Top Stock Trading Strategies
Benefits of benchmarking (indexes)
(May 27, 2011) Imagine if you believe in “growth” investing concept and looking out for suitable investing opportunities. You decide on a sector, say, biotechnology sector. However, as the stock belongs to a new company, you d ...
Read more »Mutual Fund and risk assessment
(May 27, 2011) Any investment medium carries risk. The universal principle of risk and return, that is, higher the risks, stronger the returns is also true for mutual funds. That means, if investors want high return then they will have to inve ...
Read more »International Investing: Brazil’s telecom sector
(May 26, 2011) No other sector in Brazil has performed as strongly and as consistently as the telecom sector in the recent past. With above 190 million people, Brazil has a huge base of potential subscribers with increasing real incomes ...
Read more »Investing Basics: The Benefits of Vertical integration and stock performance
(May 25, 2011) Generally, capital intensive firms dealing in energy sector, automobile, food processing, mining sectors can differentiated on the basis of firm’s vertical integration capabilities. The greater the f ...
Read more »Want to maximize returns: Avoid excessive speculation and gossip
(May 25, 2011) Most investors think that stock market grapevine should be taken as a gospel. Therefore, shareholders tend to listen all sorts of news; listen to everyone’s’ opinion and act accordingly. While keeping your eyes and ea ...
Read more »Don’t just crunch numbers, try calling or interviewing professionals who run funds or firms
(May 24, 2011) We know the virtue of number crunching. For instance, careful analysis of crucial ratios like ROE, EPS, ROA, and cash flow statements help us in distinguishing good companies from the ordinary ones. But this method is backward l ...
Read more »Investing Basics: Retail investing and market monitoring
(May 23, 2011) In most cases, retail investors don’t require to monitor stock markets as frequently as active investors. As retail investors tend to invest their money looking at the long term time horizon, some laid back approach is accepta ...
Read more »International Investing: Emerging Markets
(May 20, 2011) A new world order is shaping-up , one that will change the format of currency flows and tip power towards emerging markets like Indonesia and South Korea in the next decade and a half. According to a study by Wo ...
Read more »Why observing Base metals’ markets is crucial from investors’ perspective
(May 20, 2011) The performance of base metals is a very reliable way to measure economic activity around the world. Whereas precious metals are stored up and held for investment, base metals prices are movers and shakers of overall economy bec ...
Read more »Commodities ETF: A Primer
(May 19, 2011) Lately, Investments in gold and oil ETFs have continued to hog the headlines, but there is a much broader range of commodity ETFs coming on the market in 2011. In the past, it was very difficult to enter this market, which often ...
Read more »Working Capital: A Primer
(May 19, 2011) Typically, maintaining the working capital effectively is more important for capital intensive companies which use or buy large scale inventories than those companies which are service and people intensive. From investors’ poi ...
Read more »Investing Basics: unstable and high grocery staples can destabilize the economy as whole
(May 18, 2011) The Year 2010 saw widespread inflation around the world. The inflation mainly stemmed from rising food prices. Partly, this inflationary pressure can be attributed to growing demand for commodities and materials in developing na ...
Read more »Changing global climate and investments risks
(May 18, 2011) One of the most debated topics in last decade which concerns economic sustainability and productivity is the impact of global warming. As rapid pace of globalization and global economic has meant more use of oil and other ...
Read more »Economic value added: A Primer
What is Economic value added? (May 17, 2011) Economic value added is also one of the useful methods that help us in identifying whether the company is intrinsically profitable. This method is not only useful for investo ...
Read more »Interpreting Retail sales, orders and stocks
(May 17, 2011) Retail sales figures provide an important and timely indicator of spending at retail outlets. Interpretation Retails sales cover up to a half of total consumer spending although there is not a direct correlation be ...
Read more »Two most important prerequisites for investors
(May 16, 2011) Setting goals: If you not sure about the purpose behind investing then it are always advisable to avoid investing. It is sounds very callous, but that’s the truth. The world of investing is like a deep blue ocean filled with v ...
Read more »Strong quarter results drives EONC bullish
eOn Communications Corporation (NASDAQ:EONC) continues is bullish trend as it is currently trading at 2.09 USD which is 0.63 USD or 44.06 % more than its previous close. The share is highly overvalued as it has an RSI of 83.63. The ...
