, is the sheer volume of research available.

You need to be SELECTIVE and just have a couple - too many will confuse you and give you conflicting information.

As stated there is no need to pay, many banks and brokers offer great research and its totally free and in many instances better than the paid for services.

New! A valuable FREE Currency Trader CD containing 9 critical trading reports, tips, strategies and trading research info. Visit our web site now and grab your CD

Successful Stock Market Investing

Before entering into the markets at any level it is crucial to have a working knowledge of the dynamics of the stock markets and the main influencing factors.

These will be briefly touched upon. The main influencing factors are likely to be economic, such as inflation, interest rates and GDP. A variety of other factors are likely to have an effect, relating to possible geo-political factors (i.e., wars, civil unrest), also political uncertainty generally has a profound effect on the markets.

From this we can see that there are a wide variety of variables that are going to affect the markets as a whole which will ultimately determine the supply and demand of direct equities.

There are a general set of principles that you should adhere too constantly in order to reap the rewards that the stock markets have to offer, below I will outline some of these universally accepted principles for experienced private as well as institutional investors.

Set a concrete nominal value you can realistically afford to invest. For example if you go out to the bookies to bet on the horses you would generally have a set amount to spend and once you reach that level cut your losses or cash in. What I am trying to convey is discipline and routine which is essential for consistent returns.

Do not treat the stock market like the lottery. It is a skill that needs to be mastered and perfected to trade effectively. Be in it for the long term and like anything in life essentially the more skills you build the more effective you will be.

Eliminate as much risk as possible by doing your homework on a stock you are going to invest in. Information is freely available more so than ever especially on the internet. You will be able to locate company accounts and assess the general health of a company through a variety of sources.

Diversity is truly the key in the markets. All the big guys know this in the markets usually hedging their large positions with an inverse position or more stable position. Do not put all of your eggs in one basket as they say equally spread capital over a number of positions.

If you loose money on one position its not the end of the world all of the massive guys the Karl Icons and Warren Buffets would have if not still loose money in the markets. Try and look at every event as a learning experience on which to add to your arsenal of skills.

Oliver Guillies is a Graduate working with a firm of Stockbroker's in the City of London. He has a passion for travel amongst other thing's. If you want to read more up to date articles and opinion's on Oliver Guillies blog Click Here

Don't Overlook Lucrative Real Estate Options For Your IRA

A self-directed IRA real estate option is one route that many retiring investors have taken. They recognize the advantages of real estate holdings and know that just like the stock market, the real estate market will boom and bust in cycles, but the good thing about this is that, regardless of numerous cycles, it has a strong survival rate. We don't think real estate would ever disappear from the investment scenario; it remains as one of the more attractive alternatives because of the higher potential of returns than can be gained. Both real estate and stock markets are survivors, but there are plenty of times when real estate returns fare better than stock market returns; not to mention there is more than a perceived value in a tangible asset such as real estate when the market cools off. This is why real estate investments have become a real magnet for investors' retirement portfolios. These investors are looking for the security of a tangible asset while at the same time benefiting from the highest returns on their money.

The key components of a self-directed IRA real estate investment lie in the words, "self-directed." Because of the nature of the self-directed IRA, present and future retirees can now establish a self-directed IRA real estate account with the help of a trusted and competent IRA trustee/custodian and a self directed IRA advisor.

A self-directed IRA real estate portfolio means that investors have the blessing of the IRS to use monies in their IRAs to purchase real estate and other alternative assets to achieve their investment objectives. Many people nurture the mistaken notion that this is not allowed by the IRS; this is because traditional IRA advisers would prefer to oversee holdings which they can monitor for their clients and a real estate holding would be administratively cumbersome. That's one. Two, there's nothing in the law that requires them to offer real estate investments to clients. These are the principal reasons why a self-directed IRA real estate option does not appear in the portfolios of millions of investors when in fact, it does not constitute a prohibited transaction by any measure. The only restriction that applies is that individuals with self-directed IRA real estate holdings cannot live in the property they purchase.

For someone new to the game of self-directed IRA real estate options, engaging the services of an advisor, who is well versed with self-directed IRA real estate accounts would make sense. A qualified self directed IRA advsior will have the expertise to deal with the administrative paper work and the mechanisms to employ so that the investor does not get slapped with IRS penalties and taxes.

Have you considered investing in real estate with your IRA? This growing trend is here to stay. Don't get left behind. Joshua Geary educates his clients on the benefits of taking an active roll in planning for retirement. You can visit his website at