"Stock Trading Riches" Was Recommended on Two Different Investing Forums

Here are the 2 recommendations:

mh2007  Junior Member   Join Date: July 1, 2008 Posts: 308 Religion: Catholic

Re: Investing info I would recommend: Jason Kelly - The Neatest Little Guide to Stock Market Investing, Jason Kelly is the author of nine books including "The Neatest Little Guide to Stock Market Investing." Available on Amazon.com Also, recommending Robert Lichello - How to Make $1 Million in the Stock Market Automatically. Available on Amazon.com Moreover, recommending Praveen Puri - 1) Stock Trading Riches, and 2) Constant Value Investing. Available on Amazon.com Lichello and Puri are worth reading because they explain how to automatically buy low and sell high, removing the human tendency to trade emotionally. These books would make for an excellent start, whether you invest in individual stocks or ETFs.

Quakerman  Member   Join Date: May 2009 Posts: 11 Thanks: 2 Thanked 0 Times in 0 Posts

Re: Strategy for transcations in Mutual Funds..Pls Help! Jeet: You may want to consider the AIM trading system (automatic investment management) developed by Rbt. Lichello back in the 70's. Another system is the Simple Trading System, by Praveen Puri based on Constant Value Investing, which is similar to the above. Both systems are discussed in detail at different web sites. As well you can purchase books on ebay and amazon. Lichello book is How to make $100000 automatically. Praveen Puri book is Simple Trading System Hope this helps you Quakerman

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TWTR

The Twitter IPO price was $26, but it opened at $45.10, traded as high as $50.09, and closed at $44.90.

If it drops into the $30's, or if it stays in the $40's range for a few days, I may buy some.

My book "Stock Trading Riches" has a section on my successful IPO technique - buying IPOs that have similar market share as a previous IPO.

For example, I bought the Visa IPO because the mastercard IPO was successful.  I bought the Chicago Board of Trade IPO because the Chicago Mercantile Exchange IPO was successful, and I bought the Hyatt IPO because Hilton was a successful stock.

Now that the Facebook IPO was successful, I think Twitter will be good also.

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The Best New York Investment Isn't From Wall Street

I read an interesting article in the Chicago Tribune that one of the best investments over the last year is not from Wall Street - but the New York city streets.

The value of a NYC Taxi medallion increased 49% to $1.3 million.

Interestingly, they say that one of the reasons is technology - specifically cabs accepting credit cards and from apps that allow people to call cabs directly from their phones.

Also, the number of medallions is capped at 13,336 - and it is illegal to drive a cab without one.

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The Value of Good Stock Picking and Rebalancing

On Wednesday, the Chicago Tribune had an article about how gold and silver prices have declined this year.

The article included a graph showing that, despite the recent declines, the SPDR Gold Trust ETF has returned +94.73% from Jan 1, 2007 through this past Tuesday.  During this same period, the iShares Silver Trust ETF returned +48.47%, and the S&P 500 index +13.80%.

My account, which does not have any precious metals ETFs (only stocks, REITS, a short term bond fund, and cash) and has been managed with my STR (Stock Trading Riches) system, has returned +49.09% during this time period - so I have done well compared to the S&P 500.

This shows the value of good stock picking and rebalancing (buying low, selling high).

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New 4-Star Review for "Stock Trading Riches" on Amazon.com

Zen like but no panacea 

 This book is a wonderful and simply written explaination of the author's technique of trading that you can perhaps experiment with.

The author puts a few compelling arguments on why his technique over the long term is a better approach to trading.

One argument is that the technique inherently requires minimum involvement from you until your "rebalance period" expires and you either have to buy or sell the shares. This means that you don't have to worry about timing but concentrate in investing in excellent companies.

Other arguments for the technique such as tax benefits and how loss in one period can self correct in another are enumerated.

This technique of course requires discipline in that its a long term investment strategy. Instead of vertical growth by buying and selling frequently, it requires you to "own a constant value of as many positions as possible" and grow horizontally.

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Kindle Version of "Stock Trading Riches" Free on Amazon This Week

The Kindle version of "Stock Trading Riches" is free on Amazon all this week (Monday 5/20 - Friday 5/24).

Here is the link: http://www.amazon.com/Stock-Trading-Riches-Transforms-ebook/dp/B0065CE3VO

Remember that, to enjoy Kindle books, you don't need to own a kindle. Amazon has free kindle readers for macs, PCs, iPads, etc.

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Flooding In My Subdivision

Yesterday, Chicago got more than a month of rain in a day.

Here is a picture of the road into my subdivision.  It was flooded by the lake.

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"A Zen Trading System" Reached #1!

My book reached #1 on the Kindle best seller list for finance and investing:

The free promotion continues through tomorrow at:

http://www.amazon.com/A-Zen-Trading-System-ebook/dp/B009Y05TX0

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"A Zen Trading System" Reaches Number 3 on Amazon's Kindle Best Seller List For Business and Investing

For the next 3 days (today through Monday), the Kindle version of my book "A Zen Trading System" is free through Amazon's KDP Select Promotion.

 Already (as of Saturday afternoon), it reached #3 on Amazon's Kindle Best Seller List For Business and Investing.

This book is a re-issue of "Stock Trading Riches", with a new title and cover.

If you were ever interested in reading about my "Stock Trading Riches" trading system, now is a chance for you to pick up the book for free at http://www.amazon.com/A-Zen-Trading-System-ebook/dp/B009Y05TX0.

 You don't need to own a Kindle to read a Kindle book - you can read it on PC's, Macs, ipads, etc.

If you do grab a free copy, I'd appreciate it if you could write an honest review on Amazon, or at least let others know of the promotion so that they could download the book.

Thanks!

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More Press Coverage

I've been included in two more articles:

One from The Fiscal Times and one from FINS.

