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A Timeless Strategy To Bulk Up Profits - Part 1

Time to plan tradingDeciding how many shares to buy is, for some traders, a figure randomly plucked out of the air.

Which is odd.

You see, the number of shares you buy is directly related to your risk.

If you don't risk much, you won't make much.

If you risk too much, you may blow up.

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Novice Trader vs Experienced Trader

laptop relaxed manWe've all been there.

Each of us started our trading careers as novices. High on expectations and optimism. Low on experience. A raw untested method. A personal psychology likely to get in the way of our success.

What we bring to the table when starting out is relevant.

Every traders weakest link?

Themselves.

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Is This Popular Indicator Signaling A Market Correction?

spxThe 200-day moving average is quite possibly the most watched technical indicator on Wall Street. In its simplest form the 200-day moving average registers a bullish or bearish trend. Some even use it as a stand alone trading signal.

Today we'll take a look at the 200-day moving average from a slightly different angle.

If the underlying index extends itself a long way above the 200-moving average, is the market more likely to reverse?

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Buffett's Message to the Crypto Kids...

Fotolia 31843621 XSSeveral mainstream brands, such as Eastman Kodak and Long Island Ice Tea, have made the leap into crypto, and in doing so have provided their shareholders with some windfall profits.

Eastman Kodak jumped from $2.94 to nearly $14 in two trading sessions on the news it was launching its own crypto currency.

Prior to that Long Island Ice Tea Corp changed its name to Long Blockchain, sending it's shares 460% higher.

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Dealing With Takeovers

trading strategy to make moneyOne of my slogans is, "If you trade long enough, at some stage you'll get a slap across the face".

In other words you'll be riding a nice trend higher, then out of a blue something happens and a large gap down wipes out gains and puts you into a loss.

Get over it.

Because the other side also occurs, namely, 'If you trade long enough, sometimes you'll get lucky".

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Don't Bet on a Reversal of 2017 Gains

online share tradingThe US S&P 500 delivered its 9th straight year of gains.

Only once since 1928 have we seen 9 winning years in a row - that was 1991 through 1998 at the height of the Tech boom.

And we all know what followed...

Would it be prudent to suggest after a great year a poor year is surely to follow?

90-years of evidence suggests otherwise.

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Fun Facts and Figures - 2017

whats your biggest fear705Now we are at the end of 2017 I thought I'd share a few interesting insights about the markets...

For the first time in history, the US stock market, on a total return basis, will finish the year with positive performance in every single month.

The last time the Dow Jones actually returned its "average return" was in 1952.

The best day to invest during 2017 has been a Friday, with an average return of +0.16%. The worst? Thursday which returned -0.05% on average.

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The Best Returns are Made at 5 Minutes to Midnight

Clock2017 has been a fantastic year for investors.

The US has enjoyed one of the longest bull markets on record.

And as the famous saying goes “the best returns are made at five minutes to midnight.”

So it’s understandable that the temptation to watch the clock is irresistible.

Improvements in global growth could not have come at a better time.

Locally, investors should be feeling pretty good about the world and comfortable with current market valuations.

As we countdown the final days of this year, and head into 2018, the ASX 200 is trading at an almost decade high.

And we retain a bullish outlook for the coming years, maybe even next decade.

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What is an Inverted Yield Curve and Will it Affect You?

indexHistorically when looking back at past market trends, an inverted yield curve is commonly viewed as an indicator of a pending recession.

In an environment where short-term interest rates exceed long-term rates, market sentiment tends to suggest that the longer-term outlook is poor.

And therefore an economic decline.

Yet predicting when the next recession will actually hit is not so easy. No matter what economists and media pundits may be saying.

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Will Inflation Lead To Turbulent Times Ahead?

dollar signsEconomists constantly monitor and worry about the levels of inflation.

Rising inflation has an insidious effect that spreads quickly.

Input prices are higher, consumers have lower purchasing power, and business slows.

But could rising inflation roil global equity markets?

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