Tuesday, September 25, 2007

What Is Active Trading?

Stock market investing is a great way to make money. Buy shares at a low price, and sell at a higher price. What could be easier? Sadly, its not always that easy. However, understanding the markets and the terms used by traders can help to give you an advantage. While I wont cover them all here, below you will find a couple of examples to help you get started trading.

Stock options include what is known as a covered call. Where you purchase a stock and then go back in with a covered call to ensure if the stock goes down you will not lose your money. Short sells involve buying a devalued stock because it is showing that it will increase in the next while to help increase your portfolio. A sell stop is a term for placing a stop on a stock you would like to acquire. This means you will not purchase the stock if it exceeds your set price before you can attain it.

There are what we term day traders. These active traders will buy and sell stocks in the same day. They look for stocks that are volatile, which provides the best trading opportunities for the day trader. They sit in front off their computer and watch the markets, looking for the best chart set up before taking a position. Most day traders will look at the 2 minute charts, which suggests that they wont be in a specific position for long. Unless you have a lot of time, experience and tolerance for risk, day trading wont be for you.

While there are many books out there that say they can teach you how to trade, there is no substitute for experience. The problem is, its a very expensive way to learn. The key is in keeping a stop loss, regardless of the methodology you decide to follow. Successful day traders, swing traders and even value investors use a stop loss to help minimize the amount of downside risk they are exposed to. A stop loss is a set price at which you will automatically exit your position. Its up to the investor to decide if its at a specific percentage of the trade value, a percentage off the share price, or a certain level that is deemed to be support / resistance.

Other options for the beginner trader is to use online services that will teach you how to trade in a simulated market environment. This allows you to gauge not only how good of a trader you are, but also how well you deal with risk.

Stock market investing is a great way of escaping the usual 9-5 grind. Whether you are looking to invest for retirement, or invest so you don't have to work anymore, if you can trade successfully, you will be able to attain your goals. Of course, it is not without risk. With a bit of knowledge and experience, you can improve your chances of making money in the stock market.

Visit us for more information on hot penny stocks, how to trade penny stocks online and learn to pick penny stocks.

Online FOREX Trading To Be A Success Don't Pay Attention To The News!

Can studying the news help you make profits in online FOREX trading? The answer for most traders is a no.

In fact, paying attention to the news in online FOREX Trading will lose money. Why? Read on and lets find out.

How and why prices move

In online FOREX trading (and any financial market for that matter) prices move based upon the following equation

Supply & demand fundamentals + Trader psychology = Market price

Which is most important? In todays markets definitely the latter Why?

Quite simply, markets discount fundamentals quickly and with the internet its done in seconds.

In all corners of the globe the internet delivers information quickly and its immediately discounted in the market price.

This means traders make opinions on what will happen in the FUTURE and it is their psychology that is the key to future price direction.

Sure, the papers and news wires are great at telling you why things DID happened and their normally wrong about WHAT will happen.

Traders get deluded by the experts in online FOREX trading and fail to see their wrong most of the time.

Will Rogers once said:

I only believe what I read in the papers

Now, he was joking, but most traders take news services as gospel.

Reuters and Bloomberg stories agree with them, so they must be right, is the view of most online FOREX traders. Dont think so, in fact we know so, based upon the facts and the so called experts past performance.

Its easy to be wise in hindsight, but looking into the future is much more difficult!

They write stories for a living they DONT trade, traders that are interested in making profits should not be following news stories or media hype.

Its a fact: Most important market tops and bottoms and formed when the news is most bullish or bearish. When the trends change of course, news wires have an explanation but that does not help you trade!

In the 1987 crash they were bullish in the tech stock boom they were bullish and these are just tow examples of media experts being wrong and there are many others.

Understand the past and look to the future

This is the key to successful online FOREX trading. Quite simply the fundamentals are digested in seconds and reflected in the price.

Its trader psychology thats important as they look at the future and how they determine the supply and demand situation is reflected in price changes.

Human psychology has remained constant over time and thats why many price patterns are so reliable and point to important market tops and bottoms when the market is either very bullish or bearish.

Of course, prices then go the other way! confounding the so called media experts.

Technical analysis of markets

The only way you can win in online FOREX Trading is to use a technical analysis system that focuses on price.

Why use a technical system in online FOREX trading?

There are two main reasons

1.You will not be distracted by media stories and news hype and will keep your emotions in check.

2.If you are involved in online FOREX trading you can look at charts and see long term trends that last for months or years and many of them (in fact most of them!) run against what the papers and the so called experts say!

To be a success in online FOREX trading all you need to do is focus on these trends and forget the news and media, media experts dont get paid to trade, they get paid to write stories.

Focus on the reality of the price, not the media hype and you can make big profits in online Forex trading.


