The Most Important Indicators for Trading ASX Stocks
Best Technical Indicators for Identifying Entry and Exit Points Getting prepared to take that first plunge into trading stocks on the ASX requires a significant amount of time spent learning the rules of the game. At the onset, most newcomers to share market investing learn there are two broad approaches to evaluating specific stocks for…
Why Volume is an Important Clue for Traders
Volume and Price Action Go Hand in Hand The first time a newcomer to share market investing checks a price movement chart for a potential stock to buy it is likely they concentrate on the price action and ignore the volume bar chart at the bottom of the chart. Most people who have never bought…
Pairs Trading: A Guide for Australian Investors
Pairs trading involves first identifying the correlation of the price action of two stocks in similar sectors with similar business models. When the stock price of two highly correlated stocks begins to go in opposite directions, investors can take a long position on the stock dropping in price and a short position on the stock…
Buy Low, Sell High – But What is Low?
How Low is Low Enough in Buy Low/Sell High Investing? Buy Low/Sell High is one of the most cited adages in the world of share market investing. Newcomers to stock investing coming across Buy Low/Sell High learn it is a catch phrase for an investing strategy that seems obvious. When newbies actually think about using…
Trading ASX Stocks with Elliott Wave Theory
Elliot Wave Theory – Stock Market History Repeats Itself In the 1930’s a professional accountant named Ralph Nelson Elliot relied on both the psychology and sentiment of stock market investors to develop a theory of stock price movements that contradicted the prevailing opinion of the day that markets were inherently random and chaotic. Elliot believed…
How To Break Bad Trading Habits
Developing Good Trading Habits Planning is said to be the most important of all management functions. One of many planning definitions states a plan specifies what is to be done, when is it to be done, how it is to be done, and who is going to do it. Planning is forward looking, created for…
Capital Gains Tax: A Guide For Australian Traders
What To Do When the Taxman Cometh Of all the issues confronting newcomers in their search for learning the rules of the game, it is quite possible that the last one that comes to mind is taxes. After all, selling stocks usually comes much later in the investment process, especially for those investors attracted to…
3 Steps To A Profitable ETF Portfolio
Investing in Exchange Traded Funds (ETF) – a Diversification Strategy Prior to 27 August of 2001, Aussie investors following the advice of financial experts to build a portfolio of diversified stocks, bonds, and fixed income assets had two choices. Embark on the arduous task of researching potential buys in all individual asset classes or investing…
Top places to invest $500, $1000, $3000 and $5000
Investing on a Nest Egg from $500 to $5,000 Dollars There is truth to the time-tested idiom that it takes money to make money, but a more relevant question for many would-be investors looking for top places to invest is how much is enough to get started? Money management experts might be likely to begin…
Can I Buy Optus Shares?
What Happened to Optus Newcomers to investing in companies on the Australian Stock Exchange who might begin searching for the best of the best Australian telecommunication companies will find graphs like this one, showing our top telcos by market share: Their search will grind to a halt when they look for shares…