Archive for February, 2009:
How to Get 50% on Your Money Risk Free
Unless you are a short term short, there are few places today where you can get a decent return on your money without risk. Cash yields under 1%. US Government bonds have sold off hard since last December, adding insult to injury for late stock market refugees. But there is one place where you can get 50% on your money virtually risk free.
Don’t laugh when I tell you where it is: it’s non-perishable staples. I did not say anything about stocks or investing, did I? But think about where you can keep your money safe for a while.
One obvious fallout from the recession are business bankruptcies and store closures. What happens when a store closes down? They have a 10% off sale, then, 20, 30, 50, 75, and finally 90% off before they start selling off the fixtures. Every household has items it always uses. If you don’t think regular prices on a particular item are going to drop, what happens when you stock up on that item when it’s 50% off? You get 100% return on your money - i.e. you spend $1 where you would usually spend $2. Whether it’s canned salmon, laundry detergent, or underwear does not matter.
Even if prices on an item you stock up on fall, they are not likely to fall 50% overnight. As long as you use up the item before then, you are OK. And the fact that you WILL use it makes keeping your money in it virtually risk free.
Another way to look at it: corporations make money in one of two ways - by increasing sales or cutting expenses. Either method adds to the bottom line. You can do the same. If it’s not a good time to grow your money, spending 50% less amounts to the same. You get to keep more of it, even if you only get 1% on what you keep.
Now, I have to admit: I did not come up with this strategy. My wife did. I realized that when she told me that dry paprika costs 50% less at Smart & Final than at Henry’s Marketplace (both regional chains in California). Granted you have to buy a lot, but if you use paprika regularly, why not stock up on it while you can?
What’s required for this strategy? Keeping your eyes and ears open for signs of possible store closings, and relentless comparison shopping. What are some of the safety measures (besides knowing that you will use the item)? Good door locks and up-to-date homeowner’s insurance. Well, maybe some extra storage space. The end result: 50% return on your money. Risk free. Right now. Guaranteed.
Slav Fedorov is a full time stock trader and founder and managing member of TradingZoom, LLC - a provider of timely stock picks in small caps based on proprietary selection methods.
Article Source: http://EzineArticles.com/?expert=Slav_Fedorov
Time to back the buck?
I have to start out by stating that “I love the forex markets.”
But what’s this?
Here we are going to hell in a handbasket in the US, yet everybody wants to own dollars.
Go figure.
I have to say that the dollar may be the lesser of all evils in the financial world. Here’s what I mean by that statement: I heard that a Chinese businessman who lives in Hong Kong said that the stimulus plan would not work in China, simply because there is so much corruption.
I guess in the US we only have a few bad applies, while China it’s almost like they have orchards full of bad apples.
But I digress…
Let’s take a look at the US Dollar versus the Japanese Yen (USDJPY). A few weeks ago, I did a video outlining my predictions for this very cross.
http://www.ino.com/info/297/CD3208/&dp=0&l=0&campaignid=3
Well, after being stopped out of our first position for a small loss, we had another signal based on our daily “Trade Triangle” technology, which issued another entry signal at a very good level. The level is clearly indicated on the chart and you’ll see this level in my new video for this cross.
The video, as always, is free of charge and there’s no need to register. This is an educational trading video to show you one of the most important technical chart formations and how to incorporate our “Trade Triangle” technology to come up with big winners.
For as long as I’ve been in the investment game (over 3 decades), this simple formation continues to show itself year after year.
http://www.ino.com/info/297/CD3208/&dp=0&l=0&campaignid=3
Enjoy the video, and please feel free to make your comments known on our blog. Before I forget, here’s the link to the first video we did on the USD/YEN cross a few weeks ago.
http://www.ino.com/info/288/CD3208/&dp=0&l=0&campaignid=3
All the best,
Adam Hewison
President, INO.com
Co-creator, MarketClub