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.

Each Thursday evening, 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 -46

We consider the point at which Covered Call trading breaks even – returns zero profit and zero loss – to be (more…)

By Poly

This is an excerpt from this weekends premium update from the The Financial Tap, which is dedicated to helping people learn to grow into successful investors by providing cycle research on multiple markets delivered twice weekly. Now offering monthly & quarterly subscriptions with 30 day refund. Promo code ZEN saves 10%.

The entire trading community is once again extremely bearish on equities. Whenever we see extensive, relentless declines like those of the past two weeks, sentiment accelerates quickly to the downside, and this time was no exception. In fact, we’ve seen a rather remarkable breakdown in sentiment. It’s now plumbing depths that typically ring in significant turning points: Investor Cycle Lows, the end of corrections, and the end of bear markets.

Sentiment alone tells only half the picture, however. It can remain extremely elevated for long periods during bull markets, and extremely low for extended periods during bear markets. If equities are locked into the early stages of a protracted, bear market, it would be normal to have the level of negative sentiment we’re seeing today. That said, during the bull market of the past six years, each instance of negative sentiment at today’s level has spawned a significant rally.


1-17 Equity Sentiment

The current equity market decline has been extreme. The current Daily Cycle is now very oversold and, from a timing perspective, is also a little extended. Friday marked Day 42 of the current DC, well into the normal timing band for a DCL. A further low on Monday (in pre-market futures) or on Tuesday (at the regular market open) could mark the low of the current Daily Cycle. (more…)

By Sarah Stephens

Today, companies can easily outsource many business processes. One of these is accounting. Thanks to the Internet, these services can be conducted remotely over cyberspace. As a result, a company is able to save both time and money.

What is BPO Connect?

One of the technologies that has emerged thanks to the Internet is Cloud computing. In BPO Connect, accounting firms are able to utilize Cloud computing technology. The technicians at BPO Connect are able to form partnerships with accounting firms.

Through these partnerships, the latter benefit from information about the evolution of technology. The firms also get opportunities to outsource business practices and processes. In addition to that, they are assisted to plan the succession processes in the company as well as getting legal advice.

Despite spending money on installing equipment to process business information, accounting companies can perform even better if they outsource. Many of them even synchronize with sources of external data. Even after doing this, cloud computing is still more efficient and much faster.

Effects of outsourcing on an accounting firm

Many accounting firms are outsourcing their business processes. Once they do this, they are able to enjoy a number of benefits. These include;

  1. Scalability with no limits
  2. Value addition to the company
  3. An increase in profits

Outsourcing injects new invaluable business practices and frameworks into the accounting firms. Outsourcing also integrates the latest technology in the business processes of the accounting company.  (more…)

In this article, I want to talk explicitly about how currencies affect client invoicing.

We live in a global business community, trading within Canada and with other countries across the globe. There are 167 official currencies in the world, so your company needs a client invoicing strategy that will meet any eventuality.

Here is a simple case study to get you thinking. An uncle living in Ottawa sends CAD 30 to his nephew in London, UK, for his birthday. What would that be worth to the nephew, after conversion to sterling?

Let’s take a trading scenario. The company that needs invoicing strategies is based here in Canada, and outsources its services around the world as well as domestically. Sure, your Canadian clients will pay in Canadian dollars; this may be cash, credit card, check or PayPal. But what about those transactions outside Canada, say in the USA or Great Britain or mainland Europe – how would your company invoice asking for euros, pounds or US dollars? Do you need to become a walking Wikipedia on exchange rates? How often do you need to convert invoice currencies? Do you check them every day, every week, or at the end of the month? This is called the Spot Rate.

Well I’ve got good news for you as a global trader. There’s software out there to help you and you can obtain templates of advanced template designs. There are advanced template designs and free advice on how and when to invoice, using your company logo, etc.

Various software programs can convert easily enough. Your e-commerce website can be set up to accept payment through a choice of currencies. PayPal will convert currency, as will credit cards. You do need to work out what you’re charging your clients and how this will be invoiced. You need to make things as easy for yourself as possible.

The trading company trades with a client in France – do you charge in Euros having converted? What about foreign exchange fees? Have you considered those?

When you enter into a contract, realize straight away that you may be short changed. A client is given a cost for a service, you invoice them accordingly, but some of this payment may be lost to you. (more…)