On finance including investments and becoming a succesful trader succesful trading visit our website for articles features and downloads at:http://www.net-planet.org/index.html

Molybdenum Supply Problems Ahead, Mining Exec Says

There is a polite arrogance to the new king of primary molybdenum producers that comes with being the big kid on the block. Thats how executive chairman referred to Blue Pearl Mining during our hour-long telephone interview discussing his companys developments, the future of the molybdenum market and new companies hoping to imitate his success.

Ian McDonald may very well be entitled to his opinions. After all, Blue Pearl could produce the same number of molybdenum poundage in 2007 as Cameco Corp would produce of uranium. (And unencumbered by those pesky legacy contracts or remediation efforts at Cigar Lake.) Blue Pearl is now the largest publicly traded primary molybdenum producer. The company plans to mine about one-fifth of the world primary moly in 2007, about five percent of the worlds total mined molybdenum. His company will also roast about 12 percent of the worlds molybdenum. Not bad for a company which was a penny stock some seven months ago.

Blue Pearl has become the darling of Bay Street since the company announced its audacious US$575 million acquisition of privately owned Thompson Creek Metals Company. Having closed the transaction in late October, Blue Pearl now owns two operating molybdenum mines and concentrators and a metallurgical (roaster) facility in Pennsylvania. In mid June, the companys shares traded for less than C$1.80; yesterday the stock closed at C$12.06. Since late August, shares in Blue Pearl have climbed relentlessly, with only brief pauses of consolidation.

We were fortunate to have included Blue Pearl in our seminal molybdenum article about the metals relationship with the energy bull market, this past July, at a time when few had heard of the company.

On Monday, the company announced encouraging cash flow from the recently acquired Thompson Creek operations. In the 67 days following this acquisition, Blue Pearl generated revenues of $150.8 million, about $2.25 million per day. Annualized, this could reach more than $800 million in 2007 if the price molybdenum remains firm and production continues according to plan.

Production costs for output from the companys Thompson Creek and Endako molybdenum mines averaged $6.28/pound. The company sold this production at an average price of $25.74/pound. By 2008, the company hopes to mine 27 million pounds from these mines. The firm moly price helped Blue Pearl discharge the Second Lien Credit Facility of $64.3 million in mid March. According to Mondays news release, the company cash balance stands at approximately $135 million.

The company expects its bank debt to fall to $320 million after paying its first quarterly installment in 2007 of $18.75 million. Blue Pearl incurred $401.9 million in long-term debt as part of its acquisition of Thompson Creek Metals. At its current production pace, the quarterly bank payments amount to a little more than one weeks production.

Whats on Ian McDonalds Mind?

Historically, according to Western Troys Rex Loesby, annual molybdenum demand has grown about four percent since the 1950s. This fits well with McDonalds forecast of 700 million pounds by 2020. Thats what will need to be the supply, he told us. And where will this come from? That, of course, is the big question, McDonald said. Theres a dearth of new projects in the pipeline. And he reminded us that China has started to consume more of their own molybdenum production.

As with uranium and other metals, China is a wild card for molybdenum supply. In any moly discussion, China remains a primary concern for miners. China was producing, 13 to 14 years ago, about 110 million pounds and exporting 100 million into a 230-million pound market, McDonald pointed out. Last year, in a 400-million pound market, China produced about 80 million pounds, net exporting about 30 million, so they are keeping more. The story is they use more of their own. He is quick to point out that global moly demand was up six percent in 2006, but Chinas demand increased some 20 percent.

Im not going to sugar coat it, McDonald points out. If they wanted to make it look bad, they would. If they start dumping on the market, everybodys trashed. But he doesnt believe this is a likely scenario. There are only 39 big mines in the world, producing molybdenum, he told us. But in China, there are over 500 small mom-and-pop operations. China is desirous of having some world-class companies, and theyve shut down some of the smaller operations because they dont use their power efficiently. If you have a big mining company, they are going to have a long-term view and maximize the countrys resources.

From where supply comes from is second to the increasing demand McDonald sees ahead. There are a growing number of applications for molybdenum. He pointed out that cars consume molybdenum. Theres about 0.9 pound or so in about a dozen different places in the automobile, and with 55 million cars in the world, thats about 50 million pounds. This is probably the third largest application of moly.

High-end molybdenum stainless steel applications consume the biggest amount, McDonald said. Any steel thats used in the ocean or near the ocean has got molybdenum in it. He pointed out that Blue Pearl leaves about 10 percent of the companys molybdenum production in the sulphide form for the high-end lubrication market the oil companies. Most of it is made into tech oxide, MO3, and about 25 percent would be ferromolybdenum, he said. We just sold some (ferromoly) in Europe for $34/pound.

