Leading the Way, One Trade at a Time

24option - Number One for a Reason

Looking to start your career as a binary options trader but don't know where to start? Choosing the platform that's right for you is essential to your success. Working on a platform that fits your needs as a trader is one keys to trading success. 24option is one of those keys to unlocking your success.

24option is the world's leading binary options platform and has become the industry leading by implementing a platform that is both intuitive and very lucrative. Based in London, 24option has positioned itself in the heart of the financial markets and uses its location as way to leverage the latest financial products and deliver them to its traders.

24option's platform utilizes the latest technology to deliver lucrative yet simple financial products. Traders can up to 89% on a folder of the most profitable assets from around the world. 24option also offers a variety of High Yield assets that traders can earn up to 310% on certain assets, making 24option even more profitable. Yet 24option did not become the leading binary options platform with just lucrative options, but also by building an excellent team of analyst to assist traders and offering their traders exclusive tools to help improve their trading success.

24option has built an extensive education complete with hours of free videos, a free eBook, trader manual, daily market analyses and more. When you trade with 24option you receive unique benefits found nowhere else. Their video center has hours of free videos designed to educate traders on everything from binary options basics to proven trading strategies.

24option's mission is to introduce you to binary options trading. Depending on your level, a dedicated coach is at your disposal to train you how to trade. 24option interface is extremely robust and responsive. After selecting an asset, you can easily choose a strategy, simply click 'Buy' once you're ready. Unlike other brokers, 24option has a flexible comprehensive platform where you can choose the amount of your investment and the expiry time of the contract.

The platform at 24option has some built in features that give your trades that extra edge. Click on an asset and you'll see real-time data plus relevant news related to the asset so you'll know everything that's occurring so you can make the most informed investment. 24option also has an exclusive Early Closure option to that you can redeem your option immediately without waiting for the expiry time.

24option has become the world's leading binary option platform by giving its traders a lucrative and intuitive platform, excellent trader support, and an education center second to none in the industry.

Online Trading Strategies - When to Exit a Trade

Many traders have an entry-weighted strategy. They know the fundamentals. They've calculated the amount they will risk on a trade based on their position size and the placement of their stop loss. They've set signals for entry.

However, then they expect the trade to take care of itself, not realising that how they manage a trade after it has been opened is one of the most important factors in securing profits. Although a hard stop will allow you to get out of a losing trade without too much of a loss, what should you consider when exiting a winning trade?

Having a profit target sounds like a logical solution, but then how much of a profit should you target, and how do you know whether you've closed a position too early?

One method is by setting multiple targets. If you set your first target at the initial risk taken you have not only made back what you originally risked on the trade once this target is hit, but you are free to let your profits run on the remainder of the position.

The simplest way to let your profits run is to set a trailing stop. A trailing stop functions like a conventional stop loss in that it will close your position automatically should the market turn (closing it at that level, or the closest level through which the market trades). However, unlike a conventional stop loss, which remains static, a trailing stop follows the market as it moves in your favour. This means that if you were long on some Share CFDs valued at $20 each and you set a trailing stop 10 cents behind your starting price, if the share price rose to $23, your stop would rise to $22.90. If the share price then turned and triggered the stop, you would have made a profit of $2.90 per share (excluding commissions, overnight interest, and any other charges).

So you have curbed your risk with your first target, and let your profits run with a trailing stop. So how long should the process take?

A simple way to establish the length of the trade is to refer to the charts you are using - if you are waiting for an economic announcement and are looking at weekly charts, your trade may take weeks or months. If you are looking at a breakout of support that has been developing for weeks, your trade may last for a few days. If you're examining moving average crossovers on 5 minute charts, then your trade is unlikely to last more than a few hours.

When your time is up, it's time to exit the trade.

No second-guessing - traders that question their systems are ones that are more likely to lose their hard-won gains. And with developments in mobile trading, you can easily monitor your open positions from anywhere and exit at the right time.

Please keep in mind that CFDs and the foreign exchange are leveraged products, so it's possible to have losses that are greater than your initial investment. As CFD trading might not be suitable for all people, please educate yourself so you understand the risks.

Stock Options Trading Strategies - Your Virtual Assistant in Your Investments

Since you have landed on this page, it is assumed that you are into finding some reliable and useful stock options trading strategies to make use of, maximize and enjoy. Whether you are a seasoned trader and investor or a complete beginner or a certified first-timer, such strategies on options trading can surely provide you with such financial boost that you have always wished for. Such techniques on how you could handle your investments and resources as well as how you could deal with some inevitable and unexpected circumstances could now be readily available over the web. And in just a matter of a few clicks, you could be able to get what you want as well as what you need.

Giving you an edge among the others, such knowledge, expertise, skills, and experiences that you possess in order to succeed and win this venture are believed to be enough to work things out and enjoy such a stress-free early retirement - spending more years with your families and loved ones. Since everybody is looking forward to a worry-free life after decades of employment, everyone is also finding out some alternatives to help them sustain their lifestyle and provide their needs even after years of working. One great option is trying to learn how do investments and options trading work; thus, one has to find various means to gather helpful resources and inputs as to how to do these ventures right.

Needless to say, if one wants to make these endeavors work, he or she has to grab possibilities to widen horizons and avenues to obtain success and stability among his or her investments and options. One great thing to jumpstart is to do online visits and researches. Finding reliable pages and links to useful and practical stock options trading strategies is a great way to go. In a few searches, you would be directed to get some good access on some online groups, communities and forums in which first-hand sources tend to share inputs, thoughts and experiences on options trading and stocks investment.

Truly, this virtual assistance and support can be exquisitely taken into consideration - such an alternative that one could depend on. This is possibly one of the most remarkable stock options trading strategies that have ever been developed over time. Easy, convenient and accessible at an affordable rate, such make use of powerful principles of leverage, and can allow you to have such very large amount of money in a very short time. Great investments begin with small, little steps. Taking things one step at a time may be a safe idea. Impulsiveness and aggressiveness may lead you to wrong decisions and may heighten possible negative outcomes and impacts on your ventures.

Indeed, stock options trading may involve risks unsuitable for most investors because you can lose all of your money and be liable for additional unlimited losses depending on the strategies you employ. So before ever risking your hard-earned money, you must be certain as to what particular stock options trading strategies you would wish to embrace and adopt.

So, what are you waiting for? Grab such effective and useful stock options trading strategies today and see great results on your finances. Virtual assistance can surely be a great help. Give it a try now. Good luck!

Learn Options Trading Today and Get Started With Confidence

Do you see yourself online most of the time? Are you fond of learning something new to help you provide some alternatives to increase the number of your income resources? Are you taking trade and investment into consideration to give you great and reliable options? If you've gotten yes for three times, you are indeed in a good page. Read on and see how you could learn options trading the easiest and most convenient ways.

Many people nowadays are into employment while some invest into businesses, investments, option trading, stocks and the like. They may have various means as to how they could save more for the future - providing the needs of their families, relatives and loved ones. But one thing is for sure, they want to have more savings, early and worry-free retirement, and such fun years after decades of being an employee. They all have one goal or objective to be achieved and that is to widen horizons of opportunities and avenues of increasing one's sources of future funds.

One great way to learn options trading is to do some reliable and rigid online research. Such involves exerting effort and allotting ample time and resources - making such endeavour work at your best. Getting through some reliable and credible online sites, forums and web communities and groups may also be helpful. In here, you are given good chances to extend your linkages and network as to how you could learn options trading the reliable and effective way. Meeting minds with some first-hand sources, you could be able to get the best inputs and tips you could get and could ever deserve. Good idea, join those online groups today and subscribe such newsletter, daily updates and the like.

Learn Options Trading - Its Basics and Terms

Primarily, a stock option is not a physical thing like holding shares in a company; otherwise, it is a contract or an agreement between two parties. If in any case, an option is an agreement, or contract, where one party agrees to deliver something to another party within a specific time period and for a specific price. One great distinction is how such investment procedure, style and technique take place in the journey of one investment vehicle. Options trading becomes prominent and a sure-hit because of its versatility.

