Month: September 2013

EURUSD’s downward movement from 1.3451 extends to as low as 1.3105. Resistance is at the upper line of the price channel on 4-hour chart, as long as the channel resistance holds, the downtrend could be expected to resume, and further decline to 1.3000 area is still possible. On the other side, a clear break above the channel resistance will indicate that the downtrend from 1.3451 is complete, then another rise towards 1.3500 could be seen.

Provided by ForexCycle.com

By www.CentralBankNews.info

Article by Investazor.com

Good news started coming for Apple and better years are expected. The American multinational corporation is close to sign an important agreement with the biggest mobile carrier in the world, China Mobile. In order to have the full Asian market covered, Apple is considering a settlement to sell its mobile phones by Docomo, the Japan’s largest carrier. The deal with China has finally reached an agreement mainly because cheaper phones will be provided by Apple, the iPhone 5C which is considered to be affordable and in line with the expectations of the Asian consumers.

Next week Apple will launch its brand new iPhone 5S and the brand new and cheaper iPhone 5C which despite its low price, represents the product that is expected to boost sales. There are also rumors about the third iPhone, a larger one named iPhone 5L, which most probably will hit the market in the beginning of next year. The surprises list continues with the October launch of the new operating system named OS X Mavericks, expected to offer an improved battery performance, desktop versions of iMaps and iBooks and advanced multiple display support.

Therefore, Apple’s stocks will  be the most tracked in the following period. The company may be on the right path, now that is offering a mix of high quality products that are affordable for a wider range of consumers. The variety of products, prices and the extended targeted area may the needed approach of this business, given the market and its main players.

The post Watch Out Apple’s Stocks appeared first on investazor.com.

By Admiral Markets

Most people think that the reason people fail and lose a lot of money at forex trading is because they do not have a sound strategy, or they simply do not know what they are doing. Although these factors do play a role on why people fail, the biggest reason for failure in the forex marketplace can be when people lose control of their emotions. This will usually lead forex traders into some very bad decision-making and permanent damage to their account balances.

It can be pretty easy for you to put the blame on your broker, on the markets or anything else for that matter if your trade does not go in your favor. But, if you are the one at fault because you chose not to follow and execute your trading plan, and you chose to go with your emotions instead, then the blame is all on your shoulders.

If you want to be a successful trader, then you need to learn how to keep yourself calm and collected even when things get rough. In fact, sometimes this can be one of the biggest differences between a losing trader and a successful trader in the forex markets.

How to Control Your Emotions

This may sound a bit weird, but in order for you to achieve success, you must first experience how to lose; or at least learn what it feels like. When you go into a trade and you find that it is gradually going south, your first impulse can be to get out of there before you lose even more money. Though that is a safe way to play things, if your trading plan calls for it, you should be sticking around looking for the market to move in your favor. Keep in mind that the forex market is incredibly volatile, and you need to factor this into your trading decisions and strategies.

To prevent yourself from incurring really large losses, you should always place a stop-loss order on your forex trading platform; this way, you do not have to constantly watch the market, which will only turn you into a nervous wreck.

On the other hand, when your trades are actually going better than you thought, it will make you want to stick around to find out just how high your profits will go. This can be pretty exciting, and also very risky because the market may take a nosedive when you least expect it. So, to make sure that you are actually making a profit, place an order on your platform to get out once you have made a certain amount of money; just make sure that you place a decent number.

Stop-loss orders and take-profit orders – a recommended part of any trading plan – can be extremely helpful in controlling one’s emotions as they cut down on the amount of trading decisions one has to make and help to eliminate unnecessary emotional stress that can accompany those decisions.

In Closing…

Even experienced traders sometimes lose their cool when they are having a hard time differentiating what is actually happening in the forex marketplace, and what they think is happening there. Your success at forex trading will mostly depend on having a good trading plan or strategy, how well you stick to your plan and, ultimately, how well you can control your emotions, so you should learn how to keep them at bay.

