Charts Can Teach You about Forex

In order to make big profits from currency trading, you need the skill on how to read the charts. While a text conveys the fine detail, a forex chart can swiftly bring the viewer up to speed with the big picture. In this fast-moving world, time is money especially in forex trading. This can make a big difference when it comes to your profits and frequently a graphic representation of the facts makes for easier interpretation.

There are several different ways to observe the price movements used in Forex trading such as bars, lines, point and figure, and Japanese candle sticks chart. Among of them, Bar Chart and the Candlestick chart are the most popular for Forex charts.

Bar Chart is a type of chart used in Technical Analysis. They have reached their popularity because they are useful and easy to understand. The activities of the hour/day/week/month are seen as a vertical bar in the chart. Horizontal marks account for opening and closing prices. A trend line is drawn in the bar chart to indicate the price of online Forex trends. An ascending trend line connects between the daily highs of the market. A descending trend line connects the day's low prices. If the downward trend line crosses the most recent prices - a buy signal is generated. If an ascending trend line crosses through the most recent prices, a sell option s generated.

Forex charts are easy to interpret, especially for someone that has invested in or day traded stocks before. Charts, as mentioned earlier, are the building blocks of technical analysis which is now probably the most popular and successful ways of scrutinizing the forex market. Technical analysis concentrates on the price action of the market and applies a number of pure factors to predict market direction.

Currency charts are really no different than stock charts. One of the advantages of trading currencies over stocks is that you only have a few mayor currencies to trade rather than ten thousands of stocks. Thus, it is a lot simpler.

Japanese candle sticks are the most animated way to observe price movement. It records the price movement on Forex charts in effect drawing a clear picture for traders to study. Japanese candle sticks also known as sign language of the Forex market. In candlestick charts, as in many other charts, you get the open, close, high and low of the online Forex prices.

One of the biggest advantages of candlestick charts is when you only take a glance, you can observe a lot of information about the online Forex currency movement. Most importantly, you can notice the difference between the open and close prices of the online Forex. If you notice a red candlestick, it can serve as a warning about the direction of the currency price. The fat red section is the body of that candlestick. The lines protruding from the top and bottom are the upper and lower wicks. The very top of a candles wick is the highest price for that candle while the bottom of the wick is the lowest price for the candle.

Therefore traders of the online Forex market need to pay special attention to such changes of direction in currency price, in order to protect their investment.

More secret about Forex profit, go to Learn Forex Trading

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Forex Trading Systems: Mechanical Vs. Discretionary Systems

There are basically two types of Forex trading systems, mechanical and discretionary systems. The trading signals that come out of mechanical systems are mainly based off technical analysis applied in a systematic way. On the other hand, discretionary systems use experience, intuition or judgment on entries and exits. But which one produces better results? Or more importantly, which one fits better your trading style? These are the answers we will try to answer on this article.

We will first analyze the pros and cons about each system approach.

Mechanical systems

Advantages This kind of system can be automated and backtested efficiently. It has very rigid rules. Either, there is a trade or there isnt. Mechanical traders are less susceptible to emotions than discretionary traders.

Disadvantages Most traders backtest Forex trading systems incorrectly. In order to produce accurate results you need tick data. The Forex market is always changing. The Forex market (and all markets) has a random component. The market conditions may look similar, but they are never the same. A system that worked successfully the past year doesnt necessary mean it will work this year.

Discretionary systems

Advantages Discretionary systems are easily adaptable to new market conditions. Trading decisions are based on experience. Traders learn to see which trading signals have higher probability of success.

Disadvantages They cannot be backtested or automated, since there is always a thought decision to be made. It takes time to develop the experience required to trade successfully and track trades in a discretionary way. At early stages this can be dangerous.

Now, which approach is better for Forex traders? The one that fits better your personality. For instance, if you are a trader that finds it hard to follow your trading signals, then you are better off using a mechanical system, where your judgment wont play an important role in your system. You only take the trades that your system signals.

If the psychological barriers that affect every trader (fear, greed, anger, etc.) puts you in unwanted scenarios, you are also better off trading mechanical systems, because you only need to follow what your system is telling you, go short, go long, close a trade. No other decision has to be made.

On the other hand, if you are a disciplined trader, then you are better off using a discretionary system, because discretionary systems adapt to the market conditions and you are able to change your trading conditions as the market changes. For instance, you have a target of 60 pips on a long trade. But the market suddenly starts trending up pretty strongly, then you could move your target to say 100 pips.

Does it mean that trading a discretionary system has no rules? This is absolutely incorrect. Trading discretionary systems means that once a trader finds his/her setup, the trader then decides what to do. But every trader still needs certain rules that need to be followed, such as the size of the position, conditions that have to be met before thinking to get in the market, and so on.

I am a discretionary trader. The main reason I chose a discretionary system is that my trades are based on price behavior, and as you already know, the price behaves similar to the past, but it is never identical, therefore the outcome of every trade is unknown. However, I do have rigid rules on my system, certain conditions have to be met before I even think in getting in a trade. This keeps me out of trouble, once my setup is present and in accordance with the rules I have set, then I closely watch the price behavior and finally decide whether it is a good opportunity or not.

Whether you choose to be a discretionary or a mechanical trader there are some important points you should take in consideration:

1. You need to make sure the Forex trading system you are using totally fits your personality. Otherwise you will find yourself outguessing your system.

2. You also need to have some rules and most importantly have the discipline to follow them.

3. Take your time to build the perfect system for you. Its not easy and requires time and hard work, but at the end, if done correctly, it will give you consistent profitable results.

4. Before going live, try it on a demo account or even on a small account (I will go for the second option, since psychological barriers will be present.)

Raul Lopez is a full time Forex trader and founder of http://www.straightforex.com a high quality Forex training company.

Forex Trading Strategy - The Ultimate Momentum Indicator for Huge Profits

Many traders in their forex trading strategy simply pick levels and buy or sell into them and hope they hold. This simply sees them lose, as they are hoping levels will hold and NOT acting on confirmation of price momentum to put the odds in their favor.

Here we are going to look at the ultimate momentum indicator that will help you time your trading signals with laser accuracy.

The momentum indicator we are referring to is the stochastic and it simply should be considered by anyone serious about making money in forex trading.

The logic

Of the stochastic is based on the assumption, that when a market is rising, it will tend to close near the highs of the session - and when a market falls, it tends to close near the lows.

Lets look at the calculation although you dont need to understand just as you dont need to understand an internal combustion engine to drive a car you can look at it visually which we will return to in a minute first:

The Calculation

The stochastic oscillator is plotted as two lines called %K, a fast line and %D, a slow line.

%K line is more sensitive than %D

%D line is a moving average of %K

%D line gives the trading signals

Its actually similar to the way a moving average is plotted.

Therefore consider %K as a fast moving average, and %D as a slow moving average.

The lines are plotted on a scale of 1 to 100 scale.

"Trigger" lines are normally drawn on stochastics charts at the 80% and 20% level this indicates when markets are overbought, or oversold and a trading signal maybe generated.

Using Stochastics

The best way to get a feel for stochastics and how they can help your forex trading strategy is to look at them you can see them free on many services and a good one is futuresource.com

The 80% value is normally used as an overbought signal, while the 20% is used as an oversold signal.

The signals are even more reliable if a forex trader waits until the %K, and %D lines turn upward, below 5% before buying - and in conversely, above 95% before selling.

The most reliable way to trade stochastics is to use the above as a warning sign and wait for the stochastic lines to cross with bullish or bearish divergence.

For example, buy when the %K line rises above the %D line, and sell when the %K line falls below the %D line.

Beware of short-term crossovers these can generate a false signal and cause losses.

The best crossover is generated when the %K line intersects, after the peak of the %D line.

Dont worry if it sounds confusing it becomes much easier when you look at the set up on a chart service such as the one we referred to earlier and you will soon be getting the hang of them.

Why they are so valuable

Because they allow you to shift the odds in your favor instead of relying on hope when you trade into support or resistance you will shift the odds in your favor by knowing the strength of price momentum.

Stochastics are the ultimate timing tool for traders and allow you to enter your trading signals with the odds on your side. In any forex trading strategy you need to trade the odds and the stochastic is a powerful weapon that you can use for currency trading success.

Discover the stochastic indicator and you may be glad you did.

