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Lesson 2:
Back for more?  OK.  You’ve figured out that if you put your $20 Grand in stocks or funds and it makes 10% a year after 5 years you’ve made about $12,000  plus the original $20,000 and you now have about $32,000.  If you made 7% a year you made about $8,000 after 5 years and have $28,000 [...]

Lesson 1:
Lots of people have gotten rich in Real Estate.   Lots of people have lost money too.  You didn’t hear too much about the losers until the recent foreclosure debacle.  It’s like gambling in Las Vegas.  People only like to tell you when they win.  Somehow the losing part,  they get amnesia (I broke even, [...]

Listed below are the top five hobofinance recommended free commodities futures websites.  If you trade or invest in commodities futures it is essential to have accurate up to date information. This doesn’t mean hanging on every piece of news issued; it means reducing your information intake to consistently actionable information and ignoring the rest. Below [...]

Trading a breakout is a strategy based on the notion of inertia; that an object in motion tends to stay in motion unless acted upon by an outside force. In this case the object in question is groupthink. Stagnant stock or futures prices typically cause lethargy in market participants, with no one willing to rock [...]

There are two ways of assessing a market’s future direction, both of which are necessary to trade well. The first method is fundamental analysis. The second is technical analysis.  Fundamental analysis looks at real world supply and demand figures for a certain commodity, as well as macro trends in production and consumption. For long term [...]

The single greatest advantage the small investor (me and you) has over the large investor (hedge fund) is time. The large investor has more knowledge and more capital, but they need to make consistent gains, and therefore they need to keep busy buying and selling, hedging and covering. Over activity is what causes most mistakes. [...]

Three reasons I trade commodities futures (options) instead of stocks:
1. There are far fewer commodities than stocks.
The simplicity of researching and finding a market with bullish price potential is much easier when you have to sort through only 20 commodities rather than 5,000 stocks. And to simplify further, commodities belong to groups where each member [...]

What are commodities futures?
It is easy to find a literal definition of commodities futures anywhere on the web. Wikipedia or any online dictionary will provide a great description, but if you’re like me you’ll need a more tangible example of the principle of a futures contract. A futures contract is merely an agreement between a [...]

Charles Ponzi, that most venerable of schemers, has shown us the way to generate investment capital without work. Ponzi, in the 1920’s went from rags to riches in a staggering 7 months by luring investors to invest in foreign postal coupons with a guaranteed return of 100% in 90 days. Naturally, these coupons did not [...]

Living abroad can be the experience of a lifetime; it can also make great financial sense. For the last 5 years, when I tell people about my lifestyle and travels, they usually respond “I wish I could do that,” or “it must be nice”. To which I usually respond, “You can,” and “it is”. I [...]