The Rollercoaster of Interest and Debt

THE ROLLERCOASTER OF INTEREST AND DEBT

Feel whoozy these days when you think about your mortgage and climbing interest rates? The Bank of Canada says rates may climb several percentage points this year. Homeowners, with floating mortgages and variable interest rates, may be hardest hit. More so, if you overextended your budget to buy the most home possible, at the lowest floating rate you could find. Now that great room may not seem so great. Even a one- or two- point rise in interest rates can mean hundreds of dollars difference each month on big mortgages. Where can you find those dollars to help you keep your home, and meet this rising cost?

Get professional advice. Even in extreme circumstances-illness, job loss, or other dire situation-there are experts who will show you how to save money-yes, even hundreds of dollars each month. These experts are often available to you for free, through your mortgage lender, bank, or government service. Some are even available online, and you can submit your questions anonymously, by email. Use them. They know their stuff.

Don’t be embarrassed to ask for help. Money management is something few of us have ever been taught. And it’s only through hard money knocks that we get smart about our finances. Save yourself some pain, and ask for help before your debt overwhelms you. For example, it’s sometimes possible to lower your monthly mortgage payments by re-amortizing your loan over a different period, or making fewer payments. You can contact your credit card company and ask for a lower interest rate. Does this feel like you’re admitting financial defeat? You’re not. This is a smart financial tactic to keep your debt under control, your bill payments out of arrears, and you out of collections.

Find money pockets. Your chequing account eats green. Take a look at …

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Forex Money Management – 4 Tips for Keeping Your Equity Intact and Building Huge Profits

There are many ways to make money but all successful traders know that if you want to win, you need to protect what you have; Successful Forex trading is built on strong money management.

FOREX MONEY MANAGEMENT - 4 TIPS FOR KEEPING YOUR EQUITY INTACT AND BUILDING HUGE PROFITS

When dealing with leverage, you have to make it work for you and that means cutting your losses and running your profits. All great soccer teams have great defenses and they know that if they don’t concede points, the offense will get a chance to win the game and it’s the same at Forex.

You lose 50% and you have to earn 100%, only to break even and the moral is:

If you lose money, you have to work harder to get it back, so let’s see how to keep your equity intact.

1. All Trades Are Equal in Risk

Never make the mistake of calculating your target minus your stop as a reward for your risk! This is just an opinion and in the case of money management always consider the worst and everything can only get better. All the same trades there have the potential to lose money.

At risk per trade, you will hear a lot of people telling you that you should only take a 2% risk but on a small account you need to take more risks, also do 5-10% and also don’t diversify, do one trade at a time .

2. Trade Breakout

Breakout trading, means buying new breaks to map the highs and lows of all trades starting and continuing from this gap, a good break offers the best risk for prizes in Forex trading. Your stop, just behind the runaway point, becomes tight and at the best run, you see big movements so you have a big risk to be rewarded.

3. A Place to Stop Outside Random

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Online Stock Market Trading Continues to Rise in Popularity

Even though the stock market has seen healthier days, online stock market trading continues to rise in popularity. A number of reasons account for this. The technology is widespread, and people from all corners of the nation are able to become day traders and invest in the stock market. Everyone who has a computer connection will find that they can get connected with a brokerage site and begin trading. This gives people opportunities that they did not have before. For many people, the closest they came to taking part in the stocks market was through their 401Ks, and now they have many other options.

ONLINE STOCK MARKET TRADING CONTINUES TO RISE IN POPULARITY

Another reason that the popularity of online stock market trading grows is that smart investors see opportunities. They can find stocks at good prices and then wait until those stocks start climbing again. They are buying low, just as every good investor is told to do, and then they are just waiting until they can sell when the stock is high. This make good business sense for the investors and this is something that other traders will be able to do as well.

How does one start online stock market trading? Well, the first thing that you are going to want to do is learn all of the intricacies and rules of stock markets. Learn the language and learn how things are done. Learn how to spot trends and learn the best time to buy and sell. Learn how to cut your losses, and learn how to let it ride. The best way that you will be able to learn these things (and many more) is by taking a course. The money that you invest in one of these courses is going to be well worth it. It is better to spend on a course and …

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Don’t Ignore the Similarities with the Last Two April!

Nearly a year ago in this column I showed a scary similarity in April (2011) with the conditions in the previous April (2010). And of course the similarity continues into a market correction of nearly 20% before the market rises again.

DON'T IGNORE THE SIMILARITIES WITH THE LAST TWO APRIL!

And here we again this year see a scary resemblance when March is almost over, this time for the last two April.

I heard many guarantees that this time was different. This will oppose the opportunity for the market to follow the same pattern for three years in a row. In addition it is an election year, and the Fed has already made a vote about coming to the rescue if needed.

Using that logic will also oppose the chance that the surrounding conditions will follow the same pattern for three years in a row. But that is what is happening.

Like the last two years, the S&P 500 has had an impressive rally for overbought conditions that are potentially above the 200-day long term m.a., and technical indicators, while still using buy signals, are in their overbought zone.

Meanwhile, investor sentiment, usually very bullish at the top of the market and very bearish at the bottom of the market, has reached a high bullish level, low fear level, similar to what was seen near the market peaks in April 2010 and 2011.

That can be seen in the VIX Index, also known as the Fear Index. Usually at a high level of fear at the lowest position of correction and a good buying opportunity, and at a low level of fear (a level of bullishness and high self-satisfaction) at rallies and market tops.

Then there’s the U.S. economy In each of the past two years, economic recovery has shown surprising strength during the autumn and winter months, and …

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Improving F & I As a Profit Centre

The motor finance landscape is changing; fewer independent finance companies are a part of this change. The long term survival of these companies is vital to the dealer market. Dealers need to work in partnership with the finance companies to ensure mutual profitability and to positively change perceptions of dealer finance.

IMPROVING F & I AS A PROFIT CENTRE

For many former finance companies the return on investment from motor finance had become unsustainable. Competition between the players meant that retailers were able to negotiate aggressively, pushing finance company margins ever lower; the balance of power has now shifted and in reality this is a good thing for the long term future of dealer finance.

Retailers need finance companies to be profitable and encouragingly Carlyle Finance which is reporting record profit levels has now committed itself to achieving significant profitable growth – with plans to more than double it’s lending in the UK motor sector.

But there is unlikely to be any return to the Income per finance case retailers achieved 3 – 4 years ago. Market and regulatory pressures are part of this change, but so is the reality that today’s consumer is better informed in terms of their options and rates when looking to purchase a car on finance. The internet has been a key part of the consumer education process and it is vital that dealers engage in communicating the value of dealer finance through the web in a far more engaging fashion than has been delivered to date.

When it comes to finance, dealers have to ensure that finance information (quality, detailed information) is positioned ‘front and centre’ so that the consumer can learn for themselves the full picture about why dealer finance makes so much sense.

“Retailers can make money from F & I, but things have to change” Mark Standish “To ensure …

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