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Don't Miss Out on THREE
Exciting Educational Opportunities!

Tomorrow, July 23rd at 3:30 PM CDT, join Tom Smith with special guest Kerry "Dr. Duke" Given for a FREE webinar covering "A Deeper Look at Implied Volatility".

Dr. Duke will discuss volatility skews and the effects of changing implied volatility on your trades.

You still have time to REGISTER TODAY for a chance to win a free copy of Dr. Duke's new "Time is Money" book.

Then on Thursday, July 30th at 3:30 PM CDT, we have another FREE educational investing webinar with special guest Chris Verhaegh on "High Percentage Option Setups".

Chris will introduce a simple indicator to help predict whether the market will go up or down, with no math calculations needed. Save time with his helpful approach!

Attendees will receive a FREE copy of "Weekly Options Goldmine", authored by Chris.

Don't Miss It... Register Now

Last, on Tuesday, July 28th at 8:00 PM EDT, we have Mark Sebastian, professional trader and founder of Option Pit.  Mark will show you how The Option Pit method can teach traders to produce income and manage the risks of Weeklys.

This is rare chance to get to look at how a professional trader trades these complex, yet potentially profitable financial tools.

Plan to attend live for a chance to receive a copy of Mark's book popular "The Option Traders Hedge Fund".

Space is Limited...
Register Here

After eight years with Commodity Trend Service, a futures trader's preeminent source for charts and information, Ellie left the corporate world to become a financial copywriter and an accomplished trader. Producing material for the world's most respected stock, option, futures, and Forex traders has given Ellie unique insight you will surely appreciate.

She has studied their methods, analyzed their performance, and interviewed their customers. But most important, she has compared today's hottest strategies with the most successful techniques in trading history. Ellie flat-out knows what works and what doesn't!

Ellie wanted her six brothers and sisters to see how they could use a small portion of their inheritance to seek a life-long legacy of financial freedom, in just a few minutes a day. So, with loving care, she wrote Dad's Legacy.

How Ellie Taft became an authority on trading, and how this family treasure became available to you, is an interesting story.

But what's important right now is this: If you're interested in the possibility of turning a small amount of money into a vast fortune, Dad's Legacy is for you!

Written to excite, inform, and empower Ellie's non-trader sibs, you'll find yourself in the midst of an exciting adventure beyond compare.

Trade Forex with

Dad's Legacy

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by Ellie Taft

The following is an excerpt from Ellie Taft's Dad's Legacy-How You Can Support Your American Dream with a Winning FX Trifecta

Do you know what economists mean when they claim Japan is financing the American consumer?  The explanation is really quite interesting.  Please, allow me...

The lending rate at the central Bank of Japan is 0.5%.  The US Fed rate was 4.25%, as of January 1, 2008.  So, investors can borrow money in Japan at 0.5% and earn 4.25% guaranteed interest when they deposit that borrowed money in a US bank.

Wow… talk about a great gift!  I’m sure you’re wondering, “Can I really gain a steady cash flow from borrowed money?”  And the answer is YES.

Since 2003 Japan has flooded the market with over 20-Trillion Yen at 0% to .5% interest.  Why?  Because the Japanese know that as soon as their cheap money gets deposited in countries like the USA, Great Britain and Canada, consumers will borrow it to buy cars and electronics made in Japan.  Pretty clever, don’t you think?

Of course, the Japanese aren’t the only ones manipulating their homeland economy with interest rates.  Just look at the wild ride Alan Greenspan took Americans on starting in 1987.  And now, after 20 years of Greenspanomics, we have the Fed tinkering with rates every chance they get… and savvy Forex traders love it!

You see, every time you enter the Forex market, you either pay or earn the interest rate differential on the full contract amount.  Stay on the receiving end, and you’ll be amazed how fast the cash adds up.

Forex is a “spot” market, which means cash-on-the-spot rather than some time in the future, as with commodities.  Figuratively speaking, if you buy USD/JPY, you write a check against the Bank of Japan and deposit it in the US Federal Reserve System.  All transactions must be settled in two business days.  So, Forex brokers automatically “roll” any position open at the end of the day over to the next settlement date.  Since you don’t actually have any money deposited in Japan, you pay 0.5% interest to borrow sufficient funds to cover your “check”.  And then you earn 4.25% for having it deposited in the United States.

Some people refer to the net interest as the “Roll Rate” because it is calculated daily, every time the contract “rolls over”.  Others refer to it by the financial term of “Carry”, which is the difference between the cost of financing an asset and the asset’s cash yield.  When you hold a long position, you earn the interest of the first currency and pay the interest of the second currency; and vice versa when you’re short.

Although the “Central Bank Rate” gives you a general idea of what the carry interest will be the precise amount varies day to day and bank to bank… just like loan rates on a local basis.

Borrow Low - Lend High

by Lee Gettess

Lee Gettess is a top trader who is excited to bring you his video newsletter. Each week, Lee will share his predictions on what he anticipates from the bond and S&P markets.

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by Wendy Kirkland

The following is an excerpt from Wendy Kirkland's Stress Free Wealth Building

Party Crasher: In this scenario a trader watches Bloomberg or CNBC on TV and hears that the market, or a stock, or a whole sector is making a big move.  A TV analyst-anchor confidently offers an explanation of why the move is occurring, and the trader becomes afraid that “because he was not invited he might miss the party” and rushes his decision to purchase an option position without ever doing the needed due diligence on the equity itself.

Another aspect of fear shows up when the newbie trader asks for advice and tips from friends, other traders, or Uncle George, but doesn’t do his own confirmation.  In other words, he doesn’t feel confident because he hasn’t checked out the information on is own to either confirm it or find the down side.  Fear raises its ugly head because he’s not confident that he knows what to act on and what to disregard.  Still, he’s afraid of missing out.

Fear of Loss: In this example, the trader makes the decision to exit an option trade as soon as he sees the slightest blip.  After all, if a trade loses any ground, it means that he’s made a bad choice and surely the stock and its option will spiral downward.  Better to get out now before any loss gets worse.

This nagging fear also can show up when a trader holds a losing position for far too long in the hope that it will eventually come back up.  If he sells at a loss, it’s as if he admits defeat.  This is compounded when a spouse or friend looks on – it’s like having an authority figure standing over his shoulder.  The trader’s fear forces him to bend to the pressure he feels because that significant person will know “he’s failed.”  Unfortunately, outside accountability can smother good decision making.

Fear of Losing Profit: In this circumstance, a trader holds a winning position much too long.  He may actually watch a spectacular profit dissipate well after the equity topped, hoping there will be even greater profit.  Because of fear, a 150% profit last week erodes or becomes a loss the next week.

Trading Personalities

by Norman Hallett

In this 4-Minute Drill, Norman helps you through the maze of indicators available to traders and injects a little common sense...

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