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Jan 15, 2009

FAP TURBO ROBOT WONDER

Forex trading has never experience the kind of bang that FAP TURBO ROBOT brought to the industry. In thses articles I shall be sharing with you the amazing transformations that this amazing software brought to online forex trading Read On......


Forex; also known as the Foreign Exchange Market (or the "FX" Market) it involves in the buying of currency while at the same time, selling of another currency. A broker is an agent who works in the role of an intermediary between the trader and the client Read On.......


The first and most important tool you need is computer (desktop/laptop) with an Internet connection or virtual private server for remote trading is all that is needed to begin trading currencies. Fap turbo comes with full detailed instructions and directions; so no pre-forex knowledge is needed Read On.......


After you sign-up for FAP Turbo you'll receive your very own special personalized welcome package and access to your VIP Members area. From there you'll be given your unique license key for the robot. As soon as the robot is installed on your computer and is set, you’ll now be required to follow the step-by-step hold-me-by-the-hand simple training instructions Read On.......


Ever since the prelaunch date of FAP TURBO on the 20th of November, 2008 and the eventual launch date which was November 25th, 2008 9am EST of Fap Turbo robot; there have been so much buzz of excitement in the forex and investment world. These buzz have centered on 5 targeted areas which includes Read On.......


FAP Turbo, Forex Trading Bot in Download Package DON'T double your investment, it sends it into overdrive...

This automated forex trading system can give you consistent trading profits, The reports are reading PRACTICALLY DOUBLE every 30days!!!!! Read On.......


There were many Forex Trading Robots that showed prove of excellent results through backtesting results. However, they do no show the real performance when being Live traded.

FAP Turbo is the latest exciting Forex Trading Robot that can increase your account size in weeks Read On.......




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Jan 9, 2009

The Pros Of Value Investing


In my honest and assured opinion, value investing is one of the best things to have happened stock investing. At least; Benjamin Graham agrees with me. Ask Warren Buffet, I know his opinion will not be any different. If your portfolio is going to stand the test if time; I must implore you to look the way of value investing. Before I dig into the pros of value investing, let me attempt a concise explanation of the meaning of the value investing.

Let me give a list of definitions, perhaps you will be able to identify with the one that most appropriately conveys the meaning to you.

  • Value investing is when an investor invests in a company trading below its inherent worth.
  • When an investor specializes in buying stocks that are grossly undervalued but have not lost their value.
  • Value investors buy stocks whose profit potential is far higher than its present price; that way they are able to grow their portfolio to enviable heights over time.
  • Value investing is the strategy of selecting stocks that trade for less than their intrinsic value.
  • Value investors believe in buying a stock when the selling price is low and sell when it is high.

To be able to excel in value investing; there are certain sure fire tools you must familiarize yourself with; they are tried and tested tools that great value investors have used and are still using.

Top on the list…

The price to earning ratio: The value investor uses P/E ratio to quickly determine the worth of a stock relative to how much a company is earning. The value investor believes the lower the ratio (less than 10) the better the deal.

Strong fundamentals: The value investor believes that for a company to a real bargain, the company must have fundamentals strong and healthy enough to imply that it is worth more than its selling price. The value investor views very strongly current price in comparison to intrinsic value and not to historic price.

Current assets vs. liability: The value investor weighs the size of the current assets over the liability of a company. The value investor is excited when he sees a company whose current asset is twice of current liabilities.

Earnings growth: Value investor believes earnings growth of a company should be al least from 7% - 10% per annum compounded over the last 5 – 10 years.

Earnings per share: The value investor considers EPS as a vital tool that helps estimate the value of a share in comparison ton the selling price. The higher earnings per share; the better the deal.


Why do value investors love value investing?

