Here is the second installment about my new investment system. So far, I explained some trades in silver and gold. This post is about trades in the currency markets.
Unlike many currency trading system, this system is not an intraday system. I expect the trades to last for several months, at least. They are based on global economic policy, and the massive printing of U.S. dollars. These trades are based on the belief that the Indian and Chinese economies will perform better than the U.S. economy in the near future. Read more…
Investing, Money, Success, US Economy
currencies, dollar, forex, Money, risk, rupee, stop loss, Success, US, Yuan
I recently received a call from a recruiter, and he sounded like the guy from Idiocracy
. Have you seen this movie? If not, you really need to see it. It is about the dumbing-down of America and the lowest common denominator of human being. It’s about drinking Gatorade and eating fast food.
The Guy from Idiocracy
After talking to the recruiter for a few minutes, I actually thought it was a joke. Why would anyone trust him to find good people? Why would anyone even bother to talk to him? His diction was so poor I didn’t really understand what he was saying. I could tell he knew absolutely nothing about programming. I just kept remembering the frustrations of the main character in the movie when he tried to communicate with the “normal” people.
Read more…
Dreams Come True, Money, Success, US Economy
dumb, fast food, future, government, idiocracy, Money, politicians, singularity, Success, tax check
This article on Yahoo finance really got my attention. It’s about how the state of Connecticut is about to run out of money. It’s interesting because many states are in dire financial straits, but most people are, as usual, blissfully unaware.
Recently I did some research about bonds, and was interested in purchasing some. I discovered that municipal funds are supposed to be among the safest bonds that you can buy! I thought, “Isn’t that funny. Many states and cities are going bankrupt, but people think these bonds are very safe.” It sounds like the same game the ratings companies have been playing for decades: give the bond a AAA rating even if it is risky.
Why are municipal bonds more risky in this financial environment?
Read more…
Money, US Economy
aaa, bailout, bankruptcy, bonds, California, chaos, Connecticut, debt, Money, problem, ratings, spending
After I noticed that I only read books once, I decided to start using the library (what a concept!). I was quite surprised to find the library very different from the last time I visited one, which was back in high school. Who goes to the library, anyway?
Your Local Public Library
What I noticed today is that most of the people in the library weren’t using books at all! They were using their laptop and the free internet service, or one of the computers in the library. In fact, the library offers a bunch of free services that make it a good office or place to study. It has big tables, uncomfortable chairs (to keep you awake), it’s nice and cool in summer, and a bathroom.
Read more…
Great Books, Internet, US Economy
books, Internet, library, office, Starbucks
China has replaced Japan as the second most powerful economic force, according to this article at Yahoo. As China gets better at producing more high tech stuff that the world consumes a at furious pace, it’s growth will only continue. How long before it becomes the #1 economic world power?
I still hear many people talk about “cheap labor” in China. Although it is true that the lower labor cost makes it easy to create stuff cheaply, this is a dwindling advantage. As more and more stuff is created by machine, labor cost becomes less and less important.
What does the future hold?
Read more…
Success, US Economy
america, buy american, china, competition, debt, economy, Japan, oldsters, population, Success
Recently I have written a bunch of posts about America’s worsening financial situation, and the economic chaos that could ensue. I believe that it is important to manage our finances in a responsible way, and that it will serve Americans as well as the rest of the world to clean up our financial mess. However, that doesn’t change the fact that America is the best country to live in.
Everyone wants to come to America. Nobody is sneaking into Cuba. Nobody is sneaking into Iran. Everyone wants to come to America. We have the most opportunity, the best government system, a good legal system and, most importantly, freedom.
America is so great because anyone can come here and succeed. Millions of people have come without any money or even knowing the language. However, our free economic system allows anyone to work, build a business, and become wealthy. That’s why America is the land of opportunity.
In fact, the desirability of America has been its greatest asset. Smart, hard working people from every country in the world have come here because it offers them the most. As they grew and succeeded, so did the country. In just a few hundred years, America became the most powerful economic power in the world because of the hard working people who came here.
Read more…
Success, US Economy
america, business, countries, immigration, india, legal system, Success, Uruguay, Vietnam, work, world
The Social Security system, or more accurately Social Insecurity, is a great example of government mismanagement. Instead of collecting more money than it pays out, and investing the money it has collected, the government is now paying out more money than it collects. And instead of investing to get rich, it simply spent the money to make us poorer. To the tune of $2.5 trillion.
This article on Yahoo has some interesting facts about Social Insecurity. The article neglects to mention one of the biggest problems with the system. And that is the fact that people are living longer. It is estimated that people are living as much as half a year longer with each passing year. That means that in 20 years people could be living 10 years longer. Does the government factor this in to the Social Security payments estimates? No.
Read more…
Money, US Economy
debt, deficit, government, Investing, Money, politics, Social Insecurity, social security
This article on Yahoo Finance talks about how the housing market is continuing to decline. As with most government intervention, the effect of the first time buyer’s credit had a short term benefit and I think it will have a long term negative effect.
Besides that, it enticed the most naive and inexperienced buyers to buy at the worst time possible. The housing market is going down and there is nothing to slow it down. Unemployment is high and the economy is weak. It is quite easy to see that housing prices are not likely to rebound any time soon.
Read more…
Money, Success, US Economy
business, buyers credit, entrepreneurship, foreclosure, government, housing, markets, unemployment, yahoo
Here’s what ticks me off.
I was just reading that dividend taxes may rise. OK, rise isn’t really a good way to put it. Skyrocketing more than 160 percent is a better way to express the pending tax.
Now, I think taxes are necessary evils. I just want a fair, limited system that requires the goverment to live within its means, just like we all do. Is that too much to ask? Apparently, the answer is yes.
But this tax hike is just plain evil.
Read more…
Investing, Money, Online Investing AI, US Economy
capital gains, capitalism, dividends, economy, Money, socialism, taxes, US
It’s been a mixed week for the economy and the market. A lot of twists and turns.
But, if there’s one thing I’ve learned from my weekly readings, it’s that you hold a lot of personal financial power in your own hands.
By making smart spending, saving, and investing decisions, I think we can ride this sucker out.
Here are some links to help you out.
Read more…
Internet, Investing, Money, Online Investing AI, US Economy
Links, Money, roundup, weekly wisdom
is one of my favorite financial books of all time. It's an allegory about a guy who has a terrible job, and how he overcomes challenges to achieve his dreams.