Source: www.admiralmarkets.ae

By Investment U

This has to be the third or fourth time I have talked about cigarettes as an investment, but now they’re an even better buy.

Currency issues have driven the price of PM – Philip Morris (NYSE: PM) – to lows not seen since 2012, and that means a buying opportunity.

Here’s a company with all the right moves: a forward P/E of 13.7, a 4.1% dividend and a long history of dividend increases, 10% to 12% EPS growth, and a worldwide market that, despite the health risks, continues to grow.

Cigarettes are certainly not my thing – I quit in 1981 – but the rest of the world has a very different perception of smoking. While smokers here at home are becoming less common, the habit is still very prevalent in most of the world, especially Asia.

Dividend increases for PM are expected to be in the 5.9% to 8.2% range, which is lower than past increases, but the payout ratio is still in the safe 60% to 70% area.

Since the spinoff from the old Philip Morris Companies, they have spent more on stock buybacks than in dividend payments, and in less than five years have bought back almost 25% of their stock. That’s a mountain of money returned to shareholders.

And the company has another $12 billion left of the total $15 billion to spend on its current three-year buyback program.

If you combine share buybacks with dividends paid, it works out to about a 9% average return to shareholders.

The current stock price is too low, and this one is a great buying opportunity for long-term investors: Philip Morris.

A Report Card on Market Timers

You can’t turn on CNBC or look at the Journal or even Barron’s without seeing or hearing a story about a top in the market or a sell-off. So, I thought it might be a good time to take a look at how the market timers have been doing.

According to Barron’s, the market timers with the best long-term record records, 20 years, are more bullish now than before the sell-off that started in May, when Bernanke’s comments about tapering shocked the market.

And, as you might have guessed, the most bearish market timers have the worst 20-year track record and are also more bearish now than they were back in May.

Now, a short-term correction when the Fed finally makes some type of definitive announcement about tapering is certainly possible – even likely – but the difference between the two camps couldn’t be clearer.

The lowest 25% of timing performers are all bearish and are recommending a negative 36% in stocks. In other words, the most bearish and the least successful timers are recommending that you short one-third of your portfolio.

The top bullish timers are recommending 99% of equity positions in stocks. That’s a little high for me, especially when you adjust it for age, but the 20-year record is clearly on the side of the bulls.

The one caveat to this bull timing trend is that all of the top bullish timers avoid high-risk equities in this market. They are all going in the direction of blue-chip companies with a long history of significant dividend increases and a 15-year average beta of 0.65. That’s as stable as you can get. The very low betas sound to me like they are also looking for more volatility.

But track records aside, the best way to make money has always been to ignore the volatility and ride out the market. The fact that bullish timers are far more successful than the bears just adds credibility to the formula.

The “Slap in the Face” Award: Social Insecurity

Here’s a real smacker.

Social Security turned 78 years old this past month. The first checks weren’t cut until January of 1940 and went out to about 220,000 people out of a population of 132 million.

Today we have 57 million recipients out of a population of 315 million. That’s a percentage increase of over 17%: from less than 1% of the population in 1940 to about 18% today.

Best yet, the average recipient has paid into the fund only about three years’ worth of benefits, but the average life span of recipients now is about 75 to 80 years of age. That’s an average of about 10 to 15 years of payments.

That’s what the AARP lobbyists call a self-funding system. They must have studied math in the same place most of our elected officials did.

Article By Investment U

Original Article: Smoking Is Good for You

Article by Investazor.com

Last week there were a lot of events that triggered interesting moves on the EURUSD. But still, the closing price of Friday was not very far away from the opening price of the week. The currency pair touched a low at 1.3103, after a sudden drop from 1.3220. Friday the dollar started to lose ground again after the Non-Farm payrolls was released, and the week closed at 1.3175.