1. It reduces risk: risk of a share underperforming is greatly reduced because of “guarantee indexes” explained above.

2. Profit possibilities is great and guaranteed

3. The power of compound interest

4. Getting stocks at discounted price.




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The Importance of Long Term Trading


Long term trading is a very effective and reliable strategy to adopt if you desire to create wealth via the capital market. Take a look at the investors that are living testimonies of the glowing legacies of the stock’s market wealth; without fear of being contradicted are long term traders. Long term trading is a pattern of trading that allows an investor to invest in shares over a long period; during this period a lot of factors combine to enlarge the size of your investment or portfolio. In the course of this article, I will discuss some of these factors. But first; let’s look at WHY long term trading is highly recommended if you want create lasting wealth from the stock market.

INFLATION: long term trading allows you to beat inflationary trends in the economy. Inflation diminishes the size of your savings in a bank over a period of time. Let’s say you banked 10,000 in a bank and the bank gives you 5% interest at the end of the year; your savings would amount to 10,500. Inflation trends dangles between 8% – 12% within the year, imagine what that range of inflation would do to your savings over a period of 5 years. But if your invest that same money in a strong stock adopting long term trading, you are guaranteed returns ranging from 50% - 100% in a year from the forces of capital appreciation, dividends and bonus scrip over the period in discussion (5 years)

COMPOUND INTEREST: Compound interest is one of the most awesome wonders of investing. It is the process where the interest your invested capital earns in turn also begins to earn interest which is added to your capital and the process continues as long as it is allowed to continue. Compound interest only functions effectively around the atmosphere of long term trading. The power of compound interest is hidden in TIME.

DIVIDENDS AND BONUS SCRIP: As the months and years roll by; every unit of share you own in your portfolio is enlarged by the combined forces of dividends and bonus shares. Each unit of shares in your portfolio over time earns interest called earnings per share from the company you invested in. If the company’s business performs well; additional free shares will be added to your portfolio. Long term trading allows you to enjoy the fruits dividends and bonus issues.

RISK REDUCTION: Long term trading reduces all risk associated with stock trading. Every seasoned stock trader knows you can’t always beat the market. There are forces every stock trader has to contend with. Forces like price fluctuations, economic instability, bad news that cause stocks or investors to sometime overreact, liquidity, and other related forces that space will not allow me to include. All of theses forces can be corrected with long term trading unlike short term trading; long term trading gives you a balance. A balance that gives you peace of mind.




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Nov 3, 2008

Why Does the Stock Market Price Rise and Fall



The question about what moves the tock market is quite complicated. There are several visible and invisible factors that cause the rise and fall in stock market. There are several issues on political, economic and social level that include inflation, change in interest rates, earnings of the people, oil and energy prices, war, peace and terrorism, political and domestic situation and so on. While some of these factors may have long-term consequences for the stock market, others may have only short-term implications.

What, however, drives the market crazy is the uncertainty factor. What the stock market is most sensitive to is the surprises. When something unusual occurs in the country, the stock market immediately reacts to it. Stock market radars are extremely sensitive to changes.

This can be illustrated by an example. If the Federal Reserve Board's Open Market Committee-Fed- thinks of raising the interest rates by one quarter percent, the stock market will not react much. If contrary to the expectation, the Fed raises the interest rate by one-half percent, the market will feel shocked.

So any news which can surprise the market can rattle it, be it on the economic front, terrorist attack and similar other incident. If the news is really good, it also shows its impact in form of rise in stock prices.

The cumulative effect of these factors, whether good or bad, creates market phases such as bulls phase, bears' phase or secular phase.

A bull market is also referred to as a bull run. A bull market is characterized by a rise in stock prices. It keeps most investors happy. It creates and strengthens their confidence and makes them optimistic about the returns on their investments. Therefore they tend to invest in stocks in the hope of making big in the near future.

A notable example of bull market was in the 1990s when the US and several international markets had a very happy time because the financial markets went up very rapidly. The US stock markets had a bull run from 1983 to 2007 except for brief periods of slumps.

Bear market is associated with fall in prices and lots of pessimism. Investors fear losses. A negative sentiment prevails in the market and investors want to sell their stocks fearing further downfall.

