Retail Packaging Update – Because Of Flexible Packaging The Supermarket Is Not Like It Used To Be

Packaging insiders all agree: flexible packaging has revolutionized the consumer products industry. But of all the industries that have adopted these packaging methods, the one that has seen the most opportunity as a result is undeniably the grocery market.

Because flexible packages offer superior protection from outside contaminants, products like standup pouches are particularly well-suited to house food products. With one simple walk through a supermarket, you’ll be able to see all the different ways flexible packaging has impacted the grocery market. For example:

Beverages

The beverage industry has a lot to gain from flexible pouches. Capri Sun® did it years ago and saw tremendous success as a result – hardly a child in America does not equate the Capri Sun brand with a nifty little foil pouch! Because so many beverages are marketed to children, flexible packaging is especially well-suited to this category because their unique construction enables them to be printed using advanced printing techniques – all of which can make your logo and graphics really stand out from the competition.

Produce

It may be hard to believe, but flexible packaging has also had a tremendous impact on the produce industry. Pre-washed salads, vegetables, and fruits can all be marketed in flexible packages, and consumers especially like the ability to re-close produce packages for easier storage and to help extend the life of the product. Packaging insiders agree that the produce market probably has the most to gain, more so than any other industry, by adopting flexible packaging for their products.

Refrigerated Products

In the refrigerated meat, dairy, and even the frozen foods aisles, flexible packaging is being used to offer consumers something they didn’t have before: the ability to re-close a package (with a tight seal) via a zip seal zipper once it has been opened. Shredded cheeses are probably the most obvious example of flexible packaging at work, but even manufacturers of frozen foods are starting to pick up on the trend and more and more often you’re seeing flexible pouches with re-closeable zip seals in the freezer aisle. The ability to re-close a package once it has been opened is extremely appealing to consumers, especially when it comes to refrigerated foods that are more susceptible to spoilage once they’re opened.

Snacks

There is no question that manufacturers of snack products have truly claimed flexible packaging as their own. Nuts, crackers, cookies, and dried fruits are just some of the products that are now being offered in flexible pouches. And merchandisers couldn’t be happier: what once had to be in a can or box can now stand on a shelf or hang from a peg – which frees up all sorts of space and puts smiles on retailers’ faces!

In closing, flexible packaging is just a portion of the overall packaging industry. However, with advances such as those listed above, it is clear that flexible packaging will soon have a more dominant piece of the packaging industry “pie”.

How To Bend Acrylic

How to bend Acrylic/ Perspex: The best way to bend acrylic is to use a strip heater with an element running between two watercooled tubes, preferably made from stainless steel. These tubes should be adjustable so that the gap between the two tubes can be increased or decreased depending upon the thickness of material that you are bending. For example 3mm acrylic the gap should be set to 12mm, for 6mm material the gap should be set to 18mm, for 8mm material the gap should be set to 24mm – 26mm etc.. Rule of thumb is generally 3 times the thickness of material equals the gap between tubes.

When bending Polycarbonate it is essential that your sheet is free from moisture, which will in turn will prevent bubbles from appearing in the material. If bubbles do appear it is generally due to leaving material upon the strip heater for too long, or the heat is set to high. Polycarbonate generally is bent whilst the material is hot but not as pliable as Acrylic. If using this method it will help reduce chances of bubbling.

Polishing Acrylic, can be done in a couple of ways first is to buzz the edges so that a smooth surface is created removing the coarser saw marks and then using a buff to give that glass edge fininsh. Or you can flame polish the acrylic using Hydrogen and Oxygen setup which delivers a far superior finish which is not unlike that of glass. In some instances small pieces of acrylic can be bent using a hot air gun and forming them over a piece of tube.

Membrane Diffuser Solutions for Wastewater Treatment Systems

In the aeration basin of a typical wastewater treatment plant there are both organic and inorganic matter that can impair the function of fine bubble diffusers. Eventually this requires either additional energy to overcome high membrane headloss, or reducing the oxygen mass transfer to the process.

The rate and type of fouling depends on whether the plant is treating industrial or municipal wastewater, as well as on the process. Typically diffuser types foul more rapidly in low MCRT plants such as non nitrifying conventional processes than in high MCRT plants such as in nutrient removal processes like oxidation ditch, BNR and SBR.

Diffuser media which have been readily available in the market include porous types such as aluminum oxide, porcelain, ABS and Polyethylene, and non-porous types EPDM, Silicone and Polyurethane.

Most diffuser manufacturers have taken a targeted rather than blanket approach to diffuser fouling problems. For example, in a dairy WWTP, it is expected that there will be significant calcium fouling, therefore it is common to use a flexible membrane diffuser rather than a hard porous type which may prove more difficult to keep clean.