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Two New Testimonials for "Stock Trading Riches"

I recently received 2 new email testimonials from readers of my book "Stock Trading Riches":


"A Wonderful Book... I probably would choose your system as it is simple, easy to use, and not bad performance based on my random testing at present."

Kevin W.



"I read your book in about 2 hours. I like it a lot. I like books that are written in simplistic ways and yours did that. More importantly, it was clear that you had a lot of insights to present to your readers and for which I learned a bit. "

Narin A.

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2012 Return On My Portfolio

For the past 8 years (2005-2012), I have been using my Stock Trading Riches system to manage my portfolio.

While I tied the market in 2012, I have beaten the S&P 500 over those 8 years:

Year, Me, S&P 500

2005, +13%, +4.91%

2006, +14%, +15.79%

2007, +22%, +5.49%

2008, -40%, -38.49%

2009, +44%, +23.5%

2010, +22%, +13%

2011, -5%, 2.11%

2012, +13.3%, 13.4%

My portfolio has had a cumulative eight-year return of +78.31% vs. +27.37% for the S&P500.

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Online Articles Mentioning My Book "Stock Trading Riches"

My book and I are mentioned in these two articles from NBC.com and FoxBusiness.com.

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Happy Halloween!

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New Amazon Review of "Stock Trading Riches"

Today, a reader posted a nice, detailed 5-star review of "Stock Trading Riches" on Amazon.com:

"I am a short term trader by heart but needed a system to manage my retirement accounts and this one certainly works very well.

I used the excel sheet provided in the book to test dozens of random stocks over the past 6 years and about 80% beat Buy and Hold over the same time period.

The results were good but I needed more proof since the market conditions of the last 6 years did not capture every possible market scenerio.

With the excel sheet , I simply created every possible market movement I could think of and still my results were very good.

This is the kind of system someone with very little investment or trading experience can pick-up and implement right away,that's how simple it is. I found that it will work for retirement accounts and trading accounts.

Many times ,especially those of us who are traders, dismiss the simple for being ineffective but the truth is the more complex the trading system the more likely it is to fail over time.

And oh yeah-what I love most about this book-he gets right to the point and shows you how the system works. No beating around the bush for a 100 pages."

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Gangnam Style - You Just Have To Watch This

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Praveen in a Video Discussion on The Future of Money: Bitcoin, Economics, The Gold Standard, And Work

Because of my book, some popular bloggers asked me to join an interview/panel discussion on money and finance. (I came on a few minutes late).

Here is the interview on you tube:

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Follow Up to "Why I Just Bought Facebook (FB) Stock"

I consider my IPO purchase of Facebook (FB) to be  a contrarian move because the stock behaved differently than the conventional wisdom at the time. 

 I wasn't initially planning to buy but, from what I had read and from talking to other people in high technology, everyone expected Facebook to soar at the opening.  I know someone, a senior executive at a high-tech company, who placed a limit order at the open to not buy over 55. So, he expected it to pop.

 When I saw that it didn't soar like everyone predicted, I decided to buy it.  

 I thought it would increase over the next few days/weeks.  As we now know, it didn't.  Instead, it is down about 50%.  Even though I didn't expect this, I am ok with it.

Because my system diversifies, and each individual position is re-balanced yearly, I feel safe sometimes taking a risk on stock. 

I will rebalance my Facebook position at the end of the year. Even with Facebook's performance, my portfolio is up 11% for the year.

I don't use any stop losses with the Stock Trading Riches system - other than replace a position if I feel that there is something fundamentally wrong with the company. In my book, I list an optional stop loss rule in the section about customizing my system. It calls for replacing a stock if it declines 50% (or X% - it can be customized) from the initial buy. I state in the section that I don't use this rule myself, and it would have prevented the performance in the AMZN stock example in my book.

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Why I Just Bought Facebook (FB) Stock

I just bought Facebook (FB) to be contrarian because of the way the IPO "fizzled".

I first started to think about buying Facebook because, for the last several weeks, I saw lots of news stories warning against buying Facebook when it went public.

Everywhere I looked, reports and columnists warned how the stock is over-hyped, the insiders want to cash out, people are foaming at the mouth to buy it, etc.  The stock would run away at the open and, if you were foolish enough to try and buy it during the first day, you would end up getting burned.

I've learned to be skeptical of all these financial stories.

Then, this afternoon, I saw that Facebook did go public this morning at $38.  The stock only opened at $42 (so much for the "frenzied pop"), touched $45, and now is around $40.

Also, the last couple of weeks have been bad for stocks, and it looks like Facebook failed to rally the over all market.

At this point, I don't feel like Facebook is overpriced.  I think that, over the next several months, it has a good chance to go up because, as the uncertainty with Greece works itself out, and the markets put it behind and start to recover, individual investors and funds will start to revisit Facebook.

On the other hand, I don't see a lot of room on the downside for Facebook.  Google Plus doesn't appear likely to do to Facebook what Facebook did to My Space - at least not yet.

As always, I bought Facebook as a long term investment, and plan to manage the position and harvest it for cash by trading around a core position according to my Stock Trading Riches system.

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Naked I Trade, Naked I Live

No - I don't literally trade naked or live out my day running around the house naked!

I had a zen shift after getting zen slapped - I can't grasp, hold onto concepts anymore - I'm free.  That's what has made me a successful stock trader.  I no longer hide behind technical analysis or look for patterns, or expect the market to do what i think it should - I m no longer attached to the outcome.

 I just use my Stock Trading Riches system.

All I care about is the stock fluctuates - I then play the stock.  I follow it in and out - reset constantly.

That is how the rest of my life is now  - old patterns are shifting, changing.

I want to be reborn every time I trade or write.

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