by Jea Yu Spreads Depending on the liquidity of the underlying stock, the spreads on options trades can vary from a few pennies to several dollars. This is why it’s very important that you scope out the liquidity and volume of not just the underlying stock, but the...
by Lee Gettess Leonardo Pisano de Fibonacci was a mathematician in the early 13th century. His major writings were not published until 1857, probably because no editor could determine what he was trying to say. His summation series basically was to add two numbers...
by Don Wellenreiter For many newcomers, their first type of trading is paper trading. This is where you trade the market as if it were real, except that orders are not actually entered, so you won’t experience actual loses or gains. This really is a good way for...
by Kathy Lien The FX market holds advantages over not only the equity market, but also the futures market. Many futures traders have added currency spot trading to their portfolios. After recapping the key spot foreign exchange attributes, we compare the futures...
by Peter McKenna Event Trading is a way to flee from Wall Street, to become independent and self-reliant. The only way to recover bull market losses, in my opinion, is to find a way to make good money in a short amount of time while keeping risk to a...
by Jon Najarian The Bull Spread can be used as an options investment strategy, which, as the name implies, may be used if you have a bullish bias for a stock. For example, let’s say that you’re interested in the Internet auction company eBay, which was trading...
by George Angell The two types of financial statements, the balance sheet and the profit-and-loss statement, are at the heart of a sound fundamental analysis of any given company. But you must understand how to move beyond these two benchmark measurements to really...
by Keith Cotterill Of course it is impossible to have total knowledge or complete data about any given situation. There will always be noise, chaos and unpredictability which is beyond the control of anyone. No one, not even the professional traders, can...
by Russell Sands N is a measure of market volatility. It is the average daily range of the last fifteen days. To arrive at this figure, first determine each day’s true daily range (high to low, plus gaps), then add up all these values for the last fifteen days, and...
by Duane Davis The process of exchanging value for products and services between countries started centuries ago primarily between Asia, the Middle East and Europe. Merchants from Arabia would caravan camels that were loaded down with rugs, silks and...