Though every investment and trade venture has its own risks and losses, one can surely maximize his or her chances of grabbing the available gains and profits such options trading could ever hand you with. Such options may not seem good and effective to everyone; thus, you may be assured that once you learn options trading, you could do it the right way. No worries, no fuss. After all, when you equip yourself with the right tools, skills and attitudes on whatever ventures you are interested in pursuing, you are guaranteed that you are close to meeting and obtaining your goals. And that is to achieve financial freedom and security in time.

So what are you waiting for? Learn options trading today and see how you could find it so easy to start with your investment ventures. Jumpstart your endeavors today and obtain your financial goals at the soonest time possible. Good luck!

Do You Confuse Trading With Investing?

Trading and investing are often mistaken for the same thing when they are actually very different disciplines for making money.

The first thing to know about investing is that it is usually for a longer term with the intention of taking profit via dividends or selling the stock later when it has appreciated considerably in value. That is a well-known and common practice.

Trading is purchasing stocks (or Euros or Options or...?) with the idea of selling it for a capital gain; usually in a much shorter time frame than an investor would do. It is possible to trade down to the minute or second but most trades are for several minutes to less than a day; Hence the term "Day Trader". It is not uncommon for a day trader to make several small trades throughout the day, often in opposite directions of previous trades. They are commonly called "Scalpers".

Both of these approaches are legitimate ways to make money and each has its detractors and proponents. As with most things financial it is important to have a system and a plan. Without a system, investing and trading is simply gambling. There is no shortage of systems out there and my advice is to find one that you understand. Trying to use a "black box" type robot or automatic system is a very easy way to lose a lot of money quickly. Remember that the goal is to make money. If you can't understand the system you are using then you are setting yourself up for failure.

The next important factor is to ensure you have a plan. Again, a simple plan that you know and understand is the best approach. Even as a trader the long term goal is to minimize your losses. If you trade at a 80-95% success rate, you are still wrong 5-20% of the time. This is where the plan comes into play, the worst thing one can do is hang onto a bad trade and "hope" it will turn around. Hope is not a plan. Selling when you are 10% down is. With a good plan in place, when things go against you, it is easy to get out of a bad trade because you are following your plan. You take emotion out of it, you will minimize your loses, and live to trade another day with your account and confidence firmly in place.

In conclusion, decide what you are comfortable doing be it trading or investing, and then come up with a system and a plan to make it happen.

Compare Spread Betting Companies

When you are researching brokers and deciding which company to open an account with, we all know that tight spreads are important, but why are tight spreads so important and should they be the only thing that you consider when making this decision?

The main cost to financial spread bettors is the spread, the difference between the offer and the bid, which is why the closer the spread the better the investment. Therefore it goes without saying, the wider the spread the more costly the investment to you, the investor. Finding a company that offers you the tightest spreads allows you to recover your investment quicker, unfortunately the way the spread works you always start by making a loss and need to wait for prices to move outside the spread in order to move into gain. So if you compare companies, the spreads that they offer should be the first thing that you consider.

Margin requirements are another important factor to consider when doing a spread betting comparison. Margin is the amount of money you need in your trading account in order to make a trade. A low margin requirement means that you are only required to deposit a small portion of the value before you can open a trade. As discussed, margin requirement and tight spreads are clearly not the only thing that you should be looking at when you compare companies. Remember that spread betting allows the trader to take a geared position so you can always lose more than your initial deposit. It is therefore important to consider how to minimise your risk by taking advantage of the various tools many brokers make available to you. This is an important consideration when researching spread betting companies as many companies offer a vast array of education and learning tools to help their traders minimise risk - which you should be looking to take advantage of. See below a selection of tools which you should consider when you are deciding which spread betting company to open an account with.

Services and tools that spread trading companies offer to minimise risk include; new account offers, 24 hour trading hours, automatic stop losses, guaranteed stop losses and trailing stops are other points that you should compare when looking at spread betting companies. Many spread betting companies also offer a wide selection of learning tools which you must take advantage of. Nobody expects you to jump into spread betting without any helps so always open a FREE demonstration account. Demo accounts allow you to trade with virtual money and receive access to a range of markets. Demo accounts allow you to familiarise yourself with the different trading platforms on offer without risking your own funds. Becoming familiar with trading platforms is vital when you start to trade with a new spread betting company as you will minimise the risk of making elementary mistakes which can be easily avoided. Finally, it is always advisable to stay "in the know" and attend some FREE seminars that the superior spread betting companies have on offer, if you can't physically get to them then try to log-on to an online seminar that let you to keep your trading knowledge up to date in the comfort of your own home or office.

Betting-Bible is a spread betting comparison website that compares all the top spread betting and CFD companies such as IG Index, Capital Spread and InterTrader for the aspects you should be interested in such as who has the tightest margins and who has the best account opening offers

What You Need to Know As a Beginning Day Trader

The first step of the journey is to understand the term "day trade". The SEC defines a day trade as "the purchasing and selling or the selling and purchasing of the same security on the same day". The term "intraday" is also used to describe such trading behavior.

Another term, which beginning traders must be aware of, is the so called "pattern day trading". The SEC defines this term as "executing four or more day trades within five business days". Understanding this term is important because once you become a pattern day trader you will have to comply with a special rule. This rule requires that you trade an account in which a balance of at least $25,000 is maintained at all times.

Having grasped the basic terms, the newcomer in the field can make a more prudent choice between the path of the swift intraday trade and the path of the long term investment. Many people argue over which path is best, but the truth is they both have their advantages and disadvantages.

Day trading, for example, can offer opportunities for a quick and modest profit. Unfortunately, the risk level of trading this way is very high and loses can equally be swift and devastating. In addition, trading is an intensive, devouring process which is usually more time consuming than long term investing.

In general, traders do not care whether a company has a potential to grow ten times in the future. Profits and future sales projections numbers may be overlooked by a trader. What they care about is whether the company can provide enough speculative opportunities during a given day regardless of its financial health.

While long term investors rely primarily on fundamental analysis, traders use predominantly technical analysis. In particular, successful day trading depends on the ability to correctly discern buy or sell signals emitted by daily price charts. Day traders believe that all the information available about a company is reflected in its current price and price history.

In order to effectively discover such signals, most day traders usually focus on:

(*) Volume
(*) Trends
(*) Formations - triangles, channels, flags, breakouts etc.
(*) Indicators - Stochastics, MACD, MA and RSI.

Most day traders usually put fundamental analysis out of main focus, however, fundamentals such as important company updates and news should not be ignored in the day trading process.

In short, one must get armed with knowledge, experience and perspicacity before entering the deep seas of day trading. With this arsenal at hand, traders have more chances to survive the volatile waves of the market and keep themselves financially alive until they reach the coveted treasure islands described in the tall tales of "expert" day traders.

How to Create Day Trading Strategy and Investing Strategy Ideas

I always encourage traders to develop their own trading strategy, whether it be a day trading strategy, swing trading strategy or investing strategy. There are two main reasons why I believe it is important for traders to develop their own trading strategy.

First of all, developing a trading strategy requires the trader to strive for a greater knowledge of the market and its price movements.

Secondly, when a trader develops their own trading strategy they are tuned into how the strategy actually works, what will cause it not to work and they will be in a much better place to make adjustments when needed.

How to Create a Trading Strategy

This is the time consuming part, but can also be fun. For me the real fun is testing out what I come up with, but before we can test anything we need an idea. How I generate trading strategy ideas is by watching charts, both past and in real-time. No matter what time frame I am watching, I look for moves where there was/is good money to be made. Once I have found a move that looks profitable I start to ask myself questions about it:

What precipitated the move?