In some cases manufacturers have recommended lower roughness coefficient materials such as PU rather than EPDM in such applications to reduce surface adhesion of calcium, gypsum, and silicas to the membrane. However, there have always been trade-offs in the selection of a diffuser media other than porous types or EPDM. For example PU and Silicone formulations that have been used often have a relatively high headloss and lower SOTE than EPDM. Silicone is also prone to tear propagation, add most PU is resistant to only 40 C. Only EPDM provides desirable physical properties and bubble sizes consistent with high SOTE. It should be noted that any result above 7% SOTE/m is considered high, and these tests were conducted at a diffuser submergence of 4.7m.

PTFE layered EPDM membranes were introduced in late 2004 and were installed throughout the course of 2005 in two dairies, one paper mill, one post aeration basin, a brewery, a landfill leachate treatment plant, and a number of municipal sewage treatment plants. In most of the cases, PTFE layered EPDM was selected due to the failure of previous technologies to avoid fouling to a sufficient degree that the plant could operate efficiently.

Rosso and Stenstrom (in their paper Economics of Fine Pore Diffuser Aging) have empirically studied the extent of fouling and cleaning intervals of various diffuser media in a wide array of municipal sewage treatment plants and have found that aF rates between cleanings of membranes even in municipal plants are much greater than common perception, dropping from an average alpha in a low MCRT plant of 0.50 to less than 0.40 after up to 2 years and stabilizing to less than 0.35 thereafter. At this time specifically in low MCRT plants they have found that the difference in aF between porous and non-porous fine bubble media do not vary significantly.

Stamford Scientific has recorded case studies where diffusers did not require cleaning, however, it was the operator's curiosity to look at the diffusers that drove them to drain the tanks and inspect them. In both cases, the surface bubble pattern was consistent with new and clean diffusers, the dissolved oxygen concentrations had not changed from new, and the diffuser headloss appeared not to have changed significantly.

There are tests and evidence that shows little to no change in a between a new PTFE and an aged PTFE membrane in a typical municipal plant setting. This also includes evidence that there is little to no change in DP, with the help of independent research and the addition of further empirical examples. If this can be proven, wastewater plants of all sorts that install PTFE layered membranes will be looking at energy savings over the operating life of the plant of 30 to 40% with the added benefit of reduced maintenance and perhaps less frequent replacement requirements.

I Still Never Figured Out How Electric Motors Work!

It’s very easy to take the everyday electric motor for granted. Some may not even think much of it; they just know what it does. It may be small in your but it’s very intricate. Some common places where you will find an electric motor include table saws, wheel chairs, and electric vehicles, which are just starting to take off. Electric sports cars can out accelerate a Ferrari.

Here’s how a DC electric motor works: When the coil is powered, a magnetic field is created around the armature (or stator). The left side of the armature is pushed away from the magnet on the same side, and drawn towards the right, which causes rotation. The armature continues to rotate, until it becomes horizontally aligned. When the armature is horizontal, the commutator, the current changes direction through the coil, and this reverses the magnetic field. This process repeats.

The whole process is based on the rotating magnetic field principle, which was first though up by Nikola Tesla.

An easier way to look at it would be two magnets opposite each other with opposite charges. Between these two magnets is a plate that rotates side-by-side from a magnetic field. It’s simple when you think about it, but the process is also very complicating, and has to be very precise for it to work.

Now this is a very basic view on electric motors, but it’s better than not knowing what it is that is doing that work for you all the time.

Finding The Right Currency Trading Course

To many courses now days spend to much time on the history of Forex foreign exchanges and less time on the practical side to investing. A good currency trading course should dwell on the practical theories and analyses that can help you actually perfect a strategy to make it in the field of foreign currency exchange.

A currency trading course should be Open to ideas and recognize, and teach, the fact that there is no one solution to every problem. It must teach you to think on your own and develop your own theories and ideas regarding how to achieve success in the foreign currency market.

Practicality drives most people to invest in the foreign market exchange, so practicality should definitely be included as a necessary quality of a currency trading course.

A good currency trading course would expose you to a hands on approach to the reality of the environment, or at least something similar to it. It may be fun discussing ideas, but you cannot truly learn until you get right in it's face.

Another thing to look for in a currency trading course is the confidence it implants the people in it with. One thing you need in currency trading is confidence, and it is imperative that a good currency trading course give you a confident attitude to follow through with decisions you make. You need that confidence in order to risk your money if you want to make it in FX Currency Exchange.

A currency trading course can help prepare you for the exciting world of currency trading. Every decision is unique and depends on you to follow your instinct, coupled with your knowledge in order to truly succeed in Forex currency trading.

