archive-au.com » AU » T » TRADERDEALER.COM.AU

Total: 499

Choose link from "Titles, links and description words view":

Or switch to "Titles and links view".
  • Investing in 2013: Part 8 – Stock Trading Tips for All Types of Market Environments | Online Stockmarket Trading Update
    and you can see from the European STOXX 600 performance up 18 for the year that the eurozone markets climbed the wall of worry even though their economies are still suffering from the eurozone debt crisis The World MSCI Index finished up 13 for the year In the US markets were up over 13 as President Obama was re elected and is spite of the Fiscal Cliff In Asia the major economies Japan and India rebounded sharply finishing up over 23 while the Chinese market was up only 3 for the year suffering from the slowing economy the uncertainty around the once in a decade change in leadership and the lowest levels of foreign investment since 2009 The positive trader sentiment has continued into 2013 as seen by the green bars on the above chart Investment Themes For 2013 Investors will need to be nimble again this year in managing their portfolio and trading positions Buy and hold has not worked in the past few years resulting in investors having to become more active Bonus We have compiled a Special Report on Investing in 2013 where we cover Evaluation of the Australian market and what to expect in 2013 Evaluation of commodities prices Top down sector analysis on the Australian market Sectors to focus on this year Investing for Yield and our view on interest rates Investment themes How to Survive 2013 For a free BONUS report email advisory d2mx com au or call 1300 610 024 You can also request the trading results from our Advisory service which performed well in excess of the overall market return For trade ideas and recommendations on how to trade in this market sign up for a free trial of the D2MX Daily Trading Report which provides a daily serving of insightful market analysis from the D2MX Advisory team including Trade ideas and strategies Dividend enhancement strategies Market scans to watch International market analysis and Highlights from the S P ASX 200 To request an obligation free trial call 1300 610 024 or email advisory d2mx com au Contact me at D2MX Trading on 1300 610 024 and I can help you trade using a number of strategies that will give you the tools to navigate this market and help you boost your returns on investment Michael Hevern Investment Adviser D2MX Trading This report was prepared by Michael Hevern It represents the views and opinions of the author It is not intended for use by any third party without the approval of Michael Hevern While this report is based on information from sources which are considered reliable its accuracy and completeness cannot be guaranteed Any opinions expressed reflect my judgment at this date and are subject to change Contracting Hevern Pty Ltd is a Corporate Authorised Representative No 408868 of D2MX Pty Limited ABN 98 113 959 596 AFSL No 297950 D2MX and Michael Hevern has been appointed as an Authorised Representative of Contracting Hevern Pty Ltd Opinions conclusions and other information expressed

    Original URL path: http://blog.traderdealer.com.au/2013/01/18/investing-in-2013/ (2013-02-02)
    Open archived version from archive


  • Investing in 2013 (continued): Part 9 – Stock Trading Tips for All Types of Market Environments 20130118_CHART_2012_XJO – Online Stockmarket Trading Update
    7 Trading Strategies Search for Investing in 2013 continued Part 9 Stock Trading Tips for All Types of Market Environments 20130118 CHART 2012 XJO This entry was posted on Friday January 25th 2013 at 10 12 am and is filed under You can follow any responses to this entry through the RSS 2 0 feed You can leave a response or trackback from your own site Leave a Reply Click

    Original URL path: http://blog.traderdealer.com.au/?attachment_id=152207 (2013-02-02)
    Open archived version from archive

  • Investing in 2013 (continued): Part 9 – Stock Trading Tips for All Types of Market Environments 20130118_CHART_2013_XJO – Online Stockmarket Trading Update
    7 Trading Strategies Search for Investing in 2013 continued Part 9 Stock Trading Tips for All Types of Market Environments 20130118 CHART 2013 XJO This entry was posted on Friday January 25th 2013 at 10 14 am and is filed under You can follow any responses to this entry through the RSS 2 0 feed You can leave a response or trackback from your own site Leave a Reply Click

    Original URL path: http://blog.traderdealer.com.au/2013/01/25/investing-in-2013-continued-part-9-stock-trading-tips-for-all-types-of-market-environments/20130118_chart_2013_xjo/ (2013-02-02)
    Open archived version from archive

  • Investing in 2013 (continued): Part 9 – Stock Trading Tips for All Types of Market Environments 20130118_CHART_2012_COMMODs – Online Stockmarket Trading Update
    7 Trading Strategies Search for Investing in 2013 continued Part 9 Stock Trading Tips for All Types of Market Environments 20130118 CHART 2012 COMMODs This entry was posted on Friday January 25th 2013 at 10 15 am and is filed under You can follow any responses to this entry through the RSS 2 0 feed You can leave a response or trackback from your own site Leave a Reply Click

    Original URL path: http://blog.traderdealer.com.au/2013/01/25/investing-in-2013-continued-part-9-stock-trading-tips-for-all-types-of-market-environments/20130118_chart_2012_commods/ (2013-02-02)
    Open archived version from archive

  • Investing in 2013: Part 8 – Stock Trading Tips for All Types of Market Environments Market-Performance-2011 – Online Stockmarket Trading Update
    Analyser 7 Trading Strategies Search for Investing in 2013 Part 8 Stock Trading Tips for All Types of Market Environments Market Performance 2011 This entry was posted on Friday January 18th 2013 at 1 29 pm and is filed under You can follow any responses to this entry through the RSS 2 0 feed You can leave a response or trackback from your own site Leave a Reply Click here

    Original URL path: http://blog.traderdealer.com.au/2013/01/18/investing-in-2013/market-performance-2011/ (2013-02-02)
    Open archived version from archive