(*) Was it a chart pattern, a candlestick pattern, indicator level, trend line break, a news event or certain time of day? These are samples of the questions you want to attempt to answer.
(*) Did the move start before a certain session (NY, London, Tokyo, etc), near the close, mid-day? Is there any relation to an opening or closing market?
(*) Where could I enter?
(*) How could I have gotten into the trade?
(*) Looking at my answers from above, how could I take advantage of this opportunity in real-time?
(*) Does the pattern I am watching give an entry signal such as a break out of resistance/support/pattern, a certain amount of movement before it takes off, a certain time of day, a short term reversal pattern?
(*) Are there any indicators that aid in this?
(*) Does the stock/forex pair generally stay within an average range for the day?
(*) Look for anything that would allow you to enter into the big move as it is happening.

Where could I exit?

This is very important - more important than the entry!

(*) What signals are present once the move has topped or bottomed and started to reverse?
(*) If my entry criteria disappears, can I use that as an exit?
(*) How can you stay in the move to capture the bulk of it, but also not give up too much profit when it reverses?
(*) Are there any indicators that aid in this?
(*) Would a trailing stop have allowed me to capture a large profit? If so, what should my trailing stop be?
(*) Would a fixed number profit target work (ie. if stop is $100, then profit target is $350)
(*) Does the currency pair generally stay within a certain percentage move for the day? (all pairs and stocks have average movements per day)

Money management - is the trade worth taking?

(*) From the entry point you identify, what is your risk in dollars based on your position size?
(*) What is your potential profit?
(*) Based on the above two answers, was the trade worth taking? If the risk is too large, or you are getting into moves too late you will need to adjust. If you are giving up too much profit when prices reverse, you will also need to adjust.

Other things to consider

(*) Does this signal you identify for entry occur at other times, and not just before large moves? I.e are you going to get a lot of false signals?
(*) Can you cut down on false signals by only trading a certain time of day, adding indicators, or pattern filters?

In short, you want to analyze your charts and look for opportunities. Then examine those opportunities and construct how you turn those opportunities into real money...without exposing yourself to excessive risk.

Once you have gone through several opportunities in this fashion you will be well on your way to creating profitable trading strategy ideas. When you come with a trading strategy ideas that seems valid, see if the trading strategy would have worked on past movements. Then see if it works on upcoming movements. If it worked in the past is working in real-time then try using it with real money...you have created a trading strategy.

Effective Options Trading Strategies - The Easiest Way to Investment and Trading Success

Since you are finding good and effective options trading strategies, you are led and guided to this page and now reading this post. Truly, such techniques are believed to be reliable and dependable because when one investor or trader is equipped with corresponding skills, experiences, knowledge and expertise necessary for trading, investment and other ventures of that sort, he or she may maximize his or her own ways of achieving success and stability in terms of finances. So get hooked with this post and be informed with the latest trends and tricks on how to meet financial security in no time and at your own pace and convenience.

Primarily, some options trading strategies may seem to be complex, complicated and advanced. However, once you get to adopt the game and learn how to execute the game plan, you are able to maximize your means and other available options trading strategies. One great way is to know how your new ventures may work for you and your finances. Learning from first-hand sources, it is highly recommended that as a novice or a beginner in the trading options and investments, you find several ways as to how you can equip yourself with the right things to do - setting your mind and your body for another endeavor that could lead you to a more stable and secure finances in the future.

The best way to get those options trading strategies at hand is to do rigid research. Since we now live in a society where technology and innovation have been useful and convenient tools in providing us reliable and valid resources - such inputs and references that we could really depend on and make use of, we could now just go online in a very few clicks, we are able to get what we want as well as what we need. There have been many great ways as to how we could find innovative and timely options trading strategies - those that could adhere to the needs of time as well as the demands of your ventures.

Truly, more and more people are getting interested in investments, trades, trading and the like, be it short-term or long-term plans and investments. With the individual's determination, enthusiasm, skills and expertise, he or she could really add good advantages and edges to win this game. More than those available reliable and effective options trading strategies and above anything else, you must ready yourself in all aspects and areas before pushing through any of these ventures. You must bear in mind that you have to prepare yourself financially, emotionally, mentally, intellectually and even spiritually.

Indeed, nothing beats a prepared, equipped, highly skilled, determined and motivated person in this business. You have to initially prepare oneself before posting your expectations and aiming to target your objectives. With that, find the most practical, useful and effective options trading strategies today and see how this can help you achieve your goals in life - attaining and obtaining financial freedom, security and stability in your own time, pace and convenience. Good luck!

Practical Options Trading Strategies - Helping You Enjoy Your Life After Work

If you are up into investing and in trading, you better read on as this post aims to provide you some unbiased and realistic options trading strategies to get you started.

More and more people nowadays are looking forward to many alternative investments and other ventures to help them out in their finances. Whenever someone thinks of a better way to save money for tomorrow or for the future, investment and trade may come across their minds. Taking it as an option, it could actually provide them some opportunities of widening their horizons and avenues to prepare themselves when they retire from employment.

One great way is to get into investment or into trading options as these ventures may seem to work at their best especially if investors and traders get to have reliable and consistent access on some options trading strategies as well as other investment techniques - learning the best way to know how to handle them and to manage these funds and resources. Needless to say, if you get to learn how to do it best, you would surely have much higher possibilities in coming up with a more stable and secure investment and trading ventures.

Primarily, you could find these practical guides and tips on options trading strategies from the internet. Experts and experienced investors and traders intend to share some helpful and useful inputs over the web to encourage other people to open their doors to investment or even trading options as well as to motivate others who are into these ventures to pursue and push through with such as this may seem to give them a brighter and a more constant finances in the future.

Other experts create, facilitate and manage some online groups, communities and forums when people around the globe could possibly post and share their experiences, ideas and thoughts on investments and trades that you, newbies and beginners, could make use of as your newly found treasures in terms of those available options trading strategies over the web. These first-hand sources could be able to lend you a helping hand to assist you in your journey towards a better and a more reliable income or finances after work or employment.

Truly, many people worry about their retirement as to how they can survive their expenses as well as their families' especially when they get to stop working. All people dream of having a stress-free life after work or employment for several years. Living a worry-free retirement seems to be a dream for some but for those who are willing to take the risks and aspire to grab and maximize that investment and trading could offer them.

On the other light, investment and trading may actually involve risks, losses and gains; they may have ups and downs. But if you equip yourself with the right skills and attitudes, you would surely accelerate your way to its gains and ups. Indeed, it all depends to you as to how you prepare yourself - speeding your way to a worry-free retirement at your own pace and convenience.

So, why wait for so long if you could retire early and spend most of your time with your families, loved one and friends? Grab those practical options trading strategies today and see how you speed up your drive towards a healthier and wealthier lifestyle after employment. Good luck!

Trading EMini Futures With YouTube

Thinking about day trading for a living, but have had little or no success convincing yourself? Are you on your second/third trading account after blowing up your first? Banging your head against the wall with no hope in sight? You're not alone.

You might be lacking accountability. Are you and your mouse the only ones privy to the stupid trades you are taking by clicking on your order placement DOM? Are you the only one aware of the fact that playing a very expensive video game is an addiction and not an income? Are you clicking on trades a mile a minute justifying it by saying "ah, it's only simulated trading"? Are you taking unprofitable trades with your cash account because you taught yourself bad habits from the previous? Are you lacking consistency and rather than being responsible, you blame it on the market. Have you ever clicked like a "Mad Man" just to release your anger? If the answer is "No, Not Me", I say "BALONEY"!....Ok, well, maybe you don't do it ALL the time. But be honest.....have you ever?

Herein lies the answer of, ACCOUNTABILITY. If you feel you can do whatever the heck you want, to a certain degree, you will. If there aren't consequences other than financial, the mind can adapt and accept this as tolerable behavior. Once the sub-conscience categorizes this as acceptable behavior, one of the worst possible bad habits of day trading will have reared it's ugly head.

