Saturday, February 26, 2011

Russian "Nuclear Catastrophe" To Hit The U.S. in 2013

Russian "Nuclear Catastrophe" To Hit The U.S. in 2013
"One out of 10 homes, businesses, schools and hospitals will be affected -- but amazingly, no lives will be lost..."
Most people don't realize it, but in 2013, a 20-year nuclear warhead agreement between the United States and Russia will expire.
 
U.S. officials dread what happens next.

That's why President Obama and the Department of Energy are lobbying for $36 billion to address this situation ASAP. 

Here's what's going on...

In 1993, the governments of the United States and Russia agreed to launch a program known as "HEU-LEU."

The purpose of this program was to convert 500 metric tons of Soviet-era warheads into uranium.
President Obama's Biggest Fear? He's lobbying for $36 billion to address this situation ASAP
Uranium is the key ingredient in nuclear energy -- and when Russia refuses to renew the deal (as most nuclear experts and government officials predict), the U.S. will face an entirely new kind of energy crisis.

That's because this Russian program supplies 10% of America's total electricity. In other words, it powers one out of every 10 homes, businesses, schools and hospitals in the country.

This situation is so urgent that Washington has placed it near the top of its agenda, and is lobbying for tens of billions of dollars to find a solution.

So what does all this mean to you as an investor?
In short, a disruption in uranium supply could send the price of a few uranium stocks through the roof.
These stocks could rise hundreds
of percent over the next few years
Uranium is already starting to soar -- it's up about +55% since September.

This resource is in critically short supply and high demand... and not just in the United States, but all over the world -- especially in fast-growing emerging markets like China and India.

In fact, as you read this, Chinese buyers are scrambling to lock up uranium supply streams. They've been aggressively stockpiling and hoarding huge quantities for future use.

Nuclear experts see this trend continuing for years to come. That could send uranium prices skyrocketing from today's levels. Own the right stocks and you could go along for the ride.

If this kind of investment opportunity sounds like something you're interested in, you'll be happy to know that uranium isn't the only game in town.

Other opportunities just like this exist in rare earth metals and even mainstream commodities like gold, oil, copper, and silver. You just need to know where to look.

Consider that since 2000...
 
Oil and gas firm Contango has soared +846%
Uranium miner Cameco has skyrocketed +1,298%
Buenaventura Mining is up +1,337%
Freeport McMoRan Copper & Gold jumped +1,477%
Hecla Mining has returned +1,679%
Of course, not every commodity or resource investment will shoot to the moon like these. 

Some won't go anywhere.

That's why it's important to focus on the companies that stand to profit the most from today's scarcest resources. Those are the stocks you want to load up on in the months ahead.

I've spent the last several weeks researching this opportunity, and as you read this, I'm putting the finishing touches on a special online presentation you should see. 

In it, I'll tell you everything you need to know to start profiting from commodity supply and demand imbalances around the world.

This presentation won't be available to the general public, so if you're interested in watching it please register to guarantee your spot.
Sincerely,

