Know about Different Order Types in Markets Forex

Forex is considered to be the leading marketplace globally with transactions of more than 1.8 trillion dollars taking place everyday. Forex prices keep on changing because of factors like world economy and political events that takes place in different countries. Though forex trading is not easy and has lots of intricacies, a person trading for a particular country’s currency, has to study and observe the present scenario and future prospects of that country’s currency.

Forex trading is a wide market place for selling and buying currencies and is also known as over-the-counter trading market. Global money managers, international money brokers, registered dealers, huge multinational corporations, private speculators and traders are the participants who are mostly involved in Forex markets.

A market order type is basically an order which is carried out to sell and buy at the current market price. Those customers, who are using AC Markets’ online currency trading platform, can click on the selling and buying button after completion of a specific deal size. The execution of the order is instantaneous, which means that the customer gets the same price as seen at that point of time.

The process of Forex trading involves certain steps that include:

A customer specification to the dealer about the deal size and currency pairThe dealer basically gives a two-way price, one is the Ask for price and the other is by biddingThe customer may ask for re-quote The dealer then confirms the trade. Usually under normal market circumstances ACMarket dealers respond to market orders within five to ten seconds.

Limit order is also an order which is basically placed to buy and sell at a certain price. This order contains two components, namely duration and price, where the trader specifies the price at which he wants to sell or buy a certain currency price.

Stop orders are also placed in order to buy and sell at a specified amount or price containing same two variables, duration and price. This order is basically used for a limit loss potential on a transaction. An OCO which is an acronym for ‘Order cancels Other’ stands for an order which is a mixture of two limit or stop orders. Two orders having price and duration variables are also placed below and above the current price.

For more information on Forex Currency Exchange, Online Currency Trading, Online Forex Market, Forex, Forex Trading, Online Forex Trading, Online Forex Currency Trading, Silver Trading and Forex Exchanges, visit www.ac-markets.com

About the Author

Atraczion is a well-known author who has been writing for Ac-markets.com, the leading Online Market Forex company based in the Switzerland. Ac-markets.com provides services about Online Forex Market Trading, Forex Currency Trading, silver trading, Online Currency Trading, offering the most competitive, transparent,simple execution to the forex foreign exchange trader.

Sell and Rent Back: Debt Advice for the Retired

As the global economic conditions continue to be very fluid, it is important for people to make sure that they are handling their debt well. Often, people will seek out debt advice in order to improve their situation. There are a number of reasons why it is important to make sure that everyone manages their debt. It is even more critically important for retirees to be able to manage their debt well. There are a number of reasons why it is very important for retirees to manage their debt. One of the main reasons is because a lot of retirees are on a fixed income. In addition, their costs often go up more than the average person. The reason why their costs go up is because of the health care needs that many elderly people have. Those needs could be for medications that they need, or it can be because of some other treatment or surgery. But by taking some simple yet important tips, elderly people can work to manage their debt and make sure that they are able to enjoy their golden years without the stress of crushing debt.

A lot of elderly people have homes which they own outright or are almost paid for. If they are lucky to be in this position, then it certainly gives them options in being able to help manage other part of their debts. They could sell rent back in their home in order to deal with other bills, or they could undertake an equity release arrangement, which are available in some parts of the world. Also, it is important for elderly people to make sure that they have a good handle on the amount of money that is coming in for each month. This is important because a lot of seniors are on fixed incomes. In addition, elderly people can often qualify for discounts on programs or even get some of them free when they reach a certain age. By taking the time to do some research in these areas, that can help elderly people reduce their debts. Receiving good debt advice is very important for every person, but especially so for the seniors of the world.

About the Author

For more information on how you could use the Sell Rent Back scheme or the equity release scheme to gain money from your home, visit the experts at http://www.swiftcapital.co.uk today.

First Time Buyers Advised Against 'Overstretching' Property Budgets

A rising proportion of first-time buyers are looking to purchase a home located near their place of work, it has been suggested.

In research conducted by Alliance & Leicester Mortgages' movingimproving index, just over half (51 per cent) of those consumers looking to get their first foot on the property ladder rate living close to the workplace as the most crucial factor when choosing where to buy a home. An additional 34 per cent of respondents ranked good transport links as a vital feature when opting to purchase a house.

Meanwhile, 28 and 17 per cent respectively saw closeness to friends and family and the proximity of shops and nightlife as important aspects. The desire to live near workplaces was attributed to a need among consumers to reduce as much pressure on their day-to-day finances as possible.

