A Guide to Investing in Mining Companies and Mining Stocks. Learn how to analyze drill results, news releases, technical reports, secrets of the pros, market manipulation to watch out for and more! Don’t miss the rush on metals and mining stocks. Mining Stocks Investor Guide
The most awaited Automated Forex Trading System has finally been released and Affiliates and Customers alike are Eating this Up! Revolutionary technology puts the power of 4 Robots into 1 Power Packed Money Making Machine. You can’t miss this one! IvyBot #1 Forex Trading Robot, Largest Aff Payout on Cb!
The Dow Jones Industrial Average (DJIA often referred to simply as The Dow) is loosely a kind of measure of how well the country is doing financially. At least that’s what most people think. It’s really one of the measures along with the NASDAQ and the S & P 500 (500 largest companies). None of them are ACTUALLY good indicators of how well the country is doing!
It can all sound very confusing, but for this discussion, let’s ASSUME the Dow Jones IS indeed a measure of the “wealth” in the U.S.A. If you don’t follow these things on a daily basis, that’s not a problem, because I think you’ll still get a greater understanding of what’s going on in our economy (of which you are part) and it will help you in the near future by giving you the opportunity to prepare yourself.
Try this: open another tab in your browser and go to msn.com (or any other source to view a long-term view of the Dow Jones Industrial Average).
Scroll down and on the right click the word ‘Dow’ above NASDAQ and S&P.
On the right there is a graph called ‘$INDU Intraday Chart‘; at the bottom are some figures like this:
5d 1m 3m 1y 5yr 10y; these simply stand for 5 day, 1 month, 3 month, 1 year, 5 years and 10 years
Click the 10y link.
Finally, at the top of this new graph, next to the 10y tab, will be a tab called ‘Max’. Click that.
Now you can see what is actually a complete graph showing the DOW JONES index since just before the GREAT DEPRESSION in 1929. See what happened from about 1985? Where did all this great “wealth” come from? Where did it all go?
So, the Dow has “lost” over 7,000 “points” in the last few months. It can still go down a LOT further. Why? BECAUSE IT WAS NEVER THERE IN THE FIRST PLACE! “What?”. Look at the graph again.
NOTHING REALLY HAPPENED to make the economy boom in the late 1980′s. No fantastical new inventions; no sudden super-strong work-ethic gripped the nation; no new mega-deposits of minerals were found in the U.S. in effect NOTHING happened; nothing REAL anyway.
As you can also see on the graph, Black Monday in 1987 was a mere BLIP compared to what’s happening in 2008/2009.
So, back to our main DOW graph. If you draw a line on the graph from 1945 (end of the second world war) to 1985 and then continue the line straight-on to present day, what level does the line cross? Around about 2,000. WHAT??? Yep, around 2,000 points. Is that scary or what? Well, yes and no.
It COULD go down to around this figure, which would be the figure that the economy SHOULD have grown to, had the expert managers of the country over the past 25 years been a little more “expert” than they were.
Yes, because many more companies will go bust and pensions will be worth a lot less than the owners thought they were worth in mid 2008.
No, because of the following: the DIGITS in your bank account (or pension account) and the pieces of paper in your wallet (or under the mattress) are just that…………….pieces of paper or electrons whizzing around a computer.
This means that EVERYTHING ELSE is just the same as it was BEFORE the stock-market crash. There are the same amount of people (give or take), the same amount of ability, the same amount of raw materials, the same amount of EVERYTHING.
The ONLY thing that has changed is the MAKE BELIEVE stuff; that is, the management system that was being used to control these things.
This isn’t a case of deciding whether or not the system that governs the money flow SHOULD change, it’s INEVITABLE that it WILL change, because it’s completely out of control. This has happened before, and it will happen again. All that we are seeing now is a HUGE market adjustment. It’s adjusting to what it SHOULD be at.
However, just because the system will change, doesn’t necessarily mean it will change for the better. But change, it will.
While things are going to get a LOT uglier out there over the coming years, understand that you CAN do things to protect yourself and your loved ones. It’s a matter of adapting. This has been the way of the world since it all began.
You’ll have to learn new skills and be prepared to get into a habit of ongoing learning. The world is changing and to survive, and indeed prosper, you will have to change with it. So keep reading, keep learning and keep on keeping-on.
The only time you will fail is when you quit. NEVER QUIT!
Learn how YOU can make money online at http://www.ballisticbloggingforcash.com
And, for more ideas on how to make money on the internet, get a FREE copy of the book ?Fire Your Boss? at http://www.lukehawthorne.com
You may publish this article anywhere you choose so long as you include all the information above.
Probably sounds like a dumb question, but is there any rhyme or reason to day trading, or is it simply watching upward and downward trends on a daily basis.
Is it as simple as taking 300 bucks a day plugging it into the market and seeing what happens?
Could you day trade on couple hundred dollars?
**please dont leave a spam response**
9 comments - What do you think? Posted by
ziah691 -
at 11:25 pm
If you are a forex day trader or considering it, then you need to know the above facts, if you do they will save you a lot of money. Forex day trading is more popular than ever but how do you make profits? Let’s find out.
If you look online you will find more forex day trading courses than any other type of trading methodology and they will all lose you money here’s why:
Let’s start first of all with the vendors who sell courses
1. Why are they selling them?
To make money for themselves! They don’t normally trade their day trading systems because they know they don’t work.
If these systems could produce regular profits they would be to busy making money for themselves and not have the time to bother you for a few hundred dollars they would be to busy making money.
2. The Evidence That day trading doesn’t work
If you ask for a track record of profits from any of these vendors you won’t get one – What you will normally get is a hypothetical track record of huge gains but this is done in hindsight – KNOWING the closing prices.
If I knew tomorrow’s price today, I would be a multi millionaire but of course forex trading is a bit more difficult – you have to work out where prices are going without knowing them in advance!
These vendors use great advertising copy to dupe people but the logic of day trading simply doesn’t work. Why? Because:
3. All short term volatility is random!
Day traders will claim that it’s not – but of course it is!
Volatility can and does, take prices anywhere in a day and daily support and resistance levels are meaningless. When day traders lose, they blame the system or the indicators they use, however if volatility is random, then it is of course the logic of day trading that is at fault – NOT the indicators.
If you think that you can make money day trading go ahead and try but you will learn a very expensive lesson and lose.
I would love a day trader to prove me wrong and produce a real time track record of gains over the longer term (3 years or more), but have the feeling I will be waiting for a long time.
The belief that you can make money day trading, is one of the biggest myths of forex trading and despite the evidence it doesn’t work, traders still think they can win at it – they can’t.
NEW! 5 X Critical Trader PDF’s & Much More
Claim your FREE PDF’s and demo account and learn Forex Trading and also get: Breaking financial news, real-time market tight pip spreads, guaranteed stops $100.00 minimum investment and 400:1 leverage visit our website at http://www.freeforexguidesonline.com
Hi, I’m looking to try out some penny stocks. I’m a beginner in market investing so I’m looking for a easy to use website for penny stocks and without a big fee per transaction. In your own opinion which website do you think is best? And are you currently using it? Thanks!
I want to thank everyone who has taken the time to review and answered my question seriously. I will take the time to review what you’ve shown me and hopefully I can learn a bit something.
6 comments - What do you think? Posted by
ziah691 -
at 12:01 am
Steve G. Jones and Frank Mangano give you all the tools and techniques you need to lose weight, shed pounds, and live a healthy lifestyle in their brand new book by using the law of attraction and hypnosis to achieve a new level of health. Power of Thin: Change Your Mind, Change Your Weight