Nathan Slaughter
Chief Investment Strategist

Sunday, February 6, 2011

Indicators

Indicators
Because all transactions are recorded it is possible to take this information and
create formulas that give the chartist a different perspective on what is happening
between the relationships of time, price, and quantity.
These formulas are called ‘indicators’. An indicator is precisely what the term
implies: an indication changes to trend, price patterns, volume, etc. Indicators are
not precision tools however and must be used with judgment and consideration of
what is going on elsewhere in the market.
In order to create an indicator, the writer must use at least 2 pieces of market
data. Since all data is recorded, applying the formula to the data is simple and
provides an accurate line or histogram for more sophisticated analysis of the data.
A moving average for instance, smooths PRICE with TIME to create a line
trend indicator that is much smoother than pure price action and tells the chartist
whether or not the trend is still intact. Volume can also be changed from a histogram
to a line indicator.
17
The Anatomy of a Stock Chart
Most indicators are based on PRICE and TIME. Some are based on
QUANTITY and TIME. Less common are indicators that use all 3 pieces of data,
PRICE, TIME and QUANTITY but these indicators tend to be the most reliable
of all. Such indicators tend to ‘lead’ price, meaning the indicator moves or changes
its pattern before price changes.
Setting up your indicator tool kit
For the best chart analysis, use a group of indicators based on your trading style
and the current Market Condition. Common indicator types include:
1. Trend, direction of trend, and strength of trend indicators.
2. Oscillator Indicators for Overbought and oversold which expose weakening
sideways action before price breaks out of the sideways trend.
3. Accumulation and Distribution indicators which expose the buying and
selling habits of large lot institutional investors and institutional traders.
Each leaves a different ‘footprint’ on the chart.
4. Convergences and divergences of price or volume, indicating a change of
trend direction.
5. Compression or expansion of patterns of price and/or volume in cyclical
patterns.
Addtional Considerations
Traders and investors need to use the appropriate indicators and not assume a
popular indicator will work for their trading or investing goals. Never use just one
indicator for your analysis. Try to include at least 3 and preferably 5.
Be sure that if you are trading short term that you use leading indicators rather
than lagging indicators. Leading indicators “signal” a change of price before it
actually happens. Leading indicators use all 3 pieces of data or are a combination
indicator that uses all 3 data streams in the analysis. In contrast, Moving Averages,
by their very nature, are lagging indicators and are best suited for longer term
analysis.
There are 6 primary Market Conditions. Each requires a different set of
indicators for optimal trading profits. As an example: during a platform market,
Bollinger Bands, RSI combination indicator, and Volume Accumulation with Price
Accumulation indicators are ideal. Trending indicators fail dismally.
Be sure you understand which indicator works for each market condition and
use the appropriate indicators as market conditions change. Another example:
MACD is a price/time indicator that works ideally in a trending or velocity market.
It performs poorly in platform market conditions. Stochastic works best in trading
range markets but fails during velocity trending markets because it signals an exit
just as a stock starts a velocity run. As the market shifts from one condition to the
next, change the indicators you are using so that your analysis is correct.
Summary: Chart analysis is a necessary skill for anyone who has money in the
financial markets. Charts provide a graphical view of what has happened in the past,
near past, as well as current activity. This information helps traders and investors
anticipate what will happen next.
18
Martha Stokes
When you first learn to use a chart, start with the basic layout and learn it
thoroughly before trying to learn the more advanced features of a charting program.
As you become more proficient with chart analysis make sure you customize it
to suit your trading style, parameters, and goals. Try not to fall into the trap of
“following your neighbor”. Each trader is unique and what works for someone else
may not work for you.
Remember, no one can predict the markets. Good chartists study the historical
data as well as the current data, identify the most common reoccurring patterns, and
then act on those consistent patterns, ignoring the atypical patterns. In that way,
their analysis may seem to predict when they are actually going with the flow of the
trend.
Martha Stokes, C.M.T. is the co-founder and CEO of TechniTrader®, an educational firm dedicated to
helping investors and traders. Martha’s fascination with the markets and business started at a very young
age. She made her first investment while still a teen. In her late thirties, when most people are just getting
their careers established, she took an early retirement. Martha considers teaching as a way to enjoy her
retirement while giving something back. Her infectious energy and vast body of knowledge in economics
and financial markets, along with her innate ability to identify newly emerging technology has established
her as a market authority. Her theory on Cycle Evolution is a landmark work on financial cycles. She
has been involved in several startups and has sat on both sides of the Venture Capital negotiating table,
worked on an IPO, managed a small fund, taught at community colleges, and has been a guest speaker
at numerous seminars and investment groups including the Boeing Employees Investment Group. She
has been a guest on the CFRA radio Ottawa Canada. Her long list of educational work include: 15 stock
and option courses, 14 semester length Lab Classes, her Annual New Technology Reports, Sector and
Industry, and Special Edition Reports, hundreds of articles, resource papers, and white papers. Martha
writes 6 newsletters each week and still finds time to answer student questions.