Stephen Leonard, director of mortgages for Alliance & Leicester, said: "Many first-time buyers are obliged to look closely at their priorities and overheads when they move. Clearly choosing the right location is key to long-term happiness in a new home, but buyers should also be careful not to overstretch their budgets and may opt for a short commute to work to help keep costs down".

Findings from the financial services provider also revealed that 40 per cent of those Britons currently renting want to purchase a property but are currently unable to do so. In contrast, 52 per cent of potential first-time buyers currently living at home claim that they are unwilling to move out. With Alliance & Leicester pointing to research from the Office of National Statistics revealing that the average house bought by a typical first-time buyer accounted for 145,970 pounds last year, renters were indicated as having more realistic projections on the value of accommodation.

Consumers looking to a purchase a property while still living with their parents are reported to be prepared to pay 137,796 pounds to make their initial steps on the housing market. However, this figure is some 8,174 pounds below the typical price for a first-time buyer's home. On the other hand, those renting are aiming to spend an average of 152,731 pounds - more than 6,700 pounds above the usual price paid for a property. "It's interesting to see that many still living with their parents are actually looking to spend the least on a property and may well be underestimating the cost of buying their first home, while renters appear to have a more realistic idea about moving and buying expenses", Mr Leonard added.

Last month, findings from the National Housing Federation (NHF) indicated that increasing property prices in rural regions are increasingly unaffordable for young first-time buyers, who are heading towards town and cities in response. According to the NHF, the typical house in the country cost 240,222 pounds last year, in comparison to 196,700 pounds in metropolitan areas. The study also revealed that a consumer living on their own in the country would have to earn around 41,000 pounds a year just to be able to afford secured loans costs. Gina King, head of region for the federation, added that such consumers are "stranded between not being able to afford to buy or rent in these largely expensive markets".

About the Author

Steve Smith writes for 1 Stop Finance Shop, where our visitors have access to all types of finance from payday loans and unsecured tenant loans, to self employed loans for homeowners.

Money Saving Tips

People are always trying to save money, especially with today's economy. No matter what your reason for saving, through this e-book, you will discover ways never considered.

The price of everything has gone up, requiring people to be more conscientious about money. The problem is that by the time the mortgage, car, utilities, and credit cards are paid, there is little money to put aside. Saving money is not that hard, just a matter of learning all the different options and being creative.

In addition to the obvious of putting money into a retirement fund or savings account, there are hundreds of ways to save money. Although some ways of saving may not seem like much, once you add them up at the end of the year, you will see how substantial the savings really are. Keep in mind that saving is more than a single lump sum of money put aside. Saving is something found in your everyday life by the way you live and the choices you make.

Rome was not built in a day and neither will your bank account be. Each penny saved is one more penny than before. If you have the ability to save big, that is great. However, most people are not in that position, which is why this e-book will show you how little savings can add up quickly.

Be encouraged that it is never too late to start saving, regardless of your age. Set your mind that now is the time to start building your future.

1. Holiday Gift GivingThis tip is especially helpful for large families. Although it is fun buying for and receiving from everyone, it can be very expensive. Make an agreement with your family that you will continue to buy for the children but that the adults will go with a name exchange. This way the children are not disappointed and you can spend a little more on one or two people rather than spreading your money thin. For the members that you did not pick to exchange with, bake a loaf of their favorite homemade bread or cookies.

2. ClearanceAlways head straight for the clearance rack where you can find amazing bargains. Sometimes you may have to dig a little to find the right item but the savings will be well-worth your time. Most clearance racks offer variety, current trends, and great value. For example, Bed, Bath & Beyond has a clearance section where you can find all kinds of wonderful household items for a fraction of the original cost.

3. Thrift / Surplus StoresUnfortunately, thrift and surplus stores have been given a bad rap. Many of these stores are filled with hundreds of top quality items. Name brand merchandise is easy to find but just like clearance racks, it takes some time to find. Find a thrift or surplus store close to where you live and then plan spending some time to find those outstanding bargains. One woman in Kansas City, Missouri located such a store about 20 minutes from her home. After shopping through every isle over the period of two hours, she walked out of the store with eight huge garbage bags filled to the brim with designer clothes for her and her children, many with the original tags still attached. She even found a couple of Liz Claiborne suits for herself at $5.99 each and a Dooney & Burke purse normally valued at $225 for $19.95. Her children had an entire season of school clothes and best of all, she paid less than $200.

