| |
| |
|
Investing Information |
|
|
|
Remembering TEOTWAWKI and Learning from It
Its only been about 5 years since we had major scares in the marketplace regarding Y2K. You might recall that many computer systems were not programmed to be able to understand the change from 1999 to 2000. There was a tremendous amount of panic created by those who were convinced that as the clock hit midnight on on New Years Eve 2000 that we were going to enter the Dark Ages. By my analysis this never occured....unless I slept through it and nobody bothered to wake me up! (Note to self: Make sure Staff wakes me up when Y2K occurs!) The word we are supposed to learn from and understand is; TEOTWAWKI....(The End Of The World As We Know It ) It was a word created by the Y2K scare. I think there is a very profound lesson to be learned from the Y2K scare. That being that forecasting is pretty much worthless. The real issue with trading as with life itself is to manage risk. Risk can be defined many ways but usually it involves not being prepared for the future and embracing an opinion. The one advantage of living in a free society is that we are fortunate enough to be exposed to numerous viewpoints on a daily basis. As traders we must learn to constantly differentiate the difference between FACT and OPINION and determine how new data can affect us. For those who never learn to do this, The End of The World As We Know It will reflect itself in their portfolios. For the rest of us all we can learn to do is MANAGE RISK. It is the only trading secret there is. There are two schools of thought in trading.... TEOTWAWKI and Risk Management. You make the choice. The only constant in life is change. Don't forecast. Manage your RISK. Dowjonesfully, Harald Anderson is the founder and Chief Analyst of eOptionsTrader.com a leading online resource of Options Trading Information. He writes regularly for financial publications on Risk Management and Trading Strategies. His goal in life is to become the kind of person that his dog already thinks he is. http://www.eOptionsTrader.com.
MORE RESOURCES:
Investing - Google News |
|
|
|
RELATED ARTICLES
Raising Capital in Today's "New Economy" We've helped a number of clients develop business plans and raise capital from "angel" investors, corporate entities and venture capitalists during the last 6-8 years. It's always a daunting process that can be full of pitfalls and require a tremendous amount of work - but it can be done! Here is some perspective gleaned from years of experience. Why the Rich Keep Getting Richer Rich people: fortunate, lucky, selfish, and arrogant? Or highly educated, caring, brilliant individuals? Becoming rich isn't hard, but it does require a bit of time and knowledge. Having time to get rich, educating oneself, and buying assets are the three key factors in attaining untold wealth. Why Should I Use Penny Shares to Build Wealth? A strategic question. Why indeed?1. Creating a Financial Future--Putting Your Plan Into Action Part 2 Real Estate can be a useful tool for investing. The simplest real estate investment is not truly an investment, but a cost-reduction - that is owning your own home. Bankers in Denial Denial is a ubiquitous psychological defense mechanism. It involves the repression of bad news, unpleasant information, and anxiety-inducing experiences. California Deparment of Corporations and Franchise Opportunities Law What CA Needs To Do To Address Issues in FranchisingWe should not allow anymore degradation of California through incessant over regulations in the franchising sector. No other sector of our economy provides as many jobs as franchising. Direcway & Wildblue Set to Square Off this Fall? There is a cat fight brewing between Direcway LLC, Starband and Wildblue Communications for the large number of people in the U.S. Types of Investment The word 'investments' is one that most of us are familiar with hearing in financial context. For many of us, it may make us thing of big business and vasts sums of money, but there's much to the world of investments than multi-million dollar deals. A Secret Revealed: Why Most (Day) Traders Fail The following perspective on (day) trading comes from my many years of experience of active day trading or being the moderator of one of the largest day trading chat rooms on the Internet.One of the biggest problems I see with new traders (and even some old ones) has nothing to do with the software or the broker they are using. Investing: The Art Of Making Your Money Work For You There is a lot to know about investing. It all depends on what type of investing you are interested in as well. The Real Cost of a Bad Habit What is the value of a good habit? Think of some daily habits, like brushing your teeth, or buckling a seat belt, or flushing. All of these habits have value important to some part of life. How to Invest Your Money Think carefully on how to invest your money because if you make wrong decisions it could cost you dearly. There are many ways in which to invest your money and as such seeking the advice of a professional would be a very wise move. Trading Systems A trading system consists of a set of rules for viewing markets and making trades. The advantages of trading systems can be hidden when they become associated with trading platforms involving trade order submission and processing. Need To Trade! You don't HAVE to be trading.As a novice trader, you'll often feel the need to trade. Buying a Home - Your BIGGEST Investment This column has often focused on intangible investments like stocks that a young investor might hold in their portfolio. While these are one of the most important components of an investment plan, it is not the dominant one for most young people. Invest or be Pink Slipped Firing an employee seems to be easier and easier for corporations. Up until now you allowed them to set your clocks. The Economy Is Not The Stock Market Several days ago, the Commerce Department reported that May's factory orders had increased by a 2.9 percent. How to Setup a Profitable Trading Business In my opinion trading is the most exciting and best way to earn a living in the world. With just a small amount of equipment and space you can do it from anywhere on the planet. Making Your Investment Dollars Work for You Investments are scary for some people, especially those who have never invested before. We grow up hearing horror stories about how this person or that person lost everything they had on some bad investment some odd years ago and it builds in us a fear of investing so profound that it is sometimes easier to get a confirmed agoraphobic to march in the Macy's Day Parade than it is to get someone to put a few dollars into stocks or mutual funds. The Realities Of Market Timing Market timing systems are based on patterns of activity in the past. Every system that you are likely to hear about works well when it is applied to historical data.
|
| home | site map |
| © 2006 |
