Seasonal Investing

December is the number one S&P 500 month and second best for DJIA since 1950, averaging gains of 1.7% on each index. It’s also the top Russell 1000 and Russell 2000 (1979) month and second best for NASDAQ (1971). Rarely does the market fall precipitously in December. In midterm years, December’s rankings slip modestly, but […]
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Credit Markets

One of the best indicators this year in raising the red flag before a pullback has been the junk bond (AKA: high yield) market. Shown below is the Barclays U.S. Corporate High Yield Average Option Adjusted Spread (OAS) inverted for directional similarity along with the S&P 500. The OAS spread began to tick higher before […]
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Day Trading

When someone says day trading, he/she means buying and selling stock within the same day. To understand fundamentals of day trading, consider yourself a merchant in the market and by the end of the day you have to re position yourself with no stocks. What does a day trader do? Day trader performs the following […]
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Mutual Fund

Mutual Funds are a collection of investments under one umbrella which is managed by a professional. These investments can be anything from stocks, commodities to bonds and money market securities. There are many types of Mutual Funds as everyone has a different goal and investment strategy. Mutual Funds can be considered as a form of […]
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Commodity

A basic material used in manufacturing or commerce that is interchangeable with other the same commodities coming from a different source.  The quality of a specific commodity may differ slightly, but it is essentially uniform across producers. When they are traded on an exchange, commodities must also meet specified minimum standards, also known as a […]
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Stock Options

Stock options are an investment tool that corporations and security traders use as a way to reward executives. There are two types of stock options; qualified stock options and non-qualified stock options. Qualified stock options are regarded as incentive stock options. With this option, no taxes are charged during the exercise or grant period. Taxes […]
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