Why the expert consider trading as their business

Why do we have to think like the businessman? Why can’t we think of someone else? Well, the main reason why the traders in the United Kingdom are succeeding because they trade like a businessman. They consider trading as running a business. Most of the naïve traders assume trading as a simple thing and they try to trade it as they want without having any proper idea. They don’t even consider it as a business because they just want to make money nothing else. They consider the financial market like a casino so they end up being like gamblers who are addicted to trading in spite of earning losses.

They trade without analyzing the risks involved because they don’t because they are lazy to do it. If their intention was to become successful they would not have treated trading as a simple thing but their intention was to earn money as much as possible. If you want to become a successful trader you should think like a businessman. You should also understand that there will cost of running a business likewise; there are costs for trading as well. There are many ways to earn from trading so you should learn it thoroughly to become successful. More than anything you should have the intention to become successful in trading.[Continue Reading…]

The lowdown on robo-investment

There is a lot of hype about robo-investing; that is to say, handing control of your savings over to a robo-advisor, who will then invest it on your behalf. On the surface, it does sound a little crazy. Why would you relinquish control of your cash in the first place, and why to a robo-machine? We intend to get behind the hype and give you the low-down, the pros and cons of robo-investing.

Robo-investing doesn’t have anything to do with robots of course. It’s just a fancy name to grab your imagination. What it really is, is a set of specially created algorithms that financial advisors use to suggest what stocks and shares etc. would make for a good investment portfolio.

It’s all in the algorithms

If you’re an internal-savvy person, you will have no doubt heard about algorithms in conjunction with Google. They use them to police online activity and grade websites. Robo investors use similar algorithms, but created for the express purpose of spotting good investment opportunities.

Robo-advisors first appeared on the scene back in 2008. Yes, that’s right – the year of the global financial meltdown. They were originally algorithms that were conceived in order to realign invested assets in target-date funds, to allow investors to have a new, online platform.

Before 2008, this type of software, or set of algorithms, was only available to financial advisors who used it to manage their investments. During 2008 however, these robo-algorithms became available for use directly by the individual investor through robo-advisors.

Today, it is businesses the likes of Black Diamond, Envestnet, and Orion, who make this software specifically for IFAs. Each IFA has its own specific concoction of algorithms.

The cons of using a traditional robo-advisor

A traditional robo-advisor is one which only offers a robo interface to its clients. Everything is fully automated, and there are plenty of reasons why many people are nervous about trusting in this sort of investment.

  • Your investment portfolio, once created cannot be changed
  • There is absolutely no human interface
  • After your application is complete, you have no influence on anything
  • You are no more than another name on a traditional robo-advisors client list

The whole concept of working with a traditional robo-advisor comes from the angle that you do not want any contact with your advisor and that you don’t want to get involved in any way with the performance of your investment. If this is you, then a traditional robo-advisor works fine.[Continue Reading…]

Some common misconceptions among the new traders

People are amazing in nature. Once they decide that they will do something it’s really hard to change their decision. Similarly, when it comes to trading this very human nature causes huge loss to the traders. Some even consider trading as one of the most dangerous profession since the success rate is too low. According to the researchers, only 5 percent of the traders are making money. So by seeing the data, you should understand that how competitive the trading world is for the new trader. However, once you develop a solid trading strategy and gain enough experience you can easily make a huge amount of money. But most of the retail traders fail to train themselves in the perfect way due to some common misconceptions. Today we will focus on the most popular misconception prevailing among the rookie traders.

forex trading

Trading more is the only way to earn more

The new traders in the financial industry often think that the more they will trade the better chance they have to make money. In the United Kingdom, the professional traders completely disagree with such a conception prevailing among the novice traders. In their point of view, the only way to make a huge amount of money is by trading less. According to them, the full-time currency traders should only focus on high-quality trade execution and they should do their technical analysis in the higher time frame. When you trade in the larger time frame then you can easily get a clear overview of the market. Most importantly if you use the smaller time frame then you will have to deal with lots of false spike and trading signals. If you are not experienced enough then this false spike even blow your entire trading account. So focus on quality trade setup and trade with discipline. Overtrading is not a bad thing only rather it is one of the most deadly mistakes in the investment world.[Continue Reading…]

