Archives of “business” tag

rss

China greasing economy with $55bn in tax breaks

  
Analysis, Education
#  #  #  #  #  #  #  #  #  #  #  #  #  #  #  #

China’s State Council on Wednesday approved 380 billion yuan ($55.1 billion) in tax relief that will mainly favor farmers and small businesses in a move that is seen as both economic and political.

The second large-scale tax cut to follow last year’s comes as China’s economy is forecast to slow down in the latter half of 2017, during which the Communist Party will convene its 19th National Congress and reshuffle top leadership.

China will modify its value-added tax this July by removing the 13% bracket while retaining the 6%, 11% and 17% tiers. The 13% rate currently applies to farm products and natural gas, but they will move to the 11% category. Farmers as well as households that purchase rice and vegetables will likely benefit from this change.

For smaller companies, those that pay 300,000 yuan or less in annual taxable revenue qualify for preferential tax treatment. The ceiling will be lifted to 500,000 yuan. Furthermore, small businesses and startups will be allowed to deduct 75% of research and development costs, up from 50%. These tax breaks will remain in effect until the end of 2019.

The Chinese government enacted about 500 billion yuan worth of corporate tax cuts in 2016. Helped also by a surge in infrastructure spending, the real economy grew 6.9% during the January-March period this year, marking the second quarter of economic acceleration. However, the People’s Bank of China, the country’s central bank, has been gradually raising market interest rates in order to rein in the real estate bubble. (more…)

Traders Should Have These 5 Qualities

  
  Education
#  #  #  #  #  #  #  #  #

1) Capacity for Prudent Risk-Taking – Successful young traders are neither impulsive nor risk-averse. They are not afraid to go after markets aggressively when they perceive opportunity;
2) Capacity for Rule Governance – Successful young traders have the self-control needed to follow rules in the heat of battle, including rules of position sizing and risk management;
3) Capacity for Sustained Effort – Successful young traders can be identified by the productive time they spend on trading–research, preparation, work on themselves–outside of market hours;
4) Capacity for Emotional Resilience – All young traders will lose money early in their development and experience multiple frustrations. The successful ones will not be quick to lose self-confidence and motivation in the face of loss and frustration;
5) Capacity for Sound Reasoning – Successful young traders exhibit an ability to make sense of markets by synthesizing data and generating market and trading views. They display patience in collecting information and do not jump to conclusions based on superficial reasoning or limited data.

Warren Buffett Warns Amateur Investors Against This Common Mistake

  
  Education
#  #  #  #  #  #  #  #  #

Today’s Smart Investor tip comes from billionaire investor Warren Buffett, who outlined the biggest mistakes amateur investors make for Adam Shell at USA Today.

The Oracle of Omaha warns investors against an incredibly common mistake: You shouldn’t try to time the market. He says it’s a mistake to predict or listen to others who predict the short-term movement of stocks. By the same token, he says you shouldn’t try to flip stocks like high-frequency traders do.

Instead, Buffett says the best thing the average investor can do is buy an index fund over time. That’s it. From USA Today: (more…)

CHANGE IS ESSENTIAL

  
  Education
#  #  #  #  #  #  #

The stock market, just like life, can change on a dime.  In the market, just as in life, we must learn to adapt to change.  What separates the great trader from the rest of the crowd is his or her ability to change based on current market conditions.  In other words, NO EGO ALLOWED.  Mark Douglas, in his first book entitled The Disciplined Trader writes,

“There must be a difference between these two types of traders-the small majority 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 didn’t 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.”

We trade the current market conditions as they unfold with a plan to trade one way or the other.  To do otherwise would be to fight an undefeated foe.

What Does A Trader Do ?

  
  Education
#  #  #  #  #  #  #  #  #  #  #  #  #  #  #

smile-cute

One thing that I couldn’t accept as an attorney (for the five minutes I seriously considered that as a profession) was that I’d be confronted with the temptation to make money from projects and clients with whom I did not want to work. The wealth that is created from doing a law-job is wealth that comes from the support of, allegiance to, and active promotion of a client’s business. (more…)