Chart: EURUSD, H4

This week the economic calendar will be full of publications that could raise the volatility. EURUSD seems to be retesting the down trend line. From here the price might bounce back to 1.3100, and the down trend could continue also below this level. But if we take into consideration the positive divergence that is drawn on the 14 periods RSI, we could expect a breakout above the trend line and above the 1.3200 resistance area.

If the price will fall below 1.3100, the next good support can be found at 1.3000. A round level that was tested a lot this year. If the EURUSD will manage to have a daily close above 1.3220 there will be a high probability for the up move to continue all the way to 1.3300.

The post Technical Overview of EUR/USD for 9-13 September appeared first on investazor.com.

By The Sizemore Letter

On my last trip to Baltimore, I sat down with InvestorPlace’s Alyssa Oursler to explain why dividend investing makes sense for young investors.

It’s not just about generating income in retirement.  If used in the right context, dividends can be used as a growth and quality screen as well.  A well-built dividend stock portfolio built early can set you for life.  Here is an excerpt from Alyssa’s article:

Should young investors care about dividends? According to Charles Sizemore, the founder and editor of the Sizemore Investment Letter, the answer is “absolutely.”

It’s not just because yields are nice and dividends foster good behavior from management. Instead, the real appeal comes from dividend growth potential. As Charles explains, ”If a dividend payout is growing every year, the yield on your initial investment could be massive.”

Let’s look at PespsiCo (PEP), one of InvestorPlace‘s Dependable Dividend Stocks. The food and beverage giant currently rewards shareholders with 57-cent payout every quarter. That totals a $2.28 payout every year, so if you divide that by the current share price of approximately $79, you get a dividend yield of around 2.9%.

But consider this: If you had bought PepsiCo stock 10 years ago, your yield on cost would be much larger.

In the fall of 2003, PEP was trading for $44 per share and shelled out a quarterly dividend of 16 cents — good for an annual payout of 64 cents. Anyone who bought into PepsiCo at that time wouldn’t have been blown away by that 1.5% yield. But now that the dividend has grown steadily for a decade, those investors have an eye-popping yield on cost.

Take the current $2.28 payout per share and divide it by the 2003 share price of $44, and you have a yield north of 5%. Not to mention, investors also are sitting on the capital gains reaped since then.

If PepsiCo continues to increase its payouts, as it has been doing for more than 40 consecutive years — including during the financial crisis — investors buying today could watch their yield on cost increase big-time as well.

Charles Lewis Sizemore, CFA, is the editor of the Sizemore Investment Letter and the chief investment officer of investments firm Sizemore Capital Management. Click here to learn about his top 5 global investing trends and get your copy of “The Top 5 Million Dollar Trends of 2013.”

This article first appeared on Sizemore Insights as VIDEO: Young Investors Should Focus on Dividend Growth

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Article by Investazor.com

The week that just has passed, brought some high volatility on the Forex market, especially in the second part. The ISM Manufacturing and Non-Manufacturing PMIs from the United States surprised with above expectations readings. Draghi has left the door open for a new cut of the interest rate and the Non-Farm Payrolls have disappointed with a lower number than expected.

As you can see, on Monday the most important events will be the Chinese CPI and Trade Balance, as well as the Canadian Building Permits. On Tuesday China will report its Industrial Production which could trigger volatility on the currency pairs which includes the Australian Dollar. Wednesday Great Britain will publish the Claimant Count Change and the Unemployment Rate. On 12^th of September New Zealand will release its Official Cash Rate and the RBNZ will have a press conference, Australia will release the Unemployment Rate and the Employment Change and the USA will release the Unemployment Claims for the week. The last day of the week will bring on the table the Core Retail Sales, PPI and the Prelim UoM Consumer Sentiment for the United States.

The post What to Expect from the Forex Market Next Week 8 – 13 September appeared first on investazor.com.

By WallStreetDaily.com

China’s pollution.

It’s a global concern. 

It’s gotten so bad that, earlier this week, authorities had to pull 220,000 pounds of dead fish from the Fuhe River.