  • ASX Trading News | Online Stockmarket Trading Update
    proved better than expected However trading volumes were over 35 percent below the monthly average for most of the week in the wake of Hurricane Sandy Trading has been driven by the earnings season which has been mixed The insurance companies have been the focus in the face of Hurricane Sandy Investor sentiment was hit early in the week as the Spanish economy contracted for a fifth quarter in the three months through September as gross domestic product GDP shrank 0 4 percent from the previous three months according to the Bank of Spain There are also concerns that Spain will face less pressure to seek a bailout after a victory in regional elections for Prime Minister Mariano Rajoy Elsewhere Greek political leaders are under pressure to seek agreement on further austerity in the form of labor reforms and structural changes needed to qualify for more aid under the country s international bailout Asian stock markets have started the month positively The MSCI Asia Pacific Index ended flat overnight recovering from early losses and the index was down 0 4 for October after over half the companies that reported earnings missed analyst estimates according to Bloomberg data The benchmark index is up 12 percent from its June lows following stimulus measures announced in the US the ECB Japan and China aimed at boosting sentiment in the face of slowing global economic conditions and the European debt crisis The markets in China and Hong Kong have pushed higher after Chinese manufacturing expanded for the first time in three months as output and new orders climbed signaling growth in the world s second biggest economy is rebounding after seven quarters of slowdown The National Bureau of Statistics reported the Purchasing Managers Index PMI climbed to 50 2 in October up from 49 8 and in a separate survey from HSBC Holdings Plc and Markit Economics increased to an eight month high Commodities have been generally weaker again this week with gold holding around 6 week lows crude oil at 3 month lows and copper heading for its longest slump in 7 weeks all on concerns over slowing global growth The Australian market is backing off 15 month highs and is threatening to breakdown out of its rising channel which has been in place since June as our reporting season gets underway The market is hovering around the 4450 level The news out of China is indicating that their economy may be bottoming around current levels and investors are still betting that Reserve Bank of Australia Governor Glenn Stevens will follow up with another interest rate cut in this month to 3 which would be a 50 year low and the lowest since back at the height of the GFC In our market the all sectors are looking to finish the week flat to slightly lower and the banks are going Ex div over the next week Protection is still cheap at the moment and investors should have protection in place for their capital and could look to put their money to work while reducing their risk by using options and warrants strategies Remain attuned to the news from overseas particularly from the eurozone China Japan and the US Monitor the performance of Italian and Spanish borrowing costs which are currently at six month lows China Japan tensions and the US dollar for a guide to the future direction of commodities and equities prices The S P ASX 200 index is currently trading at 4460 after backing off its 15 month highs Key levels for the index next week will be 4400 and 4520 with 4450 the key short term pivot level Traders are being cautious on the back of the global central bank stimulus wary about whether this stimulus will be enough to boost global growth and the implications of Hurricane Sandy Traders will also be monitoring the US elections and the US Non Farm Payrolls employment report and the impending once in a decade leadership change in China Contact me at D2MX Trading on 1300 610 024 and I can help you trade using a number of strategies that will give you the tools to navigate this market and help you potentially improve your returns on investment Michael Hevern Investment Adviser D2MX Advisory This report was prepared by Michael Hevern It represents the views and opinions of the author It is not intended for use by any third party without the approval of Michael Hevern While this report is based on information from sources which are considered reliable its accuracy and completeness cannot be guaranteed Any opinions expressed reflect my judgment at this date and are subject to change Contracting Hevern Pty Ltd is a Corporate Authorised Representative No 408868 of D2MX Pty Limited ABN 98 113 959 596 AFSL No 297950 D2MX and Michael Hevern has been appointed as an Authorised Representative of Contracting Hevern Pty Ltd Opinions conclusions and other information expressed in this report are not given or endorsed by D2MX unless otherwise indicated The information contained in this Report is General Advice only as the information or advice given does not take into account your particular objectives financial situation or needs Disclaimer Using leverage to invest can be a two edged sword as it can magnify your returns when the stock price rises but will in turn magnify the losses if the trade does not perform as expected Tags Asian Markets ASX News Commodity prices European Markets eurozone markets stoxx europe 600 US markets Weekly Market Wrap Posted in ASX Trading News No Comments Stock Market Analysis Traders Begin The Month On Positive Note Friday November 2nd 2012 US stock markets rose overnight recording thier best session gains in nearly two months in the aftermath of Hurricane Sandy European stock markets rebounded