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On all aspects of becoming a profitable trader including features, downloads and some critical FREE Trader PDF's and more FREE forex education visit our website at http://www.net-planet.org/index.html

Introduction to Day Trading

History of online day trading

The birth of day trading was made possible when the computerized, over-the-counter NASD became available in 1971. Day trading was pretty much the domain of stockbrokers and remained that way until the late 1990s, when the increasing popularity of the internet, motivated the international stock markets to move online. The consequence of this move was that day trading brokers became optional because anybody with Web access could execute their own trades, provided that they had an account with a registered online brokerage. The uptake was enormous, because by 1999, at least 25% of all trades made were done as online trading by individual investors. Day trading online grew in popularity as these investors started gaining online trading maturity. This growth found further impetus with the Dot Com Bubble as many traders could buy and sell the same share on the same day with three digit returns.

What is day trading?

The U.S. Senate Permanent Subcommittee on Investigations defines day trading as "Placing multiple buy and sell orders for securities and holding positions for a very short period of time, usually minutes or a few hours, but rarely longer than a day. Day traders seek profits in small increments from momentary fluctuations in stock prices after paying commissions." With day trading it is common to focus on short-term trading, where a trade could last for anything between a couple of seconds to a couple of hours. In day trading online, the number of trades made may vary from between just a few to a couple of hundred per day. It is also common to finish the day with a closed overnight position. This means that everything you bought gets sold, before market close. There are many different techniques or strategies that you can use in day trading. Some of the more common online trading systems include:

• Trend following
• Range trading
• Scalping
• Rebate Trading
• News Playing

One of the techniques that started surfacing in day trading is algorithmic trading. Algo, as it is commonly called, is favoured by hedge -, pension and mutual funds. It is estimated that 33% of all US and 40% of all UK trades during 2006 were made by algo traders. Algo trading is automated, meaning that the trader leaves it up to the computer to decide when to buy and sell. Day trading can either be done by institutions or by individuals. Individual day traders normally make use of direct trading firms that offer them direct, real-time electronic access to stock markets. For a day trader real-time access is important because it enables them to have a live view of movements on the Securities Exchange of those stocks, stock options, currencies, futures contracts, interest rate futures and commodity futures that they are trading online.

What are the pros of day trading?

Self employment Day trading online offers you the potential to earn really good money and it goes without saying that you will enjoy flexibility in where and when you work.

Stimulation Trading online is both exhilarating and interesting. It requires analytical thinking and continually challenges your abilities. Every day is a new start stagnation is not possible at all!

What are the cons of day trading?

Financing In day trading you need money to make money and lots of it. Day trading penny stocks could be high risk, so you will probably need to play in the bigger leagues, or at least find a happy (and profitable) balance between the two. There are also regulatory requirements around the amount of money you need in your account. In the US for example, it is $25,000.

Latent loss potential You are pretty much at the mercy of economy figures, analyst comments, interest rates, and so forth. A single press release or a single comment could turn a profitable stock into a dead loss. This makes your income unpredictable. Day trading online can be highly profitable and produce rapid returns, in spite of being high risk. The risk is mainly due to margin use, and other day trading practices. Naturally, most risks can be managed if you remain prepared, alert and focussed. In example, when you start trading online, you will probably find that you have to exit a losing position very quickly, to prevent a loss. At the same time, you will need to move just as quickly to capitalise on any winning positions you may have. Day trading online can be a fun and even profitable adventure, provided that you have good discipline, -risk and -money management.

"The key is consistency and discipline. Almost anybody can make up a list of rules that are 80% as good as what we taught. What they can't do is give (people) the confidence to stick to those rules even when things are going bad." Richard Dennis, on Turtle Trading

At http://www.tradingonline4u.com/ both the novice and experienced trader will find the best ways and all the information you need, to trade stocks, shares, futures, commodities, FOREX etc.

Forex Trading - To Invest or Not To Invest, That Is The Question

Forex trading is all about buying currency. You buy as much as you can of a currency when its value in relation to another is low and wait for the situation to change. When the value of the currency you bought goes up again you sell. At least you sell when you think it is going to stop going up. If you wait too long it may go down again and you are left waiting for another rise. This is dead money. You want to keep moving the money to earn.

Because of the turning globe there are always a number of exchanges open, so trading continues around the clock. This works in a kind of relay because what has been happening in the other markets while one is closed will have on their days trading when they open. This effect varies and can have a positive and negative effect on the market. It is up to the traders and brokers to watch what is happening and take advantage of favourable conditions when they occur.

The foreign exchange market develops when two countries having different currencies trade goods. They must of course pay each other. This could be done using either their own or some other agreed currency. The American dollar is a popular choice for international trading.

Other than ordinary trade, i.e. trading goods, many people trade only currency. Much of this is done through the banks. The banks rum many of the currency exchanges and people going to foreign countries buy their currency here making it their first and often only brush with foreign currency trading.

A good way to learn the trade is to buy one of the trading software programs. They are similar to games and quite easy to learn. They do not substitute for the training that a licensed broker gets, but they will give some small indication of what the forex market is all about. Forex system trading? Well, everyone in the business actually that is not strictly true. Many people in the business have a forex system. But, they are a bit like the systems that you hear about casinos. Some good some bad. You might get lucky with one. Ill say no more on that.

If you decide to become involved in forex as an individual you can not do so alone. You must go through a broker or some financial organisation. If your investment is small it may be difficult to get anyone to take an interest. Brokers deal in millions every day. An individual is known as a spectator because of the relatively small amounts invested. (a technical term)

You should do your background checking and learn all you can about forex before actually investing any money. The markets are heavily regulated and there are many laws protecting investors but there are also con men out there just waiting for an unwary investor to come their way. They are online and off. First make sure that they are qualified and licensed to operate in your country. If in doubt check it out. Talk to someone you know or a friend of a friend before taking the plunge.

If you can spare the cash to invest in fx it can be an exciting and interesting pastime. But dont blow your pension on it. Values fall as well as rise.

Eric Long. Forex Trading at Good With Money

The Very Basics Of The Forex Market

The forex, or foreign exchange, market is a specialized type of market in which types of currency are exchanged for other types of currency. On average, the daily trade within the forex market is more than $1.9 trillion. As the worlds largest financial market, forex involves trading among central banks, large banks, governments, multinational corporations, large banks, and other institutions and markets of a financial nature. Individuals may also participate in the forex market through banks or brokers, though individuals represent only a small fraction of those trading within the market.

The Levels of Forex

Forex is different from the stock market, which provides the same prices to all participants. With forex, the market is actually divided into various levels. The top level is the inter-bank market that consists of the largest banking firms. The spreads of the inter-market usually are not shared with those outside of this exclusive circle. As the spreads work their way down through the levels, the difference between the ask price and the bid actually widens. This is primarily because those within the inter-bank level are capable of guaranteeing larger numbers of transactions and, as such, can demand a better spread.

The level below the inter-bank market is comprised of the smaller investment banks. The next level is made up by multi-national companies that pay employees in various companies as well as some retail forex market makers and large hedge funds.

Forex Trading Characteristics

Within the forex market, there are a number of different rates, or prices, which depend on what is being traded by the market or bank. In addition, there are a number of recognized trading centers within the forex market, with the main centers being in New York, London, Singapore, and Tokyo. In addition, a number of banks throughout the world participate in forex training. With so many markets located throughout the world, the market is literally open 24 hours per day. As such, traders can make trades immediately when events occur that can impact the market.

Interested in investing in the forex market? Read our Investment Guide first!

Spammers Use Excel to Cloak Malware

Spammers are using Microsoft Excel as the newest packaging for their spam, says Commtouch, a Nasdaq-listed anti-spam technology provider. The finding is based on the companys analysis of billions of email messages globally.

Like other types of spam messages, the Excel spam is being sent from zombie computers or bots typically home PCs that have previously been infected by Trojan malware, the company says in a media statement.

The Excel spam packaging promotes stocks in file attachments with names like invoice20202.xls, stock information-3572.xls, and requested report.xls.

Commtouch CIO Amir Lev says Excel is a natural progression after a recent spate of PDF spam, which itself was a development from basic image spam.

We expect other file formats to follow suit; think of the spam potential in PowerPoint files, or Word documents, he says.

Other file formats Commtouch recently released its Email Threats Trend Report for the second quarter of 2007. The report showed PDF-spam made up 10-15% of global spam messages during a 24-hour period, increasing overall global spam traffic by 30-40%.

Image spam dropped 50% to less than 15% of all spam in that period. In the previous quarter of the year, image spam accounted for 30% of all spam in the first quarter of 2007. The report also showed global spam levels remained high, with 85-90% of all global email being spam.

Lev says spammers assume that by wrapping the same message in a new format, they will bypass most anti-spam engines that try to analyze the content of mail messages.