Read more »EONC stays bullish
The California based eOn Communications Corporation (NASDAQ:EONC) is provider of communication solution and was incorporated on July 1991. It provides built on open architectures that enable adoption of technologies which includes Voice Over Internet p ...
Read more »EOMC jumps high
(May 5, 2011) eOn Communications Corporation (NASDAQ:EONC) which is a California based company is currently trading at 2.09 USD which is 0.63 USD or 44.06 % more than its previous close. The stock started trading at 1.44 USD per share and traded at an ...
Read more »PCBS goes bullish with strong Q1 results
Provident Community Bancshares Inc. (NASDAQ:PCBS) shows bullish trend as is currently trading at 0.670 USD per share as compared to yesterdays 0.69 USD per share following declaration of its financial results. The share is trading at 52 week range of 0 ...
Read more »PCBS sales high after Q1 resultsPCBS sales high after Q1 resultsPCBS sales high after Q1 results
South Carolina based Provident Community Bancshares Inc. (NASDAQ:PCBS) is the bank holding company for Provident Community Bank, N.A. (the Bank) which primarily attracting deposits from the general public and originating loans to consumers and bus ...
Read more »PCBS on song
(May 4th, 2011) Provident Community Bancshares Inc. (NASDAQ:PCBS) which is a South Carolina based company is currently trading at 0.670 USD which is 0.170 USD or 34.00 % more than its previous close. The stock started trading at 0.69 USD per share and ...
Read more »Atlantis Internet Group Corp. (ATIG) Shares Continue to Rally
Shares of Las Vegas, Nevada-based Atlantis Internet Group Corp. (PINK: ATIG) are continuing to rally in trading today. In the last five trading sessions, Atlantis Group shares have gained more than 1900%. In today’s trading, the stock is up more than ...
Read more »Investing Basics: Look out for synergy when companies merge
(April 21, 2011) The purpose of any merger and acquisition is to create the shareholder value. And companies with the help of M&A activities, enhances their earning capacity, reduce costs and increase operational efficiency. Lets’ have d ...
Read more »Investing Basics: factors that need to be considered before real estate investing
(April 21, 2011) The importance of diversified is well documented. It enables investors to mitigate risks arising out of financial markets’ volatility. Among many investment vehicles, real estate investments are also widely looked at for por ...
Read more »Trading on margin is like a doubled aged sword
(April 20, 2011) One of the most important advantages of margin trading is the high amount of leverage. Typically, we can borrow up to 50% over margin money; hence, you are able to buy 50% more stocks than you can do it under normal circumstan ...
Read more »Investing Basics: Playing a safe game with Hybrid Portfolio
(April 20, 2011) With all technicalities, financial analysis, and speculation involved in the world of investment, investing especially in the stock market sometimes become difficult for retail/small investors. In most cases, an ordinary inves ...
Read more »Speculative Portfolio: A Primer
(April 19, 2011) A “speculative portfolio” comprises of high risk and high reward stocks. Those investors who do not prefer high level of market stock volatility should avoid investing in “speculative stocks”. Typically, speculat ...
Read more »Strengthening your portfolio through “Income Portfolio”
(April 19, 2011) An “income portfolio” is that type of stocks’ assortment that focuses on generating money through dividend payments and other kind of income distributions. This investing strategy is very similar to “defensive portfoli ...
Read more »Defensive Portfolio: A Primer
(April 18, 2011) Defensive portfolio is an assortment of those stocks that usually do not carry a high beta. That means, when markets fluctuate, defensive stocks do not fluctuate as vehemently as those stocks that are highly sensitive to marke ...
Read more »Enjoy Higher Returns through “Aggressive Portfolio”
(April 18, 2011) Financial prudence is very essential in investing. Accordingly, investors need to be extra vigilant while constructing a portfolio. Therefore, we focus on diversification (cyclical, non cyclical stocks, bonds, gold etc); add i ...
Read more »Cash Flow statement: The most important indicator of company’s fundamental strength
(April 15, 2011) Cash in hand or a positive working capital is the lifeline of any company. While analyzing a company we often make a mistake of only looking at the balance sheet, income statement of the company-the revenues and the profitabil ...