5 Obstacles For Traders ,Just Cross Them & See Great Results

  
  Education
#  #  #  #  #
  1. YOUR EGO: It wants you to PROVE you are right, it wants you to trade big, the ego wants you to be confident in your ability to trade before you are competent in your trading through the right education and experience.
  2. YOUR FEARS: Fear makes you afraid to take your entry when it is triggered and afraid to let a winner run thinking it will turn into a loser. Fear comes from a lack of faith and lack of faith arises from lack of the proper study before you start trading.
  3. YOUR GREED: It makes you trade too big and too much. Greed makes you want to risk too it all to get rich quick. Greed usually leads to get broke quick trades. Greed wants to take a short cut to success and you have to travel the full road to get to where you really want to go. You have to go through the work and experiences to get to success.
  4. NO TRADING PLAN: If you do not have a map it does not matter where you want to go you will end up somewhere else. Every trade should be planned when the market is closed and then executed reacting to prices when the market is open. With no plan long term results are virtually impossible.
  5. YOU: The weakest part of any trading system is the trader that is suppose to follow it. If you do not put in the work to develop a trading plan that fits you, develop and keep discipline, manage your risk, and stick to the plan regardless of how you feel then no trading system will work for you.

7 Points For Traders

  
  Education
#  #  #  #  #  #

1. Hope is not a strategy.TRADING-7
2. Plan your entry and exit before you make a trade.
3. If you are unsure of what to do, get out.
4. Only trade when you have an edge.
5. Track all your trades. If a strategy loses money, abandon it.
6. Do not focus only on potential gains but also on potential losses. Trade only when the risk/reward ratio is favorable.
7. Don’t let a very good profit disappear or turn into a loss because you want an even bigger profit.

10 Types of Trading Animals:Which Are You?

  
  Education
#  #  #  #  #  #  #  #

The Bear- This trading animal believes the market will be going down and plays the short side. Bears think that a market is going to be very red.

The Bull- This trading animal is very optimistic that the market will be green. Bulls love to buy and believe their screen will be full of green.

The Whale- This trading animal can move prices when it buys and sells. The whale has to faze into positions and out of them so it does not make big enough waves to attract piggy backers. A lot of money can be made trading along side the right whale.

The Pig- This trading animal likes to trade big and often. The problem is that the pig does not know how to exit a winning trade he usually has too big of a target, too big of a position size, and too big of a time frame.

The Shark- This trading animal is just about making money, it gets into trades, makes money and gets out. It has little interest in big complicated theories or esoteric methods. The shark keeps it simple it makes money then moves on to the next opportunity. (more…)

10 Tips For Managing Trader Stress

  
  Education
#  #  #  #  #  #  #  #  #  #  #

Traders should never underestimate the role that stress plays in their trading. Many more will succeed or fail based on their ability to handle stress than will have their winning and losing determined by a robust method, mentor, or risk management. It is even possible for a trader to win consistently and still not be able to win in the long term due to the fact that they can not get comfortable being uncomfortable with capital on the line with an unknown outcome. Others will simply burn themselves out stressing excessively while losing and also stressing when they win scared they will give back their profits. If you are  going to be a successful trader you will need to manage the weakest link in any trading system: the trader. Stress management is the traders weakest spot. You have to be able to handle the heat of trading so you don’t melt.

 Here are the ten ways to manage your stress in trading:

1). When you get over excited calm down by concentrating on your breath.
2). Never trade so big that one trade will make or break your account, trading career, or lifestyle. 
3). Only trade systems and methods that you fully understand and have faith in for profitable in the long term.
4). Visualize yourself being a success as a trader.
5). Slow down your trading to a pace that does not rattle your nerves. 
6). Connect with like minded traders that understand your battles and goals.
7). Study and do so much homework about trading that you begin to have unshakable confidence in yourself. 
8). Stop doing what does not work in your trading and start doing more of what does work for you and makes you money.
9). Do not let others shake your confidence, do not accept any unsolicited advice from anyone, stick to your game plan. 
10). Accept your losses quickly when stops are hit to avoid emotional damage and stress from big losses.

Do everything you can to prevent the damaging effects of stress on your trading and life. (more…)

Eurozone Markit Feb mftg PMI final 58.6 vs 58.5 exp

  
Analysis, Education
#  #  #  #  #

Eurozone Markit Feb mftg PMI final data now out 1 Mar

  • 58.5 flash
  • mftg output 59.6 vs 59.5 flash
Do you yearn for those heady days of yore when a 0.1% change in final PMI’s gave us a 20-30 pip move ?!
EURUSD still drifting lower and now 1.2188. Decent demand between 1.2150-80 should help contain further falls quite apart from the 1.2150 and 1.2200 option interest.
Go to top