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Tracking the Pulse of the Stock Market Ticker

Submitted by Mike Swanson on Mon, 2011-08-01 11:57.

Trading stocks through the stock market is an extremely popular, and potentially profitable, method of making money. Typically, this process is done through a stock investor or trader. This is a firm that buys and sells bonds, stocks, and other financial assets. It is worth the time to familiarize yourself with stock trading strategies.

When you purchase stocks in a company, you are essentially buying a portion of the company. Basically, you will make money as the company makes money, and therefore lose money when the company loses money. This makes stock trading and the strategies involved very important. There are some basics you should familiarize yourself with.

A very common method of trading is called momentum trading. When utilizing this method, research is done into companies. This research is done in an effort to predict the future of the stocks. If the research shows that the company will probably do well, then stocks are bought. If the research predicts a decline, they are sold.

One very popular strategy, especially for those new to the process, is called penny stock trading. The goal is to purchase stocks in little known companies in the anticipation that they will do well, in turn making a profit on the investment. The stocks come cheap but offer considerable potential to make money if the right stocks are purchased.

Another common trading strategy is known as news trading. It is especially popular with novice traders. Basically, a trader will utilize breaking news reports to guide the buying or selling of stocks. As with all trading strategies, a bit of luck is involved. Being at the right place at the right time is important.

The stock market is a tricky thing to try and understand, much less make money from. Although there is little guarantees in this business, with the help of developed strategies, one can drastically improve their chances of making a profit. By educating yourself in these proceedings, you can put yourself into position to make money.

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Hello. My name is Mike Swanson. I’m the best-selling author of the book Strategic Stock Trading. In a former life I used to run a hedge fund from 2003 to 2006 that generated a return of over 78% during that time frame. In fact it was ranked in the top 35 out of 5,000 hedge funds in 2005.

After I retired from the hedge fund world I setup this website and blog. If you sign up for my free weekly email list below I’ll send you an update on average about once a week on my views of the current stock market trends and share with you actionable investment ideas.

Now I cannot promise you that every stock I find will go up in value. I can’t promise you endless 100% returns as others claim they do and as all the disclaimers say past performance does not necessarily predict future performance and you can lose all of your money in the stock market.

This is reality.

What I can promise you is my dedication to doing the best I can for you.

You see the key to making money over the long-run in the stock market is to manage your risk. Once you sign up to my newsletter I’ll send you a series of educational videos and writings showing you how I use stop-loss orders to cut any potential losses and how I use my two fold formula system that combines fundamental and technical analysis to pick stocks. My goal is to risk one dollar to try to make at least three dollars in my trades by looking for stocks that are priced cheaply on a valuation basis, have high earnings growth, and have excellent chart patterns.

So join my list below and let me help guide you on your journey in the stock market.