Debt consolidation

Written by Paul Heath


With consumer debt onrepparttar rise, many people have found themselves burdened with crippling monthly repayments on a variety of loans. This can make life very difficult, and can often means seriously compromising on your quality of life. Taking out a debt consolidation loan can help to ease this problem by enabling you to wrap up all of your loans and credit cards into one loan. By doing this, you will benefit in a number of ways, including:

•The convenience of only having to make one monthly repayment rather than several •Saving money on interest, as you will only pay interest on one loan rather than several •Cutting your monthly repayments, sometimes quite dramatically

More and more lenders are now offering these consolidation loans to consumers, and by finding a loan that offers low interest rates and a wide choice of repayment periods you could really benefit from rolling all of your high interest debts into one convenient finance package. You an enjoy more disposable income each month, as well as greater peace of mind because there is less chance that you will end up missing or defaulting upon payments.

Traders, Defend Against the Dreaded Death Spiral.

Written by Floyd Snyder


DTM: Decisive Trade Management and Using Trading Stops

It has often been said that there is only two ways to get hurt really bad on a stock trade, getting caught in a "death spiral" by not using DTM: Decisive Trade Management inrepparttar way of stop loses and having a stock halted on you. Halts you have zero control over. Death spirals are of your own making if you do not practicerepparttar 111876 use of stop loses.

Very simply stated Decisive Trade Management is keeping a stock form moving to far against you whenrepparttar 111877 trade goes bad. It is not impossible to have 5 or 6 out of 10 trades lose money and still be profitable forrepparttar 111878 net ofrepparttar 111879 total 10 trades. What you must do is keep your loses small and manageable and try to maximize you winners. This is done withrepparttar 111880 proper use of Trading Stops and a strict discipline in using them.

Capital Preservation

It is my firm belief that capital preservation is one of, if notrepparttar 111881 single most important thing a trader has to concentrate on. It is also my belief that it is always better to error onrepparttar 111882 side of safety or caution, in general this all comes under DTM: Decisive Trade Management.

Stop loses andrepparttar 111883 discipline to use them are part of DTM

When you enter a trade, you should have both a possible profit figure or gain that you hope to obtain and a downside loss that "you" are comfortable with ifrepparttar 111884 play turns against you. Only "you" can make that decision as to what these limits are. You arerepparttar 111885 only one that can determine you risk tolerance and ability to absorb loses on an individual trade. Factors on which these limits are determined includerepparttar 111886 amount of money you have in your account, your experience and knowledge ofrepparttar 111887 particular stock, news or events affectingrepparttar 111888 trade and over all market conditions and possibly others. As an example, a trader trading a $250,000 account is more then likely better able to take a $2.00/shr hit on a stock thenrepparttar 111889 trader trading a $25,000 account. Some traders will consider just how well they may have done on a previous trade or number of trades and letrepparttar 111890 stock run a bit more against them if they have already made a few good trades or if they need to make up for a bad trade or two. This is very risky. I personally don't like to see risks taken in direct relation to previous trades. I would much rather see a plan that is in effect straight acrossrepparttar 111891 board. This goes along with my thinking that ever trader should have a trading plan and then you work your plan. (See Trading Plan: Everyone Should Have One) But human nature what it is, I'm surerepparttar 111892 balancing trades against one another is probably being done allrepparttar 111893 time.

As a personal guide, in a market with very tight trading ranges, I'd think twice before letting a sock turn down by 50 cents or so. That is a very tight stop loss forrepparttar 111894 most part; again this can be flexible depending on your knowledge ofrepparttar 111895 stock and its trading habits coupled with your own tolerance for loss. On an $85 stock, 50 cents is not all that much, but on a $9-10 stock it's a much larger percentage. Markets trading in tight ranges and lacking volatility make it much more difficult to recover loses ifrepparttar 111896 follow through is just not there. Ifrepparttar 111897 average profit in a trade is 25-75 cents, then letting one get down on you a buck or more is going to wipe out most if not all ofrepparttar 111898 previous gains on two or three plays. It can take that many trades to get back to even.

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