By Adelmar Adelmar

Some think of college as a rite of passage, but in reality, it is an investment. Some people make a poor investment by throwing tens of thousands of dollars at a useless degree like philosophy or liberal arts that they can never channel into a well-paying job that provides a decent return on that investment. In order to make a sound investment, you need to think through what jobs are going to be needed in the future and put your money toward the training for those jobs. If you’ve already made the poor investment of a degree in a low-paying field, you can return to college to make a career change. Here are a few of the top entry-level jobs that will be in demand over the next decade:

Graphic Designer

Graphic designers create everything from newspaper layouts to store signs. With the advancements in computer technology, designers have more tools at their disposal to create advanced graphics. By taking a computer graphics design course, you can learn how to use these tools and software programs to make yourself more marketable to a wide range of employers. You could have a diploma in as little as a year and be well on your way to your new career.

Medical Office Administration

Medical office administrators need special training to understand insurance codes, medical terminology, and more. After taking a medical office administration  course, you can become qualified to work in the office of a doctor, physical therapist, dentist, or other healthcare professional. You can enjoy a nice salary and a wide range of job opportunities. The course can take as little as a year, depending on where you attend and your own personal rate of study.

Physical Therapist

Physical therapists help people recover from injury and chronic illness. Demand for physical therapists is expected to grow much faster than average of the next few years, according to the Bureau of Labor Statistics. (more…)

By Chris Ebert

Note to readers: Only the charts and the Market Summary change from week to week. All other text remains the same, in order to allow regular readers to quickly absorb the entire Brief.

Periodically we take some time to reconcile some of the varied options indicators available for the S&P 500. These indicators are unique to zentrader, and were developed in order to give readers an edge in the stock market.

These indicators were meant to be tangible – easily understood at a glance – thus providing an instant snapshot of the stock market to anyone regardless of trading experience, or the lack of experience.

Taking the Stock Market’s Temperature

First, we take the stock market’s Temperature. We need to know if the stock market is hot right now, or if it has cooled off. In other words, is this a hot Bull market in which stock prices are going up, or a cold Bear market in which stock prices are tumbling?

To take the Temperature of the S&P 500, we look at the performance of a simple option trade known as a Covered Call. Covered Call trading is almost always profitable in a Bull market, and very often results in losses in a Bear market. Conversely, if Covered Calls* are profitable it is currently a Bull market, and if Covered Calls are returning losses it is a Bear market.

SNP Temperature 41

We consider the point at which Covered Call trading breaks even – returns zero profit and zero loss – to be an S&P 500 Temperature of zero. Then we determine whether the S&P 500 is above or below that all-important break-even point. By measuring the distance (more…)

By Chris Ebert

stop oders signIt has been reported that the NYSE will discontinue certain types of orders for stocks known as Stop orders and GTC orders (Good Till Cancelled) beginning February 16, 2016.

The rationale behind the move likely stems from financial damage suffered by many traders, particularly retail traders, during wild moves in stock prices. During events such as the Flash Crash of 2010 and, more recently, the sell-off of August 24, 2015 some traders using Stop orders and GTC orders were exposed to potentially large losses. In theory, some of those losses might have been avoided or at least mitigated had they not used those particular order types.

The Stop order is often used as a method for limiting losses on a trade when the stock price moves unfavorably. For example, a trader who buys 100 shares of stock at $100 can set a Stop at $90. If for some reason the stock price later falls below $90 the shares would be sold automatically. By selling the stock automatically, the trader can usually avoid larger losses, for example if the stock price were to fall to $80.

Problems with Stop Orders

The problem with Stop orders is that they are not always filled at the Stop price. For example, a trader who sets a Stop at $90 might find the trade filled at $80 in a wild downturn such as the event of August 24, 2015. The reason for the discrepancy is that the Stop price only acts as a trigger; it does not guarantee the actual price at which the order will be filled. The actual trade price will depend on whether the order is a Market-price Stop order or a Limit-price Stop order – each order type having its own risks.

When a Stop is used with a Market-price order, the trade may execute at a price far lower than the Stop price. For example, if the Stop price is $90 and the stock price falls below $90 it will trigger an order to sell the stock to the highest bidder (at Market price). In an event such as the one this past August, overnight panic can result in a lack of bidders when the market opens for trading the following day. If the highest bid is $80 the trader with a Market-price order might have that order filled at $80, despite the fact that the Stop price was set at $90. Panics can occur during regular trading hours as well as overnight, as was the case in the Flash Crash of 2010, therefore all Stop orders – Day Stop orders as well as GTC Stop orders – are at risk.

The trader with a Limit-price order is not immune to the risks of using a Stop order. A Limit order guarantees the price at which the trade will execute, but it does not guarantee an execution. So, for example, a trader might wake up and find the stock price has declined to $80 and the shares were not sold – the trader still owns the shares (at a significant unrealized loss). Once the $90 Stop was tripped, the order to sell became a Limit-price order at $90; and since there were no bidders willing to pay $90 the order to sell went unfilled. Whether a panic occurs overnight or whether during normal trading hours, the Stop Limit order may be virtually useless at limiting losses.

Problems with GTC Orders

In a similar manner, GTC orders are especially prone to affecting traders negatively when (more…)

stored in: Technical Analysis and tagged:

By ForexBonusLabs

A comparison between Japanese and Western World approaches.

The notion of trading financial markets is closely related to the Western world, especially with North America, as most of the breakthroughs in technical analysis were coming from the new continent. However, when it comes to looking at things differently from a technical analysis point of view, there is no other innovative approach the Japanese one. And this is perfectly seen when looking how the two cultures interpret gaps.

Western world approach regarding gaps is the classical one everybody knows, in the sense that a gap must close, so everything that is happening after a gap is formed should be treated with caution in the sense that if he gap will close anyways, then why trading in the other direction of the market?

But there is a problem with that approach and that is given by the time taken for the gap to close. Some gaps close quite fast, in a matter of hours or days, but some take a long time to close and markets usually have the tendency to test traders to extremes. So trading gaps and looking for them to close as being a mandatory thing, might work, but the time element is missing and because of that the randomness factor appears in trading and this is the first step in any recipe to failure.

The Japaneses approach regarding gaps is quite different and, giving the fact that Japanese technical analysis has been so successful in the last year (just look at how popular candlesticks techniques or Ichimoku Kinko Hyo are) it should be treated with respect.

Japanese technical analysis community is referring to a gap as to a falling/rising window, and the big difference comes from the fact that a window is being looked as a continuation pattern, quite opposite than the Western world approach when a gap must close  no matter what. A continuation pattern implies price will move in the same direction when compared with the direction before the pattern to form.

Moreover, not only gaps are being viewed as continuation patterns, but if one is looking at the vacuum between the candles (that defines the gap) and draws a horizontal line, these are supposed to be important support and resistance areas price will react to. (more…)