4. Wrapping Paper and BowsCreate your own wrapping paper, which is not only unique, but also fun. Use plain brown grocery bags and craft-like paints to make your design. After wrapping the gift, let your creative juices flow. For example, using black and yellow craft paint, create a miniature road. Then dipping toy truck tires into red paint roll them along the paper making tire tracks. You can then draw free hand a stop sign, yield sign, or stop light. Next, using a hot glue gun, glue a couple of the miniature trucks to the paper. This is perfect for a young boy. He will be just as thrilled with the wrapping as the actual gift. For a girl, you can simply create miniature bows from existing fabric or lace and glue them on brown paper then free hand draw colorful flowers. Just use your creativity and look around for items you already have on hand to use.

5. ReuseWhen you shop, look for items that can be reused. Rechargeable batteries are a perfect example. Even though the initial purchase may be more than non-rechargeable batteries, there is a definite savings over a long period. Another option would be to purchase a nice artificial Christmas tree. Many of the current artificial trees look amazingly real and with the right lights and ornaments, you can change the look from year to year.

About the Author
To read the rest of this guide, please visit 101 Money Saving Tips

The Easiest Way to Fail Financially

There you are, walking down the store aisle, and you see it. "It" can be anything from a candy bar to a magazine to some tool you've wanted for months. It doesn't cost much, so you go ahead and buy it.

It's called impulse buying, and it's one of the biggest hindrances to your financial wellbeing. While each item may not cost much, impulse buying is one of the primary reasons so many people are in serious debt. Credit cards make impulse buying all too easy. So how can you control the impulse? Here are a few easy steps:

1. Don't go to the store. It's tough to get impulses if you don't subject yourself to the temptation. Of course, you can't avoid stores altogether, but you can limit your trips to only those times when you really need something. This really helped me cut down on impulse buying. I used to stop by a store just to see what was on sale. When I made the decision not to go shopping unless I really needed something, my spending was cut significantly.

2. Make a list -- and stick to it. When you do go to the store, make a list and buy only those things on the list. It's simple. And it works!

3. Take only enough cash to buy exactly what you need. Leave those credit cards at home. If you don't have them, you won't be able to follow-through on any impulses you may have. Taking the right amount of cash will help you stick to your list.

4. Make a rule to delay all unnecessary purchases for at least one day. When you see something you really want, tell yourself you'll think about it and come back later when you know you need it. Well-known financial author Larry Burkett says this made a huge impact on his spending when he started using it. He said in his book Your Finances in Changing Times, "The reason (it made such an impact) was obvious: once I left the store, the impulse passed."

Those people who plan out their spending and follow their plan the closest are the ones who find the most financial success in life. Impulse spending is what happens when you either have no plan or don't follow your plan. And it will set you back every time.

Budgets are a great way to impede impulse buying. But they aren't a sure-fire answer. In fact, if budgets aren't handled properly, they can actually tempt you to spend frivolously, so make sure you use them wisely.

About the Author
Steve Kroening writes for Success magazine and also publishes Wisdom's Edge. You can get Biblical tips on health, finance, relationships, parenting, and success, delivered to your email inbox every week. Simply visit http://www.wisdomsedge.com and sign up for this free e-zine.

How You Can Turn One Dollar Into Eight

If I told you there's a way to turn one dollar into eight and it's practically risk free, would you be interested? Of course you would. Well, there is a way to do it. It's easy. And it is practically risk free.

Here's all you have to do. Hewitt Associates just released a study that shows how investing in your early years can make you wealthy in your retirement. The study says that any dollar you save at the age of 25 will be worth $8 at the age of 65. So if you have $10,000 in the bank at age 25, you will have $80,000 by the time you're 65. All you have to do is leave the money in the bank. It doesn't get much easier than that.

What if you're not 25 anymore? As you age, the returns will be less. Still, every dollar invested at age 35 will be worth $5 at age 65. And if you start at age 45, that dollar will be worth $3.

If you're in your 30s or 40s, please don't let this discourage you. It is far better to start saving now than to just give up completely and not save at all. It's never too late. Why turn down $5 or $3 just because it's not $8? And if your children are grown, show them this information and encourage them to start saving now.

