We are already in it, but you can't see it. It doesn't look like the one we had in '99. Like the magician who has you watching what he wants you to and with the other hand he is doing something else that is what is happening in the stock market today. The magician is the Dow Jones Industrial Average, the Nasdaq or the S&P500 Index. These have John Q. Public mesmerized.
The Nasdaq has given back 63% of the rally high since September 17 low while the DJI has only sold off about 18%.
As you see these averages going almost sideways or down and your own stock and mutual fund portfolio is doing the same so you come to the conclusion that the market isn't going anywhere right now. But there are hundreds of stocks making new high prices for the year just about every day. In fact, the majority of stocks that compose the S&P500 are higher. Why aren't yours doing the same?
Analysts separate stocks into different groups that they call sectors. There are mutual funds that buy stocks associated with these sectors and then the funds are separated into categories called peer groups. If you are not in the strongest peer group you are not making money, but you know that. Or did you?
Picking an individual stock that will double in a year is very difficult so I don't recommend you try. Instead look to see which are the strong peer groups to try to find a no-load mutual fund that is doing better than others. There are lots of them when you know where to look. This going to take a lot of work so I get someone to do it for me. He is an expert. A stock professional. A manager of a no-load mutual fund. No-load because I don't want to pay commission.
Some mutual funds are limited by their charter as to what they may buy so you can't go with them. Others do not have these restrictions. You limit your selection to these. There are 3 that are very outstanding now ? the Small Cap Value, Mid Cap Value and Real Estate peer groups. They are all in double digit profit territory while most mutual funds as a group seem to be going sideways. These can be most easily found by searching on the Internet or calling a discount broker to see if he will get you a list. Most of them do not want to do the work for you especially since there is no commission involved. If you care about your money you will do you own searching.
Making money in the market is all about being in the right place at the right time, but no one is going to do it for you.
Al Thomas' book, "If It Doesn't Go Up, Don't Buy It!" has helped thousands of people make money and keep their profits with his simple 2-step method. Read the first chapter at http://www.mutualfundmagic.com and discover why he's the man that Wall Street does not want you to know.
Copyright 2005
Today we are inundated with tons of information about the... Read More
A Guide to Using Stop Loss Orders Stop losses are... Read More
We have two candidates for president that have really different... Read More
For years I have been saying you must have a... Read More
There is a current movie entitled "Eternal Sunshine of the... Read More
I'll bet with almost anyone that has stocks or mutual... Read More
Let's discuss commodities; with the latest Enron situation, it is... Read More
Before you embark upon a journey of trading stocks or... Read More
Is really not as important as to how you invest... Read More
With the internet such a huge part of our daily... Read More
Many people would like to diversify their portfolios to expand... Read More
The greatest stock market myth is the idea that investing... Read More
Are hedge funds a suitable investment for you? Hedge funds... Read More
Every day in any financial publication you will find the... Read More
What is the Series 7 Exam? If you... Read More
Everybody is riding the Wall Street Roller coaster. Even if... Read More
You have decided to buy some stock or mutual funds,... Read More
The Macedonian Stock Exchange (MSE) is not operating successfully. True,... Read More
If you are a baby boomer, time is not on... Read More
This is the continuing story of our two imaginary traders,... Read More
There are formulas for just about everything, but it has... Read More
We learnt the following the hard way! If any of... Read More
That sounds like good advice doesn't it? Don't lose all... Read More
You probably have been told that options are risky. Even... Read More
Mutual funds were created with the idea that one person... Read More
If you have not back tested your trading system, you... Read More
TOO OFTEN, INVESTORS SIMPLY CHOOSE TO follow the crowd. This... Read More
How do you make money without picking tops and bottoms?I... Read More
Wall Street's watchword has always been diversification, but what does... Read More
Inverted interest rates? What's that? Who cares? Even if you... Read More
AS BUILDERS BEGIN WORK ON THE FREEDOM TOWER in New... Read More
I receive emails from Morningstar. This company provides statistics and... Read More
THERE'S SOMETHING TO BE SAID FOR standing firm in the... Read More
Stock investment advice is easy to find. Do you get... Read More
How can you dispel an illusion unless you look directly... Read More
We all know that emotions control every decision that an... Read More
If it walks like a duck, quacks like a duck... Read More
With an insecure job market, overworked employees, insufficient retirement savings... Read More
I love roller coasters. The steeper the better. High and... Read More
It looks like the market is ready to start up... Read More
Using Swing Trading Strategies and Technical Analysis when Trading Stocks... Read More
I was recently interviewed for a press release through a... Read More
I read a comment by a forum member on another... Read More
As I said in Part I everyone in the insane... Read More
Did you know you can make money (and a lot... Read More
The ABC's of Stock Trading SuccessStock trading success...why is it... Read More
So you're started trading, you bought some positions with your... Read More
When you stand on the ocean shore and watch the... Read More
A 'stock option' is a contract between two parties giving... Read More
For the last few weeks we have seen the stock... Read More
For some "long term" would mean holding a stock position... Read More
Having lived aboard a sailboat for 2 years I was... Read More
One of the basic laws of physics states that a... Read More
Recently I watched my favorite football team lose a vital... Read More
The stock market has been going up for more than... Read More
To begin, you might look at playing the stock market... Read More
If you don't know where you are going any road... Read More
Picking a beaten-down stock requires a different kind of selection... Read More
How do you make money without picking tops and bottoms?I... Read More
I would like to share with the reader an article... Read More
In 1960 an engineer working for a watch company in... Read More
Let's say you are interested in this one company. You... Read More
The fight continues to rage among traders who use technical... Read More
Ever notice how behavior in one area of life can... Read More
The trash business in its efforts to cook their books... Read More
∙ Make every investment in the stock market a long-term... Read More
Stocks & Mutual Fund |