Read more »Strengthening portfolio with stocks that perform well when oil price goes up
(April 15, 2011) The price of oil evidently has an immense impact on the economy. Directly or indirectly every sector/industry is affected by higher oil price. Most industries are harmfully impacted by increases in oil prices since they have t ...
Read more »Portfolio Diversification: Alternative energy companies
(April 14, 2011) Oil has a deeper impact on our global economy than any other commodity. And the fact that the price of oil has been surging significantly since 2003, it has come to the forefront of our financially viability concerns. In 2003, ...
Read more »Managing portfolio during deflation
(April 14, 2011) Just like inflation, a deflationary period also tends to knock down investors’ portfolios. We can describe deflation as something where general price level products and commodities decline. However, unlike ...
Read more »How to protect portfolio during inflation
(April 13, 2011) Apart from looking at companies’ fundamentals and future potential, investors must also at factors such as inflation before planning their investments. In simple words inflation can be described as the rate at which the gene ...
Read more »Principal Protected investment: A Primer
(April 13, 2011) A principal protected investment method is best the form of investment for those investors that are more worried towards protecting their principal. Such investors typically invest in principal protected notes that provi ...
Read more »Strengthening a portfolio through dividend paying stocks
(April 12, 2011) Traditionally, investing in dividend paying stocks never looked as the best way to protect or enhance the portfolio. Nevertheless, dividend paying stocks act as an excellent way to increase the total stock return. In fact, in ...
Read more »How to protect yourself from falling share price: The stop loss method
(April 12, 2011) Uncertainties and price fluctuations are part of equity investing. It is easier to manage risks for large investment institutions; but for a retail or small investor controlling risks become an uphill task, as managing persona ...
Read more »Understanding ‘put option’ strategy to reduce risks
(April 11, 2011) Investing in the stock market is like a rollercoaster ride. In the US history, between 1926 and 2009, the benchmark index, S&P 500 declined 24 times in 84 years. As a result, investors are always on toes to book profits on ...
Read more »Investing Basics: Protecting Portfolio
(April 11, 2011) One of the most important keys for the fruitful long term investing is “capital preservation”. World’s most prominent investor, Warren Buffet, believes in one simple concept in investing- never lose your money. Now ...
Read more »Investing Basics: Identifying Companies’ Shortcomings
(February 4, 2011) No matter how big companies are in terms of their market capitalization, clouds of uncertainty and potential risks always loom over. With ever increasing foreign competition - especially from emerging markets, stringent envi ...
Read more »(February 3, 2011) In one of our previous articles, we learned that how diversifying our portfolio helps in minimizing the unsystematic risk. With the help of correct portfolio selection, that is, a portfolio which represents variety of sectors, industry,
(February 3, 2011) Probably the most dreaded word in the financial world is the asset price bubble. Indeed, time and again, investors around the world have witnessed severe assets prices bubbles followed by severe bursts destroying massive amo ...
Read more »Investing outside Domestic Markets strengthens portfolio
(February 3, 2011) In one of our previous articles, we learned that how diversifying our portfolio helps in minimizing the unsystematic risk. With the help of correct portfolio selection, that is, a portfolio which represents variety of sector ...
Read more »Investing Basics: Analyzing different industries through Porter’s 5 forces analysis
(February 2, 2011) While we are going through our decision making process before investing, analyzing the industry is as important as analyzing stocks’ fundamentals. Whereas companies’ fundamentals tell us about leadership, management and ...
Read more »Be careful with your Diversification
(February 2, 2011) Stock market experts always advise to diversify our portfolio. The purpose of diversification is to minimize or offset the risks arising out of the market fluctuations. Yet, when we are diversifying, there is still no guaran ...
Read more »(February 1, 2011) To be an informed investor has lot of advantages. When we are hands-on in our investing research and analysis, chances of making investments blunders are reduced considerably. This is possible because our in-depth analysis helps us not
(February 1, 2011) The growth at reasonable price method or the “GARP” investing method is the combination of “value investing” and “growth investing” methods. Accordingly, investors look at those stocks that are undervalued but at ...
Read more »Investing Basics: How to compile company’s Data
(February 1, 2011) To be an informed investor has lot of advantages. When we are hands-on in our investing research and analysis, chances of making investments blunders are reduced considerably. This is possible because our in-depth analysis h ...
