Confused by the term “arbitrage”? Don’t worry, we’ll define arbitrage in this article. Arbitrage is a rather advanced investing and trading method by which you simultaneously purchase and sell something, and thus lock up price differences. That probably sounds a bit odd. After all, aren’t you supposed to purchase something precisely so you can hold on to it and let it appreciate in value? Even day traders and technical analysis traders usually … [Read more...]
If you're a serious investor, you have almost certainly heard of value investing. This investing strategy is arguably the most prominent and well-known investing strategy in the world. Value investors are among the most successful investors and their methods have been well-proven and well-studied. Consider that many consider Warren Buffet to be the greatest investor of all time. Warren Buffet is also a well-known value investor. Warren Buffet … [Read more...]
If you're looking to inject a bit of excitement into your trading style, you should consider “swing trading.” This investment strategy refers to investors who try to capture profits in only 1 to 4 days. When using swing trading strategies, you rarely hold onto stocks for more than a week. So if you're wondering what is swing trading and how you can use it to engage in some fast paced and often profitable trading, read on! How to swing … [Read more...]
Are you considering automated trading? Or are you wondering what it is and why you should consider using it? If so, you have come to the right place. “Automated trading” is a pretty vague term, to be honest, but it is also pretty self explanatory. Automated trading systems are systems that investors set up to conduct trades automatically. This can mean a lot of things. For example, many brokers offer tools that will let you automatically … [Read more...]
High Frequency Trading and Traditional Trading - how are they different? High frequency trading is very different from traditional trading strategies. Of course, the principle is still the same, buy low and sell high, but the details are very different. Most investment strategies, especially those used by casual investors and beginners, focus on holding onto stocks for an extended period of time as they slowly appreciate in value. With high … [Read more...]