It’s so bad that scientists now believe it to be responsible for the huge surge in the infertility rate among the female populace. Indeed, the infertility rate among Chinese women rose to 12.5% in 2010, from just 3% two decades ago.

You’re going to be floored when I tell you about the new technology coming to the rescue. Unfortunately, though, I’m still not done describing the grim reality.

The air quality scale at the U.S. embassy in Beijing hit 755 earlier this year. Since the maximum level is supposed to be 500, the level of air pollution in China is literally off the charts.

The city had to shut down all nearby factories and order half of its cars off the road to accommodate the 2008 Summer Olympic Games. Some athletes still complained about air that burned their lungs and nasal passages.

None of this is a secret, or a shock, to Chinese policymakers. It’s an epidemic that the country is spending wildly to try to resolve.

Supply Glut Cripples An Industry

The government recently announced that it will invest $275 billion – an amount equal to Hong Kong’s GDP – over the next five years to fight air pollution.

China’s State Council has announced plans to make the energy-saving sector a “pillar” of the economy by 2015. Under the new plan, the environmental protection sector will grow by 15% on average annually, reaching an output of $735 billion.

And, of course, everyone knows about the generous advantages the country gives its solar sector.

Well, China doubled down on its commitment to solar in June, when it increased its target for solar power generation by a factor of five. Indeed, China now plans to have 35 gigawatts of solar capacity by 2015 – five times more than the seven gigawatts it had last year.

The move was also intended to combat anti-dumping duties employed by the United States and Europe – not to mention a huge supply glut that’s crippled the industry.

You see, the country’s solar manufacturing capacity of about 45 gigawatts exceeds global demand by about 10 gigawatts. So Chinese solar companies have been running their factories at 60% capacity in an attempt to curtail an excess supply of solar cells. 

As a result, major Chinese manufacturers have been posting losses over the past two years.

To keep manufacturers from going bankrupt, state-run banks have extended billions of dollars of credit. And total government backing reached more than $2 billion last year. And by raising its solar power capacity to 35 gigawatts, China is creating about $16 billion in new market demand.

Of course, the fact that Chinese solar companies rely on government support makes investing in them a dicey proposition.

For instance, Yingli Energy Holding Co. (YGE) sports a 52-week range of $1.25 to $5.72. And LDK Solar’s (LDK) range is $0.71 to $2.32.

That’s pretty indicative of solar companies worldwide, which is understandable for a fledgling industry that’s something of a political hot button.

So what’s an investor to do?

Simple. Look for companies that are innovating in the space.

Profit From Pollution

Maxwell Technologies (MXWL), for instance, is a leading manufacturer of ultracapacitors (UCs) – a burgeoning new technology that increases energy efficiency.

Simply put, UCs store and redistribute energy. So they’re much like batteries. With one crucial difference…

Batteries rely on chemical reactions, which limit their ability to release energy when it’s most needed.

UCs, on the other hand, use electrolytes and carbon electrodes to create an electric field that’s capable of capturing and holding a charge in a very short amount of time. UCs can be recharged just as quickly, often in a matter of seconds.

And unlike conventional batteries, they can be recharged hundreds of thousands of times without ever wearing out.

That makes UCs the ideal technology for optimizing inconsistent alternative energy sources, like solar and wind. They can harness excess energy when the sun is shining or the wind is blowing, and then release it when it’s not. And they can do it better than traditional batteries.

But if you’re really looking to profit from China’s massive clean-up effort, you should take a look at my latest find. Forget simply clearing the skies, I believe the company’s technology could end global warming.

You can find out more about that here. But only for a few more hours.

Ahead of the tape,

Louis Basenese

The post It Kills Fish, Children and Olympic Dreams – Yet Creates Opportunity At the Same Time appeared first on Wall Street Daily.

Article By WallStreetDaily.com

Original Article: It Kills Fish, Children and Olympic Dreams – Yet Creates Opportunity At the Same Time