Psychological Issue #1 in Trading: Perfectionism

Psychological Issue #1 in Trading: Perfectionism
Why do we let losses ride and cut profits short? Perfectionism tends to keep
traders from taking their losses quickly, as they are too concerned about looking
good to others and not wanting to admit they are wrong. This leads to the dreaded
hope for a return to ‘break even’, to get out without a loss. But does the market
care about where you bought the stock? NO! The market is going to go wherever it
wants to go, and your job is to see that trend, recognize when you are not in tune
with it, and get out of such trades.
We all have this tremendous desire to prove ourselves right. But in the
markets, we should concern ourselves more with making money than the amount
of times we are proved right. This means winning ideas need to be ridden longer
than average, while losers need to be cut short quickly. Our school training says
there is one right answer, but in the markets there are many ways to win.
Perfectionism cannot only keep you hanging on to losers too long, it can
also keep you out of the best performing stocks. On stocks that rally sharply, I
sometimes have to fight the feeling that I’ve already missed out on the move. In
retrospect, many of these stocks go on to much bigger gains than the initial gain I
missed. Traders tend to desire a perfect entry, and this leaves them on the sidelines
during major trends. It is these huge trending trades that have carried my portfolio
historically, so I have to make sure I am participating in these big moves.
Ironically, perfectionism does not lead to higher performance or greater
happiness. Perfectionism can destroy your enjoyment of trading. Focusing on flaws
11
How to Manage the Highs and Lows in Trading
and mistakes depletes energy. This may escalate to panic-like states prior to making
the trade, impairing objective performance. At some point perfectionist standards
get set too high, and life is measured in units of accomplishment. The drive to be
perfect becomes self-defeating, as the individual often places the intense pressure
on himself, which can become crippling.
Perfectionists share a belief that perfection is required to be accepted by others.
The reality is that acceptance cannot be gained through performance or other
external factors like money or social approval. Instead, self-acceptance is at the root
of happiness. Ultimately you must be the one who must live with yourself. If others
think you’re perfect, but you yourself are never happy, then perfectionism is not
helping you to grow and develop to your fullest potential.
One way to be less of a perfectionist is to set one goal and make it process
oriented, instead of being focused on the outcome. If you achieve the goal to
improve your trading via that goal, you win no matter the outcome. Perfectionists
often seek to control uncontrollable factors in a trade. For example, waiting for all
the risk to be out and everything to look perfect (the quality of the fill on the exit
especially), hoping or ‘willing’ a better outcome by doubling down on a loser, etc.
When a trader focuses on these “uncontrollables”, he is more likely to tighten
up and resist pulling the trigger and exiting a losing trade, or he’ll miss out on a
new winner that has moved ‘too far.’ By focusing on a process that you can control
(such as to focus on only five stocks at a time, or work on implementing your
entries and exits consistently with a small amount of money to improve your ability
to execute trades, or another process-oriented goal), you build confidence in your
ability to execute your trading plan.
Based on these perfectionist tendencies, I recommend the following entry
strategy for perfectionists. Enter half a position as soon as you see an opportunity
that generates at least three times the reward for the risk at the current market
price. Then place the remaining half at your desired ‘perfect’ entry price. For exits,
always place market orders, as the tendency for the perfectionist is to try to get a
better exit price with a limit, which often results in missing the exit on the way
down.

Secrets of Successful Traders

Introduction
Secrets of Successful Traders
Here it is! Some of the most valuable trading insights for winning in today’s
tough markets are waiting to be discovered in this book. This is your
opportunity to learn from the Pros. So get ready to collect the latest
strategies and tips on critical topics facing traders today.
First, Robert Deel gives you his “16 Rules of Investology.” Compiled from his
20 years of experience, this checklist will keep you from making many of the
common mistakes traders make.
You’ll learn how to better manage the difficult highs and lows in trading from
Price Headley. He shows you how psychological factors, such as perfectionism,
fear, and lack of confidence can cause disastrous results in
your trading, and how you can overcome them.
Martha Stokes takes an essential look at just what the modern stock chart is
and how it can be used as a very powerful tool in Anatomy of a Stock Chart.
Steven Nison shows you how candle charts can help you spot early turning
signals and enhance your trading power. You’ll learn how this powerful tool can
give you a jump on the competition, preserve capital, and “open new and unique
doors of analysis.”
Barbara Star discusses two powerful indicators that help you detect, not only
trend direction, but strength as well. Learn how to use them to avoid trading
pitfalls by signaling changes in price movement.
Shawn Lucas shows us how to recognize shifts in volatility in the market
Daryl Guppy takes on some tough trading questions, such as, what signifies a
rally...or a trend? He shows you how his Guppy Multiple Moving Average can help
make these initial decisions.
As Robert Deel mentions in his article, professional traders have made
millions in the last three years because they have learned how to make money when
the market’s going down, as well as up.
Last, but certainly not least, John Bollinger, creator of Bollinger Bands,
discusses 15 basic rules for using these popular bands. Learn how they can
significantly boost your trading potential.
Now it’s time to discover those secrets of success.
Enjoy this book, and “Happy Trading.”