Online Stock Investment Strategy

Wanna Trade? Do It Online!

The first continuous trading on a stock exchange was done in the 17th century in Amsterdam. Prior to this, in 13th century France, product traders used to meet in a house which they later called “Bruges Bourse”. Nowadays, stock markets can be found in most countries but the biggest markets can be found in the United States, Japan, China, and the United Kingdom.

Long before the advent of online stock market investments, trading was done by individual buyers and sellers. These are business persons who do their own trading activities. Later on, as market participants in the stock market increased, stock brokers began to represent individuals and other big firms who are interested to buy stocks.

A wealthy businessman has his own set of stock brokers representing his business interest in the world’s big stock markets. Brokerage houses were then established to cater to the increasing demands of the trend. These big firms are called brokerage houses and examples include Morgan Stanley, Merrill Lynch, and Charles Schwab.

Due to the Internet’s capacity to connect many people from different places at the same time, the process of buying and selling stocks has become faster, easier and less expensive. Online stock market investments have been availed by many investors because of its unique features compared to the traditional stocks trading.

Online stock market investments are easier to do because if a buyer or seller decides to do online trading, he does not have to pay a stock broker anymore. Stock brokers can charge up to as much as $100 per trade, while online stock market brokers can charge as low as $10 per trade.

Online stock market trading allows investors to do all transactions in front of the computer. An online stock market investor can also check and manage with his stock portfolio in real time using a computer. Several online stock trading companies have opened their websites to cater to the demands of their increasing clientele.

Online stock market investing has made the business of trading easier, faster, and cheaper. An investor who does online trading will not need to call his broker to conduct business. All he has to do is go the stock broker’s website and indicate the stocks he wants to buy or sell and these orders will be processed in real time.

These online stock market brokers or stock market websites, as they are called, also contains a lot of additional services in their websites. They can provide online stock market traders with stock market information, and other relevant insights.

More Stock Market Investment Tools

A newsletter is defined as a publication which is distributed on a regular basis and which discusses one main topic for the benefit of its readers. Newsletters are published by clubs and business companies to provide their clients with company relevant information.

A stock market investment market newsletter is published to provide stock market investors with insights on the current trends in the market. These types of newsletters are distributed by trading companies to their subscribers and clients. A stock market investment newsletter provides news, analysis, interpretations, and commentaries that are related to the market developments and which are relevant to a trading company’s subscribers and potential clients. It is meant to help the stock market investor to choose the right investment opportunities and how to invest sensibly.

An investment market newsletter is very similar to other popular newsletters. It is usually written for stock market investors and usually contains the following:

* Company profiles – this information includes the company’s description, trading history, and its recent stock charts;

* News articles – these articles inform the stock market investors on the current trends in the market and the company’s recent developments and milestones in the stock market;

* Stock portfolio – a stock portfolio is the compilation of the company’s stocks, bonds, and other investment related resources.

* Features articles – these articles may include features about the trading company, tips and other helpful hints about the stock market.

* Monthly top gainers and losers – this part of the newsletter is very helpful because it shows and compares the price movements of stocks over the previous month. It could also be done on a quarterly or annual basis.

* Stock performance tables – the investment newsletter can feature and compare all the stocks which are related in type and provide financial and other useful information.

Stock market investment newsletters are printed and are usually published online through the trading company’s websites. Subscribers can get a free copy for their own personal use, and potential clients can always view and download from the company websites. These websites also provide archives, or past copies of their stock market investment newsletters which subscribers can easily access and read from their personal computers.

Others say that stock market newsletters provide subscribers and investors with investment tips and present them with all possible styles and methods. Investors can now easily see which stocks to buy, which companies to buy stocks from, and what particular techniques work for him – all with the help of a stock market investment newsletter.

Learning The Basics Of The Stock Market

The stock market is a complicated game. In order for you to succeed in this business, learning the basics of the trade would be an important factor for your financial growth.

Before risking your money with the stock market, you should be able to recognize the factors vital in choosing which company to invest in. Here are the basics in learning some facts about the company:

1) Revenue. This refers to the amount of money the company makes. Although some companies that are still in the early development stage have no revenues to offer, many of the companies that have been in the market for years make use of the revenues to cover some losses and other costs.

2) Earnings. This refers to the money the company makes. Aside from revenues, the earnings are the money that would not be used in covering expenses. These are the extra money the company makes. Companies with large earning have an advantage in the stock market because investors examine the earnings made by the company they are about to buy stocks on.

3) Debt. This refers to the money the company owes in many ways. Because the company is in debt, the money they have is for paying up for the debit alone. Buying stocks from these companies would be risky because of the instability of the company.

4) Property. This refers to all the assets (money, stocks, and all businesses they own) of the company. Knowing these assets could give you an understanding of the company’s position in the industry. If the companies have significant properties in their hands, you could safely trust their background and immediately buy some of their stocks.

5) Financial responsibility. This refers to the account of the companies that they need to pay out. Meaning, if the value of their financial obligations are low, the company is not in danger of becoming in debt. Examining the company’s liabilities and comparing it with its assets could help in determining if you are ready to buy stocks from them. Make sure that the assets of the companies are always higher than the financial responsibilities they need to make.