The most glaring example of bear phase in the history of United States was after the Wall Street Crash of 1929 that continued from 1930 to 1932 generating what was called the Great Depression. A milder version of bear market occurred from about 1973 to 1982 when the economy became stagnant. It resulted in energy crisis and high unemployment in the early 1980s.

A bear market is often characterized by the constant price fluctuations. A bear market does not mean just a simple fall in stock prices. It may result in substantial price fall. Although you cannot give a clear definition of bear market, it is often characterized by a fall in price by around 20% in a period of two months. A recent example of bear market is current state stock markets of world in the year 2008.

A bear market should not be confused with a period of correction. Correction also results in fall in stock markets, but a period of correction is usually short lived. Moreover correction usually occurs during the bull phase. The price fall does not surpass 15-20%. The bear markets last longer and suffer much greater price falls from top to bottom.

A period of correction in stock prices is usually a welcome opportunity for smart stock market investors. They try to buy high value stocks when most people try to sell them away at reduced prices. The profit from their sales as soon as the correction period, which is usually short lived, is over.

When the stock market price shows downward trend, the analysts begin to debate whether it is actually a correction, a rally, or the start of a bear market or even a bull market. In any case it is usually impossible to arrive at any correct decision. In fact, whether the market is actually passing through a correction or a truly bear phase can be determined only after that phase is over.

It must, however, be noted that a bear market howsoever depressing it may be, rarely wipes out the real (inflation adjusted) gains made during the previous bull market. On the other hand the bulls that succeed the bears often make up for the real losses of any bear market.


By Micheal James

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How I Make Money From Stocks in a Falling Market

I have been making some great money from the stock market over the last few weeks. In this article i will explain my strategy and disect how and why I have been making money despite global indices falling as the full effect of the credit crisis sinks in to the financial world.

The media is absolutely full of doom and gloom about the worlds stock markets at the minute. Most of the major indexes like the Dow Jones or FTSE have fallen significantly over the last few weeks. Many people will tell you that it is the worst time to be owning stocks in years. This is not exactly true. What is not publicised by the media is that volatile markets such as these present very strong opportunities to make money from the markets. I will explain how below.

Many of the markets that focus on smaller companies (non banks) are not affected by the negative news coming out of the banking sector. As a result my penny stock investments have been unaffected by the current crisis. In fact they have been doing better than usual, I suspect as a result of many investment managers moving some of their portfolio funds from major indices to smaller cap firms and penny stocks in order to limit their losses.

My investment strategy is very simple. I am subscribed to a stock list that provides me the results of a detailed computer program/analysis tool. This gives me a massive head start to picking winning stocks as it saves me wasting the majority of my time investigating stocks that I end up not investing in. This subscription (which cost me under $100) dramatically improved my investment success alone.

Once I have the shortlist I simply hit Google and look at recent articles about the company in the press. Key signals I look for are recent announcements concerning new contracts signed, possible take over targets, anything really that indicates they are a company on the rise. Next i usually head to their website and compare it to their competitors sites. I ask myself the simple question "if i was a possible customer, would I choose them or their competitors?". If I choose them I will go ahead and invest once the stock reaches the target price in the list I received as mentioned above.

The great thing about this strategy is I no longer get bogged down in all of the details and numerical analysis I used to spend days and days performing.


By James McKerr

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Oct 22, 2008

The Best Investment To Own Right Now

I didn't want to find myself in this position.

Hank Paulson looks awful. He's sweating, uncomfortable, and clearly would rather not be where he is. He looks like he has a gun to his head. Maybe he does... judging from his choice of words-"quickly," "action is needed," "strongly urge"-something dire is about to happen.

Indeed, Paulson's got himself into a real fix. In July he asked Congress for a blank check-a "bazooka" as he called it-to potentially bailout Fannie and Freddie. At the time, his argument was that if the market perceived him as having this "bazooka" he wouldn't have to use it.

Well, Hank DID have to use the bazooka... the bazooka didn't do anything... and now Hank is back asking for a nuclear warhead. And this time he wants it without any judicial review or oversight.

Rather than delving into the actual testimony of the various officials, I'd rather focus on the subtext or real message they were trying to communicate without doing so explicitly. That message is the following...