How to Read Forex Quotes Correctly

Reading forex quotes correctly is essential to forex trading but it can be quite confusing for the new comer. Actually, they are quite simple to read and understand. Here is a guideline to reading forex quotes correctly.

Let us look at an example of how a forex rate quote looks like:

EUR/USD = 1.2526

The above looks simple enough, right? This is an example of a foreign exchange rate between the Euro and the US Dollar.

Do not forget that in all forex quotes, there are always two currencies quoted. The forex quote is displayed such because when you make a trade in forex trading, you are always buying one currency and selling another at the same time.

In all forex quotes, the first currency listed is known as the base currency while the second is known as the quote currency. Forex quotes are meant to show us the price relationship between the two currencies.

The foreign exchange rate gives us an indication of how many units of the quote currency we have to pay to get one unit of the base currency.

The above example shows us that the base currency is the Euro and the quote currency is the US dollar. The forex quote tells us how each currency is trading relative to the other. In order to purchase one unit of Euros you will have to sell 1.2526 units of US Dollars.

It should be easy to understand so far. Now let’s add an additional thing to our example and that is the bid ask spread.

Forex brokers are paid not on the trades placed in the forex market but on the bid/ask spread instead.

We shall add the bid/ask spread to our example above:

EUR/USD = 1.2526/1.2528

This can be simplified to:

EUR/USD = 1.2526/8

Forex brokers make their commissions by selling currencies at a slightly higher rate than they buy them. This is perfectly legal and all forex brokers do it, though the amount of the spread may vary.

As a forex trader, you will be buying at the bid price, which is the first price quoted. You will then sell at the ask price which is the second price listed. This difference between the two prices is called the spread which is retained by the forex broker as their profit on the trade.

In our above example, you will buy at 1.2526 and sell at 1.2528. The 0.0002 (2 pips) will go to the forex broker as a payment for executing the trade for you.

The bid/ask spread is an easy to understand and clear-cut way for calculating trading fees and expenses.

With a good understanding of how to read forex quotes correctly, it can go a long way in helping you achieve success in forex trading.

Boost Your Income And Learn All About Forex And Currency Trading

If you've been trying to find out all about Forex and currency trading, but just don't know where to start, here are the basics.

Thousands of investors are now turning the benefits of Forex trading into great returns.

Once you learn all about Forex and currency trading, you'll be ready to join the ranks of happy and profitable currency investors.

Learning all about Forex and currency trading may seem like an insurmountable task especially if you're totally new to the Forex market.

With the right tools learning the basics and how to tackle currency trading can be accomplished in a relatively short period of time.

Many online sites now offer educational sections.

These educational sections start with the very basics and continue on helping you learn more advanced strategies and methods of analysis.

Practice Currency Trading As You Learn

Online Forex broker sites will also allow you to set up a mock account to practice what you'relearning before you actually invest any of your money.

This method of paper trading helps you to fine tune your investment practices. The practice account can quickly help you learn in real time all about Forex and currency trading.

The trades, the terms, and the methods applied to trade currencies are quite different than with traditional investments. The trading occurs in pairs. Currency trades are made based upon the value of one currency as compared to another. These relative values are in constant change.

Price quotes are in pips (percentage in point). If a particular currency quote goes higher, it means that currency is stronger. If it goes lower it means the currency weaker. When you make a Forex trade you're buying one currency and selling another.

Certain basic factors commonly used to determine how and when to place trades are: relative interest rates, economic stability, political stability, and the trade status of the country. Typically the trade is made with one strong currency traded in conjunction with a weaker currency.

The times you can trade is vastly different than in traditional stock, bonds, and mutual funds. . The Forex market trades on a 24 hour, 6 day a week schedule. This helps you be more able to make trades and decisions at times when your schedule allows, not on the traditional 9 to 4 stock market hours.

On a daily basis, eighty percent of Forex trades involve nine major currencies: the U.S. dollar, Euro, Yen, Swiss franc, British pound, Canadian dollar, and the Australian dollar. As with stocks, bonds, and mutual funds there are several strategies and methods taught and used to determine when to make a trade.

Strategic charting and analysis of those charts are of primary importance to many who trade the Forex market. You'll find many sources of courses and education materials to help you learn to evaluate and master Forex.

Now its easy to get started in Forex trading. There are many online sites available to help you learn and implement your newfound knowledge by investing in the currency markets. No longer is trading on the Forex exchange limited only to large companies and banks. Even an investor with a very small amount can participate in Forex trading.

Currency trading is becoming more and more mainstream for the individual investor. While it does take some time to become comfortable, and learn the market, the rewards can be astounding.

If you're looking for something other than traditional stock, and bonds, the Forex markets might just be what you want.

Stock Trading for a Living? Take Note Though

Stock trading is the phrase which we hear very frequently in the current times.

