Investor Versus Trader

Ask the average person how to invest in the stock market and you will get one of two answers. Fundamental analysis or Technical analysis, and never the two shall meet. It all goes back to Benjamin Graham who wrote ‘The Intelligent Investor’ in 1949, the bible of fundamental analysis. In there was this quote, in…

The Key to Making Money in Stocks

YOU MAKE THE MOST MONEY IN WHEN EVERYONE IS WRONG This is a really important piece of the jigsaw puzzle for you are an investor. You need to take this on board. Get through the first bit to get to the Inefficient Market Hypothesis. You may have heard of ‘EMH’, the ‘efficient market hypothesis’. Anyone…

Renko Charts

Renko charts are non-time based charts that are only concerned with price movement. Renko charts are "time independent" charts that do not have constantly spaced time axes. They are named after the Japanese word for bricks or "renga". Here is a Renko chart of the S&P 500 this morning which has just ticked a sell…

Beginners Education: Some Stock Market Truths

How does the share market really work? Here are a few things you need to know. Warren Buffett. The words “Warren” and “Buffett” are the top two financial keywords for advertising and product marketers on the internet but this does not mean you need to invest the Warren Buffett Way. His approach to investment is…

8 Traits of the Retiree Investor

I was playing golf with a few retirees. Post their annihilation, as usual with this demographic, our bar chatter turned to the hot topic of franking credits, and how long they would last before the government adds superannuation to their list of assets to be bled for cash on top of housing. As the conversation…

Sell In May and Go Away

MAYDAY MAYDAY MAYDAY After a 14.3% rally in the ASX 200 since November last year are we set up for a repeat of the old adage "Sell in May and Go Away"? I have written about the “Sell in May and go away” concept every May and make the regular comment that the only reason…

Ten Investment Rules

I have been writing the Marcus Today newsletter for over twenty years and read something called "Farrell's Rules" over thirty years ago. There is an article about "Farrell's Ten Rules" below which you might find interesting, but as I read them, I realise they are a bit old, and I'm sure we can do better.…

Tax Loss Selling

We are approaching June and it’s a good time to start talking about tax loss selling in stocks, something that we should all think about in May rather than June. It works like this. Assuming you pay Capital Gains Tax, many of you don't, on June 30th the tax man will freeze your portfolio, add…