However technologies that rely on identifying patterns in mass emails block these types of messages automatically, regardless of the content or format.

Malware writers have used Excel in the past as a carrier for viruses. In June and July 2006, a series of attacks exploited vulnerabilities in Microsoft software, including Excel, Microsoft Word, and PowerPoint.

Damaria Senne is a journalist and author based in Johannesburg, South Africa. She writes about the telecommunications industry in South Africa and Africa, including cellular, mobile and wireless technologies and messaging news and trends.

She regularly interviews executives of multinational companies expanding their business into Africa, as well as government officials and regulators in the African communications market.

Damaria is also an author and would like to write books that inform, educate, empower and entertain for parents and children.

Learning Forex Trading - The Eight Steps To Get You On Your Way

Learning forex trading can certainly be a daunting process if you have no idea where to start. Although forex is less complex than some other methods of trading because it only deals with one specific commodity, it can still be a chore to get to grips with. There is so much involved when learning forex trading, especially if you want to be successful, but by following the tips below, you can soon obtain the knowledge and know how that you need.

1. Research forex trading You can never walk into any kind of investment without first investigating the possibilities and weighing up the advantages and disadvantages, and learning forex trading is no different. You should at least know what it is and how the concept of forex trading works before committing yourself to attempting to profit from it.

2. Learn all about currencies Most individuals know a little about the dollar, pound and euro, but it is essential to learn about all currencies and their histories whilst learning forex trading. Without having basic knowledge of the fundamentals of currency, you cannot hope to do well at forex trading.

3. Assess the odds The odds of success and failure are part and parcel of learning forex trading because you need to be able to recognise trends, analyse profit margins and recognise potential.

4. Learn the key terms Every investment opportunity has some form of jargon attached to it. Ensure that you have a full understanding of the jargon associated with learning forex trading before progressing to the next possible step.

5. Watch the market As with anything in life, always watch the market to get the feel of it before progressing to participation. Learning forex trading is all about understanding before participating, and the only way for you to do that is to watch other before attempting it yourself

6. Use software to trade for free Some softwares enable the learning forex trading before you actually invest. You can trade imaginary amounts via simulators to give you practice and give a greater understanding of the system. You can analyse your mistakes and rectify them before actually investing your own money!

7. Set a budget Always work out what you can afford to trade whilst you are learning forex trading. It is easy for an individual to get in over his or head and end up losing far more than he or she can afford, so make sure that you are not one of those people!

8. You are ready to begin for real Your learning forex trading crash course is complete so as soon as you feel confident, go for it!

Simon Aridej is the owner NewForexLive.com a site which provides a good information about forex trading tips, how to trade like a professional forex trading free forex trading ebook and much more. You can download forex trading ebook for free by Click Here!

History - Beyond Historical Knowledge Into the Character of the People Behind Major Events

Webster's Dictionary defines history as: "A branch of knowledge that records and explains past events" (Webster's 2001). Historically, history is studied for many reasons. One major reason is to acquire historical knowledge.

One must look at all the historical facts and events recorded from history, to acquire what may be penned as "historical knowledge." This is not just head knowledge and rote memorization, but an understanding of the facts, deaths, purchases, wars, business dealings, and most of all the understanding of the "character" of the people behind these major events.

Whether reading about Lincoln, our sixteenth president of the United States, who persevered as a president and abolished slavery with the Emancipation Proclamation, or the Louisiana Purchase whereby America obtained a huge acreage of land for about the price of a modem day hotel. Also the great depression of the 1920's affected many people mentally and physically--creating a tough decade for all our citizens. These and many other historical events are studied because of knowledge--and knowledge is the power of history.

In 1860 the political conflict was slavery, and Abraham Lincoln was elected as President of the United States. Lincoln's party, the Republicans, stood for the total abolition of slavery in America. "A house divided against itself cannot stand," Lincoln stated.

Furthermore, "This government cannot endure permanently, half slave and have free...I do not expect the house to fall.. .It will become all one thing or another" (Young Republic 25). In 1863, Lincoln issued the Emancipation Proclamation, declaring all slaves in the Confederacy free--by his authority as president and commander in chief.

History accelerated the size of our United States when our third president, Thomas Jefferson, made a deal to purchase the Louisiana Territory from France for fifteen million dollars. This enormous purchase almost doubled the size of our nation and we obtained some of the most excellent and fertile land in the whole world.

Many other U.S. lands were obtained only by blood, sacrifice, and wars. When a man fights for his lands, he often obtains victory. Today we read in our texts about the blood, sweat, and tears that our military leaders undertook to gain such victories. We owe a debt of gratitude to our government and military leaders.

Though it may not be discussed enough, our war hero's are truly the freedom fighters that captured the freedom we so easily enjoy today. Jefferson's "Rough Riders" should be praised for just such a wonderful effort to keep and sustain our freedom. This was a tough bunch of soldiers with a brave commander who was almost unstoppable.

America's economy took a huge dive downward during the Great Depression. The stock market crash of 1929 left citizens standing in line for bread and looking for work like never before in our history. History's records indicate that investors lost everything.

Thousands of banks, businesses, and schools had to close down. A ton of loans were unable to be repaid because of low crop prices. Many usually busy U.S. workers suddenly found themselves without work. Our economy has always impacted our society. The study of our economy is essential to the understanding of our history.

When we study history we learn a great deal about our country and ourselves. Abraham Lincoln continues to come to mind as a mirror to us, because he persevered as president, when others might have quit. Abraham Lincoln showed the American people young and old how to have faith when facing the challenges of life.

Lincoln also was an example of "balance" in his life, having been shot by John Wilkes Booth, at a theater, of all places. He wasn't too intelligent or strong-minded to stop enjoying his life. He took time for the things that were important, and that leaves a strong legacy for all Americans.

To conclude, one must look at all the historical facts and events recorded from history, to acquire what may be penned as "historical knowledge." This is not just head knowledge and rote memorization, but an understanding of the facts, deaths, purchases, wars, business dealings, and most of all the understanding of the "character" of the people behind these major events.

There are many Americans who are devoted to studying the textbooks, newspapers, and magazines of the past. To these brave ones we must give our respect, for they are a picture of the past, but more importantly, they are a picture of our hope for the future. Many great presidents lead this nation to become one of the greatest nations in the world today, and certainly the most powerful.

Abraham Lincoln led our nation out of slavery, and by doing so, he opened up social, political, and economic opportunity for all people and he truly led us back to the Declaration of Independence.

The events of the past have also made their way into the classroom with the almost one hundred year old pledge of allegiance. Our pledge is a constant reminder of the victories that our great leaders obtained from the past: "I pledge allegiance to the flag, of the United States of America, and to the republic, for which it stands, one nation under God, indivisible, with liberty and justice for all."

The United States of America is a free country today, because of sacrifice, and we owe a huge debt of gratitude to our forefathers who fought to make this country a republic, a free land, a land where anything is possible with the right amount of hard work and solid spiritual foundations.

Don Alexander is a writer and published poet and has two online missions: Sharing his writing and also helping "all to succeed" in online business. Don feels that online home business is the financial answer for the average American today.
http://www.leading-online-business.com
"Helping ALL to Succeed"

Wall Street to Main Street: News, Views and Commentary: December 5, 2005

Its Manic Monday, Oil creeps above $60.00 a barrel , Verizon looking for a change in scenery and U.S. Steel gets bump from Barrons.

With the cold chill finally making its way to the Northeast, Oil prices rise to over $60.00 a barrel. With a big snow storm anticipated to arrive in the Northeast tonight through Tuesday morning, this can further boost that number.

U.S. Steel (NYSE:X) received a boost on Sunday from a Barrons article that mentioned the value of the stock may double if it becomes an acquisitions target. The company that may be coming to the table first is Luxembourg's Arcelor (CELR.PA), who was just outbid by Germany's ThyssenKrupp (TKAG.DE) for the acquisition of Canadian steelmaker Dofasco Inc. The question that may be on the minds of not only investors but of the U.S. Government, is should U.S. Steel be owned by a foreign company? U.S. Steel .stock closed at $48.11 on Friday.

Verizon (NYSE:VZ) seems to be looking at becoming a media powerhouse as they consider selling or spinning off their domestic directory division, Verizon Information Services. If this should happen it could be a deal worth up to $17 Billion. According to reports the company is looking to be known for more than a wireless phone company, they may be going head to head with cable operators such as Time-Warner (NYSE:TWX) as they expand their business horizons possible including television. The problem with this is that as technology advances the playing field becomes narrower, so Verizon jumping into a new arena can be either the best thing its done in years or a bust. Verizon closed at $31.87 on Friday.