Have you ever wondered if what you know about stock trading is accurate.

Stock trading is done at an exchange, which are places where buyers and sellers meet and decide on a price.

It is one of the most fun things you can do. It's an exciting, shorter term strategy where it is you against the market. In fact, some call it a sport. Being interested in international online stock trading is a great way to make a little profit.

Online stock trading is big these days and the commissions and fees involved keep going down. It is fast becoming a way of life for many people and, in time, may just render stock brokers obsolete.

The most popular reason cited for online stock trading is that they no longer have to forfeit some of their earnings to brokers in fees charged per trade. For many folks, it is as exciting as gambling.

Online stock trading is without a doubt, one of most convenient ways to get into the stock investing market.

However, it is difficult without the proper tools and information, and not as easy as professional traders say.

Stock trading is unlike any business in the world. It is viewed by some people as a very complicated matter.

In truth, stock trading is like anything else that requires the utmost skill and discipline to succeed. The essence of capital in stock trading is equal to the essence of oxygen to a living organism.

Stock trading is a very competitive field and in order to succeed you need to FOCUS on a set of simple strategies that you can implement without hesitation. That's why the most important aspect of stock trading is the knowledge FILTER you employ to make your buy & sell decisions.

Day market online stock trading is not more risky than other trading activity, but substantial gains and losses can occur a small period of time. Money management in the field of stock trading is almost as important as stock selection.

There is no doubt that stock trading is getting very popular nowadays and its the preferred vehicle for most people to make money.

All in all, online stock trading is all about picking the best stock opportunities and following your buy and sell signals with ease and simplicity.

How To Choose A Good Forex Broker

To become successful in forex trading, you will need a good forex broker. Your forex broker is one who will execute all your trades according to your wishes while earning a commission for each trade. There many forex brokers out there competing for your business and it can be quite hard to determine which one is best for you. Here are some key points to look for when choosing a good forex broker.

1. Available Currency Pairs Every forex broker will at least have the seven major currencies (USD, CAD, AUD, EUR, CHF, JPY and GBP). However, if you plan on trading Danish krones or New Zealand dollars, you should make sure that your forex broker is able to do so.

2. Transaction Costs Forex brokers are paid based on the bid ask spread, there should not be any hidden fees or charges to trade. However, additional charges may be required to access certain reports and optional services. Of course, the smaller the spread the better it is for you. Pip spreads vary by broker (and also by currency pairs), so shop around for competitive rates.

3. Free Analysis Tools To facilitate your analysis of spot trends, currency prices and plan entry and exit points, you will require charting and technical analysis tools. Most forex brokers offer basic services free of charge with an expanded arsenal of tools for an added charge.

4. Immediate Execution of Orders Currency prices are constantly fluctuating and any delay in the execution of your orders can lower your profits or increase your losses. Look for a forex broker that can consistently execute your trade at the price you see on your screen. An occasional delay may be understandable, but if it happens frequently find yourself a new forex broker.

5. Superior Customer Service This is something forex traders often overlook when choosing a forex broker and later regret when they require assistance. Any quality forex broker should be able to respond quickly to any question you have. Knowledgeable representatives should be available 24 hours a day by phone and email.

6. Margin Requirement The lower the margin requirement, the more leverage you will have. If a forex broker allows you to use 100:1 leverage, which means you can use $1,000 to trade $100,000 in currency; you can use margin to produce huge profits. However, do not margin yourself too much or you will find yourself cleaned out fast.

7. Minimum Account Balance As a small individual investor you will need a forex broker that does not require a large balance to open a forex trading account. Most forex brokers today will allow you to open a mini account with as little as $300.

8. User-friendly Trading Platform Some forex brokers may require you to download a trading program to your computer in order to make trades. Others may let you make trades directly over the internet. Choose a few forex brokers and sign up for a free demo account. It is highly advisable to trade with play money while you test out their program and decide which one works best for you.

The above key points provide a general guideline to choosing a good forex broker and is an important step towards successful forex trading.

Technical Analysis: How to use Technical Indicators

In the previous article I described two technical indicators: Moving Average Convergence/Divergence (MACD), and Relative Strength Index (RSI). Don't worry you can find link to complete article in the bottom of this article. Also, you can subscribe to our free Newsletter for new updates.

In this article I'll describe two technical indicators: an oscillator that is Stochastic Oscillator and Bollinger Bands indicator.

As I mentioned before, Oscillators are technical indicators that tend to cycle or "oscillate" within a fixed or limited range, and Momentum in general term means strongly movement of prices in a given direction.

Stochastic Oscillator

The Stochastic Oscillator is a momentum indicator, it indicates whether the market is moving to new highs or new lows or is just meandering in the middle. This indicator is based on George Lane's observations.

