When looking to buy a company that you want to add to your portfolio, there are several things to look for. There are also several things to beware. I believe that any of the following red flags — signs of a bad stock investment — are sufficient cause to pass on a specific company. Major […]
There are lots of different ways to invest and so many companies to choose from. It can become overwhelming, especially for a new investor. If you are new to investing or are thinking about getting into the stock market for the first time, there are three things I believe everyone should know. Think simple The […]
It can be overwhelming when you are evaluating a company and considering adding it to your portfolio, but I believe there are five numbers that are key with any company. Before investing any money into a company, make sure you look at these five numbers. They can tell you exactly when to buy a stock […]
The payout characteristics of short selling are similar to buying puts. The value of both instruments increases when the price of the asset (or underlying asset) decreases. This is where the similarities end, however. In fact, these two types of trading are significantly different. Perhaps the biggest difference is the risk. The risk for the […]
Beginning options investors often struggle with the concept of put options. They have no trouble with call options. With calls, beginners usually grasp that you will buy a predetermined number of shares in the future. The expiration date is also decided ahead of time. Puts, on the other hand. give the holders of shares the […]
Imagine a scenario where you can make money while you sleep. Sounds too good to be true, right? Enter high-yielding dividend stocks. Now, there are lots of stocks in the market that pay dividends, but what I am talking about here is high yield. This means the amount the dividend yields in relation to its […]
An exchange-traded fund (ETF) is a collection of assets that track specific investment categories. For instance, SPY tracks the S&P 500. ETFs can also track sectors and industries, such as energy and technology. ETFs often support options, but is it a good idea to trade options on ETFs? ETFs may be less risky than holding […]
You will likely hear about technical analysis during your trading experience. Technical analysis is a discipline that uses stock prices to determine signals on when to trade. Many people swear by the practice. Others equate it to sorcery. While it may work for determining signals for stocks, can technical analysis help your options trading? A […]
With round lots of 100 shares becoming less important these days, we are seeing fewer stock splits it seems. There are a number of stocks that are trading above $200 a share and that is something we didn’t use to see very often — at least not when I first started studying the market, but […]
Anyone in the realm of finance or the stock market knows Warren Buffett. He is the billionaire CEO of Berkshire Hathaway and has been one of the world’s best investors for decades. That is why when he talks about warning signs of a potential crash coming soon, I pay attention. Warren Buffett has a market […]