Read more »Investing Basics: Read footnotes carefully
(January 31, 2011) When we are looking at company’s financials through its annual/quarterly reports, the spotlight only tends to be on the numbers. It is true that financial statement ratios, income statement, balance sheet form nucleu ...
Read more »Initial Growth Industry: A Primer
(January 28, 2011) Every company has to start from somewhere. Typically, it takes just one company or several small companies to pioneer a new industry. Generally, companies that are starting in an emerging or initial growth industry par ...
Read more »Don’t Just look at Ratios Understand the Business Model Too
(January 28, 2011) Investors are so much obsessed with the financial ratios, and quarterly earnings that they forget to pay attention towards the most important question: the business model. Indeed, in the short term, firms can provide g ...
Read more »Which way the wind is blowing in the stock market? Some useful indicators
(January 27, 2011) Predicating the stock market’s long-term performance is relatively easy as investors can use several analytical methods like “bottom –up approach” or “top-bottom approach”. But sometimes investors are keen to kno ...
Read more »Long Term Success of the Firm depends on its ability to react over external changes
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Read more »The Adage – Some Knowledge is Better than no Knowledge Does Not Apply in Investing
(January 26, 2011) Generally, in our normal life we believe that having some knowledge is better than having no knowledge. This is true to some extent but not when it comes to investing in stocks. Yes, knowing fundamental analysis, and doing n ...
Read more »Stock Market Indexes: A Primer
(January 26, 2011) We often come across stock market terms like the “Bull run”, “Bear Run”, recovering market and stock market peaking. All these stock market patterns are gauged by different stock market indices around the world ...
Read more »Does your Company Maintain Sufficient Liquidity?
(January 25, 2011) In simple words, we can describe liquidity as the ability of the asset to quickly and cheaply convert itself into cash. For example, consider a company in need of some urgent cash for maintaining its day to day operat ...
Read more »Understanding the Risk and Return Trade off: The CAPM Model
(January 25, 2011) Every investments other then Government Bonds carry risks and uncertainties. Whereas uncertainty is a state where investor does not know whether the proposition is true or false, risk means an exposure to a proposition of wh ...
Read more »Misconceptions about Dividend Paying Companies
(January 24, 2011) Investors tend to believe that if a company has a long history of paying dividends then it is a stable company. They think that such companies have strong earnings, positive cash flows hence they are able to pay the dividend ...
Read more »Investing Principle: Always keep it Simple
(January 24, 2011) Ever wondered what is one great attribute that is common in all great investors like Warren Buffet, Philip fisher and Peter Lynch? It’s their uncomplicated investing philosophy. Just like a corporation guided by its missio ...
Read more »If your investing objective is stability then follow the “Income Investing” method
(January 20, 2011) Many investors, depending on their personal income and risk taking capacity, tend to prefer stability and lower returns from their investments instead of high risks and high returns. If you are one of those who do not like t ...
Read more »Growth in Sales: How Can Investors Predict the Most Important Component of Business?
(January 20, 2011) Sales growth is probably the most important factor that helps in predicting growth in a stock’s value. It is one of the crucial barometers that throws the light on firms’ ability to market its products or services effect ...
Read more »Investing: “Herd Mentality” behavior is bad but overconfidence is worse
(January 19, 2011) We have learned before in one of our previous articles that, a “herd mentality behavior” forces individual to take decisions or blindly follow the actions taken by the majority of people even though there is no rat ...
Read more »Stock Price and Human Psychology
(January 19, 2011) There is one serious misunderstanding among investors with regards to the share price of a company. Often they weigh buying decisions based on the price of an individual stock. Accordingly, for an inexperienced investor high ...
Read more »Earnings Report: Looking Beyond the Numbers
(January 18, 2011) It is that time of the financial year when companies report their earnings. This is the time when investors and analysts are keen on finding the facts and figures; hoping that their favored stocks outperform the estimates. D ...
Read more »A Primer on Cash Cow Stocks
(January 18, 2011) Cash cow businesses are those profitable businesses which typically have a very low overhead; enabling companies operating them to reinvest funds in other more profitable ventures, acquisitions, plants and machinery. S ...
