Day trading risks: What to know

Risks of Day Trading Day trading risks, what are they? The risks are plentiful for a novice trader.  A Day trader salary can be enticing , but you need to dig deeper.  It’s important to to your due diligence before jumping in head first. Day-trading also has major advantages and also major drawbacks just like many professions.  Needless to say it boils down to the inherent financial risks of trading for a living.  Day-trading for a living is something which should only be considered after proving that you know what your doing on a small scale and then building up. Only experienced traders and risk takers should take part, as the stakes are high in this game. Day Trading stocks can be very profitable.  As a day trader, you will decide your own fate, buy you should weigh your results on a cost target and a time scale.  Keep in mind, a great day for investors isn’t always an excellent day for day traders. Day traders can often earn more money the market is going down, once the economy is really in a recession, or when there’s a crisis by shorting the market. Retail Forex trading has become a popular method to day trading, high liquidity and also the 24-hour feature of the marketplace are major draws. By definition, day trading may be the regular practice of purchasing and selling one or more security positions and closing the position the same trading day.  Understanding your options as a traders is step one in helping you understand how a stock will perform in the short term. Stress is a major part of everyday trading.   Day trading can be...
Microcap Stocks:  Can Be Rewarding Investments

Microcap Stocks: Can Be Rewarding Investments

What are Microcap Stocks? Microcaps have a market cap of $50 million to $300 million.  Most traders go for the bigger companies and bigger name stocks when investing.  As a result there are many micro-cap stocks that get overlooked. Microcap stocks sell for $5 or less per share. While you most likely will not become the next Warren Buffett by investing solely in micro-caps, you can and should add a small percentage to your portfolio.  Just as you will not become filthy rich with microcaps, you will most likely not go broke either. Because of the minimal selling price there is so much less risk. Whether you are looking to improve your existing portfolio or you are just getting into investing, and you do not have a lot of money to spend, these micro stocks can be an rewarding investment. Some of the companies that exist in the micro-cap sector are relatively new, which makes researching them a bit more difficult than a company such as GE.  If you do spend the time you can find some excellent stocks. When looking for a microcap stock to invest in you should consider things such as management, what the current hot products in the industry are, and some evidence of...

5 Biggest Stock Market Criminals of 2016

Biggest Stock Market Criminals   Stock Market Criminals of 2016 Samuel DelPresto:  Sam is our 1st stock market criminal, he teamed up with others to secretly obtain control of substantially all available stock in four micro-cap companies and to facilitate coordinated trading that created the appearance of liquidity and market demand for the stocks.  After unwitting investors were enticed through promotional campaigns to buy the stock at inflated prices, DelPresto dumped his shares on the market. Like most penny stock crooks, he thought the SEC would somehow not know what he was up to. Game over Sammy!     Martin Shkreli: according to the SEC’s complaint filed in federal district court in Brooklyn: Shkreli was portfolio manager for the hedge fund MSMB Capital Management LP from October 2009 to March 2014, and also served as portfolio manager of another hedge fund he founded and controlled named MSMB Healthcare LP Shkreli is a notorious stock market criminal, he misappropriated about $120,000 from MSMB Capital Management from October 2009 to July 2011 to unlawfully pay for food, clothing, medical expenses, clothing, office rent, and cash withdrawals. Shkreli misled investors and prospective investors in MSMB Capital Management about the fund’s size and performance, claiming for example in July 2010 to have “returned +35.77% since inception on 11/1/2009.”  In fact, the fund generated losses of about 18 percent. In another example, Shkreli falsely stated in December 2010 that the fund had $35 million in assets under management.  In fact, the fund had less than $1,000 in assets in its bank and brokerage accounts. Shkreli lied to one of MSMB Capital Management’s executing brokers in...

Best Penny Stocks to Buy.