overnight Asian stock markets finished higher for the first day of the trading month with the ASX still hovering around 15 month highs Commodities prices generally higher Gold prices are trading around US1 715 while crude oil closed around US87 The Australian market looks set to open higher after stocks ended higherin the US Europe and China Investors continue to digest the quarterly earnings season as the Chinese PMI figures indicating a bottoming in the Cinese economy The SPI Futures is trading above the key support level of 4400 ended up 1 0 or 43 points at 4479 The key levels for our index today are 4460 to 4520 See below for ASX listed companies in the news today US Markets US stock markets rose overnight recording thier best session gains in nearly two months All three benchmark indexes were up over 1 1 for the session as gainers outnumbered losers by over two to one For October the S P 500 index fell 2 due to concern over the slowing economic growth and its impact on corporate earnings The S P 500 index is still up 15 percent from its June lows and hit four year highs in mid September On the earnings front earnings have exceeded projections at 72 percent of companies that have released third quarter results while sales have trailed estimates at 59 percent of firms according to Bloomberg data In economic news the Institute for Supply Management s US factory index rose to 51 7 in October up from 51 5 and corporates expanded payrolls in October by the most in eight months Also the Conference Board s consumer sentiment index increased to 72 2 the highest since February 2008 Investors will be looking to the Labor Department s monthly Non Farm employment report for an indication of the strength of the US economy as they prepare for next week s presidential election According to Bloomberg data economists are expecting that payrolls increased by 125 000 workers in October and the jobless rate rose to 7 9 percent The Dow Jones closed up 1 0 at 13 232 the S P 500 index up 1 1 at 1 428 the Nasdaq ended up 1 4 at 3 020 and the smaller cap Russell 2000 was up 1 1 European Markets European stock markets rebounded the the most in two weeks on the back of improving global economic data The Stoxx Europe 600 Index rose 1 3 its biggest gain mid October The benchmark index has now completed its fifth straight month of gains and has jumped 17 percent from its June lows following the announcement from the European Central Bank policy makers agreeing on an unlimited asset purchase program and the Federal Reserve announced a third round of quantitative easing QE3 Trader sentiment was boosted by improving manufacturing news out of China and the US which proved better than expected Trading volumes were over 40 percent below the monthly average because many nations were closed for the All Saints Day holiday However in the UK the FSTE 100 trading volumes was nearly 50 percent above the monthly average In London the FTSE 100 index closed up 1 4 at 5 861 the German DAX was closed up 1 0 at 7 335 while in France the CAC closed up 1 4 at 3 475 and Spain closed up 1 7 Asian Markets Asian stock markets finished higher for the first day of the trading month The MSCI Asia Pacific Index ended flat recovering from early losses The index was down 0 4 for October after over half the companies that reported earnings missed analyst estimates according to Bloomberg data The markets in China and Hong Kong pushed higher after Chinese manufacturing expanded for the first time in three months as output and new orders climbed signalling growth in the world s second biggest economy is rebounding after seven quarters of slowdown The National Bureau of Statistics reported the Purchasing Managers Index PMI climbed to 50 2 in October up from 49 8 and in a separate survey from HSBC Holdings Plc and Markit Economics increased to an eight month high In China the SSE Composite closed up 1 7 at 2 104 while in Hong Kong the Hang Seng Index closed up 0 8 at 21 821 and in Japan the Nikkei 225 Index was up 0 2 at 8 946 South Korean KOSPI closed up 1 0 for the session Commodities The Dollar Index was higher at 80 03 on a lower Euro while the Australian Dollar last traded lower at 1 034 Commodities prices traded generally higher For the session the Benchmark crude NYMEX for November delivery was up 1 0 settled at US87 09 Copper prices are looking for key support level as Copper for November delivery was up 1 0 at US3 555 while November Gold was down 0 2 or US3 60 at US1 715 50 ASX News Today ARI Arrium formerly Onesteel shares plunged over 13 percent after its Asian suitor walked away from a potential takeover BLD Boral the building products supplier says the the US market is showing signs of recovery although Australia s residential housing sector is still finding it tough GUD GUD Holdings the household and automotive products supplier says most of its businesses are under pressure and has warned that profits in the first half of the current financial year may be 15 percent lower than last year HIL Hills Holdings the troubled electronics and building products maker is to start shedding jobs as part of a massive restructure LLC Lend Lease has appointed Kylie Rampa as head of its 8 8 billion investment management business in Australia NBL Noni B the women s fashion retailer says tough retail conditions have continued into the current financial year NPX Nuplex Industries the specialty chemicals company is hopeful that it will be able to partially impute dividends as it forecasts increased earnings for 2013 on its cost cutting measures NWS Newscorp Media mogul Rupert Murdoch says the company will donate US1 million to help victims of superstorm Sandy in New York and New