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When should traders be in or out of the market?

There are times when traders should NOT be in the market. There are other times when the market is rocking and traders should get aggressive. How can you tell the difference? Here are 5 helpful tips.

1) Accumulation and Distribution Days: When should traders go to cash? Follow the big boys! The big institutions control the market, so pay attention to their actions by tracking accumulation anddistribution days. When institutional selling builds up over a short period of time (2-4 weeks) AND leading stocks start to break down, that is a great sign to start raising cash. Why? Because 4 out of 5 stocks move in the general direction of the market. I don’t care how good the company is, when the market’s in a downtrend, you don’t want to fight it.

2) Uptrends and Downtrends: Don’t get caught up with the terms Bull and Bear market. Just recognize if we are in an uptrend or a downtrend. For example, use the 50-day moving average on the NASDAQ Composite as a general indicator to be in or out of the market. Above the line usually means we’re in an uptrend and it’s a green light to be in stocks…below the line, downtrend and red light.

3) Scale In: When conditions start to improve, SLOWLY scale back in. There’s no reason to rush. Take a few positions and test the waters. If the rally is for real, there will be PLENTY OF TIME to make money. If you are wrong, at least you can get out quick with minimal damage and protect your portfolio. Think Defense First!

4) Buy the Strongest Earnings & Sales Growth: When markets are in a confirmed uptrend, what stocks should you buy? Be in the best! Don’t settle for low rate stocks. Look for companies that have strong earnings and sales growth. Why be in dead-money stocks with little growth potential? We’re in this to make money, right? So be in stocks that have a higher probability of moving up!

5) Fundamentals AND Technicals: Why does it only have to be one or the other? Why not USE BOTH! We want as many factors as possible in our favor when trading the market. Therefore, start with strong fundamental companies AND combine the proper technical timing to identify ideal entry points to effect your best risk vs reward trades. (more…)

DIFFERENCE BETWEEN THESE TWO GROUPS OF TRADERS

There must be a difference between these two groups of traders – the small minority of winners and the vast majority of losers who want to know what the winners know. The difference is that the traders who can make money consistently on a weekly, monthly, and yearly basis approach trading from the perspective of a mental discipline. When asked for their secrets of success, they categorically state that they didnt achieve any measure of consistency in accumulating wealth from trading until they learned self-discipline, emotional control, and the ability to change their minds to flow with the markets.

Law suit? Porn addict? Divorcing? Seeking investment ideas? Worried about the world?-Just Spare 5-10 minutes to read this sermon

Jesus of Nazareth was a Jewish carpenter that was born about 2,000 years ago in Bethlehem, which is now a Palestinian city located in the central West Bank about 10 kilometers south of Jerusalem.  Over the course of a very short period of time (about a year) Jesus developed a large following as a miracle worker and religious teacher.  He was publicly executed by crucifixion around the year 35, and many millions believe the historical narrative that he was raised from the dead after three days in a tomb, and later ascended into the heavens.

Below is an English translation of one of Jesus’ very famous outdoor lectures, which was widely shared by his disciples that were present, and eventually written down circa 70-90. 

If you take 5-10 minutes to read this sermon, then you will know what being a Christian is actually supposed to mean. 

I like to read this first thing in the morning, immediately followed by a few minutes of meditation where I sit quietly listening.  I would not expect everything in the reading to speak to you, but I believe something will, as is always the case for me.

Jesus’ Sermon on the Mount

Excerpted the Gospel of Matthew – Chapters 5-7 (more…)

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