Dell (NASDAQ:DELL) may be reaping the rewards of the holiday season as we head into the heart of the shopping season. Affordable prices and quality merchandise just may put them ahead of the pack. Lets not forget Apple (NASDAQ:AAPL) as their reinventing of the iPod just continues to add to their bottom line. So both stocks seem to be in good positions to do well over the next few weeks. Dell closed at $30.82 while Apple closed at $72.63 on Friday.

Empire Energy Corp (OTCBB:EEGC) recently announced that Anderson & Schwab Australia Limited has determined a business value for Zeehan Zinc Ltd to be between the range of US$83 and US$140 million. Now why is that significant? , Empire owns over a third of Zeehan Zinc and if those figures turn out to be right, then investors in Empire are looking at an interesting situation. Empire closed at $0.135 on Friday.

On the internet software front companies to look at are WebEx Communications (NASDAQ:WEBX) who has an application that allows for on-demand conferencing, and VeriSign (NASDAQ:VRSN) who is expanding their online music download services called Jamster, with their collaboration with Melodeo, Inc to enhance their digital music platform.

To register to receive the Wall Street to Main Street daily updates go to http://www.namcnewswire.com.

Louis Victor NAMC Newswire www.namcnewswire.com 888-463-9237

Information contained herein is the opinion of Louis Victor and is intended to be used strictly for informational purposes. You should be aware that Mr. Victor attempts to assure himself of the accuracy of the information contained in the analyses he publishes. None of the information contained in this opinion constitutes a recommendation by Mr. Victor, New Age Media Concepts nor the NAMC Newswire that any particular security, portfolio of securities, transaction, or investment strategy is suitable for any specific person. You must make your own independent decisions regarding any security, portfolio of securities, transaction, or investment strategy mentioned on the program. The companies that are discussed in this opinion have not approved the statements made in this opinion Louis Victors past results are not necessarily indicative of future performance.

Neither Mr. Victor, New Age Media Concepts nor the NAMC Newswire guarantees any specific outcome or profit, and you should be aware of the real risk of loss in following any strategy or Investments Opinion posted here. This opinion contains forward-looking statements that involve risks and uncertainties. This material is for informational purposes only and should not be construed as an offer or solicitation of an offer to buy or sell securities. The strategy or investments discussed may fluctuate in price or value and you may get back less than you invested. Before acting on any information contained here, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser. Louis Victor, New Age Media Concepts nor the NAMC Newswire are not licensed brokers, broker dealers, market makers, investment bankers, investment advisors, analyst or underwriters.

You should be aware that New Age Media Concepts is often compensated for issuing analyses, recommendations or opinions concerning particular companies. Its opinion is therefore not unbiased and you should consider this factor when evaluating New Age Media Concepts statements regarding a company.

Louis Victor is the Executive Vice President for the firm New Age Media Concepts. His experience comes from over 15 years on Wall Street and over 6 years in the advertising and public relations industry. His daily views features varies companies that may be of interest to investors globally. He has publish several articles in regards to the advertising industry as well as the financial industry.

Commodity Futures and Options Trading - How Efficient Is Your Trading? - Part 1

When you think about it, many events need to be just right to make an efficient and profitable trade. You must pull the trigger. The entry must be good. The exit must be good. The futures market must act as you expect. The orders must be accurate and without errors. The order and quote system must not fail throughout the complete chain. And there are more variables and fixed costs well discuss later. All these things take a slice out of perfection.

Perfection is getting 100% of the move. This is impossible and fantasy since our fixed costs always limit us to less than 100% efficiency. Plus, do to forecasting errors and execution slop, we are lucky to get 50% of a commodity futures contract move on average. Sometimes we get more and sometimes less.

The fixed costs are always there no matter how well we trade. Its like running in the mud. Futures contract commissions effectively take a chop out of the move. Another hit that most traders forget to consider is the bid and offer, or spread. We usually don't notice the spread when buying and selling at the market. The spread is more obvious when were watching the screen while electronically trading a market like the E-mini. Even the pit traders work with the same bid and offer prices as you and me.

Lets say the exact high of the move is now 1300.00 offered for the S&P 500 or E-mini futures contract. If you sell, at the market, you will get a price no better than 1299.75. Why? Because that is the normal E-mini spread; a point lower bid. You would need to place a limit order to sell at 1300.00 to get 1300.00. But there may be a line of orders ahead of you at that price and theres a chance you will not get your order filled.

If the futures market trades at 1300.25 offered, you will most likely get your price of 1300.00. Putting in specific limit orders is an art and you must expect to miss some moves as a result. Is it worth missing a big move for point? Maybe and maybe not. It all depends on how often you trade and the methods you use.

The more you trade for small gains, the more important it is to get these small slivers of price. In contrast, a long-term commodity futures position trader would never see the difference in overall performance, so he should probably go in at the market. He wants to be sure he gets positioned. The biggest risk for a long-term trader is missing a major move.

A short-term futures trader can afford to miss some moves and make it up over time by constantly grabbing the spread. Again, it all depends on your method and trading goals. Capturing the spread can cover day trading expenses. Its the equivalent of stealing the blinds when bluffing in poker. This means winning the pot even though your have an inferior hand. You may need the spreads to cover your expenses if you are a very active futures contract day-trader.

Part Two of Three Next!

There is substantial risk of loss trading futures and options and may not be suitable for all types of investors. Only risk capital should be used.

Thomas Cathey directs the managed futures division of Thomas Capital Management, LLC. Get FREE, the complete 44+ lesson, "Thomas Commodity Trading Course" by visiting: http://www.thomascapitalmanagement.com/commodity/welcome.htm It's brand new... a "street-wise" trading e-course. Get an edge trading futures, day trading e-mini's and selling options and spreads. Also learn how "TimeLine Trading" and rare "Ninja trades" can improve your trading results. For more helpful trading info, visit the main Thomas Capital Management trading website at: http://www.ThomasCapitalManagement.com

What Is a Hedge Fund Anyway - And Could It Be Right For Me?

There was a recent conversation that we overheard during a break at a seminar on current market trends that we ran in Long Island. With the popularity of hedge funds and hedge fund of funds, it is no surprise that their numbers have been growing at an explosive rate. By the end of 1999, it was estimated that about 4,000 hedge funds existed. In 2005, although just an estimate, that number has doubled to roughly 8,000.

The conversation that we witnessed went something like the following (please note, in the spirit of full disclosure, we point out that our firm is the General Partner of a hedge fund of funds):

Dont you have to invest at least a couple of million bucks in order to be able to join in on the action? asked Rob. Thats the way it used to be, but the vast majority will accept investments much lower than that! said Dave and Mary, the one were invested in has a $250,000 minimum, and many others keep the same standard.

But arent these types of things risky? asked Rob. That depends on how you categorize risk, responded Dave, when Mary and I were looking into investing this money, we found that similar to mutual funds and stocks, risk varies enormously among the different hedge fund strategies, and you can bet that theres a lot of strategies to choose from. Because of our lack of experience, we felt as if we were venturing into unchartered territory, so we wanted to position ourselves to have substantially lower risk with our investment, and thats why Mary and I decided to go with a hedge fund of funds.

Oh no, now Im really confused. Are you serious when you say that theres more than just a handful of optionsyou mean that I can pick a fund to invest in based on the type of strategy it uses, or I can go with that other fund of something or other you mentioned, said Rob. Yes, Mary said, Dave and I chose to invest in a hedge fund of funds because it significantly reduces individual fund and manager risk. As a matter of fact, we heard that the minimums were much higher on the individual manager side, and we even ran into funds that were closed to investments from us. Dave and I were so frustrated with all the decisions that had to be made, so we decided it was best to have someone knowledgeable and qualified to make the decisions for us. Not only do we gain the expertise of the fund of funds manager, but we get to reap the benefits of having multiple individual hedge fund managers working in similar or different styles, each with various strengths, and have that all pooled together within a single investment. Not too bad, huh?

Yes, but I still see a lot of risk in investing in hedge funds or fund of funds in general. Dont you guys worry about losing money? asked Rob.

Dave answered, Yah, of course we do. Nobody wants to lose money. But the way we look at it is that investing is not for the faint of heart. You have to be willing to go through the tough periods and weather the storms in order to do well. Our goal is to try to reduce the volatility in order to make that trip a little smoother. I dont know about you, but Mary and I never had an investment that went straight up.

Of course Rob asked, So you think that I should put money with a fund of funds too?