Jersey and wants other firms to follow suit PPT Perpetual have slumped after the company said it will not post an improved performance in the first half of the financial year TSE Transfield Services has a new chief executive Graeme Hunt as the company begins cutting costs amid weaker industry conditions TWE Treasury Wine Estates has extended its presence in NZ by taking complete ownership in the Rapaura Vintners winery and warehouse in the county s Marlborough region WHC Whitehaven Coal MD Tony Haggarty says investors have sent majority shareholder Nathan Tinkler a clear message after they overwhelmingly re elected chairman Mark Vaile and four other directors Corporate News Reporting today Qantas Airways QAN Full year 2012 AGM Ex dividend Date Macquarie Group Ltd Market Summary ASX to open higher US UK Europe US higher EU higher Commodities Stock Index up 0 8 Gold Stocks Index down 1 1 Oil Stocks Index down 0 4 US ADRs Broadly higher BHP up 1 4 RIO up 2 7 AWC up 1 8 ANZ up 0 8 NAB down 0 3 NEM down 2 5 JHX down 0 1 NWS up 1 3 By Michael Hevern D2MX Investment Advisor For Buy and Sell recommendations on ASX listed companies register for a FREE trial of FREE trial of D2MX Financial Research Tags Asian Markets ASX ASX News Business News Commodities Crude Oil European Markets Ex Dividend gold price Nasdaq Stock Market Analysis stockmarket trading US Market wrap Posted in ASX Trading News No Comments Stock Market Analysis Bears Take Hold For The First Time In Six Months Wednesday October 24th 2012 US stock markets slumped overnight recording their biggest session losses since June European stock markets fell for a third session overnight on the back of concerns over Spanish downgrades and disappointing earnings Asian stock markets fell yesterday and are epected to continue to trade lower today Commodities prices sharply lower Gold prices are trading around US1 709 while crude oil closed around US87 The Australian market looks set to open sharply lower after US shares slumped on poor earnings and European stocks slumped due to fears about the Spanish recession Inflation data due out today is expected to show an increase in CPI The SPI Futures is trading above the key support level of 4400 ended down 0 9 or 40 points at 4492 The key levels for our index today are 4480 to 4520 The miners will be in the spotlight due sharply lower commodities overnight and the Flash PMI news due out of China today See below for ASX listed companies in the news today Economics News Today Oct DEEWR Vacancy Report Q3 CPI Data US Markets US stock markets slumped overnight recording their biggest session loss since June due to disappointing results at bellwether companies like 3M DuPont and as commodities have now given back all of their gains for the year after experiencing heavy selling overnight The three benchmark indexes ended down over 1 The S P 500 index is now down 3 3 from this year s high last month but the index is still up 13 percent in 2012 on the expectation that central bankers will keep economies expanding Overnight all 10 groups in the S P 500 retreated with the commodity related and financial sectors recording the biggest losses In the S P500 reporting season to date 3Q sales have missed forecasts at 60 percent of companies while 70 percent of the companies that have reported 70 percent beat analysts earnings estimates according to Bloomberg data Earnings forecasts for the next quarter have disappointed pretty much across the board Commodities were sold down heavily overnight All ten company groups that make up the S P index traded mixed with Materials down 3 1 Energy sector down 2 2 Financials sector down 1 7 Industrials sector was down 1 0 Health Care down 1 3 Technology was 1 1 while Consumer Staples were down 0 8 The Dow Jones closed down 1 8 at 13 102 the S P 500 index down 1 4 at 1 413 the Nasdaq ended down 0 9 at 2 990 and the smaller cap Russell 2000 was down 0 5 European Markets European stock markets fell for a third session overnight on the back of concerns over Spanish downgrades and disappointing earnings The Stoxx Europe 600 Index slumped 1 7 its lowest level since early September The index has now given back nearly all of the gains since European Central Bank ECB officials agreed on an unlimited bond purchase program Eurozone consumer confidence remained little changed in October after decreasing in the previous four months remaining at the lowest levels since May 2009 Investor sentiment was hit as the Spanish economy contracted for a fifth quarter in the three months through September Gross domestic product shrank 0 4 percent from the previous three months according to the Bank of Spain There are also concerns that Spain will face less pressure to seek a bailout after a victory in regional elections for Prime Minister Mariano Rajoy However the Moody s Investors Service lowered its credit rating on Catalonia and four other Spanish regions citing deterioration in their liquidity positions and very limited cash reserves as of September 2012 plus their heavy reliance on short term funding The German market broke its uptrend that had been in place since the start of the June rally In London the FTSE 100 index closed down 0 2 at 5 882 the German DAX was closed down 2 1 at 7 173 while in France the CAC closed down 2 2 at 3 406 and Spain closed down 1 6 Asian Markets Asian stock markets fell yesterday and are expected to continue to trade lower today The MSCI Asia Pacific Index lost 0 5 as decliners outnumbered gainers by two to one The index is still up 13 percent from its June lows following the announcements of stimulus measures in the US Japan and China boosted market sentiment despite the global economic slowdown