It’s never safe to gamble your money away on some company you don’t even know. The basics of the stock market lie on the companies’ background. Make sure you research to ensure your money is in the right hands.

But stronger yet Stable

But stronger yet Stable

IHSG BEI Naik 96 Poin IHSG Bei Up 96 Points

Jakarta - First week back stronger stock index. Yesterday the combined share price index (IHSG) Indonesian Stock Exchange (bei) rose 96 points (7.6 percent) to 1352, with transactions reaching Rp. 2,14 triliun. 2.14 trillion.
Analysis BNI Securities Widianti Veronica said, the index appreciated by considering the inflation data in October 2008, which was 0.45 percent. "According to the economist who expressed konsesus inflation that inflation will decrease compared to September inflation data, which is 0.97 percent," he said.
Changes in the mechanism autorejection asymmetric (20 percent above the limit and the limit below 10 percent), which has applied since the end of trading last week also become a positive factor driving the index.
Moreover, the closure of Trade last week, Dow Jones index appreciated by 1.57 percent and the FTSE index closed 2 percent stronger. "That catalysts, further boosting the index." He said.
However, investors must remain vigilant because the movement of the index is still not stable, factors related to global.
Sementara itu, Senior Manager Arcadius Musrijoko mengatakan pada kondisi seperti ini investor harus menggunakan strategi mengikuti pergerakan pasar. Meanwhile, Senior Manager of Arcadius Musrijoko said on the condition of such investors should use the strategy to follow the movement of the market.
"We just adjust to the market, while down on buying, selling when Climb," tarangnya on the sidelines of the exhibition Investment Award Investing Expo 2008 in minicircle Plasa Tunjungan IV yesterday (3 / 11).
With the movement of the market, investors will not panic too. In addition, investors should evaluate the portfolio to implement the strategy, "Investors need to have a discourse to develop a portfolio of shares in achieving long-term investment," he explained.

ADB: Asia could drag

ADB: Asia could drag

the World Continuous vague Crisis Impact

Manila - Asian Development Bank or Asian Development Bank (ADB) warned, financial institutions in the Asia-risk trail fall Financial markets in the U.S. According to the ADB, the risks that can happen up to now despite losses in Asia due to the impact of the crisis subprime mortage quite small compared to other areas in.

Asia can recognize and survive from the direct impact of financial turmoil that throws the U.S. and global economy. That caused the growth of domestic demand, increasing foreign exchange reserves, up to a healthy trade balance.

However, ADB President Haruhiko Kuroda warned that Asia could be affected sub-prime mortgage crisis in the U.S. "Since the crisis strike the U.S. in mid 2007 to the current level, losses in Asia is lower than any other region. However, there is no guarantee, some events will last no effect on financial institutions in Asia, "Kuroda said the ADB Regional Forum in Manila yesterday (18 / 9).
He expects the Ministry of Finance, the central bank, and determine the policies keuangandi Asia a dialogue concerning financial stability. Forum to discuss the development of regulations and also to improve the coordination of supervision of the financial markets in Asia.
Keith lui, executive director of the Hong Kong Securities and Futures Commission, recognizes the impact of sub-prime mortgage crisis in Asia is very minimal because only a few institutions that invest in subprime products.

However, Davis Fernandez, the chairman of JP Morgan Emerging Asia Research, thinks the impact of the financial crisis in the U.S. had the most striking in Asia. Visible from the performance of capital markets Asia's most poorly among other developed economies.

In the larger scale, some of the central bank in the country's economic progress has continued to repress and overcome together the impact of the U.S. financial crisis. Central banks the world to perform surgery with muffled panic in the credit market.
Federal Reserve (the Fed) on Wednesday (17 / 9) or the U.S. yesterday WIB (18 / 9) fund an USD 180 billion (approximately Rp 1,692 trillion) into the money market. This is done to provide short-term liquidity for the banking and secondary.

European Central Bank (ECB), Bank of Japan (BoJ), Bank of England (Boe), Bank of Canada, and the Swiss National Bank also joined in the same movement. The coordination is designed to overcome the pressure continuously on the market short-term funding. BoJ continue mengintervensi market. Yesterday, the Japanese monetary authorities in the menggelontorkan funds EUR 23.9 billion (approximately Rp 224.66 trillion) into the money market. several other central banks to pour hundreds of billion USD.

Source Java Post, 19/9/2008 interests

How Not To Fail In Doing Stock Market

How Not To Fail In Doing Stock Market


Investing money entails a great amount of risk. Like they always say, “It takes money, to make money.”
Money doesn’t grow on trees, you know.

But it doesn’t necessarily mean that to achieve good profits, one has to invest heavily and risk greatly. That is not the case all the time. A well-informed investor can make sound decisions that will help him earn considerable profits with minimal loss.

The first lesson a successful businessman will tell you is that any endeavor carries potential risk along with potential gain. The trick is to determine if the profit is worth the risk. If it is, it is now time to consider if you are willing to take the risk.

So before you start trading, ask yourself this:

a.) What are your achievement goals?
b.) Are your investments going to lose money?
c.) Are you willing to take bigger risks for better profits?