On the other hand, what if someone was looking over your shoulder and keeping your demons in check? What if all your actions, reactions and decisions were in plain view and had consequences in the form of answering to your peers? Wouldn't that deter your frivolous and habitually negative self destructive behavior?

YouTube to the rescue. Free video posting at it's finest. Opening up a YouTube account is as easy as opening up a new email account. Recording your screen and trades is as simple as finding a screen recording software that meets your requirements and budget. A charting platform that actually puts markers on your charts showing entry and exit decisions will leave nothing to the imagination and will play a large part in keeping you on your toes.

Once you get rolling, you will be recording your live screen trades. Talking your way through your trades. Putting your thoughts and actions out into the universe for the whole world to see and hear. You will be on your best behavior. You will finally have someone to answer to besides yourself. In your minds eye your peers will be watching and comparing themselves to you, and you to them. Before you know it, you are on the road to consistency, training your brain to act with accountability and responsibility. You'll be convincing and programming your sub-conscience mind with proper entry, exit, trade and money management techniques. In a nutshell, in time, you will advance to the next level by forcing yourself to act like a professional trader and thereby proving to yourself that you really do have what it takes.

Understanding Trend Lines in E-Mini Trading: Types and Angles

I make it point to sketch in a trendline on the e-mini charts I trade. I don't use the automated trendline programs that have become very popular of late. No, I prefer to draw my trend lines manually using the tops of each bar range, as oppose to drawing trend lines based upon the close of each bar.

I feel I get a better understanding of the e-mini chart price movement when I employ a manual method for drawing lines; or maybe I have been drawing them in this fashion for so long that it is force of habit. Either way: I draw my lines by hand.

Trend lines can be classified in two distinct categories:

1. External Trend lines: External lines are, by far, the most common line most traders employ. The technique for drawing this flavor of e-mini trendline is similar to playing "connect the dots." When drawing an up sloping trend line, a trader will connect the valleys of a rising trend. Of course, when the price action violates, or passes through the line, the potential for a trade arises. Down sloping trend lines are draw in exactly the opposite fashion of up sloping line. A down sloping line connects the price peaks. The reason these lines are drawn, either up or down, is to get an idea of when a potential price change may occur.
2. Internal trend lines are a bit more esoteric and are generally not used by the average retail trader. Internal trend lines are drawn so that they rest on the flat peaks or valleys and they are known to pierce through existing price action. Analyst generally argue that internal e-mini trend lines represent the buying and selling behavior of the masses, while external lines represent the behavior of active e-mini traders who tend to trade at the extremes.

As I mentioned, most trend lines you will see will be of the external variety, with the internal lines used most by technical analysts.

These days, once a trendline is drawn, most traders are concerned with the direction of the line. Is it moving up or down? They are generally concerned with determining the direction of the trend.

Have you ever given any consideration of the angle of the line? You should; because the angle of a line can give you valuable information about what you can expect when you encounter a trendline violation.

For example, the steeper the trendline in a breakout, the poorer the performance in terms of potential gain. This research by Thomas Bulkowski shows empirically that a breakout angle of 30 to 45 degrees travelled the furthest to the upside or the downside, depending on whether the departure is a breakout or breakdown. On the other hand, break outs with a slope angle of 60 degrees or more tended to travel the least amount of distance. The conclusion? Departures from a trendline that were between 30 and 45 degree tended put the most money in a traders pocket, and sharp departures of 60 degrees or more tended put the least money in the traders pocket. Angle is important, yet it is seldom part of the trade consideration process of most e-mini traders. Why? They simply don't know the facts.

In summary, we have identified two distinct types of trend lines and defined each in a coherent manner. Further, we have discussed the angle of departure (relative to a horizontal line) of a breakout or breakdown and identified specific characteristics of each angle. We favor angle of departure in the 30 to 45 degree range, and understand that departure angles of 60 degrees or more tend to produce substandard results.

Trading Today and Throughout History

Trading today has become popular. I am sure that each one of us has heard something about trading. But most people know only the definition, but know we can know what trading is about. Let us explore the details. First of all, what is trading? What does it mean and how does it work? Transfer of ownership of goods and services from one person to another. To make it easier it is sometimes called commerce or financial barter.

A network that allows this trade to operate is called a market. The original form of trade historically was barter, the direct exchange of goods and services. Later one side of the barter was the metals, precious metals like coins, a bill or paper money. Nowadays, modern traders instead, generally negotiate through a medium of exchange that is monitory.

It is believed to have taken place throughout much of recorded human history. It is believed that it existed even in Stone Age! It was very popular in ancient Egypt. Later, the fall of the Roman Empire, and the succeeding Dark Ages brought instability to Western Europe and a near collapse of the network in the western world.

One more important thing about it is that buying can be separated from selling, and one of the most important index options. Let us say that this system of appeared because money appeared. The invention of money, and later credit, paper money and non-physical money greatly simplified. Between two parties it is called bilateral trade, while between more than two t is called multilateral trade. With binary options strategy, one simply has to anticipate the direction of the price of the underlying asset, which can be an index, a commodity, a stock or a currency pair.

It is very simple, when you look closer. If they think that the price of the asset in the given period would rise, they buy a binary Call option and if they think that the price of the asset would fall, they buy a binary Put option. The returns with binary options are quite high, as the trading platforms offer an average of seventy percent returns for an in-the-money option. What are its benefits? What traders enjoy most with binary options trading is the availability of a whole lot of periods for trading. These may range from five minutes to the end of the week. This is a day trade option.

One more benefit is that the concept of binary options is quite simple as compared to other financial investments available for trading. Let us find out how the international option works. It is the exchange of goods and services across national borders. In most countries, this has been present throughout much of history, it is of economic, social, and political importance has increased in recent centuries, mainly because of Industrialization, advanced transportation, globalization, multinational corporations, and outsourcing.

You must have heard something about Trade sanctions. They are against a specific country are sometimes imposed, in order to punish that country for some action. An embargo, a severe form of externally imposed isolation, is a blockade of all trade by one country on another. Many African countries know very well what is embargo.

Trader - Beware the Cauldron of Churning Emotions

Trading may look simple but it is not easy to do. Recall a point from Shakespeare's Merchant of Venice: If to do were as easy as to know what were good to do, chapels had been churches and poor men's cottages prince's palaces. This is apropos of trading.

The markets often disappoint and inflict adversity. Those who engage in trading at one time or another experience losing in a trade, suffering frustrated expectations, traumatized self-confidence and the painful loss of money.

In the face of a potential or imminent trading loss (as when there is a sudden and unanticipated reversal of market direction), most traders begin to suffer emotional turmoil. Like every human being who perceives the oncoming or imminent danger of loss and pain, emotions set in and bodily changes occur. There is an increase of sugar in the blood. There is greater supply of blood in the arms and the legs. The pulse beats faster. There is tension in the blood vessels and muscles. The heart and breathing rhythm change. Even the condition of the skin and other tissues change. In short, bodily commotion is experienced and felt. Depending on the person's bodily makeup, the emotions may be more or less violent. As all these changes occur, the body is transformed into a cauldron of churning emotions of anxiety, fright and fear.

Those who studied and analyzed emotions, from Aristotle to the present, ascribe them to the instinct to survive, the instinct prompting a decision to take flight or fight. They comment that emotions are common to men and animals, that emotions are more closely related to instincts than to reason or intelligence. Emotions involve a feeling of an impulse to act or do something. While emotions dominate a man's mind or action, he does not listen to reason. And he is in danger of doing the very opposite of what reason will tell him is right. Emotional moments do not permit study and reflection. Because they tend to overwhelm. This has long been recognized in legal jurisprudence. This is why the person who acts under the influence of passion and obfuscation, under penal laws, may be found exempt from being penalized. An example is the defense of temporary insanity.

