Warrants – A Beginner’s Guide
The Basics of Warrants The history of derivative investments goes back thousands of years when financial contracts whose value relied on, or “derived from” an underlying asset came into being. In the early days, the underlying assets were most often agricultural commodities with a contract setting a future time and price for purchase. In today’s…
How to Set Up a Watch List
Newcomers to share market investing quickly learn the need for a plan to guide investing decisions. The critical question facing investors is how to make an investment decision. How does one determine which stocks, or bonds, or commodities to buy? In today’s market environment, many younger investors rely on social media investing groups for ideas…
The Best ASX Mining Stocks to Buy
Australia is known the world over as a premier mining country. ASX mining stocks are in the top tier of the world’s producers of lithium, nickel, copper, gold, silver, and other metals and minerals. The world runs on hard commodities that come from the earth. Australian investors are blessed with a wealth of stellar miners…
The Best ASX Dividend Stocks to Buy
At the close of the first quarter of 2024, an article appeared here on thebull.com.au highlighting five of the best dividend stocks on the ASX at that time. At year’s end, their fortunes have changed, but the mechanics of qualifying a stock as a best in breed dividend stock. Here are the mechanics, unchanged. An…
The Importance of Portfolio Diversity
Mitigating Risk with Portfolio Diversification What is Portfolio Diversity? Portfolio diversity is a risk management strategy where investors spread their investments across different asset classes, industries, and geographic regions so the risk of a downturn in one investment can be offset by better performance in another asset class or geographic region. Investing history has seen…
Want Growth and Value Shares? – Try the GARP Investing Strategy
Combining Strategies with Growth at a Reasonable Price (GARP) Investing Newcomers to share market investing quickly learn there are two major categories of stocks around which they can build their trading strategy – Value stocks and Growth stocks. Investing in either category requires an assessment of the fundamentals of the company’s business. This fundamental analysis…
How to Use the Simple Moving Average (SMA) to Trade Australian Stocks
Trading with the Simple Moving Average (SMA) Moving averages are technical analysis indicators designed to smooth out price movements by determining an average price over a period of time. There are two major types of moving averages in use – the simple moving average (SMA) and the exponential moving average (EMA). The EMA is considered…
A Trader’s Daily Routine
A Regimen for a Daily Trader To a large extent, a trader’s daily routine is determined by the kind of trader he or she is. Some market experts claim there are eight different types of stock market traders, differentiated by the time frame of their trades. Timing is common to all traders and investors as…
CANSLIM Investing – Does It Really Work?
Does the CANSLIM Investing Strategy Live Up to its Claims? In the 1950’s, a young stock broker based in the US wondered if the high performing companies he followed shared any common attributes. In short, were the secrets of their success following the same path. After years of research, William J. Oneill uncovered seven traits…
How to Use the Relative Strength Index (RSI) to Trade Australian Stocks
Using the Relative Strength Index for Buy and Sell Signals Investors overwhelmed by the host of technical indicators they find on most stock selection graphs available on trading platforms and financial websites might be surprised to learn in 1978, there were only two technical indicators in use. Then came engineer turned real estate developer turned…