innovative remodeling hoffman estates disability remodeling north barrington rps remodeling chicago building onto a house beach park home additions that add value buffalo grove .. Chicago Drug testing

Dont Ask Your Broker

Unfortunately, most of you who are reading my column are suffering some substantial losses in the stock market. Whether it is mutual funds or individual stocks everything with mighty few exceptions is going down. Maybe you are just giving back some nice profits, but maybe it is beginning to bite into your original principal.

You are wondering what should I do? I know, I'll call my broker. He knows all about the market. Please! Don't ask your broker. I already know what he will tell you. The usual Wall Street smoke and mirrors answer. "Don't worry. This is just a healthy correction in a bull market. It will come back". It makes me sick to hear this kind of nonsense from a supposedly informed and intelligent (?) person. By the way, what is "healthy" about a 38% "correction"?

If this guy was so smart when he had you buy these stocks and mutual funds then why wasn't he smart enough to have you sell before you gave back 50% or more of your portfolio? He is working under the guise of investment conventional wisdom that is conventional but not wisdom. "Mr. Mushroom, you are in for the long term so don't worry about these aberrations." YUK! That is what you are - a mushroom. Grown in the dark and fed you-know-what.

There are times when you should have on only one position - CASH. Cash is a position, but brokers are not taught that. They never heard of it.

When I was a floor trader guys would come to me and say, "Al, what do you have on?" and my reply, "Nothing" drew a shocked look. "How can you be down here on the floor and not be trading?" It is very simple, I was there to make money, not to trade. Many times you should not be doing anything. It is the same for the average investor. He should be in cash when there is a bear market as there is right now. How long it will last I don't know, but I will know when it is over and the bull has returned. Your broker won't know because he has not been trained to make money, only to make commission.

Every stock and mutual fund you own should be examined regularly (preferably weekly) and a stop placed under each position so (just in case) that hummer decides to tank you will be out with your profit. Never let a winning trade go to a loss. You must protect your capital at all times.

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

al@mutualfundstrategy.com; 1-888-345-7870

In The News:

Maximizing a Stock Market Investment

Maximizing a stock market investmentThere are several factors an investor... Read More

Risk Control

Everything you invest in has risk so you want to... Read More

Hold Em and Fold Em

When most analysts, financial planners, fund specialists and investors try... Read More

What is the Most Important Indicator of All?

Most stock market traders have a favorite technical indicator.The one... Read More

Catnip of the Stock Market

I have watched my cat play with a bag of... Read More

Swing Trading Strategies

Using Swing Trading Strategies and Technical Analysis when Trading Stocks... Read More

Size Counts!

What the heck am I talking about?It is often said... Read More

Two for the Money

Look back over the years and try to remember how... Read More

Learn to Calculate a Stock?s Pivot Point

Stocks breakout from properly formed bases everyday but many investors... Read More

The Value of Stocks of a Company

The debate rages all over Eastern and Central Europe, in... Read More

Mutual Funds are Dead

You may have wondered why your mutual funds have been... Read More

Stocks: Understand What You Buy!

"There is nothing more frightful than ignorance in action!" Johann... Read More

Basics of Stock Market

Financial markets provide their participants with the most favorable conditions... Read More

Emotional Trading

The single most expensive stock market trades are those made... Read More

The POWER of a Proven Stock Investment Plan

When you invest in the stock market for ever-increasing cash... Read More

Option Spread Trading

Spread trading is a technique that can be used to... Read More

What is a Trading Plan ? and Why You Need One?

How do you make money without picking tops and bottoms?I... Read More

Boiler Room 7/17/00

On Friday or Saturday evening my wife gets a movie... Read More

Trade Stocks for Real

I read a comment by a forum member on another... Read More

Hot Stock Trader: How to Pick Momentum Stocks with Ease and Simplicity

Most stock traders know that momentum trading can be a... Read More

Are You A Stockaholic?

Today's society gives special recognition to alcoholics, sexaholics, binge-aholics, shopaholics,... Read More

Lifestyle Funds Provide Greater Security?

With the stock market stubbornly refusing to settle down and... Read More

Trading For A Living - Part 1

There can't be many traders who haven't at least considered... Read More

Investing in the Stock Market

From the book 'The Stockopoly Plan' by the author Charles... Read More

Mutual Fund Ball and Chain

The broker told me not to sell because the mutual... Read More

led wholesaler led parking lot fixtures Pete's produce ..
led wholesaler led parking lot fixtures Pete's produce ..