Mary answered back, quite rationally, No one can make that final decision other than you Rob. There are lots of alternative investments out there that you can get involved in. Whether youre thinking about real estate, hedge funds, or fund of funds, the most important thing is to take a look at your own financial situation and see if the potential investment youre considering can fit into your portfolio. The bottom line for Dave and I was that we had money invested in stocks, bonds, mutual funds, and even a couple of annuities, but we didnt have an alternative investment that would act as a hedge against potential market slides. After a lot of looking into, we decided that a fund of funds would be the most fitting for us and provide the best long-term strategy that we were looking for, so we narrowed our search and chose the one we felt most confident with.

Wow, ok, I guess Ive got some homework to do, smiled back Rob.

Rob continued, So, can we back up here for a minute and discuss what a hedge fund even is exactly?

Well, from the way I understand it, answered Dave, it all started around when I was born in the late forties. It was this guy Jones who started the whole thing.

Mary interrupted, Youre so bad with names Dave! The guys name is Alfred Winslow Jones and he went to Harvard back in the 1920s and received a doctorate from Columbia in the early 1940s before raising some money and forming what later became known as the very first hedge fund.

Dave added, What was so special about this fund that Jones created was the fact that he was hedging his portfolio. From my understanding, what this boils down to is that in addition to buying stock and betting that it goes up (going long), he would try to take advantage of drops in stock prices by placing bets that prices will go down (short selling), and thereby potentially making money regardless of what the market does. He also used leverage (borrowed money) to try to increase gains.

Ok, now you guys are starting to intimidate me, said Rob. You make a really good team by the way. Tell me more.

Mary answered, Basically, Jones said it best. He said that short selling and leverage are speculative tools used for conservative purposes. This guy basically owned this space until an article came out in Fortune magazine in 1966 entitled The Jones that nobody can keep up with The article compared his strategy and returns with some of the best mutual funds out there, and Jones fund outperformed the top mutual fund by such a huge percentage that soon after, many investors were trying to clone this new and unique investment strategy, including the likes of George Soros, Michael Steinhardt, and Warren Buffet.

Don Conrad is president of Conrad Capital Management, an independent registered investment advisor, in Melville, New York. Can be reached by phone: (631) 439-7878 or email: don@conradcapital.com

Don started his career in the late 1970s at a nationally recognized mutual fund company and was recruited after three years by E.F. Hutton Company to work in the consumer retail division. During his thirteen-year tenure there, he spent two years specializing in and trading the 30-year treasury bond. For the last five years, he served as a senior vice president focusing his efforts in the Consulting Services division, maintaining offices in both Long Island and Manhattan.

In 1993, he was recruited by PaineWebber as a Senior Vice President in the consumer retail division. In addition to managing his clients assets, he was asked by senior management to conduct a nationwide tour to train financial consultants in the Consulting Services division. Don also made a video on the use of advanced technology in the financial services industry. This video was distributed to PaineWebber offices internationally.

After almost five years at PaineWebber, Don decided to pursue his dream by starting Conrad Capital Management in order to offer his clients more choices and flexibility.

Forex Options Market Overview

The forex options market started as an over-the-counter (OTC) financial vehicle for large banks, financial institutions and large international corporations to hedge against foreign currency exposure. Like the forex spot market, the forex options market is considered an "interbank" market. However, with the plethora of real-time financial data and forex option trading software available to most investors through the internet, today's forex option market now includes an increasingly large number of individuals and corporations who are speculating and/or hedging foreign currency exposure via telephone or online forex trading platforms.

Forex option trading has emerged as an alternative investment vehicle for many traders and investors. As an investment tool, forex option trading provides both large and small investors with greater flexibility when determining the appropriate forex trading and hedging strategies to implement.

Most forex options trading is conducted via telephone as there are only a few forex brokers offering online forex option trading platforms.

Forex Option Defined - A forex option is a financial currency contract giving the forex option buyer the right, but not the obligation, to purchase or sell a specific forex spot contract (the underlying) at a specific price (the strike price) on or before a specific date (the expiration date). The amount the forex option buyer pays to the forex option seller for the forex option contract rights is called the forex option "premium."

The Forex Option Buyer - The buyer, or holder, of a foreign currency option has the choice to either sell the foreign currency option contract prior to expiration, or he or she can choose to hold the foreign currency options contract until expiration and exercise his or her right to take a position in the underlying spot foreign currency. The act of exercising the foreign currency option and taking the subsequent underlying position in the foreign currency spot market is known as "assignment" or being "assigned" a spot position.

The only initial financial obligation of the foreign currency option buyer is to pay the premium to the seller up front when the foreign currency option is initially purchased. Once the premium is paid, the foreign currency option holder has no other financial obligation (no margin is required) until the foreign currency option is either offset or expires.

On the expiration date, the call buyer can exercise his or her right to buy the underlying foreign currency spot position at the foreign currency option's strike price, and a put holder can exercise his or her right to sell the underlying foreign currency spot position at the foreign currency option's strike price. Most foreign currency options are not exercised by the buyer, but instead are offset in the market before expiration.

Foreign currency options expires worthless if, at the time the foreign currency option expires, the strike price is "out-of-the-money." In simplest terms, a foreign currency option is "out-of-the-money" if the underlying foreign currency spot price is lower than a foreign currency call option's strike price, or the underlying foreign currency spot price is higher than a put option's strike price. Once a foreign currency option has expired worthless, the foreign currency option contract itself expires and neither the buyer nor the seller have any further obligation to the other party.

The Forex Option Seller - The foreign currency option seller may also be called the "writer" or "grantor" of a foreign currency option contract. The seller of a foreign currency option is contractually obligated to take the opposite underlying foreign currency spot position if the buyer exercises his right. In return for the premium paid by the buyer, the seller assumes the risk of taking a possible adverse position at a later point in time in the foreign currency spot market.

Initially, the foreign currency option seller collects the premium paid by the foreign currency option buyer (the buyer's funds will immediately be transferred into the seller's foreign currency trading account). The foreign currency option seller must have the funds in his or her account to cover the initial margin requirement. If the markets move in a favorable direction for the seller, the seller will not have to post any more funds for his foreign currency options other than the initial margin requirement. However, if the markets move in an unfavorable direction for the foreign currency options seller, the seller may have to post additional funds to his or her foreign currency trading account to keep the balance in the foreign currency trading account above the maintenance margin requirement.

Just like the buyer, the foreign currency option seller has the choice to either offset (buy back) the foreign currency option contract in the options market prior to expiration, or the seller can choose to hold the foreign currency option contract until expiration. If the foreign currency options seller holds the contract until expiration, one of two scenarios will occur: (1) the seller will take the opposite underlying foreign currency spot position if the buyer exercises the option or (2) the seller will simply let the foreign currency option expire worthless (keeping the entire premium) if the strike price is out-of-the-money.

Please note that "puts" and "calls" are separate foreign currency options contracts and are NOT the opposite side of the same transaction. For every put buyer there is a put seller, and for every call buyer there is a call seller. The foreign currency options buyer pays a premium to the foreign currency options seller in every option transaction.

Forex Call Option - A foreign exchange call option gives the foreign exchange options buyer the right, but not the obligation, to purchase a specific foreign exchange spot contract (the underlying) at a specific price (the strike price) on or before a specific date (the expiration date). The amount the foreign exchange option buyer pays to the foreign exchange option seller for the foreign exchange option contract rights is called the option "premium."

Please note that "puts" and "calls" are separate foreign exchange options contracts and are NOT the opposite side of the same transaction. For every foreign exchange put buyer there is a foreign exchange put seller, and for every foreign exchange call buyer there is a foreign exchange call seller. The foreign exchange options buyer pays a premium to the foreign exchange options seller in every option transaction.

The Forex Put Option - A foreign exchange put option gives the foreign exchange options buyer the right, but not the obligation, to sell a specific foreign exchange spot contract (the underlying) at a specific price (the strike price) on or before a specific date (the expiration date). The amount the foreign exchange option buyer pays to the foreign exchange option seller for the foreign exchange option contract rights is called the option "premium."

Please note that "puts" and "calls" are separate foreign exchange options contracts and are NOT the opposite side of the same transaction. For every foreign exchange put buyer there is a foreign exchange put seller, and for every foreign exchange call buyer there is a foreign exchange call seller. The foreign exchange options buyer pays a premium to the foreign exchange options seller in every option transaction.