    Original URL path: http://blog.traderdealer.com.au/category/the-latest-asx-market-news/ (2013-02-02)
    Open archived version from archive

  • Interest Rates | Online Stockmarket Trading Update
    six months and the Board has judged that with inflation expected to be consistent with the target and growth close to trend but with a more subdued international outlook than was the case a few months ago the stance of monetary policy remained appropriate In our market the defensive sectors continue to outperform with Telstra Real Estate REITs and health care stocks holding ground as investors seek out stocks that can deliver consistent yield in this low rate environment The materials and energy sectors saw some buying early in the week but continue to underperform The industrials sector is trying to hold on to support while banks have found support as investors turn to dividend yield David Jones is facing questions over the unsolicited bid it has received last week On the S P ASX 200 the 4120 level has been broken and the index is looking to close at a 5 week high The 4200 level is the next crucial resistance level and 4120 is a pivotal level for next week The next few sessions will determine whether we slip back into the trading range which has prevailed for the past two months Investors should have protection in place for their capital and could look to reduce their risk by using options and warrants strategies The ASX market has bounced 4 from its recent lows and is susceptible to some profit taking at these levels Look to pick up value stocks that pay consistently high dividend yields when they reach your buy levels Remain attuned to the news from overseas particularly from the eurozone China and the US as the US releases its monthly non farms employment report tonight Monitor the performance of Italian and Spanish borrowing costs China and the US dollar for a guide to the future direction of commodities and equities prices The S P ASX 200 index is currently trading at 4150 and is testing breakeven levels for the year Key levels for the index next week will be 4050 and 4200 with 4120 the key short term pivot level By Michael Hevern D2MX Trading Desk For Buy and Sell recommendations on ASX listed companies register for a free trial of MDS Financial Research This report was prepared by Michael Hevern It represents the views and opinions of the author It is not intended for use by any third party without the approval of Michael Hevern While this report is based on information from sources which are considered reliable its accuracy and completeness cannot be guaranteed Any opinions expressed reflect my judgment at this date and are subject to change Contracting Hevern Pty Ltd is a Corporate Authorised Representative No 408868 of D2MX Pty Limited ABN 98 113 959 596 AFSL No 297950 D2MX and Michael Hevern has been appointed as an Authorised Representative of Contracting Hevern Pty Ltd Opinions conclusions and other information expressed in this report are not given or endorsed by D2MX unless otherwise indicated The information contained in this Report is General Advice only as the information or advice given does not take into account your particular objectives financial situation or needs Disclaimer Using leverage to invest can be a two edged sword as it can magnify your returns when the stock price rises but will in turn magnify the losses if the trade does not perform as expected Tags ASX News Commodity prices eurozone debt crisis interest rates QE3 RBA S P ASX 200 US markets Weekly Market Wrap Posted in Stock Market Analysis No Comments Stock Market Analysis RBA Interest Rate Reprieve Wednesday October 27th 2010 Mortgage holders are breathing a sigh of relief after the Australian Bureau of Statistics ABS reported benign inflation figures reducing the urgency for another Reserve Bank rate hike The inflation data released by the ABS today has made the RBA s decision on interest rates even more difficult Prior to the release of today s inflation data interest rate futures traders were rating the possibility of a rate hike at the next RBA meeting due to be held on Melbourne Cup Day at around 60 percent The ABS reported September quarter inflation figures came in at 0 7 percent for the quarter and 2 8 percent for the year below economists expectations and below the 3 1 percent rise for the June quarter The Reserve Bank s preferred trimmed mean and weighted median measures of inflation came in at 0 6 and 0 5 percent for the three months to September virtually unchanged from the 0 5 percent result for both last quarter Interestingly the inflation drivers for the quarter came from increases in the price of utilities and charges with water and sewerage up 12 8 electricity up 6 and property rates and charges up 6 2 These increases were offset by significant falls in vegetable prices down 5 4 the cost of pharmaceuticals down 3 9 the cost of fuel down 3 7 and falls in the prices for audio visual and computing equipment down 2 7 At its last meeting the RBA surprised economists and investors by leaving the cash rate on hold at 4 5 percent The meeting minutes revealed the decision was finely balanced and that the RBA needed more information about price pressures in the economy The figure that the RBA uses for its interest rate decision is the underlying inflation which is now running between 2 3 and 2 5 per cent for the year to September in the middle of RBA s target band The underlying inflation reading is now the lowest in over five years and removes the urgency of another RBA rate hike The rising Aussie dollar has helped moderate inflation and it has gained around 13 percent in the September quarter against the US dollar This has resulted in lower prices for consumers and cheaper capital equipment for businesses However at next week s meeting the RBA still needs to consider Whether a rate hike in November would be more effective than waiting til December as much of the Christmas and business planned spending is allocated in the weeks before the RBA December meeting The likelihood of the strong Australian dollar holding near parity for an extended period If there are signs of excessive wage rises as the job market tightens The Trade Interest rate futures traders are now rating the possibility of a rate hike at the next RBA meeting at around 30 percent The next meeting is due to be held on Tuesday Melbourne Cup Day Retailers and mortgage holders will benefit if the RBA interest rate hike is delayed which will in turn help the Consumer Discretionary sector The Banking sector will be hurt as banks have said that the margins for their cost of money are already tight There are a number of external influences on the Aussie economy In the US GDP data is due out later this week and the US Federal FOMC meeting is scheduled for next week and investors have already factored in a new round of stimulus spending QE2 The big surprise in the CPI figures was the very subdued underlying inflation figures which came in at the middle of RBA s target band The underlying inflation reading is now the lowest in over five years and removes the urgency of another RBA rate hike However we expect that if the RBA is going to increase rates before Christmas then it will be more effective if done at the November meeting Tags Aussie Dollar inflation interest rates RBA reserve bank decision Posted in Stock Market Analysis 2 Comments RBA Rate Decision Tuesday May 4th 2010 The RBA is set to decide on interest rates today and on the weight of evidence relating to inflation prospects rates will be pushed higher Data out yesterday confirmed that the manufacturing and real estate sectors are still booming Real estate data showed that established house prices across the country have increased by 20 in the past year with Melbourne s prices up 28 outstripping Sydney where prices were up 21 Additional reports yesterday show that the Australian manufacturing growth for April accelerated at the fastest pace since 2002 according to the share business exchange The performance of the manufacturing index jumped 9 3 points from March to 59 8 which is the highest level since May 2002 A figure above 50 shows the industry is expanding The resurgent manufacturing growth and booming house prices support the central bank s view that the nation s economy is expanding at or close to trend Therefore the RBA is set to raise interest rates a further 0 25 to 4 5 raise borrowing costs yet again By Michael Hevern Head of Research Tags inflation interest rates RBA Real estate Posted in Stock Market Analysis 1 Comment RBA leaves interest rates unchanged Tuesday February 2nd 2010 The RBA shocked the market today by leaving benchmark interest rates unchanged at 3 75 In a statement