Unfortunately, no such exemption exists for a trader's unwise actions in the face of an imminent trading loss. Like they say in the Hispanic world of the game of Jai-Alai, "El fallo del juez es inapelable." (The verdict of the judge is not appealable). The trader must live with his loss and the pain and suffering it brings.

What does a trader have to do so his trading will not be adversely affected by emotions. The answer is to develop discipline. The discipline the trader needs is two-pronged. One prong is subjective; the other objective. The subjective prong requires him to look into his inner self, identify his emotional predispositions, and train himself to keep them under control. The control needed is not momentary control but habitual control developed by training. This includes forming habits of emotional response which restrain his emotions from taking over his actions. He must learn to direct his emotional energy to conform to right and reason. This is rigorous but doable and requires the investment of time.

The other prong is objective and simple in its execution. Create a good trading plan and stick with it. The discipline required is the development of the mindset to stick with the trading plan and trust it. This discipline extends to strictly refrain from second-guessing the trading plan during emotional moments.

Stock Trading School - Gold - An Integral Part of Investment Portfolio

Gold has been an important part of economies all over the world since time immemorial. In fact, it was used as a form of currency for centuries. Today, however, it is one of those precious metal commodities used by investors to shield themselves from debt crises or any other currency crises. Let's take a closer look at the real importance of gold in any investment portfolio.

As mentioned above, gold was considered as a standard currency in the early economies. However, sometime during the late 20th century, gold began to be replaced by government backed currencies, and was changed into a commodity. This replacement was triggered by the Nixon shock of 1971, when the United States stopped backing the dollar with gold. By the start of the 21st century, economies around the world converted their currency into government backed currencies.

Now, these government backed currencies have a major fallacy, which was clearly seen during the recession of 2007. Currencies and other virtual stocks are not only dependent on the supply and demand and speculation of stock markets, but also on various political and economic policies and conditions. Moreover, there have been various instances of investment bubbles, where prices can rise and fall rapidly, and very unpredictably at that.

However, gold as a precious metal is protected against political or economic conditions. It is a commodity with real value that stays intact, especially when it comes to physical gold. As an investor, if you have some gold in your investment portfolio, you can be rest assured that you are protected to an extent from rocky stock markets or government debt crises.

When you talk about gold, you can invest either in physical gold or in paper gold through exchange-traded funds or ETFs. You can also buy gold through gold stocks or through mutual funds that trade with gold. However, buying gold stocks or mutual funds are just about the same as buying stocks, and stocks are always vulnerable to rises and falls in the market.

When it comes to buying gold in its physical form or gold bullion, there are some challenges in that arena as well. Gold bullion can be bought from various dealers or banks, but this calls for various storage arrangements as well. The storage and security of your gold bullion can be taken care of by other specialized companies.

The importance of gold as an investment option in today's market conditions is strengthened even more as governments are beginning to back up their gold bullion reserve. Asian countries such as China and India have expressed their interest to buy and store more gold. Moreover, government backed currencies such as the US dollar is losing its power steadily. The prices of gold, however, are set to go up as supplies have already become negligible and the demand is increasing by the day.

Thus, it can be clearly seen that gold is a great way to safeguard your investments from any unforeseen downfall of stocks or national currencies.

Trading With An Expert Advisor?

Metatrader defines Expert Advisor (EA) as:

"...a program coded in MQL4; it is distinguished by the properties of special function start() called by the client terminal to be executed on every tick; the main purpose of Expert Advisors is programmed control over trades" (source: MetaQuotes Software Corp)

In other words, it is programmable trading. To me, it is robotic trading and that to me, sounds pretty cool.

To use a trading EA is like hiring someone to trade for you. You teach him or her the rules of the system and they will place the trades for you. Emotions which could otherwise jeopardize your system will not be involved (it is the "company's" money anyway) and they do not require toilet or lunch breaks. How cool is that? Of course I am not saying that we should all go out and buy a trading EA and expect to be millionaires overnight. What I am saying is that, trading EAs may help offer you a solution if you are someone who:

1) cannot be disciplined enough to stick to your trading rules

2) enjoys making money while asleep, shopping or watching a movie

3) is simply lazy

I listed the above because I fall into all three of them.

But as I mentioned earlier, trading EAs are not all about glorious trading. There are times that we may have to intervene and override a trade manually. Just like how a boss may react when an employee does something that is not turning out well despite having obeyed all the rules of the system, we may find ourselves pressing the buttons manually when we watch a trade head towards the direction of a sandstorm.

Bear in mind that it is also good to conduct periodic spot-checks on your trading EA just like how a boss would do so in an office. This is to ensure that the system is working well (e.g. no bugs) and configured according to the current market sentiment. Trading EAs can work with or AGAINST you if you do not set it up right. The best way to approach a trading EA in my opinion is to study and understand its core principles first. It is only when we have a proper understanding then we may proceed further to tweak its parameters to suit our respective trading styles. Be warned that if you do not do so, frustrations will set in should your EA take a string of losses (remember that EAs are not perfect!).

To conclude, there are tons of EAs out there in the market. Do extensive research to find out which one works best for you. If possible, do some manual testing beforehand to get a better understanding of its concepts before deciding to purchase or program one. And remember, do not trade it "live" until you have done adequate testing on a demo account.

Always protect your precious capital first, for that is the golden rule.

Benefits Of Choosing Your Trades Wisely

Always choose your trades wisely.

There are 3 reasons why doing so may save your trading account:

1) Less Risk, More Returns - By choosing trades with a much better setup, we reduce the amount of losses. When I say better setup, I mean having both a favorable reward-to-risk ratio and a tested profitable strategy. If your win is only 20 pips but your stop-loss is 50pips, then I think you have to seriously re-consider taking that trade. Also, if you do not have a proven profitable strategy, then achieving consistency as a trader may be far out of reach. On the other hand, if we have a good reward-to-risk ratio with a profitable strategy, we will naturally "see" the markets clearer. This act in itself filters out all the unnecessary trades that most unprepared traders will take. And as we carry on trading this way, we will see that our returns will definitely be much more than our losses as time passes.

2) Prevents Over-trading - When we trade a lot, we put our account at risk of being devoured by the markets. There have been so many occasions whereby a profitable trading day ended up as losers for me. Greed usually causes us to over-trade. I am sure many of us are guilty of having that "god-like" winning streak, thinking that no evil market forces can ever stop us. Sadly, the moment we start having such thoughts is the moment that we begin consuming our first slice of humble pie. A good suggestion to prevent over-trading is to set an achievable pip target for a day or week such as trading for just 10 pips a day. Achieving consistent returns of 10pips daily cultivates our patience and discipline as traders. Which leads me to our next point below.

3) Cultivates Your Discipline - By choosing our trades wisely, we learn to be patient and disciplined traders. I firmly believe that there is a strong correlation between our personalities and trading habits. Therefore, by exercising patience and discipline in our trades, we are also indirectly cultivating them in other areas of our lives. Perhaps we can be a much more patient driver? Be a more understanding spouse? How about being more disciplined in our diet and exercise regime? The list goes on.

To conclude, choosing our trades wisely may be demanding but it saves us from wiping out our entire trading accounts. Gunning for the best setups is like the hunter in the woods, waiting only for the best possible moment to take out his target. Anything short of that would have cost him to miss out his reward entirely.

Always remember to protect your profits and precious capital for that is the golden rule.

If you Buy at 750 and you are prepared to lose up to 5 points on the trade, you can enter a Sell Stop order at 745. If the market price moves down to

Are you looking for some alternatives to venture out and invest your hard-earned funds? Are you thinking about going for some new ventures in investment and trading? Well, if you do, read on and get those unbiased and realistic options trading strategies to drive your way to a more secure and stable finances in the future.