Don’t Dismiss Personal Financial Planning

With so many daily demands pulling at your personal finances, it is sometimes hard to step back, taking-in the big picture.  Yet despite the importance of addressing immediate needs, it is nonetheless vital to account for your long-range financial vision, in addition to day-to-day concerns.

Financial planning serves several essential functions, helping you manage income and cash flow, without losing sight of your monetary goals.  Valuable for reaching milestones visible on the immediate horizon, as well as financial matters impacting your distant future, effective planning is an essential feature of comprehensive financial management.

Financial Forecasting Keeps you Focused

Preparing for your financial future keeps you moving toward your goals.  That’s not to say you’ll always steer clear of unexpected events you didn’t plan for, but taking a proactive approach gives you a better chance of achieving your personal financial priorities.  Some milestones to consider as your financial plans come-together include the following:

Home Ownership – Home ownership isn’t for everyone.  Not only does owning a house call for substantial financial investment, but maintaining and improving residential property can feel like a full-time job.  There are financial benefits to buying, as opposed to renting, including tax breaks and equity you build as property values increase and payments reduce outstanding principal. But if you are not committed to the idea of owning a house, you’re financial plans should reflect it.  On the other hand, if it is a family priority, you should start planning for a house purchase as soon as you are able.

Personal Financial Planning

Once committed to buying a house, saving for a down payment is your first order of business.  A dedicated savings account, cut-off from your general financial flow, is a good spot to accumulate funds for a house down payment.  Before looking at homes, consult with a banker and learn about loans online.  Not only does the process reinforce your understanding about lending and economics, but exploring finance options ahead of time also defines spending limits, illustrating exactly what you can afford.

Family Holidays – Although financial planning is often associated with long-range goals and big-ticket buys, preparing in advance also helps firm-up funding for less lofty goals.  Family travel and holidays, for instance, can sneak up on your budget, leaving you short of money when you need it most.  A savings plan ensures you have resources available for travel or holiday entertaining, enabling you to pay as you go, rather than amassing deep holiday debt.[Continue Reading…]

Which area of the UK is best at saving?

Check out the infographic below to find out which regions are saving most when it comes to pensions. The infographic is provided by True Potential.

Understanding Forex Trading Signals and how they work

One thing that you need to be conscious of when you are engaged in trading on the foreign exchange market is that there are two vital components necessary from the very beginning — a combination of a well-formulated winning equity management strategy and a well-planned trading system. The absence of any of these two factors will ultimately spell disaster for the trader or investor. Another vital feature is that you need to have access to what are called “signals.”

Basically, signals are electronically transferred bits of information that you can opt to receive via text or e-mail on your laptop or PC, as well as your cellular phone. The major benefit here is that no matter where you are, you can receive this critically needed information. Another huge benefit of becoming a member of this trading system is that you also have daily access to video updates about the market and the direction of various currencies.

Forex Signals

Being a very complex market that spans across so many countries, it is very difficult to get a handle on it as trends change very fast. It is, therefore, very important to understand the strategies that can help you succeed in this market and one of those strategies involves having a reliable forex signal service.

As mentioned above, forex signals is an automated notification system that informs the trader to sell or buy a given currency pair based on various strategies, trends, and calculations. Forex trading signals are more like taking a continuous guidance from a group of highly experienced and successful forex traders, in an ongoing way. Generally, the trading signals usually indicate good exit and entry point. The receiver can set up their account based on those points in the signal and get on with their work. [Continue Reading…]

Boost your income with the stock markets this year

There is no ‘a more hands-off generation’ than the millennials. This is a generation that fears attachments and commitments. They are always on the move, venturing into new stuff, new places, and looking for more exciting ways of achieving their goals. At the end of the day, though, the bills will stare at them and retirement will not stay off forever. What is the best strategy to add extra income to your wallet without getting your hands too dirty and turn some of that idle cash into some profit? If this is the question you have been asking, you are in the right place.