The Stochastic Oscillator is plotted in two lines Fast %k and Fast %D.

The formula is:

Fast %k = 100 * [( C - L (n) ) / ( H (n) - L (n) )]

Where:
C is the most recent closing price.
L (n) is the low of n previous trading day (or bar).
H (n) is the high price of the same n previous day (or bar).
Usually n is chosen 14.

A 3-period (day or bar) moving average is taken from Fast %k and called Fast %D. Fast %D is used as a signal line in the same way that the moving average of the MACD is used as a signal line for the MACD.

Stochastic Oscillator is plotted in two lines but, usually these lines cross each other many times. Now to smooth the chart, a 3-period moving average is taken from Fast %D and called Slow %D (Also, Fast %D is called Slow %K), so the smoothed chart is plotted with Slow %K and Slow %D.

Using of Stochastic Oscillator

1- Oscillators are used as an overbought/oversold indicator. A buy is signaled when the oscillator moves below 20, and then crosses back above 20. A sell is signaled when the oscillator moves above 80, and then crosses below 80.

2- Also, when %K crosses above or below %D, Buy and sell signals can be given. But, may be crossover occurs frequently in short periods and causes bad results. This using isn't very common.

Bollinger Bands

John Bollinger created Bollinger Bands in the 1960s; Bollinger Bands are used to determine support and resistance levels. This indicator consists of three lines; the middle line is an exponential moving average of price data and the two outside bands are equal to the moving average plus or minus standard deviation.

Standard Deviation is a statistical measure that indicates volatility of price. The bands will expand when price becomes volatile and they will contract during less volatile periods.

Using of Bollinger Bands

1- Bollinger Bands are used to determine the boundaries of market movements. If a market moved to the upper band or lower band, then there was a good chance that the market would move back to its average. In the other words, when price closes to upper band, market is overbought and when price closes to lower band, market is oversold.

How Market Swings Come and Go

Once the chartist discovers that the market swings viewed on a price chart are the result of non-random market cycles, of various frequencies and magnitude, an understanding of market behavior emerges. The next step is to use this understanding to exploit the historical patterns for the purpose of timing future trades.

Many who attempt to find these cycles by means of counting from one top to the next, or one bottom to the next, soon find that these discovered cycles fade into the woodwork almost as soon as they are discovered.

Why is that?

If a market's behavior were simply dictated by one single fixed-interval cycle, there would be no question as to where the next top and bottom would occur. In fact, everyone would know and thus no market could exist for a lack of individuals to take the other side of an obvious losing trade.

Fortunately, it is the fact that a number of different cycles exist at the same time, of different intervals (frequencies) as well as different magnitudes, that keeps the general populace from knowing exactly when the market will top or bottom.

As already hinted to, cycles contain both an interval (frequency) as well as magnitude (or amplitude). This is important to understand as I will explain now.

When looking at a price chart, the trained eye can instantly note that you have a series of wide swings as well as very quick smaller swings. And it is also evident that the smaller quick interval swings appear to be 'riding' on the wider swings.

This chart pattern is no different than what one would see looking at an oscilliscope displaying two or more cycles of different lengths and magnitudes combined.

What puzzles some who are new to understanding of market cycles is why you can follow a series of short-term swings for a period of time and then they appear to vanish into a very straight up or down move, with no swing within. To answer this, consider the following.

Each cycle makes a top or bottom at a specific interval, which is different than other cycles. In other words, each cycle has its own frequency.

When you combine these cycles, their respective tops and bottoms will form at different times. Because the times are different, at various times some of these may actually align (go in the same direction), thus combining their individual powers (magnitudes), making for a 'propelled' move. At these times, depending on the combined magnitudes of the cycles that have aligned to overwhelm the opposing effects of other cycles, you will see acceleration moves with the current trend and even gaps.

At those time periods where several cycles tend to align in the same direction, they can often overwhelm the shorter-term swing cycles to the point that the only evidence they are there is the existence of 'pause' bars.

A 'pause' bar is a price bar that makes an extreme, is followed by an inside bar (a bar that makes a lower high and higher low in comparison to the previous price bar), and then the extreme price is exceeded. At first glance, it looks like a bar that tried real hard to become a short term swing top or bottom, only to fail due to a very strong trend in play.

The market cycle analyst may determine in advance a series of short-term future dates when the potential for a swing top or bottom is high. Yet, if the dominant cycles have aligned in one direction, a very powerful trend move will likely occur and any short-term cycle turn expected within the time period covered by that aggressive trend move may fail to materialize. To the untrained observer, it would appear to be a failure in the analysis. In reality, the short-term cycle may in fact have been properly analyzed and reported, but simply overtaken by the combined powers of several cycles currently moving in the same direction that would oppose any minor cycle moving in the opposite direction. Thus, no swing would likely be visible, or barely so.