Many people nowadays wish to retire at an early age. This dream has begun when everybody seems to look forward to a fun, stress-free and financially stable retirement or life after being an employee for several decades. With that aspiration to enjoy years after working for a company or institution, everyone wants to spend their remaining years with their families, relatives, loved ones and friends. And having that in mind, some alternatives are taken into consideration so as to promote a worry-free retirement. One of which is finding those reliable and practical options trading strategies that one could find over the web. In this post, you would be able to get some helpful tips that you could have to get started.

Since you are taking it into consideration of putting your money and your resources into investment and option trading, it is assumed that you are also finding your way as to where you could get these tips and inputs on options trading and the like. Well, one great way is to have some rigid and extensive research. Though it is believed that everything nowadays could be found over the web with just a very few clicks, you still have to find your way to validating and verifying whatever data and information you get over the web. This is to ensure its validity and reliability - making your way to unbiased and well-founded outputs and details on trading options as well as how you could make it work for you and your funds.

You could countercheck its veracity and reliability simply by spending some quality time online. You could always feel free to check the background and credibility of the said sites - getting through some reviews, comments and testimonials of those who have experienced its services, training and support. Of course, having the ideas, insights and experiences of first-hand sources is a great way to get the most reliable and credible ones.

Needless to say, you could also join and participate in some online groups and forums in which you are given a chance to meet other investors and traders - experienced, expert and even beginning ones. Having an external support group could make it easier and more expedient for you to drive your own investment vehicle at your own pace, time and convenience. With your consistent efforts and desires to attain early retirement without worrying finances and the like, you surely could make it possible for you to achieve it. After all, you have gotten the attitude, determination, perseverance and motivation to push through - adding those invaluable efforts to enhance your skills, expertise and experiences.

So, what are you waiting for? Find more and more reliable and updated options trading strategies to help you out in your ventures and see how you could speed up your countless ways to meeting your financial goals and objectives. Cheers to your fun, stress-free and early retirement - spend it with your loved ones at the soonest time possible. Indulge!

Choosing a Trading System

When choosing a trading system, it is necessary to consider the frequency of trades. This could increase your profit factor and give you more trading opportunities.

The advantage of a frequent trading strategy is that if it is a profitable trading strategy, it will have a higher return the more times it trades, using a lower leverage. This is stating the obvious, but it is often overlooked when choosing a trading strategy. The goal is to make more profit using the least amount of leverage or risk.

The frequency is important in choice. For example, given two trading systems, the first with a higher profit factor but a low frequency, and the second a higher frequency in trades but with a lower profit factor. The second system might have a lower profit factor, but because of its greater frequency in trading and taking little profits, it can have a higher total profit, than the system with the lower frequency and higher profit factor on each individual trade.

Frequency represents an opportunity for profit.

An active system can give you a greater number of trades but at the same time it produces a data set that we can rely on more than an infrequent trading systems. For example, let's say we would like to analyze a moving average system that produces 50 trades in 5 years and analyze a day trading system that produces more than 1000 trades over the same period of time. The data produced by the day trading strategy will give us more confidence that the moving average system. Therefore we would prefer choosing the day trading system, being the testing more reliable.

Active systems should produce more reliable results and a smoother equity curve. If a coin is flipped ten times, our odds of having 50% heads and 50% tails are not very good. Instead if we flip the same coin one thousand times, we have a greater possibility of obtaining 50% heads and 50% tails. The same logic applies to our real-time trading. The larger the sample the closer the results would be to our expectations.

The active system will approach our expectations much quicker than the system that trades infrequently. If a trading system produces 50 or more trades per month, having a good system will be more likely to reach our profit target at the end of the month. The system that produces only three trades a month, it will take much more times to reach our desired results and will be less predictable and more inconsistent.

In summary:
1. Active systems have bigger samples in testing and make test results more reliable.
2. Active systems give more opportunity for profits and produce more total profit over time.
3. The equity curve is smoother in an active system.

Therefore when choosing a trading system, you should give higher frequency systems a greater priority.

How to increase trading frequency:
1. Use more sensitive parameters; this means using shorter parameters for the indicators that determine the entries and exits.
2. Taking more frequent profits, will increase the number of trades but may reduce the average profit per trade. In the long run this may prove more profitable.
3. Trade more than one market. Diversify in other markets, hedging risk.
4. Use multiple trading systems. Trade as many profitable systems as possible, increasing your activity level.
5. Trade multiple time frames. A system that works on a 15 minute chart should work on an hourly chart.

One last thing, don't forget that an increase in trading frequency will increase your trading costs. Keep in mind these costs when choosing which strategy to apply and when actually back-testing your strategy. You must also understand at which point a high number of frequent trades actually decrease the profitability and at which point they increase your profitability. This will take a bit of time for back-testing but it is surely worth it.

Trend Trading - The Breakout Trade (Part V) - The Initial Stop

If you Buy at 750 and you are prepared to lose up to 5 points on the trade, you can enter a Sell Stop order at 745. If the market price moves down to 745 (or lower), the Sell Stop order is converted into a Market Sell order and you exit your trade for a loss.

Conversely, if you open a short trade at 750 with a Sell order, you could enter a Stop Buy order at 755. If price rises to 755, the stop order is converted to a Market Buy order and you exit the short trade for a loss.

That is the theory, but it is not perfect! The problem is that there is no guarantee where a Market order will be executed, and there is no guarantee that price will move gradually in one direction or another...

For example, your Sell Stop order at 745 might get executed (filled) at 744.5. That makes your loss half a point (10%) bigger than expected.

Even worse, bad news could hit the market! Suddenly, price drops to 740! Your stop is triggered, and you are filled at that level. That is a 10 point loss, double what you anticipated! Things like this can and do happen more often then you would think, but the risk is greatest if you have a position open overnight or through weekends.

The day trader is much less likely to experience a catastrophic loss due to a big "gap" in the market, and that is one reason why I consider day trading to be one of the safer forms of trading activity. The day trader will certainly experience slippage losses, but they can be anticipated and accounted for.

I never enter a day trade without a stop loss order in place. Some people disagree, but with me it is an article of faith.

Even though a stop loss order is not a perfect tool, it is still a very good form of insurance. The day trader, often undercapitalised, MUST acquire protection against being wiped out by one bad trade.

People who dislike the stop loss order point out that sometimes markets seem to reverse and take out your stop, before accelerating away in the direction of your original trade. You end up with a loser instead of a spectacular winner...

True! That does indeed happen all too often. However, all insurance costs money, and it is best to write these instances off as your insurance "premium" against a disaster. Experienced traders do not even consider the "what might have been" scenario, they just accept that they had a losing trade.

So, given that we must have a stop loss order, where should we put it?

There are many approaches. One of the simplest is the money stop. With this approach, the trader decides what percentage of capital can be risked and puts the stop at a distance from the entry which would equate to the risk percentage (or a little less).

For example, if you are prepared to risk 3% of a $10,000 account, that is $300 in one trade. With the S&P 500 E mini contract each point is worth $50. If you are trading one contract, your stop could be six points away from the entry. If you are trading two contracts, the stop could only be three points away from the entry.

That is okay, but I prefer to make use of the information on the chart. By the time we enter a trade, we have significant information, and it seems a pity not to make use of it. Since the breakout trade is entered during a pullback after a trend is detected, we know some of the short-term support and resistance levels in the market.

The depth of the pullback is a very significant measure. In an up trend, the session high point is clearly the resistance level, and the low point of the pullback is the short term support level. (I usually refer to this distance - between short term support and resistance - as R.)

Putting a stop one point below the support level is a (fairly obvious) valid position for a stop loss order. The logic is that if support is penetrated, our long trade is no longer valid.

Some people use various multiples of R has their stop. Especially if they subscribe to Fibonacci theories. They may take a view that, once resistance has been penetrated, any subsequent pullback should not exceed (for example) 68% of the most recent move upwards - so they put their stop at 0.7R below the entry.

More conservative traders might place a much wider stop, say 2R below the entry point.

Obviously, the wider the stop, the less likely it is to be taken out by random fluctuations. In other words, with wider stops you get more winners.

