Recent Posts

The Myth With The Profits Yield

By Small Cap Trader On August 10, 2010 NO COMMENTS

In American novels, properly into the 1950′s, a single finds protagonists making use of the long term stream of dividends emanating from their reveal holdings to send their kids to college or as collateral.  Yet, dividends seemed to have gone the way from the Hula-Hoop. Couple of businesses distribute erratic and ever-declining dividends. The vast majority do not bother. The unfavorable tax treatment of distributed profits may possibly have been the trigger.

The dwindling of dividends has implications which are nothing short of revolutionary. Most from the monetary theories we use to figure out the benefit of shares have been developed within the 1950′s and 1960′s, when dividends were in vogue.  They invariably relied on the handful of implicit and explicit assumptions:

The fact that fair “value” of a reveal is closely correlated to its marketplace price;
That price movements are mostly random, though somehow related towards the aforementioned “value” of the share.

Click here to continue reading

Standards On How To Be Careful In Forex Trading

By Small Cap Trader On August 8, 2010 NO COMMENTS

Standards On How To Be Careful In Forex Trading

Many people have become intrigued in money exchange in the last decades or so. They have a reason to. There have been people who make millions in Forex trading. They are most likely to have at least veteran experience and invest a lot of money to do so. The fundamental of trading in Forex is currency and spot metals; for now we focus on money. The value of currency changes in various countries and the trader likes to exploit this by switching funds. Normally, American dollars have become the baseline but is not limited to it.

All you need is a computer, internet broadband minimal and a comfortable home office to participate in the Forex. Even though time differs in all parts of the world, foreign exchange is timeless; twenty four hours of the day and 7 days a week. In order to

Click here to continue reading

How Do You Make Money With Penny Share Day Trading?

By Small Cap Trader On April 2, 2010 NO COMMENTS

On the bright side, there are a couple of different strategies to get rid of the bad stock picks and find the good ones. Learn the following strategies and apply them. You will become part of the traders who make huge profits in penny stock trading.

Company Research

The need to do your due diligence on the company issuing the penny shares cannot be overemphasized. There are plenty of unscrupulous companies that just want to get more funding before they turn around and bail on its investors.

Don’t fall for the ‘inside information’ buzz that you might hear in forums or on company websites. Be on a scam alert whenever you read something like this.  Inside information claims are designed to lure in the investor into buying shares of stock that are either worthless or non-existent.In each case, you incur the losses.

Getting your hands on the auditied financial statements is a huge plus.Now

Click here to continue reading

The Trouble With Penny Stock Trading

By Small Cap Trader On April 2, 2010 NO COMMENTS

Most people these days want to earn money fast. This is often probably one in all the most important reasons that so many folks are obtaining scammed and often lose a heap of money. Unhappy to say, {that the} “straightforward money” mentality has reached the stock market and has left a lot of individuals investing unwisely on penny stocks that may usually be too risky to start with. Allow us to learn the way this selection of stocks will really be problematic to investors.

What Are Penny Stocks?

Penny stocks are stocks that are sold for less than a dollar or, in some cases, but 5 greenbacks for each share. Most of these stocks only have a short operating history and solely have a few million bucks in internet tangible assets. Usually, these have low market caps, minimal liquidity and are typically traded on over-the-counter exchanges.

Why Are Penny Stocks Risky?

What you should

Click here to continue reading

How Much Should One Pay for Stocks?

By Small Cap Trader On April 2, 2010 NO COMMENTS

Market Value Not Equal to Actual Value

A small loan can help you if you are short of cash until your next payday, but if you invest in the stock market and follow the crowd in their buying and selling habits, you may end up with many more liabilities than assets. Why is that? Have you noticed how much the stock market fluctuates in a day, and also the ups and downs of prices? Does that mean that the companies’ values goes up and down as much as the share price, or does that mean that there may be some other force at work here? As you will see, the market value of the share does not equal actual value of the same share in terms of a company’s value.

Market Price Based on Emotions, Not Logic

One of the pioneers in value investing, Benjamin Graham, believed that many people rely too much on

Click here to continue reading

How To Trade Like A Professional

By Small Cap Trader On April 2, 2010 NO COMMENTS

The most successful floor traders are those that have the most experiance, this is no coincidence and should be a pointer for those who aspire to become a good trader. Day trading can be likened to being a sportsman, such as a golf pro or tennis champion, you need to be trained and in good physical shape. Skills are needed which must be developed over time and practiced until they become 2nd nature. If you want to learn how to day trade you must be prepared to put in the effort. Here are some of the key skills that you must develop as a trader.

1. Technical analysis can be used for futures as well as the more standard stocks, options and bonds that most people trade. This can give you a large edge over other traders who have not taken the time to study the charts support and resistance areas, trendline

Click here to continue reading

What is Your Trader Type

By Small Cap Trader On April 2, 2010 NO COMMENTS

Did you know that there are 4 mains types of trader and depending on what type you are will determine many parts of your trading strategy and trading plan. The 4 types are: scalping, day trading, swing trading and position trading. When you determine the type of trader that you are it will also determine the time frame in which you will be making your trade. This will be a very important decision that you need to make when deciding how you want to learn to day trade, maybe using a stock picking tool like stock assault software

1. Scalping Trader, if you scalp the markets this means that you are only looking for a few ticks profit per trade and you may only be in the trade for a few seconds or a minute at most. trading. Some people will also call this day trading but it’s really micro day

Click here to continue reading

Foreign exchange market is different from the stock market

By Small Cap Trader On April 2, 2010 NO COMMENTS

The foreign exchange market is also known as the FX market, and the forex market. Trading that takes place between two counties with different currencies is the basis for the fx market and the background of the trading in this market. The forex market is more than thirty years old, established in the early 1970's. The forex market is one that incorporates not any one business or investing in any one business, but the trading and selling of currencies.

The difference between the stock market and the forex market is the vast trading that occurs on the forex market. There is millions and millions that are traded daily on the forex market, almost two trillion dollars is traded daily. The amount is much higher than the money traded on the daily stock market of any country. The forex market is one that involves governments, banks, financial institutions and those similar types of

Click here to continue reading

Some Helpful Tips on Day Trading For a Living

By Small Cap Trader On April 2, 2010 NO COMMENTS

Are you currently contemplating day trading for living? If so, you probably have a good reason for doing so: the ability to make great money. Yes, there is more to life than just money but as the legendary Gene Simmons once said “It is best to have more money than less.”

When someone wants to take up day trading for a living, their biggest motivation is usually the money involved. It’s not all glory at the beginning however. In fact, there are quite a few things that need to be overcome before an individual can actually turn a profit with day trading. Luckily, those who have been successful have implemented a number of different tips. We will share these with you, and with luck you will find your way in the day trading world.

First off, you are going to need to ensure that you employ the services of a decent robot

Click here to continue reading

Day Trading Robot

By Small Cap Trader On April 2, 2010 NO COMMENTS

You’ve probably heard about The DayTrading Robot because it’s become one of the most popular stock pick products available online. You may be confused by the fact that there are actually two different products for sale on the Day Trading Robot official website. One is the software for the robot itself which commands an extrememly high price and the other is the stock pick newsletter which features the latest stock picks made by the software. That second choice is definitely more cost efficient because it is truly just as effective.

The DayTrading Robot focuses on penny stocks because they are the stocks with the largest percentage gains day to day. If you want to make a fortune very quickly then “blue chip” stocks are just not going to work because they’ve already reached a very high level. This is really obvious when you stop and think about it. Making large amounts of money

Click here to continue reading