The Frontiers Of Trading

by: Ivan Cavric Penny stocks are low-priced securities that are traded on over-the-counter (OTC) markets or on the pink sheets. These stocks are often considered to be high-risk investments due to their low trading volume and lack of financial transparency. Despite the risks, many investors are drawn to penny stocks due to their potential for high returns. In this article, we will explore some of the reasons why people buy penny stocks. High returns: One of the main reasons why people buy penny stocks is the potential for high returns. Because these stocks are often priced at a fraction of the cost of more established stocks, even a small increase in price can result in a significant return on investment. Small investment: Another reason why people buy penny stocks is that they can be purchased for a relatively small investment. This makes them accessible to investors with limited capital, who may not have the resources to buy more established stocks. Speculation: Some investors buy...

  By:  Ivan Cavric According to most marketing campaigns, Forex trading should be a breeze and you should quickly acquire a small fortune in no time at all. Unfortunately, reality does not support this viewpoint and indicates that a far more scientific and structured approach is essential in order to achieve consistent success. In fact, most professionals would advise you similarly in that you need to adjust your thinking about Forex trading so you can elevate it to the same levels used by experts.  To achieve success at Forex, you fundamentally need to complete a sequence of consecutive successful Forex trades as often as possible. What does that really mean and is it difficult? Let us try and answer these questions by considering the following analysis. For each trade you open, consider that you will need to target an achievable profit of 50 pips that may require you to trade, on average, for about 4 hours. In addition, you will then need to obtain a consecutive sequenc...

  By:  Ivan Cavric If you do not master the concepts of money management quickly, then you will discover that margin calls will be one of your biggest problems trading. You will find that these distressful events must be avoided as a top priority because they can completely wipe out your account balance. Margin calls occur when price advances so far against your open trading positions that you no longer have sufficient funds left to support your open positions. Such events usually follow after traders begin to over-trade by utilizing too much leverage. Should you experience such catastrophes, then you will have to endure the pain involved in completely re-building your account balance back from scratch. You will find that this is a distressful experience because, after such events, it is normal to    feel totally demoralized. This is the exact situation that many novices end up in time and time again. They scan charts and then think that by doing so they can make qua...