Starting your online business

By admin on November 30th, 2008

One way to get money is by doing business. With the fast growth of internet users, internet business is a great way to earn money. There are steps you should do until you have your own business:

  • When you’ll are looking at how to start an online business, you’ll first want to look at a particular field which you are interested in. You’ll want to see whether or not there is a great deal of competition out there. It is more easier to start a business where competition is still low. You can do search on Google on a particular business and find the number of search Google gave. You can consider the number of searches as the number of competitor.
  • There are many different ways that you can make money on a website like selling products online. To start you first need a website. If you can build your own website, you only need hosting and domain . But if don’t know anything about website, you need to hire somebody who have the skill or use software. If you want to use software, you can use this easy web builder.
  • When looking at how to start an online business is how you decide to market your website. The way to build natural search engine traffic is through content and developing back links.  Back links are links from other websites to yours so that when search engine search bots are indexing webpages, they will find the links to your web site and index your pages.
  • You need to find payment tool to receive payment. Many people use paypal because it is so popular.
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Forex trading strategy

By admin on November 27th, 2008

Here are some forex trading strategy (you can also use it for option) that can save your life:

  • Set a Stop Loss: Before entering any trade, decide beforehand the amount you are willing to lose and stick to it, set a stop loss on the trade before you enter. I usually set maximum loss of 10%.
  • Do not be emotional about a trade, you will lose some and win some – just know it.
  • Stick to your game plan, move your stop loss as the market moves in your favor and let your profits run.
  • Don’t be influenced: You have your own game plan stick to it
  • Trading is a game of probabilities, and over the long run as long as you stick and implement sound strategies and stay consistent.
  • Success is much more likely to come. To be a successful trader you should never take a position that puts substantial capital in jeopardy. In actuality you will rarely find successful traders who risk more than 10% of their account in any trade. You might want to start small and increase your trade sizes as your confidence grows.
  • Know your risk vs. reward ratio: The minimum ratio you should be using is 2:1, so if you are successful on 50% of your trades you are doing well. For instance, if you are long GBP/USD and you want to earn 30 pips you should not risk more than 15 pips. You should never risk 30 pips in order to make 10 pips.
  • Have adequate capital: You should never trade with money that you cannot afford to lose.
  • Trending or Neutral: Learn to analyze the market; is it a trending market or a neutral market? In a trending market then follow the trend. in a neutral market buy on lows and sell on highs as long as you use stop-losses you are controlling your risk.
  • Don’t fight the trend
  • Averaging – don’t do it: One of the most common mistakes traders make is the continuing adding of a losing position. Averaging will be the death of short-term trades.
  • Know why you are in the trade: Keep a trading log, and write down why you entered a trade.
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How to Know When to Sell Your Stocks

By admin on November 26th, 2008

While quite a bit of time and research goes into selecting stocks, it is often hard to know when to sell. The good news is that if you have chosen your stocks carefully, you won’t need to pull out for a very long time, such as when you are ready to retire. But there are specific instances when you will need to sell your stocks before you have reached your financial goals.

You may think that the time to sell is when the stock value is about to drop – and you may even be advised by your broker to do this. But this isn’t necessarily the right course of action.

You have to do more research, and you have to keep up with the stability of the companies that you invest in. Changes in corporations have a profound impact on the value of the stock. For instance, a new CEO can affect the value of stock. A plummet in the industry can affect a stock. Many things – all combined – affect the value of stock. But there are really only three good reasons to sell a stock.

The first reason is having reached your financial goals. Once you’ve reached retirement, you may wish to sell your stocks and put your money in safer financial vehicles, such as a savings account.

The second reason to sell a stock is if there are major changes in the business you are investing in that cause, or will cause, the value of the stock to drop, with little or no possibility of the value rising again. Ideally, you would sell your stock in this situation before the value starts to drop.

If the value of the stock spikes, this is the third reason you may want to sell. If your stock is valued at $100 per share today, but drastically rises to $200 per share next week, it is a great time to sell – especially if the outlook is that the value will drop back down to $100 per share soon. You would sell when the stock was worth $200 per share.

Another way to know whether you should sell or not is by looking at it’s volume. High volume compared to average volume with price going down means it will usually go down again. So when you know this, start selling before it went down again.

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How Much Money Should You Invest?

