Wednesday, August 14, 2013
Friday, August 9, 2013
Tuesday, August 6, 2013
Sunday, July 14, 2013
Gaining Money Through Short-Term Trades
Fibonacci-Stocks.com has been very successful over the past 15 months by gaining 130% on 19 trades that are listed on the StockTable1 page. You have probably heard the old saying of "buy low and sell high." I finally figured out where you can call an intermediate stock market bottom to satisfy the "low" part of the gain formula. The secret is to pay attention to the NYSE McClellan Oscillator, $NYMO, which is tracked at StockCharts.com. When $NYMO is -80 or lower on the chart, that is the time to buy.
Now, the second part of the winning formula is to know which stocks to buy at the bottom. I prefer to buy ETFs because they are tied to the macro view of the economy which is also in lock-step with the stock market. I previously tried to trade individual companies, but there are too many unknowns about companies that you may never know about soon enough even if the stock has already dropped. It could fall a lot further. Therefore, the ETFs are immune to negative news about just one of the stocks that they may have in their portfolio since they have a wide diversification.
One ETF that I like to trade is IBB, a drug company ETF. Their major holdings are big biotech companies, and drug companies are in a bull market because people are constantly in need of medications. As long as the stock market is going up, IBB will be rising also. So, whenever you can buy IBB at a market bottom, you are 99% guaranteed to achieve a gain.
Another stock that I like is XIV, the inverse volatility index. This ETF is a bet that volatility will go down. Thus, when you buy XIV at a bottom, it is certain to go up as the stock market recovers from bad news. Then, to complete your gain, you must sell these stocks when you are up 10-20% because the market will crash again sooner or later. If you have locked in your profits, you can load up again at the next bottom and gradually get rich through the stock market cycles.
Now, the second part of the winning formula is to know which stocks to buy at the bottom. I prefer to buy ETFs because they are tied to the macro view of the economy which is also in lock-step with the stock market. I previously tried to trade individual companies, but there are too many unknowns about companies that you may never know about soon enough even if the stock has already dropped. It could fall a lot further. Therefore, the ETFs are immune to negative news about just one of the stocks that they may have in their portfolio since they have a wide diversification.
One ETF that I like to trade is IBB, a drug company ETF. Their major holdings are big biotech companies, and drug companies are in a bull market because people are constantly in need of medications. As long as the stock market is going up, IBB will be rising also. So, whenever you can buy IBB at a market bottom, you are 99% guaranteed to achieve a gain.
Another stock that I like is XIV, the inverse volatility index. This ETF is a bet that volatility will go down. Thus, when you buy XIV at a bottom, it is certain to go up as the stock market recovers from bad news. Then, to complete your gain, you must sell these stocks when you are up 10-20% because the market will crash again sooner or later. If you have locked in your profits, you can load up again at the next bottom and gradually get rich through the stock market cycles.
Tuesday, May 21, 2013
Dividend Streams
During the summer months, it will difficult to know whether the stock market will go up or down. The gradual melting up of stocks is enticing some people to leave the sidelines and buy stocks. However, there is not really a full-blown stream of people rushing into stocks yet.
In the meantime, you could achieve some satisfaction in dividend stocks. Fibonacci-Stocks.com has a page dedicated to several dividend stocks yielding around 4% or more each year. The stock table contains the months of the year when the payouts occur. In some cases, you would need to own the company at least a month before the payout, but in other cases owning the stock a couple of weeks before the payout would be sufficient. A number of the stocks listed at Fibonacci-Stocks.com pay each month. So, you don't have to wait long to get your money. It is definitely worthwhile to assign at least part of your investment money to dividend stocks, and you will notice a certain amount of joy seeing the results over time.
In the meantime, you could achieve some satisfaction in dividend stocks. Fibonacci-Stocks.com has a page dedicated to several dividend stocks yielding around 4% or more each year. The stock table contains the months of the year when the payouts occur. In some cases, you would need to own the company at least a month before the payout, but in other cases owning the stock a couple of weeks before the payout would be sufficient. A number of the stocks listed at Fibonacci-Stocks.com pay each month. So, you don't have to wait long to get your money. It is definitely worthwhile to assign at least part of your investment money to dividend stocks, and you will notice a certain amount of joy seeing the results over time.
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