Plain Vanilla Forex Options - Plain vanilla options generally refer to standard put and call option contracts traded through an exchange (however, in the case of forex option trading, plain vanilla options would refer to the standard, generic forex option contracts that are traded through an over-the-counter (OTC) forex options dealer or clearinghouse). In simplest terms, vanilla forex options would be defined as the buying or selling of a standard forex call option contract or a forex put option contract.

Exotic Forex Options - To understand what makes an exotic forex option "exotic," you must first understand what makes a forex option "non-vanilla." Plain vanilla forex options have a definitive expiration structure, payout structure and payout amount. Exotic forex option contracts may have a change in one or all of the above features of a vanilla forex option. It is important to note that exotic options, since they are often tailored to a specific's investor's needs by an exotic forex options broker, are generally not very liquid, if at all.

Intrinsic & Extrinsic Value - The price of an FX option is calculated into two separate parts, the intrinsic value and the extrinsic (time) value.

The intrinsic value of an FX option is defined as the difference between the strike price and the underlying FX spot contract rate (American Style Options) or the FX forward rate (European Style Options). The intrinsic value represents the actual value of the FX option if exercised. Please note that the intrinsic value must be zero (0) or above - if an FX option has no intrinsic value, then the FX option is simply referred to as having no (or zero) intrinsic value (the intrinsic value is never represented as a negative number). An FX option with no intrinsic value is considered "out-of-the-money," an FX option having intrinsic value is considered "in-the-money," and an FX option with a strike price at, or very close to, the underlying FX spot rate is considered "at-the-money."

The extrinsic value of an FX option is commonly referred to as the "time" value and is defined as the value of an FX option beyond the intrinsic value. A number of factors contribute to the calculation of the extrinsic value including, but not limited to, the volatility of the two spot currencies involved, the time left until expiration, the riskless interest rate of both currencies, the spot price of both currencies and the strike price of the FX option. It is important to note that the extrinsic value of FX options erodes as its expiration nears. An FX option with 60 days left to expiration will be worth more than the same FX option that has only 30 days left to expiration. Because there is more time for the underlying FX spot price to possibly move in a favorable direction, FX options sellers demand (and FX options buyers are willing to pay) a larger premium for the extra amount of time.

Volatility - Volatility is considered the most important factor when pricing forex options and it measures movements in the price of the underlying. High volatility increases the probability that the forex option could expire in-the-money and increases the risk to the forex option seller who, in turn, can demand a larger premium. An increase in volatility causes an increase in the price of both call and put options.

Delta - The delta of a forex option is defined as the change in price of a forex option relative to a change in the underlying forex spot rate. A change in a forex option's delta can be influenced by a change in the underlying forex spot rate, a change in volatility, a change in the riskless interest rate of the underlying spot currencies or simply by the passage of time (nearing of the expiration date).

The delta must always be calculated in a range of zero to one (0-1.0). Generally, the delta of a deep out-of-the-money forex option will be closer to zero, the delta of an at-the-money forex option will be near .5 (the probability of exercise is near 50%) and the delta of deep in-the-money forex options will be closer to 1.0. In simplest terms, the closer a forex option's strike price is relative to the underlying spot forex rate, the higher the delta because it is more sensitive to a change in the underlying rate.

John Nobile - Senior Account Executive
CFOS/FX - Online Forex Spot and Options Brokerage

What to Sell on the Internet?

The phenomenal growth of ecommerce lures more and more people to dream about starting an online business. The question that bothers many and restrains them from realizing their dream is what to sell on the Internet.

If you have spent sometime on the Internet trying to figure out what product or service you should choose to sell online, you must have noticed that people are selling every conceivable product and service over the Internet. Contrary to popular belief, even big ticket items are also selling on the Internet very well. But, nevertheless, it is not very easy for a newbie to find a product rather quickly and start marketing online.

If you are having difficulty in finding a good tangible product to market on the Internet or afraid to manage all the hassles of shipping and handling you may seriously consider selling information online.

According to data, most people browse through the Internet in search of some sorts of information that they require. Survey conducted by Neilsen Media Research shows that Books and Information Category tops the highest selling product and service on the Internet with a significant margin in comparison to other categories. This makes information a natural product for sale on the Internet. Information sells online in the formats of e-books, articles, reports, data, whitepapers etc. If you have expertise in any specific field, you may consider selling your ideas in one of the mentioned format. Check out Clickbanks marketplace to get a good idea what people are selling. You will be truly amazed by the scope of ideas!

Although, information is the most sought after product on the Internet; that does not mean it is an easy-to-sell product. For one thing there are tons of free information available on the Internet, and the second is people on the Internet are not very willing to pay for information. This is the reason why you have to be very careful in choosing the right product to market online.

People will buy your information product, if it is:

- A particular knowledge that they crave

- It makes their life easier, i.e. saves time

- It teaches them some subject that they would like to learn.

Which are the products that fall in these categories?

Expert advises, tips and ideas in a niche field:

Body building tips, dieting secrets, dating ideas, stock trading secrets, Internet marketing ideas are examples of this category.

Trend forecasts:

Businesses spend fortunes to have a better understanding of specific trends. If you have enough expertise to predict a trend of a specific field, i.e. high technology, stock market, Internet, etc., you may have a comfortable living by selling newsletter and whitepapers. The hard part is: you have to prove that you are really an expert in this field.

Courses:

Thanks to Internet, more and more people are willing to learn different subjects from the comfort of their work and home. If you have enough knowledge of a particular subject, create an online course and market it through Internet.

Surveys and data:

Business bases on various marketing, demographic, sales and other data. You may collect those data from various sources and by conducting your own online surveys. This also requires enough knowledge of a specific business field and their requirement.

Research and Analysis:

People are often ready to pay for research and analysis information of their fields because, in general, this saves their own time. That is why subscription based stocks and other research websites are thriving on the Internet.

There are number of other reasons why you should consider selling information on the Internet.

Audience size

Millions of people from all over the world are browsing through the Internet in any given time. Your information product can be exposed to a very large number of prospective buyers in no time.

Easy to develop

Information products like reports and e-books are fairly easy to create. All you need is the knowledge of the field, a little determination and enough time to spend on it.

Low cost and low over head

You can create and market a report for less than US $100. You can take advantage of numbers of free marketing tools available on the Internet. You can even keep your overhead low by doing things all by yourself.

You can start part time

This is one business you can start from shoestring and spending only couple of hours a day. You can keep your job until you feel comfortable with the earning you generate through your online endeavor.

Conduct business from anywhere

The best thing about this business is you can do it from anywhere. You are no longer confined to a specific geographical region. While developing your information product keep in mind the following aspects:

- Does this product satisfy a need or does it solve a problem?

- Is their enough value in it?

- Is it a better product than others available on the Internet?

- Is this product easy to market to your chosen market segment?

The last question is very important as the sheer size of Internet makes it virtually impossible to focus on it as a whole. You must segment your market as clearly and as specifically as possible to become a successful Internet marketer.

Once you finished developing your product, initially, try selling your product through a marketplace similar to Clickbank. This will allow you to setup your online business fairly quick. You will not need a merchant account of your own and you can build your affiliate program with an ease.

Nowshade Kabir is the founder, primary developer and present CEO of Rusbiz.com a Global B2B Exchange with solutions to create e-catalog, Web store, business process management and other features to run a business online. You can read various articles written by Nowshade Kabir at http://ezine.rusbiz.com.

Something About California Loan Rates

According to the majority of ads for California loan rates, rates are at an all time low. Of course, they would say that, now wouldn't they! However, it is true; California loan rates are low at this time. California loan rates seemed to have been quite low than what we usually find this season.

For conforming California loan rates, interest is running between 6.125% and 6.250%. The annual percentage rates are 7.390% down to 6.363%. (The lower interest rate carries the higher APR.) These California loan rates apply to loans equal to or less than $417,000.00 and go up to a period of 30 years fixed.

For jumbo California loan rates, interest is running between 5.750% and 6.375%. The annual percentage rates are 7.282% down to 6.479%. (The lower interest rate carries the higher APR.) These California loan rates apply to loans greater than $417,000.00.

There are also low down payment mortgages associated with low California loan rates. A low down payment mortgage rate, 30 year fixed, can range from 0% to 20% and carry an interest rate of 6.875% (7.049% APR) to 6.250% (6.367% APR). While a 5 year ARM carries interest rates as follows: with a down payment of 0% (7.627% APR) to 20% (7.174% APR).