Read more »Before Investing define your Investment motive
(January 13, 2011) Successful investors like Warren Buffet, Peter Lynch, and Philip Fisher have one thing in common: before investing they know very clearly about what do they want from their investments. Accordingly, some these investors looked out fo ...
Read more »Semiconductor Industry: A briefing
(January 13, 2011) Introduction: The market: Semiconductors also known as chips form the basis of every technology sectors or products. It’s a massive market; and, it is estimated that other products market (te ...
Read more »Royale Energy Inc. (NASDAQ: ROYL) Gained More Than 130% in the Last Three Trading Sessions
(February 24, 2011) Shares of Royale Energy Inc. (NASDAQ: ROYL), a San Diego, California-based company, soared in trading on Wednesday, ending the day 41.18% higher. In the last three trading sessions, the Royale Energ ...
Read more »Don’t just look at Earnings, Judge Companies through their ROE
(January 12, 2010) Most of us think that earnings of a company are a sufficient to find out whether it is worth investing or not. But this is not true. Any company can inflate earnings through cost cutting measures, selling its assets or by pu ...
Read more »Steady Stocks are Winners
We know that stock’s valuation and market performance is based on Earnings per share (EPS). Additionally, financial statements like cash flows and free cash flows are also helpful in determining the value of stocks. Hence, if we are accurate in deter ...
Read more »Psychology of Trading: Is Thinking Too Much before Investing Counterproductive?
When we have to take some big decisions we tend to take time. We weigh pros and cons of decisions and then take a position. But after some days, we think again about the position we had taken; sometimes we reverse it or sometimes we keep on hold. ...
Read more »How to Stay Active and Attuned for Busy Investors
Prominent investors and stock market experts always emphasize how important it is to stay open to all market information, news etc. This is because markets move up and down based on speculation. Slight changes in macroeconomic scenario or forecast tend ...
Read more »How Could Traders Differentiate a Good Company from an Average Company?
We often come across a situation where we find companies operating in the same industry or sector but performing differently; some are better performers; while others are average or bad performers. What distinguishes good companies apart from the rest? ...
Read more »How to Make a Comeback in the Stock Market-Post Recession
Even though the global economy has come out of the recession, investors are still nervous as fragile recovery around the world has failed to create the enthusiasm and confidence which prevailed among investors pre-credit crisis. In the rec ...
Read more »Cult Stocks
We often come across stocks which aren’t highly valued in the market yet for some reasons these stocks are traded in large volumes. These stocks are called as the “cult stocks”. Typically, these stocks have micro cap valuations (market capi ...
Read more »Stocks Vs ETFs
On many occasions, investors find themselves in a tight spot. They conduct research and analysis on a particular sector and then decide to invest on the same. But often there is confusion: should I buy stocks or ETFs? Generally, investors think t ...
Read more »Taking Advantage of Seasonality in Stocks
Generally, all businesses experience seasonality in their business. There are particular months when sales pick up and there are periods when businesses go through a slack period. Similarly, in the world of equity markets, we will find stocks moving up ...
Read more »Economic Value Added Vs Net Profits
We often hear companies’ executives saying that their goal is to create shareholder value. But as a shareholder how we can gauge whether a company is successful in creating value? Economic value added (EVA) or economic profits provides us the answer. ...
Read more »Earnings Quality Vs Quantity
Most investors only pay attention towards the company’s earnings. During quarterly earnings report, people just tend to look at cents per share earned. But what they to fail to understand is that apart from looking at earnings (quantity) we should al ...
Read more »Understanding Relationship between Stocks and Innovation
Industries where competition revolves around a high level of innovation are some of the most attractive and complex investments options. Changes occur at the speed of the light and its one of those industries where fittest and the fastest survive. The ...
Read more »Understanding Dividends
(January 4, 2011) When a company declares a dividend for its shareholders, essentially it means that a company is financially healthy. Dividend payments are made through companies’ retained earnings. Generally, dividends are paid by ma ...
Read more »Analyze Relative Strengths of Companies before Investing
(January 5, 2011) Normally, for investors apprising the comparative strengths and weaknesses of a company’s resources and capabilities over its rivals is not an easy task. In fact, companies’ itself too can fail and have failed in assessin ...
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