Stocks And Shares Trading - How A Grandma Makes Money Trading Stocks And Shares

February 5th, 2008

Are you trading stocks and shares and are you a profitable trader?

Having always been in the stock market where I have a trading seat in the broker’s office, I am in a privileged position to observe traders and punters who flock to the trading room daily. There was a lady, somewhere in her sixties who would be sitting in the same position daily in the trading room, always oblivious to the surroundings and people around her, lost in observing and studying the stock market price movements and charts on the trading screen.

Over the years, while many traders and punters would come and go, many after losing their fortunes, Madam Foong as I would learnt was her name, would always be around. Grandma Foong, as she was later affectionately called, was obviously a very profitable trader.

One day, I plucked enough courage to ask her how what was the secret of her success.

“Sonny,” she said, ” I only trade with the trend and I punt on the counter-trends!”.

What a revelation!

The secret of her success, she explained further, was to poise herself for the best trades whenever there was a confirmed trend. By observing the price movements daily, she would be able to determine the extent of the prospective trend- a skill that she has picked up from experience, similar to studying the “tape”.

“Trading the trends isn’t a daily thing,” Grandma Foong explained. ” I only trade the trends 30% of the time, because that’s what the market do- the stocks trend only 30% of the time”.

What about those “anti-trend” stocks?

” Since most of the stocks trend 30-% of the time, the rest of the time the stocks oscillate between a high and a low, and you can trade these smaller anti-trends. ”

“You mean, you trade those smaller periods of times when a stock is moving within a range?”, I asked.

” Yes, these are the times when if you observe carefully, the main trend of the stock is up, so when the price falls, you will want to buy on the low against the main trend, and when it moves up, you will want to sell at the high of that minor trend up, against the main trend”, Grandma Foong replied.

” But go, watch the prices like a hawk, these anti-trends are minor, you are basically there for a very short while, even day trading them, most of the time.”

With those words, Grandma Foong gave a hurried excuse, and went out the door.

Here was the secret of a profitable trader. Trade with the major trends 30% of the time and trade the anti-trends ( or range trade ) the rest of the time, but be very fast with these minor oscillations.

Trading in Penny Stocks

February 5th, 2008

If you’ve always wanted to have a go at the stock market, but are unfamiliar with trading, then this article is for you!

So what are Penny stocks? Penny Stocks are shares that trade from anything from 1 cent to $5.00. With these stocks there are risks, so it is best to trade in only the healthiest companies and try to limit the risks. I’ll show you how you can get this information from trade experts in a minute.

The up side to the risk factor however, is the possibility of fast massive gains that can be made on those shares. Penny stocks are high risk but eventual high reward. That is what makes them so attractive… comparative low investment for quick profit turnaround. So how do you know what shares to trade in?

Getting information on company information listed in Penny Trading is next to impossible and makes trading decision an impossible task. Many people rely on Stock Brokers or trade professionals; however, you can easily do this for yourself, even if it’s your first time in the stock market. Some Stock Brokers offer a one on one telephone trading and support service, but this can get quite expensive.

How can you get this information in your inbox from a sophisticated analytical information source? Two geniuses created a stock trading robot that sits on a computer like any other program, and just analyses stocks all day. This robot costs around $28,000 for a single license and is definitely not an option for most of us.

However, the information from the trading robots is analysed by professionals who in turn offer the stock selected by the robot for the week in a newsletter. The newsletter is not expensive to join, and you’ll have trade info and a weekly Penny Trading company sent to you in their weekly newsletter. These stocks often rise over 100% within a matter of days.

This is a site definitely worth looking at for yourself. You not only get professional trade leads, but access to all the information you will need to start making money as a Penny Stock trader.

5 minutes is worth the time! But hurry there are only limited number of newsletter placement.

Hello world!

February 4th, 2008

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