Just as it's never too late to start saving, it's also never too early. If your children are young, every dollar they save now could be worth $10-$12 when they retire. So take the time to teach your children about saving for the future. The book of Proverbs tells us to "Train up a child in the way he should go; even when he is old he will not depart from it" (22:6). Most parents relate this just to spiritual training. Few will extend it to finances. However, training your children to handle finances biblically is one of the best things you can do for them. Start them young and it will be a habit they continue the rest of their life.

And don't forget that one of the best teaching tools is to lead by example. We all should be saving at least 10% of our income. Kids can easily save from 50% to 90%. And the younger they start, the more they'll have in the future.

About the Author
Steve Kroening writes for Success magazine and also publishes Wisdom's Edge. You can get Biblical tips on health, finance, relationships, parenting, and success, delivered to your email inbox every week. Simply visit http://www.wisdomsedge.com and sign up for this free e-zine.

Borrowing To Fund Gambling Is 'Dangerous Spiral Into Debt'

Millions of Britons are borrowing money to go gambling, new figures indicate.

In research carried out by MoneyExpert, some 21 per cent of the money put on various bets and wagers across the country every month is sourced by going into debt or dipping into savings accounts. Overall, 14.3 million adults - about one in three - claim to gamble at least once every month, with an average stake of 21 pounds 37p. Meanwhile, almost one million people - the majority of which are men - spend between 50 and 150 pounds per month having a flutter which in turn could put pressure on their personal finances. Findings from the independent financial comparison website also revealed that 13 per cent of gamblers can only afford to fund their habit by borrowing money, with a further eight per cent reported to be using up their personal savings - which could act as further proof of the potential debt problems being created by Britons. .

Credit cards were the most popular form of borrowing to finance betting, the figures show, funding 1.4 million - or ten per cent - of gamblers. Meanwhile, an estimated 143,531 consumers have used cash from personal loans to fund gaming, with 1.1 million dipping into savings schemes. The study also revealed that two per cent of those putting on bets have run up debts on their overdraft to do so. .

Sean Gardner, chief executive of MoneyExpert, said: "Millions of us enjoy a flutter on the Grand National and play the lottery every week. But borrowing money to fund a habit like gambling is potentially disastrous - it'll inevitably lead you down a dangerous spiral of more and more debt. Borrowing when there is by definition a real risk you'll lose the money is a dangerous game to play - whether you win or lose your creditors will want their money back"..

"Anyone who is betting using a credit card for example should be extremely wary - if you start to miss repayments it'll affect your credit rating. It's very easy to lose track of the money you owe on your credit card, particularly with online gambling"..

He added that as "credit isn't a licence to print money", consumers who have run up debt problems should look to get professional advice and draw up a plan to pay off money owed. Advising that "if you have racked up debts through gambling the important thing is not to bury your head in the sand", Mr Gardner suggested that taking out a cheap personal loan could be an option for those looking to reorganise their finances. .

Earlier this year, research carried out by MoneyExpert revealed that millions of Britons are developing debt difficulties by going away on holiday. The firm suggested that 1.4 million consumers are still paying money owed from a break they went on last summer, with some 926,000 saying that it takes them at least 12 months to complete repayments incurred from a previous vacation. By constantly running up borrowing to finance a trip away, Mr Gardner warned consumers risk being "trapped in a spiral of debt which ultimately threatens to overwhelm them". .

About the Author.

Steve Smith writes for the 1 Stop Finance Shop where you can apply online for debt consolidation loans. We specialise in all sorts of personal loans, and secured loans with online application.

The Beginners Guide to Day Trading Online

Day trading is highly profitable—and highly tumultuous. Moreover, the financial markets have changed considerably in recent years. Expert author Toni Turner gives you the latest information for mastering the markets, including:
• Decimalization of stock prices
• New trading products such as E-minis and Exchange Traded Funds (ETFs)
• Precision entries and exits
• The new breed of trader
Written in an accessible, step-by-step manner, A Beginner’s Guide to Day Trading Online, 2” Edition shows how to day-trade stocks in today’s market.

NATIONAL BESTSELLER! Toni Turner is the bestselling author of A Bpninri Guide to Day Trading Online, 1” Edition, I Beginner’s Guide to Short-Term Trading. An i trader with fourteen years’ experience, popular educator and speaker at financial con and trading forums across the country. Mc i has appeared on NBC, MSNBC, CNN, CN CNBC’s Power Lunch, with Bill Griffith. 1 been interviewed on dozens of radio programs featured in CBSMarketWatch.com, Fortune magazi and Bloomberg Personal Finance. She currently ser’ as a consultant to Townsend Analytics, Ltd. Ms. Turi resides in Irvine, CA.

