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Thursday, October 16, 2008

Index Trading Better Than Ever

With all the wild swings in the market, the financial MESS with the banks and the crooks on Wall Street, folks are scratching their heads trying to figure out how to make money in the stock market.

The so called "Experts" on CNBC, Bloomberg, and other news networks are trying to call the bottom of the crisis. Even Jim "Mad Money" Crammer has been telling his loyal stock-trading followers to buy GOLD! He also is saying that long-term buy-an-hold stock trading will NEVER be the same. We couldn't agree more Jim!

However, for Swing Traders, the market is Better Than Ever! We appreciate and enjoy trading the Index. When the market is swinging, there is No Better time to be trading the index. While we like the Mini-Dow, Any index sure beats trading stocks these days (and always has in our opinion).

While stock and commodity traders are trying to figure out how low this market could go, Index and Swing traders are willing to follow it down as low as it wants to go. "Let it Fall" is the cry of the day.

Think about it, why would anyone in their right mind want to buy a stock these days? Or an ETF for that matter? With simple index trading you don't have to be concerned about PE ratios, insider trading, golden parachute escape plans, decadent officer vacations, earnings reports, or all the other YUCK things that come with picking stocks!

If you were going to short a stock you still need to do your research on all the above and more. And if you short it, the stock might be up 15% in the morning before dropping to minus 20% in the afternoon. Most stock traders are not able to hang on for that type of roller coaster ride.

If you trade the index, the set ups come to you. No research, we don't really even care if the CEO runs off with all the money. We just want the market to MOVE! The more it moves the better. And, we really don't care which way it goes. Up or Down, just as long as it moves.

If you have EVER even thought about Index and/or Swing trading, now is the Time to Act on it! While all the stock investors are scratching their heads, you can be on your way to the bank (on second thought, maybe it would be better to keep it under your mattress).

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