Published documents by Nelson

2009

Diversifying your investment portfolio is a wise move according to experts. The point of diversification is to minimize risk while maximizing gain. The old adage about not putting all of one’s eggs in a single basket applies to financial investments as well. Most investors are deficient in the basics of stocks and bonds, and practice mutual coinage to diversify their file between many...

Stock Market Overbought Or Oversold? Don’t Kid Yourself! Published on 01/06/2009

I have heard people refer to the market being \"overbought\" or \"oversold\" for as long as I have been a student of the markets. To be sure, only one of the two terms has any credibility and that is oversold. There is one case for this, and that is when the market is trading at zero. That is oversold! It is the only real case. Since the market (S&P 500) is trading at 1270 as I write this, I...

Why Do You Lose Money In The Stock Market? Published on 01/06/2009

Are you a stock market analyst? If you are like me, and most people are, we are not expert stock market analysts. There is so much information and so many methods and techniques and strategies to trading stocks that the average person doesnt have the knowledge, or experience, or the time to become very successful in stock market trading. People listen to little bits and pieces of information...

Stock Markets Fizzle Out After Freddie And Fannie Bailout Rally Published on 01/06/2009

The theme for next week is inflation, as UK, EU and USA are all releasing some sort of inflation numbers. This is important for traders of Equities, Futures and forex as these numbers will have a strong effect on each of those categories. We expect inflation to be high in every country, as rising commodity prices are filtering into the consumer prices at this time of the year. Also on a side...

Mccain Divided Over $ 85 Billion Rescue For Aig Published on 01/06/2009

McCain told ABC Good Morning America on Wednesday, he did not want to leave American International Group Inc., the largest insurance company. However, he said millions of people whose finances were tied up in the company were in danger of seeing their lives destroyed. Before the bailout was announced, McCain said that he would not support a bailout of AIG or any other company. In his...

Gold: Safe Haven Or A False Idol? Published on 01/06/2009

As the financial crisis continues, investors are searching for safety anywhere they can get it. Real estate is obviously out. Equities are getting hit. The currency markets are roiling. Throughout history, gold has acted as a safe haven in times of economic stress. Should you be investing in it? Investors around the world are flocking to the yellow metal. The South African Rand...

Earnings Preview For Oct 7 10 Published on 01/06/2009

As I write this on Friday morning, there is scuttlebutt that several central banks could announce rate cuts on Monday morning. Though the rumors are unconfirmed, fed fund futures are pricing in a significantly higher probability of a half-point cut occurring at the late-October meeting. Alcoa (AA) will \"officially\" kick off earnings season when it reports on Monday afternoon. The aluminum...

Trading Options Facts Not Fiction Published on 01/06/2009

When studying the details of stock options investment, the first thing that you must be able to comprehend entirely is the definition of an option and how it compares to its companions in the marketplace. Options’ trading has much more versatility and flexibility attached to it than investment vehicles such as forwards or futures. Even regular stock trading doesn’t offer the same...

Japanese Economy Slowing Published on 01/06/2009

More evidence of the recession the Japanese economy seems to be sliding into, unchecked. Industrial production tumbled at the fastest rate in five years in August, and the unemployment rate rose and household spending fell. Factory output fell 3.5% in August from July, unemployment hit a two year high of 4.1% and household spending dropped a sharp 4%, the biggest decline since September...

Bailout, Banks And More Collapses Published on 01/06/2009

US Congressional leaders and the Bush administration have reached a tentative deal on a bailout of imperiled financial markets that could cost taxpayers hundreds of billions of US dollars. The House could vote on it later today and the Senate on Tuesday. US House of Representatives Speaker Nancy Pelosi announced the accord just after midnight Saturday and said it still has to be put on...