Setting your achievement goals will allow you to know how long you’re willing to wait for a stock to gain profit. It will also give you a limit on how much you’re willing to lose. It will also give you an idea on how to go about investing in a stock.

If you choose a low-return investment, it will mean that either you increase the amount you invest or increase the length of time invested.

After you have made up your mind with the above questions, there are some tips you may want to use to evaluate your trading philosophy.

a.) When to invest. Ordinarily, you want to trade all the time. You get excited when you see shares go up or when they fall down. You make decisions based on a whim and factors that don’t usually affect a stock in the long run. The best traders wait 50% of the time waiting and studying how a stock performs. They do not trade every day and all the time.

b.) Discipline yourself. You are so excited to make trades that you trade on a stock that looks half-decent enough rather than waiting for the best stock to come along.

c.) Small moves big payoffs. Don’t waste time dabbling in so many small stocks with minimal profit. Watch out for big stocks and concentrate on a few.

d.) Do not be too emotional. Making money is exciting. Losing money can get very depressing. Detach yourself from your emotions; otherwise, you won’t be able to look at things objectively.

Trading stocks is a high-risk, high-profit venture. Dabbling in the stock market half-cocked is suicide. Take your time. Study, research and be patient. After all, it’s your money, so it’s your loss.

Investment of Ethanol

Ethanol Investment Market Stock


Ethanol and its significance in the stock market investing world

In the bid for the world’s search for alternative sources of energy as time is currently running out given the current scarcity of crude oil, there have been numerous initiatives by companies to develop the potential of different alternatives to crude oil such as natural gas and ethanol.

Ethanol is a colorless, clear liquid with an agreeable odor. This is the natural component of ethyl alcohol. Corn, wheat, potatoes and other plants can produce starch that is made into ethanol by the process of fermentation. It can be used as fuel by mixing it with the regular gasoline and this becomes gasohol.

These sources of alternative fuels are currently one of the faces of future technologies that are being developed and researched on by many technology energy companies listed in the stock market. These technology companies have been popular picks of long-term technology savvy investors for more than 5 years.

The potential of ethanol has been the focus of a lot of technology companies in stock exchanges most commonly those listed in the NASDAQ stock exchange. The popularity of this resource as a future alternative to fossil fuels has been recognized in the stock market and numerous initiatives for research and development to make this a renewable source of energy has been ongoing for quite some time.

Although investment performance returns from these alternative energy companies may not yet be as competitive as the established companies that are currently in the business of the popular fossil fuels, the technology for these alternative fuel companies may still be a long way of waiting as the issue of having the necessary infrastructure to produce and distribute alternative sources of fuel like ethanol will take quite some time.

Investors that are optimistic on the future of these alternative energy companies believe that the technology will still require longer waiting. Aside from the waiting of new discoveries, the infrastructure and distribution of energy products produced from alternative energy sources like ethanol will still be more costly.

It will also not necessarily be competitive at its initial stages of introduction to the stock market investors as compared to the established production and distribution processes of companies producing fossil fuel energy products.

While the wait for the availability of alternative energy sources to the public may still be long and initially costly, the world will still have to push forward the developments of alternative energy sources as the world reserves of fossil fuels are already depleting and sooner or later the alternative sources of energy will have to be much more of a priority not only of companies engaged in its development but also of the general public as well.

Stock Market Investment

Best Stock Market Investment


Some financial experts say that engaging into a more lucrative but challenging world like investments are not specially made for the faint hearted.

With the economy seemingly riding on a roller-coaster ride, investing with the right stock seems to be next to impossible. However, with the advent of information technology, people from all over the world go crazy over stock market investments. It is because the convenience of information technology had found its place in the world of investments and computing.

Today, stock market investments are selling like hotcakes. It seems that it has always been the focal point of every investor to get a stock no matter what.

So, for those who would want to get the best stock market investment they should look into the following for advice:

1. The stock market is risky business

Generally, most people believe that buying stocks are as easy as 1-2-3. Of course, it can and in fact anybody is capable of doing it. But the problem lies on the fact that few people only know when to sell. And that is, in its greatest sense, the heart of stock market.

So, the best advice for people to get the best stock market investment, it is best not to gamble everything that they have on it, especially if they don’t have a good understanding of how it works. It’s better to loose a little than loose really, really big.

2. The “trailing stop strategy.”

Most experts incorporate this when getting stocks. What they usually do is to “ride” their stocks really high, and maintain an exit strategy in the event that things get out of hand. This is where the liquidity of their investment is extremely vital to one’s business. That is, they should know that whatever liquidity they have can be easily converted into cash.

3. Invest only in what you are comfortable with.

Even if particular investment opportunity, say, an exciting IPO of a big company, looks very attractive, it is a must for every investors not to invest on it if they are not prepared to risk losing their money on it. In this way, people will be able to get the best stock market investment by following this very important advice.

Finally, most stock experts recommend today that people who want to get the best stock market investment should use the every day costs in the stock market investment strategy. It would be better if investors would always carry a handy calculator with them.

The most important thing about stock market investment is not so much to pick the best but to avoid the losers.