On the other hand, with a wide stop you stand to lose more if it is taken out. So you can not afford to trade as many contracts and your wins will be smaller...

That is the dilemma of the trading system designer. It is up to you, the day trader, to decide where the sweet point lies in this delicate compromise.

Should You Day Trade The Forex Market?

A good Forex trading strategy is essential to a currency trader's success. With so many unforseen risks in the currency markets, you must have a very solid trading method to rely upon.

Set Time Aside To Learn The Basics

Starting out, you will need to learn how to discipline yourself to follow simple rules. Knowledge and applying this knowledge in smart fashion is the key to your Forex trader career, whether you intend to trade part-time or full-time.

Initially you should learn about one currency pair. Make sure you understand the simple price action of this currency pair. Is it trending up or down? How does today's current price calculation compare to last month's price? Study the charts. Scroll back in time to see how this currency pair has moved up or down.

This initial research will help you better prepare for Forex trading. Take your time doing research. There is no need to hurry. Which explains why you should start trading with small lot sizes on a real account or better yet, begin trading with a demo account.

How To Analyze The Market

Many Forex traders use technical indicators to interpret historical prices. Whatever you decide to use, you must become very acquainted with exactly how it works and how you are going to use this tool to place trades, manage Forex trades and exit these trades for profit or even loss.

You can read about your specific indicator or Forex trading strategy of choice by reading books. Many large bookstores offer excellent trading books by many authors. You may browse these books for free while visiting the bookstore.

After you decided on your trading approach, you need to find good price charts to interpret price data. After you complete this, you will be able to delve further in different aspects of technical analysis.

Why Does Forex Prices Move Up and Down?

There are reasons for a currency pair's current price. Economic news reports such as Unemployment Rate, Home Sales or even Oil Inventory data can affect spot Forex prices. Political events and some social events even have an effect on specific countries currencies. Your best bet is to stay up to date with all of this economic news. You can do so by looking at economic news event calendar for Forex.

What is Day Trading The Forex?

Day trading refers to the act of placing and closing your Forex trades usually on the same day. It is a short-term trading approach. Forex traders can choose to scalp different Forex currency pairs or swing trade. Scalping usually occurs on the smaller time frames such as 1 minute or 5 minute charts. Swing trading usually occurs on 15 minute or 30 minute charts. Either way, all trades are opened and closed on the same day if you are a day trader.

As mentioned earlier, the Forex market is volatile and has risks. If you decide to day-trade, you should not try to press your luck going for really big winners. This often backfires on new traders. You will be much further ahead if you can manage your risk and reward ratio along with following a written trading plan.

Investors and Traders: Where to Find Effective Options Trading Strategies?

People have been informed and aware of the success as well as the profitable and positive outcomes of investment and options trading. With such widespread of the good news on achieving financial stability and freedom at your own pace, time and convenience, more and more people would tend to settle for some possible alternatives that could be able to make them meet and obtain their financial goals and objectives. With this desire and effort, interested individuals are now finding great ways to help them out, sorting their priorities and clearing out their minds as they intend to focus into this new venture.

The next question lies as to how these people could be able to find some reliable inputs, details, tips and self-help techniques on option trading. The following are some points that you may consider as you venture into this new craft and business. These may be taken into account as they seem to be useful, helpful and profitable.

Go online. First thing first - the usual fallback and options of some individuals are to get some access to what is readily available. And since most people have access to the internet, they go online and with a very few clicks, information and details are now seen in the monitor. When all you have to do is read, validate and understand the text from various web sources and pages. Some options trading strategies can be accessed through social networking sites, web pages, blogs, web posts and community or group forums online. After getting into some sites and pages over the web, you may still need to validate, confirm and assess so as to find if such are to be considered valid and reliable. And once you are done with the validation and verification processes, you may now screen, monitor and weed out, as to what you think would be helpful, useful and effective - such inputs that are necessary and appropriate to your ventures - investments and trades.

Do some rigid, intensive and extensive research. Whether you go to a physical resource center, a library or the like or even just go online, doing a comprehensive and critical research just to grab copies of related texts and literature on some effective options trading strategies. These efforts may seem to be effective and useful in many ways. Though getting some data and even techniques from some investment and trade, business and commerce books and published outputs and materials, may seem a bit tough and may take much of your time, you may be assured and be guaranteed with the veracity and validity of the materials.

Invest into some books and reference materials. Buying or purchasing some books, manuscripts, documents, reserves and archives on some accessible and easy-to-understand self-help options trading strategies may be great and practical investments. If you see yourself really interested and determined in pursuing this investment and trading venture, you may secure copies of 'good' books. These materials can really guide you all throughout your investing and trading activities.

Meeting of the minds may be considered as a great way to get what specific options trading strategies you may want and need. Getting information and inputs from first-hand sources, either you meet these individuals personally or virtually, may be a good help. Learning from those who knew how to make it work, what are some alternatives, and what lie ahead your ventures and endeavors, may also be taken into account. By simply going through with their experiences on a first-hand basis, you could be able to ready and equip yourself as what you should prioritize and work on with.

So, what are you waiting for? Start your ventures by investing some of your time, effort and resources as you make you way to widening your own horizons of better opportunities for your family, loved ones and friends. Find the most reliable and effective options trading strategies today and see how such could do wonders in your finances. Good luck!

Trend Trading - The Breakout Trade (Part IV) - The Entry

We know how to spot a rising (or falling) trend on our charts. If we see a series of candles with "higher highs and higher lows", we have a rising trend. If we see a series of candles with "lower lows and lower highs" we have a down-trend.

I will look at a rising trend, but keep in mind that the exact opposite applies in down trends (which can, of course, be traded just as easily using futures contracts).

In a rising trend we know that we want to buy on a dip, or "pullback". In my last article, we spent some time defining exactly what constitutes a "pullback", but for the sake of argument we will assume that we have just had two candles with lower highs than the preceding candle (which made a session high).

This puts us on alert for an entry. Our logic is that the market is trending up and that this pullback is just a price consolidation which will be followed by a new push to the upside.

But where shall we pull the trigger?

As with all trading decisions, there is no absolute "right" answer. The entry that will work brilliantly in one example will turn out to be a loser in another situation, and vice versa. Still, we do not require to be right all of the time, we just need to be right often enough to make a good profit over time.

Probably the easiest entry point to understand is the "defensive" entry. The entry point is one pip above the session high. In other words, we wait for the pullback to finish and for price to move through the previous high. The logic of entering here is that price making a new high "confirms" the trend, so now is the time to enter.

Closely related to the defensive entry is the "normal" entry. Here, you do not wait for the previous session high to be penetrated before buying; instead, you buy as soon as the pullback recovers and the previous session high is touched. You may not think there is much difference between the normal and defensive entries.

For example, if the market moves up in price to, say, 728.00 before pulling back, then our defensive entry is at 728.25 and the normal entry is that 728.00 (assuming a pip value of 0.25 such as is found in the S&P 500 e-mini contract, or any of the grain contracts). Basically, one pip difference in the entry points.

However, the entries can work out very different in practice. You have to remember that not everybody is on the same strategy. In fact a good number of players in your market will be looking for different patterns, for example a "double top". They will see the session high as a logical time to sell!

What this means to you as a breakout trader using the normal entry is that there are likely to be a lot of traders coming in with sell orders just as you place your Buy order. Consequently, your order is quite likely to be "filled" without slippage. If you are lucky, you may even get positive slippage by having your order executed one or two pips below your target price.

The defensive trade entry point, however, is often different. Not only do a large number of fellow breakout traders place orders at this point, but it is also a natural stop loss point for short traders. By this I mean that there will be traders who went short as they saw price rising towards the previous session high point (anticipating a double top formation) and placed a stop loss order just above the previous session high.