While all these California loan rates sound good, beware. The Federal Government says that lenders have been making too many risky loans and have attempted to rein them in by raising mortgage rates. But it is thought that this arrangement will only be a temporary fix' and that mortgage rates will drop again. So you may yet have time to get a good California loan rate before lenders renege on some of their risky loan deals or decide to tighten up their underwriting rules, but you may not have much time. In the meantime, mortgage rates go up and down almost daily---and that can cost you plenty!

This should motivate you to speed your mortgage application through as quickly as possible. You will have a better chance at the home you really want if you can get your loan approved quickly. Because, as you know, the lower the interest rates, the more house you can afford to purchase. With a lower California loan rate, you might be able to afford a home that costs $250,000.00 as opposed to a home you would have to settle for at $200,000.00. Take advantage of the lower interest rates now before it all changes.

Copyright (c) 2006 Darren Dunner

Darren Dunner is the author of this article. Find more information about the same at www.theabclending.com and www.iloanresource.com

The Secret Of Making Money In The Stock Market

You may have wondered if there are people out there who consistently make money from the stock market. And yes, there are people out there who are consistently making money from the stock market because if they were not making money from market they would not be there and the markets would not be there too. These people are no smarter than you. They do not work any harder and neither are they lucky than you.

But, unlike you, they never seem to worry about having money because they know one or two secrets of making money in the stock market. You see most people miss the big idea here. They think it takes a lot of money to make a lot of money. But that is not how it is done. The idea is to make pennies consistently and to use them to build vast personal fortunes. The stock market is a proven wealth builder and can and should benefit all participants. It is only fair that each one of us should be entitled to a piece of the action.

One thing these traders know is that the market is not an issue of trial and error but a fully quantifiable market by any fundamental Mathematics. You see, when we went to school we learn about the Standard Deviation in probability and statistics. This Standard Deviation is Mathematics and is quantifiable in modern science. Standard deviation was introduced by Mathematician Karl Pearson in 1893 although the idea was by then nearly a century old. This is the single most important idea that should explains all those mysteries, myths and legends you hear of in stock market.

Everything on this planet has properties and, or, characteristics. A stock, just like you and me, has properties and these properties are quantified by calculating the Standard Deviation of the stock. It varies from stock to stock. Our brains are lazy and what we can not understand we turn to astrology which gives our brains a rest. Rather than use planets in signs of the zodiac and financial astrology, or imagining of the latest rumors, invest that time in the study of probability and statistics. If its not you to study, who should? Probability and Statistics is that study that has to do with tossing a coin to get a tail or a head. And as simple as it may sound, tossing a coin and getting a head for only two consecutive times is an extremely very difficulty thing contrary to what our lazy brains would want us to believe.

Standard Deviation is all about vibrations. Vibrations is like in music, vibrations in a string, water vibrations, earthquake vibrations, light and electromagnetic vibrations. The stock market is like vibrations too. For the price to move it must vibrate. The stock spends a lot of time vibrating in a neutral sideway range which unfortunately we do not like. We want the stock to go to the roof the next day after we have bought it. Vibrations are waves. Waves have crests and troughs and travels from one price to another. One crest is often followed by a second crest which is followed by a third crest and so on and so forth. Every crest is separated by a trough to create an alternating pattern of crest and troughs.

Like a bouncing tennis ball, a lower bounce than the previous bounce means the ball is coming to a halt. In the stock market, strength is quantified by series of crests where each crest exceeds the highest point of the previous crest and weakness by series of troughs where each trough goes lower than the lowest point of the previous trough.

People out there will tell you to trade in the direction of trend and they go further to say getting the trend is easy : do this and that. Contrary to the believe that determining the stock's trend is easy, in real time this is very difficulty and you can not have a probability of 100%, otherwise each one of us would be a winner in the market. Some investment advisers and the media are either oblivious and always bullish or immoral, merely giving the public what it wants. It s only a question of, is it this group of stocks or that group, this sector or that sector?

Back to crests and troughs. Whenever two crests meet up with one another they produce a bigger crest which is constructive, and, whenever a crest and a trough meet one another they tend to cancel each other producing a smaller trough or crest which is destructive. If you have ever wondered why carpenters saw the wood in the directions of the grains rather than up against the grains, wonder no more - these guys find it easier and the bundles they produce are sliced clearly leaving a smooth surface with minimum defects.

A bigger crest or trough is made up of smaller troughs and crests. How many of the smaller ones makes the bigger trough and crest is the puzzle that will make our lazy brains consult astrology. Lets leave that as it is because the market moves yoyo, so we comfort ourselves.

The real forces that move the markets are the moving averages. They are a measure of accumulation of strength and weakness over time due to news, economic growth reports, manipulation, fear and greed. There are many moving averages just as there are different types of traders. It is through the dynamics of the moving averages that there are crests and troughs. The bad thing about these moving averages is that they only tell us about what happened rather than what is happing.

One of the most successful trading tool since time immemorial is multiple moving averages crossover, and the acceleration in all averages is either positive in all averages or negative in all averages that you are using. If the acceleration in averages is positive, you go long, and if the acceleration is negative, you go short. This really is multiple time frame where you trade using the shorter trend but only if the longer trend supports it.

Good trading requires you to have safety measures upfront. Always make sure that every trading position that you open has a corresponding stop loss order, repeat, every position that you open has a corresponding stop loss order. I can repeat this until breakfast tomorrow. Trading without stop loss orders is like driving an automobile with faulty breaking system. Every now and then check to see if your stop loss orders are still active. If your broker's system fails, when it come back it may come without your stop loss orders. These stops are not free. It is among those fees that should keep your broker in business and you should grandly pay him even if your stops are rarely used. And why not? And talking about brokers, get yourself a good and inexpensive broker. There are many out there. A broker who charges more than $1.0 per 100 shares of stock is expensive and if you are paying more than that, then you will develop fear of exiting trades as you contemplates the broker's commission you are to incur. A good broker should embrace modern technology and you should promote them because if its not you, then who? And never get married into certain stocks. A company and its stock are two very different things. A stock that is not making money for you is not a thing. Throw it to the dogs.

The Author's website The Secret of Making Money in the Stock Market is designed to help beginners and average traders make money in the Stock Market. In view of the above I have considered only proven mathematical logics. I now shall invite you to join me here as I attempt to intermarry all these logics and predict profitable market directions with Precision. And if you have been wondering if there are people out there who consistently make money from the stock market, wonder no more.

Forex Trading - Combine Indicators Correctly & Watch Your Profits Soar

If you want to trade forex markets you need to have a forex trading strategy that generates trading signals and the fact is, most novice traders and many so called pros fail to do it correctly.

Here we will look at 3 simple steps that if followed, could see your forex trading profits soar and lead you to long term currency trading success so here they are.

1. Identification of the Opportunity

First of all, you need to identify the trading opportunity and for this there is no better way than using good old fashioned trend lines, to indicate areas of support and resistance.

My view is that trend lines with the back up of moving averages and Bollinger Bands are all you need.

Many traders make the mistake of then buying into resistance and selling into support, but this simply means you are relying on hope and if you hope a level holds you will lose.

You need to get the odds on your side!

You need to time your trading signals in any investment market and that includes forex trading, with indicators that will allow you to see shifts in price momentum, that support your view of market direction.

2. Entry to the trade

What you ideally want is to get confirmation of either a break of support or resistance to go with the break or a waning of price momentum, to indicate the levels will hold.

If you dont trade with price momentum backing you up you will lose as you cannot get the odds in your favour and trading is an odds game.

What are good indicators to use well there are two that are great and should be looked at by any forex trader looking to make consistent profits and they are:

The relative strength index ( RSI ) and the stochastic quite simply, their the best timing indicators you can get there simple to understand and apply and if used correctly, you will increase your odds of success dramatically.

We have covered these articles in other articles so check them out.

3. Exiting the market

If you are exiting the market, then the same indicators above will give you signals when you reach your target levels and you can uuse some others to here are our favourites

We also like to use the ADX Line and use a move above 40% and turn down to take profits.

In a good sustained up trend, you can use surges outside of the top Bollinger band to bank profits, or if prices dip and penetrate the midline exit the trade.

One of the hardest parts of FX trading

Is deciding on when to take profits Many traders like to trail up stops closely to get taken out of the market, but I personally favour working with a target and moving stops up very slowly its all down to individual preference you dont want to be stopped out to soon and you want to make as much as you can.

Experiment with the above indicators and take your time to get a strategy that suits your personality and forex trading strategy.

There are other indicators of course in addition to the ones we have outlined above but you should seriously consider these first in your forex trading, as they can get the odds in your favour and lead you to currency trading success.