Unless the analyst can determine the individual cycles, each with their own frequency and magnitude, and how each aligns to one another (the phase), the analyst will simply have to live with the minor inconveniences of periodic swing failure. Having a good trading plan on how to deal with such situations goes a long way to lower the negative effects of not being 100% accurate in forecasting every single swing top and bottom.

Fibonacci Numbers–Trade For Huge Profits With This Unique Tool!

The Fibonacci number sequence and golden ratio can be found throughout nature and traders such as Gann applied them to financial markets and made millions using this unique tool as part of his trading method.

The Fibonacci number sequence and golden ratio is used by many savvy traders today so let’s look at how they can make huge profits in ANY financial markets.

Support and resistance levels are critical for all traders as they can help identify entry and exit points when trading.

Fibonacci percentage "retracement" levels derived from the Fibonacci number sequence and golden ratio are an innovative and useful tool for any trader, so why are they so useful.

Let’s find out.

Fibonacci Numbers and Golden Ratio Applied To Trading

The Fibonacci sequence was printed in the Liber Abaci, written by Leonardo Fibonacci in 1202. It introduced Hindu-Arabic to Europe for the very first time and they replaced Roman numerals.

The Fibonacci number sequence was based around the following equation:

How many pairs of rabbits can be generated from one single pair, if each month each pair produces a new pair, which, from the second month, starts producing more rabbits?

While the Fibonacci number sequence and golden ratio was used to solve the above equation.

The result was:

It produced a number sequence that has importance throughout the natural world.

After the first few numbers in the sequence, the ratio of any number in relation to the next higher number is approximately .618, and the lower number is 1.618.

These two figures are known as the golden mean or the golden ratio.

The Golden Mean and Golden Ratio

These numbers are pleasing to the us and appear throughout biology, art, music, weather, creatures and even architecture.

Examples of natural objects based on the Golden Ratio are:

Snail shells, galaxies, hurricanes, DNA molecules, sunflowers and many more objects that occur in the natural world.

Retracement Levels

The two Fibonacci percentage retracement levels considered the most critical by traders are: 38.2% and 62.8%.

Other important retracement percentages are: 75%, 50%, and 33%.

So how can traders use them?

Well, there are three main advantages and they are:

1. Fibonacci numbers Define exit numbers

If three or more Fibonacci price levels come together, a stop loss can be placed above the area which indicates an important area of support or resistance.

Setting stop loss trades using Fibonacci retracements allows traders to set pre defined exit points, so they can exit the market if their wrong.

This means they can trade in a disciplined fashion and protect their equity, which is critical to all traders.

2. Fibonacci levels Can Define Position Size

Depending on the risk a trader wants to take on a trade Fibonacci numbers can give the size of position to be taken, in terms of risk the trader wishes to assume.

Why?

This is simply because the monetary loss from the stop for a trade is different on most positions taken in the market.

A stop close to resistance and support may mean that a bigger position than one where support or resistance is further away.

Traders can therefore decide position size within their money management parameters easily and have a pre defined exit point.

3. Fibonacci Numbers & Profit Per Trade

With Fibonacci numbers, once a pattern completes against a Fibonacci price area traders can use them to lock in profits.

This indication of how far a profit may run, enables traders to lock in profits at pre defined set levels.

The advantage of the Fibonacci number sequence is they are a predictive tool:

So, they allow traders to have specific stop loss and profit objectives in advance.

Traders can then use them to lock in more profits and cut losses to a minimum, which is essential for longer term profitability.

Gann used them for this purpose and that is why they are such a useful tool for traders

One of the keys to trading any market is discipline:

To cut losses and run profits and win over the longer term by trading without emotion.

Gann knew this and all traders who have traded know how emotions can wreck a trading plan and the Fibonacci number sequence makes a trader stay disciplined.

Do they work?

Gann understood that using Fibonacci numbers could make large profits and cut losses on his trades and he used them to amass a fortune of over $50 million.

Fibonacci numbers are useful but should be used as part of a trading plan and Gann for example did not just rely on them he had an array of innovative tools that he combined to make stunning profits.

He was one of the most successful traders of all time and his legend lives on and many savvy traders around the world still use his methods

Check them out and you may be glad you did.

Day Trading Stock Online: Basic Techniques For Beginners

Day trading stock online is real seat of the pants stuff for all participants, but none more so than for the novice trader. The casualty rate is high enough amongst experienced professionals, but for the raw beginner it can be an absolute minefield if basic day trading principals aren't rigorously adhered to.

Just because you've made a few successful mid to long term trades in your time doesn't ensure that you'll be the next talk of Wall Street when you try your hand at day trading stock online. Far from it!