How to Make Money In Stocks

By William J O Neil.
A winning system in good times or bad.

I found this book on Amazon.com. It's pretty good. Click on the picture below to get more details at Amazon.

Understanding The Basics Of Estate Tax Planning

by: crackmarketing

Federal tax laws exempt property up to two million dollars from estate tax. They also allow a one million-dollar lifetime limit for gifting property without attracting any gift tax. However, there is a rider that the value of the gift must not exceed twelve thousand dollars to any one person during a single calendar year. Estate tax exemption is set to rise further to $3.5 million in 2009 and stands to be repealed in 2010, which will be a year free from estate taxes. Thereafter, in 2011, the Congress is expected to confirm a full repeal of estate taxes failing which, the old estate tax structure would return with an exemption limit of $1 million.

There is a supplementary provision to estate tax that is known as Marital Deduction. This allows one spouse to leave any amount of property at death to a remaining spouse without creating any estate tax liability. This provision is applicable only if the remaining spouse is a US citizen. If not, then the benefit of marital deduction can be availed only if the property of the deceased spouse is left in a QDOT or qualified domestic trust. This position has been effective since the passing of the Technical and Miscellaneous Revenue Act (TAMRA) in 1988. Among other requirements, a qualified domestic trust needs to have at least one US trustee who is citizen of the United States or is a domestic corporation. If the value of the assets of the deceased exceeds $2 million, the QDOT needs to be a US bank.

In order to avoid soaking of a substantial portion of ones assets in estate taxes, and to let a greater share be available for the benefit of loved ones, people form bypass or family trusts. These are excellent means to lower estate taxes. Such trusts can have a character of a lifetime trust or a testamentary trust. In a lifetime trust, the property is passed on to the trust either during the lifetime of the grantor or owner of the property. In a testamentary, trust the property passes on to the trust through a will after the grantors demise.

The trust is a separate legal entity that enjoys the status of an owner. The property it holds is not recognized as part of the estate of the grantor. No estate tax can be imposed on the grantors death as the owner i.e. the trust still survives. The trust property is managed by trustees for the benefit of designated beneficiaries.

When a married couple forms a bypass trust as part of their estate plan, each leaves property up to their estate tax exemption limit (currently $2 million) to the trust. On the first death, the rest of the property of the deceased can pass on to the surviving spouse under marital deduction without paying any estate tax. The assets in the bypass trust can be made available to the surviving spouse for upkeep, health and other needs. The survivor may even be authorized to draw a certain amount of the principal every year. On the death of the surviving spouse, the trust assets would pass on to beneficiaries named in the trust deed without attracting any tax. This is because the trust was created with assets within estate tax exemption limits to which the creator of the trust was entitled. The assets of the last to die spouse would be taxed subject to the exemption limit of $2 million.

This way, the whole estate (of both the spouses) gets the additional exemption benefit of $2million of the first to die spouse also which leaves more money for their surviving children/heirs/beneficiaries.

It should be noted that if the first to die spouse does not create a bypass trust and just lets the whole property pass on to the surviving spouse through marital deduction, his/her entitlement for the $2million estate tax exemption would simply fizzle away. Fewer assets would pass on to loved ones after the death of the second spouse in this case.

About the AuthorSacramento CPA firms offers Estate Tax Planning to individuals and businesses. We have former IRS auditors who know the system to make sure you only get the best advice. Discover a bevy or articles at : http://www.april15.com.

All About CDs (Certificate Of Deposits)

by: adrianadams

When the richest people in the world are asked to give advice about how to earn and retain money, their response almost always resounds with the same principles: Your money should always be working for you, instead of you working for it.

The ideal situation is to put your money into something with a high rate of return. Then, while you are enjoying life, your money is constantly returning more. One option is to put your money in a CD (Certificate of Deposit), which is a type of account offered by many banks. They don't work like regular bank accounts. So if you've been contemplating ways to make your money work for you, read on.

CDs are characterized by being registered for at a fixed amount of time. When you put your money in, you tell the bank that you are going to leave it for a certain amount of time. The most common amounts are 3 months, 6 months, or any amount of years up to 5. The specific interest rate is set at the beginning, and does not change over the period of time.

The money in the CD is held until it 'matures', at which point the customer can withdraw it without bringing about any fees (which are applied if he or she withdraws before the date of maturation).