Online stock trading holds all the keys!

In years gone, stock trading seemed a far flung activity to be left with the ilk of Wall Street, but not anymore. People relied on stock brokers who would buy and sell on behalf of customers, but that has changed as well. Today, at the click of a button, you can register an online trading account, buy and dispose stocks. You get in, get what you want and get out. It’s that simple. Buying and selling stocks can earn you loads of cash within no time but can cost you an entire investment within even less time. So how exactly can you make profits with online Trading? Below are tested and proven tips:

stock markets

Learn Stock Market Basics

Stock markets are like any other business so they rely on demand and supply. You purchase stock with the hope that other traders will also purchase and increase the stock’s popularity. The popularity will boost the stock and increase its bid price. The higher the price after you have bought the stocks the higher your profit will be in a trading season. Compare the financial reports of your company of choice as well as its public statements and market analysis of the same with the technical analysis which involves monitoring the changes in the company’s stock prices. There are simplified tools on the CMC Markets website for real time trends for most of the best stocks.[Continue Reading…]

Extremely Simple and Reliable Call and Put Option Trading Strategy

Being able to navigate volatile markets effectively and lucratively can take years’ worth of practice, study, and honing analytical skills. Binary Options Brokers and traders spend many sessions referring to multiple charts, advisory software, currency pairs, and other various lagging external indicators. However, the mark of a seasoned and strategic broker is not how many indicators they choose to use to assess the market; but rather, how much they can benefit and glean from only using a choice few.

An effective and fairly non-convoluted practice is by using the Envelope Indicator. This trading strategy whittles the entire trading process down to studying a few key factors in a restricted time frame. This method is reliable for producing solid, lucrative results and can be employed successfully with the proper risk management techniques.

Trading Strategy

Envelope Indicator

This technical indicator is typically a product of two moving averages and a point of confluence. The averages in question outline both upper and lower price range levels on the chart of a tradable asset. Brokers primarily use this technical indicator to assess whether a market is overbought, or oversold, and take positions and put or call orders accordingly.

A moving average envelope indicator, on the other hand, is a dynamic average of high and low inflection. In order to use this strategy, a broker must first calculate and draw up levels of support and resistance.

This indicator hinges on selling and buying signals; if the market is overbought, the price will reach the upper band and this will signify the sell signal to the broker. Likewise, if the market happens to be oversold, the price will reach the lower band and signify the buy signal to the trader.[Continue Reading…]

Build Up Your Nest Egg Through Becoming a Boarder

The idea of people living in your house for months at a time might not sound very appealing, but in the age of the Internet, you have many options to fix that. For starters, who said anything about having people stay in your house for several months at a time? You could go on holiday and have your stay partially or even fully covered by people living in your home while you’re away. The premise here is that since it’s a short term vacation rental, they’re going to pay a lot more than someone paying a traditional landlord. You will give them full reign of the room or house while you’re away. They usually have to pay a deposit that they will get back once they have cleaned up after themselves and left things in good condition.

short-term-rental

But how do you find the demand? In the past before the Internet really got to this point, word of mouth was how people got these rooms filled. They’re not traditional hotels, so they can’t afford to pay for the heavy advertising runs that often pop up. But through online communities, rooms are able to be shared quickly and easily.

If you want to get a vacation rental, they’re cheaper than ever because the amount of inventory has increased. This means that great deals are waiting for you online, as long as you’re willing to check them out.

There are some do’s and don’ts when it comes to pulling this off that you’ll want to be aware of. A few tips for you are listed below. [Continue Reading…]