We have lost control.

For decades the market has operated under the notion that the Federal Reserve would be able to solve its problems by controlling the money supply should things turn for the worse. We are now finding out that assumption was blatantly false. The Fed and the Treasury have done everything they can-including several actions that are not in their charters-to strengthen the financial markets.

All of their efforts have failed.

We are now at a CRITICAL point. Even if Congress DOES grant the regulators the $700 billion in funds they've requested, it won't necessarily re-instate confidence in the credit, bond or stock markets. The trust is gone. And investors are panicking.

According to the New York Post money market funds were hit with $500 billion in sell orders last Thursday. The Post wrote that the Fed's pumping of $105 billion was "just enough to keep key institutional accounts from following through on the sell orders..."

To give you an idea of the seriousness of this statement, consider that collectively money market funds control over $3 trillion. So $500 billion in sell orders represents nearly 15% of this market trying to liquidate at once. We were literally on the brink of a full blown systemic collapse.

Investors are now trying to find safety anywhere they can. It's proving difficult. Last week the yields on Treasuries fell to their lowest levels since the Great Depression. At one point, investors were willing to lend to the US government for a paltry 0.4% in interest-they were essentially lending their money for free, just to insure that the principal was safe.

However, the interventions-particularly the proposed $700 billion-are not exactly dollar positive. Every bailout the US engages in means more debt on the US balance sheet and more money printing. Small wonder that yesterday the dollar posted its biggest single day decline since the Euro was introduced.

And then there's gold...

Gold has staged an incredible turnaround as investors turn to value and safety again. There are even rumors that foreign central banks are buying. Hank Paulson might not like the position he's in... but gold investors are loving it.

By GrahamSummers

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Making Money in the Stock Market Crash - How I Am Doing It

You do not have to look very far to see news about the turbulence on the stock markets over the last few weeks and months. Few people will have escaped the recent falls in stock prices without some losses in their stock portfolios. In this article I will explain the investing strategy I have used to navigate my portfolio through the crisis and still return a profit of over 10% over the last two months.

If you are thinking about investing in the sock market or want to know where to invest your portfolio or savings in these turbulent times then this will hopefully be the most important article you have read for a long time. In it I will share the exact methods I have been using to make money during the credit crisis.

The recent crash in the worlds stock markets have manly been due to the faltering banking sector. The cause of the problem is that the banks in recent years had invested huge sums of money in sub prime mortgages. Once house prices started falling in the US people started defaulting on their mortgages making these investments turn heavy losses.

The above sub prime mortgage crisis was the start of the problems. As time progressed in the latter half of 2007 various banks started announcing huge losses as a result of their investments in the sub prime mortgage market. As more announcements were made banks suddenly became very wary of lending money to each other because they did not know how big the potential losses were on each others sub prime investments. Banks rely on borrowing off each other to fund their activities (such as giving us mortgages) so suddenly banks were unable to borrow money to fund their activities and as we are seeing now many filed for insolvency.

So how does all of this relate to my stock investments? Well the above credit crisis has manly affected the major indexes such as the Dow Jones and FTSE. What has not really been publicized is that the impact on smaller companies has been minimal because they rely far less on funding their activities from the large banks.

Finding information about these small cap companies can be a challenge. I am subscribed to a service that sends me a short list of companies that are undervalued. The list is produced by a computer that analyzes company data of thousands of firms looking for signs that they are undervalued. This saves me a huge amount of time that I would have otherwise wasted investigating stock I ended up not investing in.

Of the stocks in this shortlist I then conduct my own analysis on each company, filtering out any stocks related to banking or financial sectors. I do basic research such as look at their websites, gauge professionalism by clang their HQ and requesting a copy of their annual reports. Google can tell you may things about a company in just a short period of time. Use this tool to your advantage.

In addition as investors sell their stocks in major indexes some of the funds is being invested in these small cap companies, pushing the prices up, making me more money.


Good luck and I wish you profitable investing!

By James McKerr

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