Not surprisingly, day trading irrespective of the asset class involved has been likened to extreme sports, with the only difference being that the thrills and spills are confined to the minute by minute fluctuations of your trading account. Perhaps the only saving grace for those who fail to plan their trades in advance is the fact that no positions are held open, i.e. carried forward, to the next day. If nothing else, this limitation helps prevent further erosion of capital when a trade turns sour.

So what motivates investors to become involved in day trading stock online?

A primary motivation of day trading stock online is understandably the lure of quick money. Another motivating factor is that it isn't necessarily any riskier than other forms of trading activity. However, unless thoroughly tested and proven trading strategies are put in place with each trade, the risk of incurring substantial losses within a frighteningly short period of time is all too real.

Basic Strategies:

There are six basic strategies day traders use to make a profit:

Spread covering

Technical trading

Scalping

Range trading

Playing news events

Trend following.

Spread covering refers to buying at the BID price and then selling at the ASK price. The spread is the difference between these two prices.

Technical trading is simply the action undertaken by a technical analyst. He or she evaluates securities by relying on the assumption that market data, such as price charts, volume, and open interest, can help predict future, usually short term, market trends. Unlike fundamental analysis, the intrinsic value of the security is not considered. Technical analysts believe that they can accurately predict the future price of a stock by looking at its historical prices and other trading variables. Many technical analysts are also market timers, who believe that technical analysis can be applied just as easily to the market as a whole as to an individual stock.

Scalping refers to an extremely quick trade for a small profit. For example, if you bought 20,000 shares in XXX Inc. @ $1 per share, i.e. $20,000 invested, then sold them 45 minutes later for $1.03 per share, $20,600 gross return, you would end up pocketing a cool $600 less brokerage. NB: Remember that when you are day trading stock online, the round turn brokerage fees are minimal.

Range trading is a little harder and inherently more risky, but the returns can be proportionately greater, too! If you are canny enough to be able to pick the intra day market swings and either BUY at or near a low, then SELL at or near a high you can often make substantial profits using this method. But you do have to be wary, because if you buy into what you think is an intra day low point, only to discover that the market sentiment has changed and that a severe sell off is in progress, you could get badly burnt!

Playing news is the realm of the adrenaline seeking day trader. The technique refers to buying a stock which has just announced, for example, a short sell on bad news, the contrarian traders love this sort of play as they will be standing in line to BUY the stock at the end of a short, sharp sell off in the belief that most if not all the bad news is already factored into the market and therefore there wont be any further downward pressure. The sheer volatility offered by unexpected news announcements can provide the diligent day trader with huge potential for quick profits, or losses if they call the market incorrectly.

Trend following assumes that if a stock have been rising steadily it will continue to rise. Admittedly, this technique is better suited to position traders, i.e. where stocks are held for a number of days, weeks or even months, but in strong bull markets some stocks will rise steadily for days on end, making the intra day trend follower a very happy chappy.

Live Coaching

When trading on an intra day basis you need to take into account many factors including: time of day; liquidity; pending announcements such as corporate profit reports, interest rate movements, currency fluctuations; macro and micro trends; market sentiment, in fact, almost anything at all that may have an impact on your trading results.

So, if you want to radically improve your day trading stock online skills, live coaching or even online mentoring with a recognized industry professional can be worth a hundred times the price paid. Coaching can take place in different forms including: in person coaching; online coaching session; or over the phone.

If youre hell bent on being successful, but you're still new to the game, you'll be tossed to the lions unless youve acquired the necessary physical and mental skills to survive and profit from day trading stock online. Do yourself, your pride, your career and your bank manager a big favor by making the commitment to learn as much as humanly possible about this fascinating and potentially very rewarding form of investing, and secure the services of a live coach to see over your trading.

How to Formulate a Profitable Forex Trading Plan

There is no magic formula that ensures profit on any type of investment. The forex market is no exception to this, but there are some steps you can take when devising your own personal investing plan that will not only make profit a more likely result, but will insulate you somewhat from disaster.

* Select Your Term: There are three basic time frames within the forex market dealing with the length of time a position in a certain currency is held. They are long term, medium term, and short term. Each has its advantages and disadvantages. The short term position holder, sometimes known as a scalper, will be making rapid fire trades often exchanging currencies back and forth within a single day. The long term trader will hold on to his currency for months or even years. The medium term trader usually holds his positions for a few days or a week. The advantage of the medium term is that it requires the least amount of capital to realize profit. Leverage is only needed to boost that profit, whereas in both long and short term trading, it is needed to both protect the investment, and insure any chance of profit. Although medium term is recommended for the beginning investor, and involves less risk, you need to identify which is right for your personal plan, and stick to it. A plan that tries to use all three at once will most likely lead to confusion.