These stops are Buy orders which, combined with genuine new Buy orders placed by breakout trend traders, can cause a significant price spike at the breakout point. Consequently, it is not uncommon to experience significant slippage at the defensive entry point. Your order might be filled several pips above your target price.

Why then, you might ask, would you use a defensive entry instead of a normal entry?

The answer is that, every now and again, price will touch the previous session high just before the trend peters out and price starts dropping. If you had a normal entry, you would have gone long at the high point for the day, whereas the defensive entry would not have been triggered.

It is for the trader to decide whether it is better to use normal entries, which occasionally pick up a losing trade, but almost inevitably suffer less from slippage, as opposed to defensive entries. The decision will be based on the characteristics of the particular market being traded, and other aspects of the strategy. For example, if the trader is targeting a relatively small movement, slippage might represent a very significant percentage of the profits. Whereas, a trader looking for big moves is going to be less concerned about a bit of slippage on the entry.

Because successful traders often do the same type of trades day after day, these sort of decisions can be vital in determining their long-term success or failure.

The final entry point to be considered is the "aggressive" entry. In this case, the trader enters as soon as the pullback turns back upwards in the direction of the trend. For example, if the market has risen in an up-trend to a new session high point and there have now been 2 pullback candles, each with lower lows and lower highs than the previous candle, the aggressive entry is one pip above the high point of the second pullback candle. If the next candle is lower again, the aggressive entry moves down to a pip above the high. In this way, the aggressive entry can keep moving down as the pullback gets deeper.

Clearly, this is going to get us into the trend at a more advantageous level than the normal or defensive entries. Equally clearly, it is a more risky strategy, because it runs a greater risk of us getting into losing trades which would be avoided if we were waiting for the more cautious entry points to be hit.

However, sometimes the aggressive entry can end up being the only one which wins, particularly if there has been a deep pullback. That is because the aggressive entry can get you in early enough to reach a profit target on occasions when a normal or defensive entry gets you in too late to reach your target point.

Again, there is no "right" answer, only choices which you, the futures day trader, make after reviewing the market you will be trading. Of course, it is possible to select different entry options at different times based on your "feel" for the current market position. If you can do this, I congratulate you!

Personally, I find it difficult. So my approach is to be consistent with the rules I use for entry. I know that if I do the same thing day after day, sometimes my entry rules will be outstandingly good, and sometimes I will curse them! However, most sets of rules based on sound trading principles should yield a sufficient number of winners to compensate for the inevitable losing trades.

Obviously these entry points are well-known to all experienced traders. Because of this, they inevitably become battlegrounds in the market. Sometimes they represent major battles, sometimes just minor skirmishes, but they always attract attention. Therefore, some traders apply various tactics. For example, instead of buying or selling at the specific entry point, they may look for an entry at some "offset" from the standard entry point.

Consider a defensive entry one pip above the previous session high. If a trader anticipates a strong fight at that level, he or she may look for an entry using a limit order a few pips lower. That is, after the defensive entry is touched, a Buy-Limit order is placed a few pips lower. This obviously has the benefit of gaining a few pips in every successful trade, and it eliminates slippage on the entry (since you do not get slippage on a limit order). On the other hand, you may miss out on some particularly good long trades where the market takes off quickly after the breakout and never retraces to your entry point. You will, however, never miss out on losing trades!

You can also offset your entry order further above the standard entry point. In other words, instead of entering one pip above the session high, you may wait until the market moves up 4 or 5 pips. You do this to avoid being caught by a "false breakout" where the market just goes one or two pips above the previous session high before reversing.

What You Must Know To Master Options Trading

Thousands of small retail traders are making a living, and some a fortune, from trading options and you are eager to take a shot at it too, aren't you? So, what are some of the things you must know in order to master options trading?

What are stocks and shares and how they work

Stock options are derivatives of shares. This means that you need to know what shares are in the first place in order to understand the role of options and how options work. In fact, you will need to be a master of stock and shares behavior before you could be a master of options trading because options are merely tools that help you exploit these stock and shares behavior profitably.

What options are

Sounds like common sense but most options traders start out thinking options are just "another stock" which you simply buy low and sell high. Those who jump into their first options trade like this usually get a shock of their lives when they either realize that options don't quite move the way they expect them to move and don't quite behave the way they expect them to behave. Knowing how options work and what their underlying mechanisms are, the logic behind call and put options are the basic knowledge all master options traders need.

Options strategies

The real magic of options trading lies not in simply buying call options for stocks expected to go up or buying put options for stocks expected to go down. The real magic of options trading lie in the universe of options strategies which allows you to profit not only from an upwards or downwards market but even in a neutral or volatile one. You probably won't be able to learn, practice and master each and every of the hundreds of options strategies but you should have at least one or two options strategies of each class that you are totally familiar with and have paper traded so that you have a weapon for each market condition.

Technical Analysis

Technical analysis is particularly important for options trading as it is through technical analysis that you can make trend analysis in order to know what class of options strategy to apply in the first place. Technical analysis is extremely important in options trading also due to the fact that entry and exit timing is extremely important in options trading where there is a fixed expiration. Technical analysis has been used over the decades as a tool for precision entry and exit and is now an important tool in options trading.

Options Greeks

Options Greeks are the mathematical components that define how a particular option would behave in response to factors such as changes in the price of the underlying stock, changes in volatility, changes in interest rate and time decay. An intimate understanding of all the options Greeks allows you to better understand and predict the behavior of an options position. It also allows you to make intricate adjustments to your options position in order to create a payoff profile that conforms to the exact predicted behavior of the price of the underlying asset.

Delta Neutral Trading

Delta neutral trading is the ability to tweak a position's delta status to a level that is zero or almost zero such that small volatilities in the price of the underlying asset do not affect the value of the overall position. When delta neutral trading is performed correctly, it could even be used as a hedge which profits no matter which direction the price of the underlying asset breaks out into next. This can only be achieved by a combination of call options, put options, the underlying asset and even futures. Different situations require a different approach to delta neutral hedging and that is why it takes a strong knowledge in all of these instruments in order to do delta neutral trading well.

What Does a Good Financial Spread Betting Guide Provide?

Spread betting is a unique way of trading if it would be compared to other types of financial trading techniques and tools available today. Aside from that, it also operates on a very different principle compared to other forms of investments. Well, this is because an investor will be speculating to the possible outcomes. However, it shall never be treated as a mere gambling. This is because the outcome of the bet is not based on the plain luck, but can be predicted by using scientific and logical reasoning.

So, for new investors who want to enter the world of spread betting, there are few things that they need to know and find out from a spread betting guide book. Specifically, you should look for in depth data on just how it works, various strategies which are available as well as the different forms of government regulations. This article will be discussing some these three basic aspects about this derivative.

Of the various guides on this topic that you can find either in the World Wide Web or published articles in the print media they should easily be able to provide you with the basic information on how this specific financial transaction works. Generally, spread betting is characterized as any type of wagering on the possible results of an event. For example, in spread betting, it is usually focused on the future prices of the stocks, shares and other financial instruments. A trader or investor will determine the spread, which is the range of outcome that he or she thinks is the most probable area where the actual price in the future of an asset will be.

There are many people who think that because of the word betting in this financial derivative that it is just a mere form of gambling. However, if you will read what is stated in a reliable online guides, you will realize that it is treated differently. One manifestation of this is the tax treatment and government regulation to this financial transaction, which can be discussed separately. Nevertheless, it is not a mere gambling because the outcomes or results of the betting are not based on pure luck but on calculated and scientific reasoning or predictions.

On the other hand, when it comes to scientific predictions and logical reasoning, these are being done through various strategies and tactics. This aspect is usually being discussed in any spread betting guide. Some of the strategies that are being tackled include orders like stop loss orders and even guaranteed stop loss orders. These are being executed in order to primarily protect the earnings or profits of a trader or prevent any further losses. The ordinary stop loss and the guaranteed stop loss orders are actually similar from each other. Their main difference is that the latter costs more than the former.