Jesse Livermore’s Stock Trading Secret

Jesse Livermore is believed by many to have been the greatest stock market speculator who has ever lived.  He earned several fortunes over his lifetime. While his life ended tragically due to personal demons, Jessie left behind a legacy of investing lessons that remain applicable for every investor. I have always been fascinated by Jesse Livermore and his investing techniques. This interest has led me to discover what I consider the number one secret to his success. It’s not something that is difficult to understand or implement.  In fact, it is something so simple that you will ki...
More

Cruise Your Way To Profits

Once reserved for the wealthy, the ocean cruising vacation business has become extremely popular across all economic and demographic categories. In fact, cruise ships have become the truly economical way to experience luxury travel thanks to economies of scale and heavy competition among the major providers. The industry is truly immune from economic cycles with even the financial crisis of 2008-2009 not causing much of a slowdown. Dr. Jean-Paul Rodrigue and Dr. Theo Notteboom of Hofstra University published a study on the cruise business revealing the following facts. The indu...
More

Turn Up The Volume In Trading Profits

Once relegated to the backwaters of finance, technical analysis has become the go-to method for making real-time decisions in the stock market. Most traders understand how to use price bar charts to determine the direction of share price and use this information as a tool to make investing choices. However, there is far more to the proper use of technical analysis than watching price charts for decision making.  Technical analysis is defined as the study of price and volume with the goal of making profitable investing decisions. The volume metric in the definition is often ignored by inv...
More

3 Cheap Stocks You Need To Know

Buying cheap and selling expensive is the goal of every stock investor.  The old buy low, sell high mantra is one that every successful investor religiously follows.  However, many investors are confused or uncertain about what exactly the word cheap means in the stock market. Recently, CNBC ran an article outlining the seven cheapest stocks in the S&P 500.  The piece sparked my interest in determining exactly what cheap means when it comes to stock prices.  Once it is understood what cheap means, in terms of share price, this actionable information can be applied to locate profitable s...
More

Trade Like A Hedge Fund With This Simple Tactic

Hedge funds are the new money masters of the 21st century.  Their size and influence can easily move single stock prices and even entire markets.  Many traders are mystified at how hedge funds trade.  While hedge funds use 100’s of different strategies, many of these are out of reach of the average investor due to complexity, cost, and size requirements. However, there is one very effective trading tactic that is profitably used by hedge funds that can be easily applied by average investors. While this tactic is very popular among professional traders, most investors either don’t kno...
More

Don’t Be Fooled By These 3 Popular Stocks

Years of stock market study and active participation have taught me many truths about the financial markets.  One of the most important things that I have learned is that things are not always as they seem in the market. Realizing this is what enabled me to take my investing ability to the next level. The fact of things not always being what they seem is very true in both technical and fundamental analysis. This article will expose a crucial way that investors are often fooled into making the wrong decision by company fundamentals. It will provide the basics of fundamental analys...
More

Take Profits Like A Professional

Talk about volatile times!  Not since the financial turmoil of 2008-2009, do I recall such consistent large swings in the stock market.  The Greek crisis and China’s stock situation has resulted in tremendous trepidation.  Add in the fact of interest rates about to climb and it paints a very volatile picture going into the future. The good news is, as traders and investors, volatility is our lifeblood.    Stocks need to move for directional traders to make money.  The more they move, the more profits that can be made by savvy investors. Even for long-term investors, all this...
More

Don’t Miss This $8 Billion Spin Off

Professional traders are always on the lookout for special situations in the stock market.  Special situations are far and few between, but they can greatly increase the odds of investing success. One of the most sought after special situations in the entire stock market is when a company divests or sells off a sector or division to another company. These divestments are extremely beneficial to both the company doing the selling and the company buying the sector or division. The reasons for this are multiple.  At the most basic level, the company doing the selling is getting rid o...
More

Put A Collar On This Market

The major stock indexes are acting toppy and economic fear reigns supreme around the globe.  Most investors are very confused about whether or not to take profits or to hold on for greater gains. There are strong signals that the bull market is coming to an end. Even many professional traders are confused about what to expect next. The index of fear known as the VIX has spiked to near 20 within the last seven trading days.  Also, the VIX has moved above its 200 week simple moving average for the first time since the start of the year. A combination of climbing interest rate fears ...
More

Time To Buy Utility Stocks

Buying weakness and selling strength is the hallmark of the professional investor. Successful investors follow this mantra religiously, while their less successful brethren rarely ever buy weakness and sell strength in the stock market.  In fact, consistently struggling investors often do the opposite of the rules followed habitually by winning investors. The reason for this fact is simple.   It is because it is difficult to buy weak stocks.  It is much easier to buy stocks that are “hot” at the moment and moving higher. This is despite research and real life evidence making it ve...
More