This may sound like a bad deal, but consider this: since the customer has to put up with having their cash unavailable for so long, they have their diligence rewarded with a particularly high interest rate. This is the aspect that attracts people to using CDs. Since they are offered by regular banks, they are completely insured. This makes them an almost entirely risk free investment, as long as you know you won't need the money.

If you've got a large sum of money sitting around and you're not doing anything else with it, then you should make every effort to put it to work. Some people are not cut out for high risk investments like the stock market. If this is the case, then the calm assuredness of CDs could be perfect for you.

Talk to people at your local banks to find their specific terms and conditions for CDs. Look for things like flexible liquidity, high interest rates, and time periods that suit your needs. Hopefully you will find something that is perfect for your finances, and will put your money to good use.

Forex Trading - Profit and Loss Calculations

by: amaramar

Most online forex brokers you pick will have a trading platform that can automatically calculate your profit and loss. However, you should still understand what goes on behind the calculations. You'll be able to keep tabs on your broker's honesty that way, but you'll also have surer footing yourself as a trader if you know all of the fine details behind those calculations you depend on so much.

Profit and loss calculations are relatively simple. You just need to remember two basic formulas.
When the US dollar, also known as USD, is the "quote currency," or the second of the paired currencies, the formula is:

Profit = Price Change in Pips Times x Units Traded
When USD, or US currency, is the base currency or the first currency in a pair, the formula is:
Profit = Price Change in Pips x Units Traded / Exit Price

As an example to illustrate this, let's use the following scenario. USD is the quote currency and we will also say that the broker requires 1% margin. This means that you can trade $100,000 in currency for only $1000.

Therefore, if you are looking at EUR or USD, currently trading at 1.2518/9, you predict that the euro will rise in value against the US dollar. Therefore, you execute a trade to buy euros and simultaneously sell US dollars.

Therefore, you buy $100,000 worth of units at 1.2519. Remember that you have to take the asking price, or the second number in the quote.

If your calculations are correct and the price rises to 1.2532/3, you initiate a trade to sell euros and buy US dollars. For this trade, use the bid price, which is 1.2532.

Since you bought at 1.2519 and sold at 1.2532, you profit was 17 pips, or 0.0017. To convert that into real money, we use the formula above, so that it looks like so:

Profit = Price Change in Pips X Units Traded
Which means:
Profit = 0.0017 X 100,000 = $170.
In other words, you made $170 on that trade. If you trade $100,000 in a currency pair with the US dollar the quote currency, a pip will be worth $10. 17 pips equal $170.

When the US dollar is the base currency, let's say you buy 100,000 units of USD/JPY (Japanese yen) at 117.22. The price goes up and you sell at 117.35. Therefore, you just made 13 pips.
To calculate what your profit was, use the second formula:

Profit = Price Change in Pips X Units Traded / Exit Price
Which means:
0.13 X 100,000 / 117.35 = $110.78.
So as you can see, this is relatively simple once you get the hang of it.

About the AuthorVisit 123OnlineTrading.com - Stocks, Forex and Options to find more great information about forex trading. Besides a large selection of educational articles concerning stocks, options and commodities you can also find powerful online trading books. Other Resources: 123OnlineCurrencyTrading.com - Forex Trading Directory

Stock Market Fundamentals

by: JohnPorter

As so many people opt for online trading one wonders what are the reasons for so many people going for something new leaving the traditional method. A little investigation throws up quite a few reasons.

First of all it is convenient and easy. You don't have to leave your room. Who could have imagined a few years before to trade on stocks while lying on his bed with his laptop in front of him? But this is how easy online trading has become. And who wouldn't want that extra bit of comfort. With online trading you can trade at whatever time you feel. Yes, you can trade beyond actual trading hours of the market. So now you can come back from you regular work, take a shower, have your dinner, spend time with your family and before you go to bed spend an hour looking at your investments.

But whatever the comfort may be and however convenient it is to carry out trade online, you still will require to know the fundamentals of the stock market. We discuss a few here.

Growth Buying Stocks are shares or stocks of companies which are making healthy profits over the recent few years. Since the companies are generating more revenue and are growing at a rapid rate, there stocks are on high demand. This pushes up the price because investors think even a high price is okay cause the stocks will keep on rising. Though that might be true for the recent future, there is a time when the prices will stop to rise or may even start to decline. To predict that time is what separates a good investor from an ordinary one.