RBA governor Glenn Steven said The global economy is growing and world GDP is expected to rise at close to trend pace in 2010 and 2011 The expansion is still likely to be modest in the major countries due to the continuing legacy of the financial crisis resulting in ongoing excess capacity In Asia where financial sectors are not impaired recovery has been much quicker to date though the Chinese authorities are now seeking to reduce the degree of stimulus to their economy Global financial markets are functioning much better than they were a year ago Credit conditions nonetheless remain difficult in the major countries as banks continue to face loan losses associated with the period of economic weakness Concerns regarding some sovereigns have increased In Australia economic conditions have been stronger than expected after a mild downturn a year ago The effects of the fiscal stimulus on consumer demand have now faded but household finances are being supported by strong labour market outcomes and a recovery in net worth Public infrastructure spending is now boosting demand as is an upturn in housing construction Investment in the resources sector is strong The rate of unemployment appears to have peaked at a much lower level than earlier expected Lenders have generally raised rates a little more than the cash rate over recent months and most loan rates have risen by close to a percentage point Since information about the early impact of those changes is still limited the Board judged it appropriate to hold a steady setting of monetary policy for the time being He went on to say that interest rates to most borrowers nonetheless remain lower than average If economic conditions evolve broadly as expected the Board considers it likely that monetary policy will over time need to be adjusted further in order to ensure that inflation remains consistent with the target over the medium term This essentially means that the RBA has taken on board the move by China to reduce liquidity inflation is not a concern at the moment but credit markets are still tight The RBA are likely to pause and see the effect prior to any more increases Tags Glenn Stevens interest rates RBA Reserve Bank Posted in Stock Market Analysis 2 Comments Interest rates expected to rise today Tuesday February 2nd 2010 Economists are expecting the Reserve Bank to lift the benchmark interest rate by 25 basis points to 4 today Bloomberg cites several contributing factors to what would be the fourth successive interest rate rise an employment surge from three years ago although there was an 8 1 fall in job ads in January according to yesterday s ANZ job advertisement index the largest increase in house prices since 2007 an expectation of accelerated inflation It s expected that the March meeting of the RBA will see interest rates kept steady The ASX is expected to open higher this morning ahead of the decision Tags ASX interest rates job ads RBA Reserve Bank Posted in ASX Company News No Comments Cautious Christmas optimism from Myer s chief Friday December 4th 2009 Myer is expecting a happy Christmas and a happier new year judging by Bernie Brooks comments yesterday Yesterday the Myer chief executive said the retail industry slowly recovering from the GFC is anticipating shoppers will be frugal this Christmas He did note however that sales of gift cards are up 40 suggesting people will be out in force in the post Christmas stocktake sales On the subject of interest rates he said Myer would be unaffected by this week s rise but another two three per cent increase could cause a dent in retail sales The Australian Bureau of Statistics has said national retail spending rose 0 3 in October to almost 20 billion Myer David Jones and food retailers have been the primary beneficiaries Myer Holdings ASX Code MYR Chart source The Bourse Sign up for a free charting software trial For more info Herald Sun Myer chief Bernie Brooks warns of festive frugality for Myer Tags Bernie Brooks David Jones DJS interest rates Myer MYR retail sales Posted in ASX Company News No Comments Old Dog New Tricks Where to now Wednesday September 16th 2009 Lehmans Brothers Collapse 12 months on The markets and global economies have staged a remarkable recovery from the dim days of this time last year as the world financial markets stared down the abyss The collapse of Lehman Brothers brought about a systemic collapse of the global financial systems The US Government allowed Lehman to fail after bailing out Freddie Mac and Fannie Mae but at the time did not realise the catastrophic consequences of such a decision Globalisation has meant that the global financial systems had become so inter connected world wide the fallout from this crisis reverberated across every continent The systemic collapse of the US financial system meant that banks worldwide were not prepared to lend to each other and this resulted in a freezing of the credit markets which in turn meant that corporations ran out of funding to carry on their business operations Central Governments around the world had to pour money into their respective economies prop up their banking systems and provide banking guarantees to ensure the credit markets began resuming normal operations To date these measures have been extremely successful However there are concerns that many governments have effectively had to nationalise significant portions of their banking systems at huge costs to the respective taxpayers At some point these governments will have to turn off the stimulus spending that has seen the world economies step back from the abyss and this will require a fine balancing act between government intervention and the capitalist systems to ensure the economies continue to function normally At the recent G 20 meeting finance ministers indicated that stimulus spending would continue as long as necessary The Australian Economy Now Australia may come out of the financial crisis as the only developed country to avoid a recession With the US UK European and Asian economies falling off a cliff soon after share markets crashed late last year In Europe recessions in France and Germany officially ended last quarter but their real recovery is expected to be slow and difficult The UK economy has dropped 5 5 per cent over the past year which is the largest since their records started in 1955 The US economy has shrunk for an annual decline of 1 per cent Australia has fared well in comparison China our key trading partner for our exports and resources is faring even better with economic growth at 7 9 per cent GDP Australia has avoided recession by posting positive growth figures over the past two quarters with GDP better than expected growth of 0 6 per cent in the June quarter This positive figure means the economy is growing consumers are spending and jobs are being created GDP is a key measure of just how Australia is faring through the global downturn it tells us if the economy is growing or shrinking by measuring the number of goods and services bought and sold The latest national accounts show Australia has been the best performing advanced economy over the past year according to Treasure Wayne Swan Interest Rates Interest rates are at 49 year lows at 3 0 per cent having come down from 7 0 per cent this time last year There may be head winds on the horizon as the Reserve Bank Governor Glenn Stevens has said the only way for rates is up calling 3 per cent an emergency level cash rate Aussie Dollar The Aussie dollar AUD peaked at 96 3 mid last year just before the Lehman collapse The AUD has had a great run against the US dollar since bottoming in February at 65 7 cents It looks set to retest those levels in the near term so long as the US dollar continues to deflate and Chinese investment continues to pour into Australia Unemployment Unemployment has remained steady at 5 8 for the past three months however there are concerns here are number of hours worked and participation rates have dropped Our unemployment rate fares very well against other key developed economies including UK at 7 7 US at 9 7 and Spain at 18 5 Where to now A perspective on the predicament that the ASX has faced since the start of the global financial crisis is illustrated in this chart The index has travelled from an all time high of 6897 in October 2007 all the way down to 2982 earlier this year Figure ASX 200 Chart of 2003 to now The Australian economy has fared well in comparison to other developed countries in the world We still have reasonable unemployment levels with an expanding economy GDP up 0 6 for the June quarter and we have a resource base which is the envy of many China is eagerly consuming Australian resources and is keen to acquire and or take major