By admin on November 26th, 2008

Many first time investors think that they should invest all of their savings. This isn’t a good idea. To determine how much money you should invest, you must first determine how much you actually can afford to invest, and what your financial goals are.

First, let’s take a look at how much money you can currently afford to invest. Do you have savings that you can use? If so, great! However, you don’t want to cut yourself short when you tie your money up in an investment. What were your savings originally for?

It is important to keep three to six months of living expenses in a readily accessible savings account – don’t invest that money! It is your emergency fund.

Next, determine how much you can add to your investments in the future. If you are employed, you will continue to receive an income, and you can plan to use a portion of that income to build your investment portfolio over time. If the money that you have available for investments does not meet the required initial investment, you may have to look at other investments. Never borrow money to invest, and never use money that you have not set aside for investing!

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Investing Basics

By admin on November 25th, 2008

When it comes to investing, many first time investors want to jump right in with both feet. Unfortunately, very few of those investors are successful. Investing in anything requires some degree of skill. It is important to remember that few investments are a sure thing – there is the risk of losing your money!

Before you jump right in, it is better to not only find out more about investing and how it all works, but also to determine what your goals are. What do you hope to achieve with your investments?

  • Funding a college education
  • Buying a home
  • Retiring
  • Create wealth
  • Children education

Too often, people invest money with dreams of becoming rich overnight. This is possible – but it is also rare. It is usually a very bad idea to start investing with hopes of becoming rich overnight. It is safer to invest your money in such a way that it will grow slowly over time, and be used for retirement or a child’s education. However, if your investment goal is to get rich quick, you should learn as much about high-yield, short term investing as you possibly can before you invest. This kind of investment has high return and also high risk.

Overall, there are many kinds of investments, like stocks, bonds, option, gold, cash, and real estate. Each of them have their own characteristic. There are basically three kinds of investors: Conservative, Moderate, and Aggressive. Each of them have their own suitable investment.

Conservative investors often invest in cash. This means that they put their money in interest bearing savings accounts, money market accounts, mutual funds, US Treasury bills, and Certificates of Deposit. These are very safe investments that grow over a long period of time. These are also low risk investments.

Moderate investors often invest in cash and bonds. Moderate investing may be low or moderate risks. Moderate investors often also invest in real estate, providing that it is low risk real estate.

Aggressive investors commonly do most of their investing in the stock market and option, which is higher risk.

Before you start investing, it is very important that you learn about the different types of investments and your character.

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Sell KO and Buy C

By admin on November 24th, 2008

I sell my .KOBI at $4.60, bought it at $4.20. Not bad. I bought Citibank put (.CMP) at $0.97. I think it rise too much. Hoping to gain in short term. CMP will expire in January. I also put a sell stop limit order for my .CMP at 0.90/0.89. Currently it is trading at $1.01.

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Stop limit order

By admin on November 24th, 2008

It is a good idea to have a stop limit order. It is a combination of stop order and limit order. A Buy Stop Limit Order will be executed at a specified price (or lower) after a given stop price has been reached. After the stop price is reached, the order becomes a Buy Limit Order, filled at the limit price specified or lower.

Example: Suppose you are looking to buy 100 shares of Google (GOOG). Current price is $250 per share. If you place a Buy Stop Limit Order for $260 on MSFT, with a Limit at $270. This means that you will start buying GOOG if it reaches $260, but you will only buy it at a maximum price of $270.

When you are in position and you want to sell / take profit you can do sell stop limit order. If you own 100 shares of Google (GOOG) current price is and you are looking to sell them if the stock’s price went down. Assume GOOG is currently trading at $250 per share. You place a Sell Stop Limit Order for $240 on GOOG, with a Limit at $230. This means that you will start selling GOOG if it reaches $240, and your order will be filled at the next best available price as long as the stock still trades above $230.

With limit orders, there is no guarantee that your order will be filled. But it sure help you to trade.

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Sold MECA and CVI

By admin on November 24th, 2008

I’ve sold MECA at $1.2. I tried to buy the penny stock hoping it will gain much. Know I realize that it’s a bad idea. This company will have lots of trouble. Huge debt with low revenue, and it’s not improving.

I also sold CVI at $3.09. It has high Debt to Equity ratio. Something that is dangerous in this economy condition.

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