The biggest market drop in recorded history on Monday… a wild end-of-day plummet on Tuesday… a huge up day on Wednesday… and more bullish action today?
Talk about opportunity!
Right now the only real barrier to trading profits is a stock that doesn’t move.
So in times like this, I like to use a really great tool that identifies what I call my “Top Movers” – the stocks and ETFs that have had the biggest % move and best correlation to the market. They’re listed at the right. In this way I can focus on finding the best stock with the best option trade, with the best potential to double in value on the smallest move in the stock.
That’s a lot of “bests.”
This is a really simple tool, and I know you’ll like it. Continue reading…
After yesterday – the worst trading day in recent memory – I want to get serious with you about risk.
If you get this right, you could have banked serious profits yesterday.
And I want to make sure you DO get it right.
One of the biggest mistakes investors can make is being too heavily invested in one trend, one sector, or even a single stock. Diversification is a tool that traders use to mitigate risk. The thinking goes, if you spread your investments out, your gains will neutralize your losses and you will yield better returns over time.
Your financial advisor has probably encouraged you to diversify your holdings by buying different stocks in different sectors, some commodities, some gold, and even some downside protection. But it’s difficult for the average investor with a limited budget to diversify in a way that truly cuts risk – experts say you should own somewhere between 25 and 30 stocks for it to really work.
That’s great – if you can afford it. But there’s another way to diversify that your broker or your financial advisor probably won’t tell you about, and it’s a great way to truly slash your risk. Continue reading…