Best Penny Stocks to Buy. Best Penny Stocks.  Penny Stocks is a business, and you need to develop a clear plan of attack. A “business plan” if you will.  The most important factor to consider before speculating in the Penny Stock market is that you must establish a trading plan and not deviate from it. Greed is the cause of deviation. If you are able to stay focused and follow your trading plan, the you will become a successful trader. Follow these 2 simple rules that are easy for anyone to remember and will help you lock in a profit. RULE 1. Learn to accept many small losses.  Money cannot consistently be made trading every day-week-month of the year.  Whenever you trade into a losing position, take the loss and move on.  NEVER add to a loosing position.  Wishful thinking will get you in deep sh*t and must be taken out of your mind. RULE 2. Lock in your profits.  Once you relize a capital gain and see the stock starting to loose some of its steam, or reach the HOD, then it’s time to sell.    Simple rule to rember when locking in profits always take half.   So if I’m up $2,000 on the day. I lock in half my profits by selling half of my position, and keep the other half to ride the wave.  Remember to set a stop loss on the remaining position to protect your profit. Penny Stocks are very volatile and you can see your profits evaporate in a matter of minutes if you are not careful.  If you are up, sell and move...
Nct-ID (NXTD) Who Needs the Powerball!

Nct-ID (NXTD) Who Needs the Powerball!

NXTD, Nxt-ID, Inc. – NCM 0.44 0.04 (11.48%) As of Jan 14th, 9:58 AM EST – U.S Markets Open. I’ll keep this short and sweet.  $NXTD is soaring this week.  This momentum could be a catalyst for a mega run, get ready!       Business Summary: Nxt-ID, Inc., an early stage technology company, focuses on products, solutions, and services that have a need for biometric secure access control. The company develops Wocket, a physical electronic wallet that is intended to hold information from credit cards, debit cards, loyalty cards, identification cards, and virtually any magnetic stripe card to allow the owner of the card to configure a single electronic card to replicate any of the copied cards for mobile payments; and MobileBio VoiceMatch, a method of recognizing speakers and specific words providing multi-factor recognition for allowing an individual access to multiple devices. It also offers FaceMatch, a modular facial recognition system for smartphones, tablets, laptops, and desktop computers; 3D FaceMatch Biometric Identity System, an identity management platform providing 3D facial recognition, 2D facial recognition, and optional fingerprint biometrics for travel and immigration, access control, and law enforcement; and 3D SketchArtist, a 3D software face composite sketch tool for use by law enforcement professionals for sketching a face. It intends to serve military and homeland defense, law enforcement, commercial, and consumer markets. Nxt-ID, Inc. was formerly known as Trylon Governmental Systems, Inc. and changed its name to Nxt-ID, Inc. in June 2012. The company was founded in 2011 and is based in Oxford, Connecticut.  ...
SUNE Stock is Making Daytraders Rich.

SUNE Stock is Making Daytraders Rich.

SUNE Stock: Company Description SunEdison, Inc. ($SUNE) engages in the business of semiconductor and solar technology. It develops, manufactures, and sells silicon wafers and photovoltaic energy solutions.  It operates through the Semiconductor Materials, TerraForm Power, Inc. and Solar Energy segments. The Semiconductor Materials segment includes the development, production, and marketing of semiconductor wafers, which are utilized in the manufacture of semiconductor devices. The Solar Energy segment provides solar energy services that integrate the design, installation, financing, monitoring, operations and maintenance portions of the downstream solar market. This segment also manufactures polysilicon, silicon wafers and solar modules. The TerraForm Power, Inc. segment owns and operates clean power generation assets. The company was founded in 1959 and is headquartered in Maryland Heights, MO. Unless you’ve been hiding under a rock you’ve heard of SUNE.  It’s the Hottest trading solar stock in the market right now.    Since the world leaders decided to dedicate resources to curbing global warming, solar stocks have been on a tear. SUNE took a beating most of 2015.  But since Mid-November you’d be hard pressed to find a more active stock. It’s important to remember solar stocks are historically risky.  Many of the companies are based out of China.   The Chinese are notorious for being secretive and they often use lets say “fussy math”.  It’s no different when it comes to financial reporting of public companies based out of China.    Take BABA for example investors are often in a state if wonder, as the reports often conflict with the actual results. Investing in Solar is a high reward/high risk proposition.   Volatile stocks with high liquidity are key indicators for day...