* Learn to Use Technical Analysis: The forex market lends itself very well to statistical analysis. Trend following is an example of a type of analysis that can guide the investor in making profitable decisions. Technical analysis of the market includes monitoring price movement as well as a large number of indicators. There are programs available where this large amount of data can be crunched in any way that fits your own individual plan and your own needs. You are going to need to find the right way to access and organize the data required for the execution of your own individual investing strategy.

* Learn to Perfectly Time Your Trade: One of the features of the forex market is the ability of the investor to insulate himself from drastic market swings. This is partly because of the 24 hour nature of the market. With the exception of weekends, there is a forex market operating somewhere day and night. A good trading plan should include both "stop loss" and "take profit" orders. These are simply instructions to change your currency position when either your profit or your loss reaches a certain point. The stop loss order is more easily understood. This is simply bailing out before things get too bad. The take profit approach usually meets with more resistance, and it is true such an order might prevent you from making even more profit should a volatile change keep propelling the value upward. Volatile is volatile, however, and what goes up fast may come down faster. As you can not monitor your account twenty four hours a day, you want to know that if your profit point is reached while you are soundly sleeping, at least your expected level of profit will be realized.

One of the biggest advantages of the internet age regarding forex trading is the ability to freely use demo accounts - which are basically virtual forex games. These programs give you a chance to invest virtual money and see how well you do. Once your personal trading plan is formulated, execute it using a demo account. By doing this you will get a chance to see how it works, iron out any bugs, and fine tune your entries and exits, before you risk a single penny.

Advantages of Trend Following Systems

Trend following systems in forex trading work much like the old rule of physics: A body in motion tends to remain in motion until acted upon by an outside force. When applied to currency, this is also thought to be true. If price is going up, it tends to continue going up, and profits can be made by investing on this trend. The trend can be upward, or it can be downward, and sometimes there's no obvious trend, but the principle remains the same. If you can see the trend then you can invest with the belief that it will continue.

The forex market lends itself very well to technical analysis. Since a country is such a big and complex entity, it is difficult to put an intrinsic value on it. Yet there are a large number of elements, both fundamental and technical, that can be used to establish trends. They include the GDP, CPI, prime interest rates, export and import figures, and even the unemployment level. All of these can be translated to charts showing the historical data going back decades. When they are charted, trends can be seen rather easily. When an investor becomes skilled in reading these charts and interpreting the trends, he will be able to use this information to guide his currency trading strategy.

Trend following is not always that simple. Indeed, it is quite a complex method of analysis. It can reveal historical turning points or levels where the trend tends to change direction. This can lead to investments known as "bucking the trend" trades. Although highly speculative in nature, they also present some tremendous profit potential. In essence, you are going to be betting that the trend is going to change direction while the majority of investors are betting it is going to continue.

Regardless if you are planning on bucking trends, or merely investing in the hope they continue in the same direction, understanding and identifying them is going to be the key element to successful investing strategy. This is one of the things that makes forex trading so appealing to the statistical minded and computer orientated investor of today. The facts are all out there, and the ability to gather and organize them has never been better. In the past, it was necessary to seek advice, and usually you had to pay dearly for it. While there are still plenty of financial advisors willing to give you their interpretations of trends, you are able today to do that pretty much for yourself.

The Ten Commandments of Trading

As I have mentioned in my previous article, trading psychology plays an important factor to a trader. It can attribute sometimes as much as 50% to the success of a trader. These are ten factors that I should always bear in our trading journey.

1. Discipline. Never allow emotion to rule and monitor your position on a daily basis.A discipline trader is a more successful trader.

2. Protect Principal

3. Protect Profits. Always lock-in your profit , let your profits run and cut your losses short. it always difficult to recover lost money than to make a gain.It is more difficult to recover from loss than to make a gain

4. Money Management is more important than entry strategies

Invest no more than 5% – 10% of your investment capital one position in order to reduce your your risk exposure and maximise your potential profit.

5. Always use STOPS as it will protect you and lock in your profits

6. Trade in the direction of the trend. Remember that the market is always the king and much bigger than you. Do not fight the trend , the trend is your friend.

7. Shares NOT to consider buying

(a) ILLIQUID – shares with low trading volume.
(b) In a “CRAB MARKET” trend.

8. When to Sell-When the fundamental starts to fail and your trading system sell triggers are reached.

9. Make and be responsible for your own decisions

No two traders are the same. What is good for one is not necessarily good for another. Test your trading system and stick to it if it work.

10. Discipline

- Repeated, because discipline is the most important commandment for profitable share trading. Apply the system, attend courses and you hopefully we can become a better trader.