    Original URL path: http://blog.traderdealer.com.au/tag/interest-rates/ (2013-02-02)
    Open archived version from archive

  • Investing In Shares | Online Stockmarket Trading Update
    in 2011 Go to Top Tags ASX Commodities interest rates investing in shares stock trading tips where to invest XJO Posted in ASX Trading News Stock Market Analysis Trading Strategies No Comments Boosting Dividend Yield Using Warrants Part 2 of Warrant Trading for All Types of Market Environments Friday April 27th 2012 Market cycles drive portfolio performance and one of the more reliable recurring cycles in the market is the cycle that is driven by banks and their dividend payment cycles Banks tend to outperform the overall market in the six weeks prior to going ex dividend and as the bank dividend season is fast approaching we thought it timely to discuss how you can boost your dividend yield by trading bank shares using instalment warrants Instalment warrants allow investors to generate higher franked dividend income compared to a direct share investment and can be traded in your self managed super fund SMSF Instalment Warrants Instalment warrants have been around for a while and are traded on the ASX Instalment warrants are a geared investment which give the investor all the benefits of share ownership including access to the full cash dividend amount and the associated franking credits SMSF investors can gain the economic benefit of the share ownership for a fraction of the cost of purchasing the underlying shares outright Instalment warrants have a six letter code eg ANZIOW The first three identify the stock the fourth letter the warrant type I Instalment the fifth letter the issuer and the last letter signals the series or leverage Instalment warrants are a type of warrant listed on the ASX They are a leveraged trading instrument providing investors with upward of 30 gearing on the underlying asset while having all benefits of share ownership Investors can choose their level of leverage based on their own risk profile as there are a number of instalment warrants or leverage levels available for each stock Before trading instalment warrants traders need to read and understand the ASX Understanding Warrants Booklet and then sign the Warrant Agreement form Speak to your broker or contact us at D2MX on 1300 610 024 The key features of instalment warrants include They are instruments traded and regulated on the Australian Securities Exchange You can trade long and participate in the dividends and franking credits There are NO margin calls Instalment warrants are an efficient way to trade dividend paying stocks to boost yields No credit checks or approvals required The main benefits of trading instalment warrants on dividend paying stocks Increased dividend income and franking credits A lower capital outlay is required to achieve the same dividend income Can offer potential tax benefits The maximum loss is limited to the initial outlay Can be traded in your Self managed Super Funds SMSF The risk of trading instalment warrants As with any leveraged investment product the price of the underlying asset may fall prior to the time of sale or even prior to the ex div date The value of the instalment warrant could fall or be significantly less valuable on its maturity date or may expire worthless resulting in a total loss of the initial monies outlaid for the trade Leverage is a two edged sword it enhances any gains but would also increase any loss sustained Instalment Warrant Terminology The instalment warrant is made up of three parameters The Instalment Value the prices at which it trades The Final Instalment Price the loan amount The Maturity Date the date on which the Instalment ceases to trade or is rolled Case Study Sam wants to trade ANZ for the dividend and franking credits and is looking to boost her returns She plans to trade ANZ on 13th of April 2012 when ANZ is trading at 23 00 and Instalment Warrant ANZIOW is trading at 13 40 and ANZ is expected to go Ex div 0 65 on the 12th of May 2012 Note This case study is general in nature and does not incorporate any specific tax or personal circumstances of the investor Please seek any tax advice from a qualified taxation professional The Instalment Warrant and Share Trade Comparisons The trade needs to be held for 45 days to qualify for the franking credits and the calculations are done assuming no capital gain that is assuming ANZ pulls back to our original buying price of 23 00 then the trade calculations are as follows assuming the trader s tax rate is 46 5 So if ANZ pulls back to its original purchase prices after the 45 day holding period and the position is closed there would be no capital gain on the holding but Sam would get to collect 2 826 plus 1 174 worth of franking credits for a grossed up yield of 4 in 45 days if she trades ANZ using shares However if Sam traded the ANZIOW instalment warrant then she would collect 4 850 in dividends plus 2 015 worth of franking credits for a grossed up yield of 6 9 in 45 days if she trades ANZ using instalment warrant note if ANZ was trading at 23 00 again there would be a funding cost of 0 10 cents per share part of which would be tax deductible Of course if ANZ is trading above the purchase price after the 45 day holding period then there would be an additional capital gain and a capital loss if ANZ was trading below 23 00 Funding Cost Calculation In order to calculate the amount you are paying in funding costs use the following calculation Funding Cost Share Price Final Instalment loan amount First Instalment Price initial outlay 23 00 10 00 13 40 0 40 The Trade If you want to take advantage of the bank dividend season then instalment warrants are an excellent way boost your yield as shown in this Case Study Contact me at D2MX on 1300 610 024 and I can help you trade using instalment warrants to boost your returns Each instalment warrant has a PDS document which details all the features of the specific warrant Warrant Trading for All Types of Market Environments Series Part 1 Shorting With Limited Risk Using MINIs Part 2 Boosting Dividend Yield Using Warrants Michael Hevern Investment Adviser D2MX Retial Trading This report was prepared by Michael Hevern It represents the views and opinions of the author It is not intended for use by any third party without the approval of Michael Hevern While this report is based on information from sources which are considered reliable its accuracy and completeness cannot be guaranteed Any opinions expressed reflect my judgment at this date and are subject to change Contracting Hevern Pty Ltd is a Corporate Authorised Representative No 408868 of D2MX Pty Limited ABN 98 113 959 596 AFSL No 297950 D2MX and Michael Hevern has been appointed as an Authorised Representative of Contracting Hevern Pty Ltd Opinions conclusions and other information expressed in this report are not given or endorsed by D2MX unless otherwise indicated The information contained in this Report is General Advice only as the information or advice given does not take into account your particular objectives financial situation or needs Tags ASX Derivatives dividend yield Dividends franking instalment warrants investing in shares smsf warrants Posted in Trading Strategies No Comments Trading For Profit Friday March 23rd 2012 Trading for profit isn t that what we all endeavour to do Last week in his article Managing Trading Stress Jeff talked about the importance of managing stress in your trading life This week we elaborate on trade preparation As traders we apply our knowledge and skills to profit from trading Trading should be treated as a business and as such there are a number of rules and conditions that you need to abide by in order to ensure that your trading is done systematically and efficiently without emotion Some of these rules include 1 Planning the trade Before the trade is initiated have a written plan specifying the entry and exit conditions the dollars you are prepared to put at risk for the trade and how you will manage your profits losses Note how you expect to exit the trade whether it s a staged exit to protect profits as the trade goes in your favour or when the trade goes against you necessitating you taking a loss Just remember that as a general rule the first loss is often the cheapest and having a clear exit strategy before you enter the trade can save you a lot of stress 2 Keep consistent and accurate trading records Trading should be treated as a business therefore you should be able to measure its success regularly by reviewing your records depending on your investment time horizon 3 Journal your trade Note the entry and exit parameters before you enter the trade Write down the trading signals the ideas behind the trade and the emotions about your trade