Pro Wealth Biz

When people think long term stock investing they think it’s safe.  Call it stock broker sales pitch or investing conditioning this is actually a very risky strategy to buy and hold long term.  The informed wealthy are getting out and in at the right times more accurately.  The one’s who buy and hold are the ones paying for the wealthy on the way out.  The wealthy are also coming back in with now deflated worthless stock being dumped by the investing losers when it’s too late.  Yes you may buy and hold and take out at the right timing, but no one can predict the timing.  It’s better to predict the short term by making money in a up or down market.  Find out how in the short term investing article.

There are two ways to use options.  You can do a call or put option.  An easy way to think of this is a call you pick up the phone.  Thus, predicting a stock will go up.  When you hang up the phone you put it down.  Therefore a put option is predicting the stock will go down.  If your right then you make a small percentage of the increase or decrease in profits.  Options are basically an insurance against stock prices rising or falling.  There are many indicators to help follow the trends.  For example the VIX, Volatility Index, is a tool to help indicate and predict falling and rising stock prices.

A stock broker is a professional who buys and sells shares and other  securities through the stock market for investors.  Brokers make commissions on the stocks they sell and buy for investors.  Through their investment firms they look for investors to buy specific stock in which they believe has a return on investment for the investor.  Stock brokers are regulated and go through licensing in order to sell and buy stocks for investors.