Unloved Stocks are shares of companies that have not been doing well in the recent past, and hence investors are not to keen. When there is a lack of interest, the price per share drops and many investors believe that this is the right time to invest on them when you buy the shares for less, wait for the company to recover and regain its feet and then sell them at a high profit when the price begins to climb as the company generates higher revenue.

Then you will also need to learn about the small-cap, mid-cap and large-cap shares. And then there are the micro-cap shares which are mostly involved in the various share market scams.
However, the fact that fundamental analysis shows that a stock is undervalued does not guarantee that it will trade at its intrinsic value any time soon. Things are not so simple. In reality, real share price behavior relentlessly calls into question almost every stock holding, and even the most independently minded investor can start doubting the merits of fundamental analysis. There is no magic formula for figuring out intrinsic value.

When the stock market is booming, it is easy for investors to fool themselves into thinking they have a knack for picking winners. But when the market falls and the outlook is uncertain, investors cannot rely on luck. They actually need to know what they're doing.

That said, there is much that the investor can do to learn about fundamentals. Investors who roll up their sleeves and tackle the terminology, tools and techniques of fundamental analysis will enjoy greater confidence in using financial information and, at the same time, will probably become better stock pickers. At the very least, investors will have a better idea of what is meant when someone recommends a stock on strong fundamentals.

About the AuthorFind more Online Trading and Online Trading info online. For Online trading related articles: http://www.online-trading101-fyi.info

Options Trading 101

by: amaramar

Options trading is much like stock and bond trading. Trading strategies can range from a simple buy and hold to a highly advanced use of technical analysis. Then there is everything in between. Although options trading may be similar to stock and bond trading, there are some distinctions that make options a desirable investment opportunity.

They are a contract that confers the right to buy which is a call option, or sell, a put option an instrument. This instrument could be a stock or bond, but the instrument is sold at a predetermined price which is referred to as the strike price, on or before an expiration date.

Options that may be exercised at anytime prior to the expiration are referred to as American options. European options, on the other hand, are exercised precisely on the expiration date. Although the terms refer to regional or geographical implications, the exact association or meaning has been long forgotten through the passage of time. Still, American style options are written for stocks and bonds while European options are generally written on indexes.

When options expire, they do so on the Saturday following the third Friday of the expiration month that is on the contract. Investors will be hard pressed to find a broker who is available on a Saturday, plus, the US exchanges are closed. These factors force that expiration day to be pushed up on day - The Friday before the expiration.

When determining a selling strategy for an option, there are two choices. The holder can keep the option until its maturity date or expiration date, or they can sell before the expiration date. For ease of understanding, this information will pertain to American options only.
Most investors do hold their options until the mature then they trade the underlying asset. Say the buyer purchased a call option at $2 on a stock with a strike price of $25. Options contracts are typically set on 100 share lots. Therefore, in order to purchase the stock, the total investment is:

($2 + $25) x 100 = $2700 (Ignoring commissions.)
This strategy works as long as the market price remains above $27.

If the investor speculates that there is a peak in the price before the expiration date; if the price has risen above $27 but appears to be on the decline with no hope of recovering then it is preferable to sell.

On the other hand, if the market price is below the strike price and the option's expiration date is near or the price is expected to decline further, then it would also be a desirable condition for selling. In this case, it is best to sell before the price falls any lower to curb any further loss. The loss can be minimized, however, by using it to offset capital gains taxes.

Of course, another alternative is to allow the contract to expire. Options are not like futures. The investor is under no obligation to buy an asset or sell it; they only have the right to do so. When taking into account the premium, strike price and current market price, it may yield a more minimal loss for the investor to simply "eat the premium."

It should be noted that options do still carry a certain degree of risk. These uncertainties are the same as are associated with stocks. In reality, stock prices can rise or fall, a little or a lot and show erratic, unpredictable behavior over fluctuating time frames, but, these risks are exacerbated with the fact that, like bonds, options have an expiration date.

The reality is that the price of the option itself may change over the passage of time. The contracts are traded just like stocks or bonds and both the price of the underlying stock amount and the amount of time left until the expiration date are both influential factors in the rate and amount of change.

A way to offset the premium loss or even profit is to sell the option but not the underlying asset.

About the AuthorVisit 123OnlineTrading.com - Options, Stocks, Forex to find books, tips and advice about online options trading. Besides a large selection of free educational articles you can also find powerful books about online trading in general. Other Resources: 123OnlineStockTrading.com - Stock Trading Links