Journal comments on the trades can be an excellent reference if and when you want to evaluate your trading success failure 4 Remove distractions If you are trading part time and are called away to meetings or phone calls just consider that there are full time professional traders who are concentrating on taking your money Set aside time for trading including preparation time and remember that the trading plan journal and record keeping are essential in any business venture 5 Be systematic Select your trading system or systems You can run a number of systems concurrently that allow you to profit in different market conditions An example of concurrent systems would be using a trend trading system with a breakout system and a mean reversion system Master your own systems don t tinker with indicators of a system that you re trading and back test before you start putting your capital at risk 6 Keep your losses small Understand your trade expectancy and know your trade risk before you enter the trade When all is said and done the only parameter that you can control in any given trade is your risk It may be worth reviewing my previous article Mind the Gap Trading Risk with Options Versus CFDs at this point 7 Staying on the sidelines is a valid strategy If the market and or stocks are trading sideways it is valid to stay in cash until a trading opportunity presents itself 8 Take responsibility for your trades Evaluate why the losing trades failed and why the winners succeeded This is where a Trade Journal can be invaluable This can be a painful process at least initially because ego is built to deflect blame and accept praise which is a trap because if you try to rationalise or justify poor trades then you will never learn from them Use the Trade Journal to divest the emotion from the trade evaluation process Trading for profit should be treated as a business and these are just some of the rules and conditions that you need to abide by in order to ensure that your trading is done systematically and efficiently without emotion Some good reading material on this topic includes Complete Trading for a Living by Dr Alexander Elders Trade Your Way to Financial Freedom by Van K Tharp Michael Hevern Investment Adviser This report was prepared by Michael Hevern It represents the views and opinions of the author It is not intended for use by any third party without the approval of Michael Hevern While this report is based on information from sources which are considered reliable its accuracy and completeness cannot be guaranteed Any opinions expressed reflect my judgment at this date and are subject to change Contracting Hevern Pty Ltd is a Corporate Authorised Representative No 408868 of MDS Financial Services Pty Limited ABN 28 088 190 283 AFSL No 333298 MDS and Michael Hevern has been appointed as an Authorised Representative of Contracting Hevern Pty Ltd Opinions conclusions and other information expressed in this report are not given or endorsed by MDS Financial Services Pty Ltd unless otherwise indicated The information contained in this Report is General Advice only as the information or advice given does not take into account your particular objectives financial situation or needs Tags investing in shares stock market trading trade journals trading as a business Trading Strategy Posted in Trading Strategies No Comments Weekly Market Wrap US Investors Lead Global Markets Higher Friday March 16th 2012 Markets have continued to trade above key levels this week led by the bulls out of the United States The US markets have pushed through to levels not seen for over 4 years however the Chinese market may be forming a double top near term as the prospect of further easing of monetary policy recedes Investors appear to be comfortable with the current state of the eurozone debt crisis and the US bank stress test results were well received around the globe The US Volatility Index which is referred to as the fear gauge is at 4 year lows The central bank easing in the US and the eurozone is starting to boost equities as investors chase higher yields Another round of solid domestic economic news boosted sentiment in the US pushing markets higher The S P 500 stock index has closed above 1400 for the first time in almost four years and the Nasdaq remains at 12 year highs The Dow Jones is now within 10 of its all time high after booking a 7 day winning streak its longest winning streak since February 2011 The financial and industrial sectors led the gains on the S P 500 and the technology sector has also been strong with Apple reaching US600 and a market cap of US550 billion US traders took the comments from this week s Federal Reserve meeting in their stride The Fed took no new action on rates and offered few hints about the potential for additional monetary stimulus efforts as expected but they did highlight that the US economy is improving European markets have continued their march higher after the International Monetary Fund IMF approved a four year EUR28 billion loan for Greece as part of a broader rescue package for the debt laden country with EUR1 65 billion available for immediate disbursement This news was good for the PIIGS economies as the Spanish Treasury sold EUR3 billion of bonds at auction and the Italian government successfully sold EUR5 billion of three year bonds within the target range and with yields mostly lower Germany the eurozone s largest economy continues to power higher after the closely watched Center for European Economic Research ZEW reported its gauge of German investor sentiment jumped to 22 3 in March from 5 4 in February its highest level since June 2010 The three key markets in the region the UK France and Germany are approaching 4 year highs Asian markets remain at multi month highs Japanese stocks continue to benefit from the weaker yen with the Nikkei above 10 000 but on the flip side the Chinese Shanghai Composite Index has formed a double top near term breaking below the key 2400 its key 6 month pivot level Chinese Premier Wen Jiabao disappointed investors who were expecting that Beijing may loosen policy toward the property sector Property developers were hit hard on the market after the comments and across the region the miners weighed as traders worry about the slowing global growth for 2012 and a possible hard landing for China Commodity prices have been under selling pressure this week on the back of a resurgent US dollar Even crude oil prices eased on the back of rumours that the US and UK were considering the release of their strategic reserves In Australia the earnings season has finished and the dividend season has come to an end We have been driven by global forces this week but the 4300 level remains an obstacle for our market as our materials sector has suffered from the lower commodity prices and the concerns out of China The Aussie market is again testing the 200 day moving average and the index has found support at its six month pivot level around 4180 On the S P ASX 200 the 4180 level is the crucial support level and the 4320 level becomes increasingly more important each time it is tested This week we found support around the 4150 level but we are now again trying to punch through the 4320 level A number of the S P ASX sectors are holding above their 150 day moving averages MAs having found support this week These include Energy Consumer Discretionary and Financials The Industrials and Utilities sectors have had a strong week and are finishing on their highs while Telecoms Materials and Consumer Staples are underperforming and are below their 50 day support levels Traders should be looking to protect their profits in this market and reduce their risk by using options strategies The MDS Financial Advisory Services team can help with these trades Call me on 1300 610 024 for further information Investors should also be looking to utilise options strategies to protect their positions as options are a relatively cheap form of insurance as volatility is low and you can also leverage yourself for a break to the upside if that occurs Remain attuned to the news from overseas particularly from the eurozone and China in relation to easing policies and the US as their markets hold above multi year highs Monitor the performance of the US dollar for a guide to the future direction of commodities and equities prices The S P ASX 200 index is currently trading at 4272 and is holding above the key medium term pivot level around 4180 Key levels for the index next week will be 4180 and 4320 with 4230 the key pivot level By Michael Hevern MDS Trading Desk For Buy and Sell recommendations on ASX listed companies register for

    Original URL path: http://blog.traderdealer.com.au/tag/investing-in-shares/ (2013-02-02)
    Open archived version from archive



  •