GRAB 3 X FREE TRADER & FREE TRADER PROFITS NEWSLETTER

On all aspects of becoming a profitable trader including features, downloads and some critical FREE Trader PDF's and more FREE Forex Education visit our website at http://www.net-planet.org/index.html

Buying Into Japanese and German Exporters

With the euro down nearly 15% this year and at a two-year low against the U.S. dollar, the worlds largest exporting nation is worth a good look. So is another country that has thriving exports in spite of a stronger currency. Were talking about Japan and Germany, respectively, the worlds second- and third-largest economies.

The top lines at leading German industrial companies are rolling in with impressive numbers for an almost zero-growth economy. Quarterly sales at Siemens rose 13%, the fastest since 2003. BMWs sales rose by 11% in the third quarter, although high raw-material costs and pricing pressure resulted in weak net profits. A bright spot is Asia, where BMW expects to sell 150,000 cars per year by 2008.

Overall, German exports are up for the third-straight month and sales to countries outside of the European Union rose 18% annually from a year earlier. Clearly, the Germans are good at making stuff and selling it to the world, and the weaker euro is helping spur growth. Germanys DAX stock index is taking notice and is up nearly 20% year-to-date.

Meanwhile, U.S. exports are up a paltry 2% since 2000. Although exports to China are up 35% during this same period, Americans are now buying seven times more from China than we are selling to them. A good reason why is that, according to research by Morgan Stanley's Stephen Roach, consumer spending represents 71% of Americas gross domestic product. The figure is 42% for China and 55% for Japan.

Speaking of Japan, the aftermath of the financial bubble has obscured the fact that it too, remains an exporting powerhouse, despite a currency that has risen more than 20% since 2002 and 13% this year alone. Just look at Japans current account surpluses over the past three years: $113 billion in 2002, $136 billion in 2003 and $172 billion in 2004. China is a major market, and despite political difficulties, bilateral trade between China and Japan now exceeds trade between Japan and America.

A majority of Japans exports are manufactured goods and components. Fifty percent of its exports to China in 2004 were electrical equipment and machinery, and its top exports to the world include autos, electronic components, optical instruments, imaging equipment and computer parts.

Much is made over Chinas huge trade imbalance with America, which reached $126 billion in the first eight months of this year. No doubt a sizable share of Chinese exports to America are chock full of Japanese components. While some of these components were made in offshore facilities, many were made in Japan, which has been able to hold on to its industrial base better than America.

How do they do it? First, the Japanese are continually moving up the value-added curve and are careful to keep the R&D and manufacturing of sophisticated components close to home, while outsourcing the low-end to low-wage countries.

Secondly, even though Chinas wages are about 5% of Japans, factory automation has lessened the importance of labor costs. For advanced high tech products, it accounts for only 10% to 15% of total costs. Having manufacturing closer to home also shortens new product lead times and increases cooperation between R&D and production teams leading to a crucial edge in staying ahead of its nimble competitors. Supply lines of 2,000 miles can be problematic.

Perhaps most important, there is the critical issue of protecting intellectual capital. Having research, development and production closer to headquarters better protects proprietary technologies.

Canon, Sharp, Hitachi, NEC and Toyota are all good plays on Japans manufacturing edge, while Sony will continue to lag until it boosts its R&D and catches up in product development.

The iShares MSCI Japan Index exchange-trade fund is an attractive option, since it has about 50% exposure to Japans manufacturing sector with an annual expense ratio of only 0.59%. Similarly in Germany, the iShares MSCI Germany Index is loaded with that countrys top exporters and would be an excellent proxy for overall German export growth.

Carl Delfeld is head of the global advisory firm Chartwell Partners and editor of the the "Asia-Pacific Growth" newsletter. He served on the executive board of the Asian Development Bank and is the author of "The New Global Investor." For more information go to http://www.chartwellasia.com or call 877-221-1496.

Online Forex Trading The Main Reasons Traders Lose

Online forex trading is often promoted as a way to get rich quick and that it can be easily.

While it can be done and is one of the most financially rewarding ventures you can do for the effort, you need to know where to put your effort.

Its a fact that in online forex trading most traders have no idea how to really make money and lose and here are the basic mistakes they make.

1. You can buy success from someone else

They buy an e-book for under $100 and expect it to make them rich.

These people are greedy, ignorant or fools or maybe all three.

There is some good advice out there (and our other articles explain this) but dont expect anyone else to make you rich, the final judgment on trades is yours and you need to accept responsibility.

2. The myth of short term trading

Most new traders want to day trade or intra day and this group are simply guaranteed to lose.

Short term trading doesnt work.

No one can calculate daily moves their random and all you do is have a huge amount of small losses and marginal profits that destroy your account equity over time.

Ever seen a short trader with long term track record of consistent real time gains?

I havent and you wont find one either.

3. Not understanding volatility and risk

Most traders have no concept of volatility and market timing to take advantage of it.

They end up entering trades when risk is high and placing stops that have high odds of getting them stopped out.

Learn about standard deviation of price and make sure you understand it.

4. Buying low and selling high

Most traders focus on buying low and selling high. This is destined to wipe them out.

Why?

Because they should wait for confirmation and buy high sell higher

Not enough room to explain this in depth here, look up breakouts on the net and see for yourself, most major trending moves start from new market highs.

5. Changing systems

Traders constantly change systems or methods.

This is normally because they dont have one they understand and have confidence in, in the first place.

All systems lose at some point, but you need to stick with it if its logic is soundly based.

If you have confidence in it you will have the major trait all successful currency traders have.

6. Discipline

Many traders have a system but they dont have the discipline to execute the signals as they should and these people may as well not have a system at all.

Some positive advice

Dont make the above mistakes when you approach online forex trading.

Accept responsibility (even if you follow someone else) make sure you understand and have confidence in your system, so you can apply it with discipline.

Never day trade look for long term trends then:

Use a breakout methodology with just a few confirming indicators and understand volatility so you can place stops and targets to allow you to run the big profitable trends.

MORE FREE BETTER TRADING INFO

On all aspects of becoming a profitable trader including features, articles and FREE FOREX trading PDF'S visit our website at http://www.net-planet.org/index.html

Exploding The Cash Is Trash Myth

So, in May 1989, with the Australian share market in the depths of a bear market, and real estate has just crashed, where do you put your money? Obviously in Japan (if you belong to the Flat Earth Society, as most do, and you know nothing about the underlying mood insight of the socioeconomist).

Okay, so let's you and I invest $1,000 each in May 1989. You put yours into Japanese shares (buy the Nikkei index at 34,000) and I'll put mine in the bank. Let's assume that you have taken the advice of your broker or adviser to "buy and hold for the long term. Even if the share market falls, it will always rise to a new high in the long term."

Let's say that over the next 18 years, to May 2007, I earn 6% per annum interest. (Note that the cash rate in Australia was 18% in 1989, but I want to be generous here). Dividend yields on Japanese shares are notoriously low, and I am probably being overly generous again (by about 50%), but let's assume you earn 1% per annum in dividends on your Japanese shares. And let's say you hold your shares right through until now. That is, when the Nikkei fell below 8,000 points in 2003 you didn't sell in panic, because "shares will always rise in the long term." Let's say the Nikkei is 17,000 points today. We'll ignore tax and inflation for the purpose of this exercise (if only we could).

How do we compare? My $1,000 is today worth $2,854 with compounding interest. How did you fare?

Your shares are worth $500, but you have earned $321 in dividends, which I have compounded for the sake of the exercise.

So I put my money in the bank and made 185% profit in 18 years. You put yours into the equivalent of today's Australian share market and lost 18% in the same period. Are you still sure you want to rush back into the share market? Are you sure that cash in the bank is such a bad investment? Are you going to keep listening to the "cash is trash" merchants who are simply talking their book (vested interests)? Or will you use your neo-cortex to override your emotion?

I rest my case. Just because all the "experts" say "cash is trash" does not mean that it is. It depends what you invest. There will be a time when the share market will be a fantastic investment. At that time I will be recommending it "with my ears pinned back." Yet at that time nobody will want to touch shares. Shares will be a dirty word. Aren't humans funny creatures?

http://grahamdyer.com The Graham Dyer Newsletter has not missed a month's publication since July 1983. His track record for forecasting is the envy of many, including the 1987 stock market crash, the demise of the Japanese economy and stock and real estate markets in the 1990s, the bull market for bonds from 1989, and the real estate boom this decade. His book is entitled: How to Profit from the Coming Great Depression. If you want to know the pitfalls of investing as well as the opportunities, Graham Dyers world class work is a must read. For more of Graham's work you can visit http://grahamdyer.com