Podcast

TME 021: Futures Trading

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What Are Futures?

Investopedia defines futures as a financial contract obligating the buyer to purchase an asset (or the seller to sell an asset), such as a physical commodity or a financial instrument, at a predetermined future date and price. Futures contracts detail the quality and quantity of the underlying asset; they are standardized to facilitate trading on a futures exchange. Some futures contracts may call for physical delivery of the asset, while others are settled in cash. The futures markets are characterized by the ability to use very high leverage relative to stock markets.
Futures can be used either to hedge or to speculate on the price movement of the underlying asset. For example, a producer of corn could use futures to lock in a certain price and reduce risk (hedge). On the other hand, anybody could speculate on the price movement of corn by going long or short using futures.

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Podcast

TME 020: Trend Following

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What is Trend Following?

Trend following is a trading strategy that tries to profit from trends in the market. A trend follower makes money when they follow the trend of a particular market. Trend Following can be done by big time banks on Wall Street or by online stock trading of an individual. If you want to learn how to trade by following the trend then trend following is the trading strategy that you want to use.

Stock trading online has grown in popularity over the past decade. People trade but many lose because they do not have a trading system. In this article we will discuss trend following. Once you finish this article you should be able to determine if trend following is a strategy that is right for you.

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Podcast

TME: 019 Stock Picks

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We hear a lot of people giving their stock picks. Some post their stock picks on the web. Some scream their stock picks on TV. Today we are going to talk about the good and the bad of stock picks.

 Stock Membership Sites

I was in the woods on a cool March morning. The market had just opened. My phone was not getting a very good signal. The email came through that said buy an option for a certain symbol. When I went to buy the option it was much higher than the suggested buy price. There must have been a delay between the time when they sent the email and when I received it. That was my first experience with a stock pick or stock membership website.

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Podcast

TME: 018 Trading For A Living

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In 2013 Gallup’s American Workplace study 70% of those who participated described themselves as disengaged from their work. So if you are reading this article there is a 70 % chance that you do not like your job. Imagine this. We spend 40 hours per week at work. There are 168 hours in a week 56 of those are for sleeping. That leaves 112 hours. If you spend 40 hours per week working then 35% of your time awake is at work. So shouldn’t we enjoy what we are doing?

If you are reading this then you are at least someone that is interested in trading. Have you ever considered a trading for a living?

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Podcast

TME 017: Stock Market News

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What is the goal of any business? To make money. When you watch the news we need to understand that they entertain so that they can make money.

Stock market news is no different.

The people reporting on the stock market are in the business of entertaining. It might be a man that screams at you for an hour per day. Those types of shows are just for entertainment. What if the screamers were forced to post their record once per month? How long would they last?

The media in today’s time is in the entertainment business. It could be deflated footballs, bird flue, swine flue, oil spills, or stock market news. Whatever the story might be the media will always make it bigger that it really is.

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