His company was chosen to help produce advice on the newly launched Sprott Molybdenum Participation Fund. We asked about his involvement. We get a small fee for storing molybdenum if they choose to buy, he told us. It would be stored at Blue Pearls metallurgical facility in Pennsylvania. We would also sell them some, he added. His company would not be counseling the fund in which companies to take investment stakes. It would pose a conflict of interest and we would have to recuse ourselves, he said.

Sees New Supply on the Horizon Lacking

Theres a tremendous barrier to entry for a new primary molybdenum mine to come onstream with no forward market, McDonald observed. Because without a forward sale, financing requirements for the capital to build one of these new mined could be very, very challenging. He believes one of the other big molybdenum mines will get financed, but he cautioned, I think that once one does, it doesnt mean they are all going to. He explained his own personal experience, When we raised the US$575 million last year to buy Thompson Creek, this was a company making close to US$400 million a year after tax, and we had some heavy lifting to do. It was difficult. It would be difficult for another junior.

One place where he sees imminent molybdenum supply is from Blue Pearls Davidson deposit, not far from the companys Endako mine and milling facility. We will have the feasibility out in the second quarter I say second quarter, but I hope its very soon, McDonald told us. It will become the highest-grade molybdenum mine in the world. He said his company was lucky to have gotten it three years ago. It had been ready for production and there was a lot of development done on it. So, the company decided to move to the final feasibility study instead of bothering with a scoping study or pre-feasibility. He said the Davidson project would be in full production in 2009.

What about mine development? Theres already 2.5 kilometers of underground workings there and terrific ground conditions, he said. We opened that up a couple of years ago, after no one had been underground in 25 years. All of the scaling for the entire 2.5 kilometers fit in a five-gallon paint bucket. McDonald told us Blue Pearl plans to just mine the deposit and little else, We will not even crush it, just a rock breaker, and just haul it right down to Endako.

But Blue Pearl may take in a partner on Davidson the Japanese trading company, Sojitz. They own 25 percent of Endako, and they want to buy 25 percent of Davidson, McDonald said. It would make sense, if they own the same percentage of both. There wouldnt be any recovery issues, or combining of ore and al that. We would have the same labor force. He did caution the deal was not done yet. Well look to possibly do a transaction with them.

Another project where McDonald hopes will provide additional molybdenum supply comes with the possible expansion of Endako into a super pit. The company plans to have the scoping study done later this year, possibly by June. I feel pretty good about that, its pretty realistic, he told us. We have a massive resource there, and it would be a pretty big job. But, it could take the wind out of some of these other juniors.

We discussed his vision of expanding the mill to 50,000 tons per day. Its probably 32,000 tons per day now, he pointed out. The first step involves redoing the reserves and resource calculations at Thompson Creek and Endako using a $10/pound moly price. The previous pricing was way too conservative, according to McDonald. We suspect the higher resource figure would open the door to raising the likely $250 million to upgrade the facility to the higher tonnage operation. And his mind is already moving in that direction.

Lets say we had a study done within the next year, he explained. It would take to 2008 or 2009 to build it. Unfortunately, because the mine has been operating for forty-two years, we would have to move the existing mill. The mill would have to be moved because there is ore beneath the present mill site. It wont happen overnight, he warned.

And what about those other junior molybdenum companies? We arent going to grow our company by buying all these other moly deposits, he responded. Then, we have to go and raise $700 million, worry about marketing another 20 million pounds a year, and betting the company on it. Personally, and our board agrees, wed rather buy something thats either in production, and pay a little more for it, or take something at a feasibility stage, like copper/moly. We have a pretty good balance sheet, or we will have by the end of this year. Then maybe we could buy some moly production.

What are his plans as 2007 rolls on? We qualify for the New York Stock Exchange, McDonald confided. Weve talked to them. I think we will get the ball rolling this spring, and we could look for an early fall consummation. We are going to come to the U.S., we qualify and they seem pretty keen on having us.

Just to make sure we got his story right, McDonald added, Were not going to sit on our laurels. We have a lot of growth ahead of us, bringing on Davidson, expanding the reserves of both mines and doing a scoping study for expanding Endako. Our main job is to get the debt paid down and increase the reserves. Thats quite a bit. Its all within our backyard and with our own expertise. Anything we do outside of that we will do other things, I think, but they are things that are going to be for sure.

COPYRIGHT 2007 by StockInterview, Inc. ALL RIGHTS RESERVED.

James Finch contributes to StockInterview.com and other publications. His focus on the uranium mining and nuclear fuel sector resulted in the widely popular Investing in the Great Uranium Bull Market, which is now available on http://www.stockinterview.com and on http://www.amazon.com

Beta Factors: How They Can Be Used In The Current Situation

Ever since the turn of the century, world stock markets have been very volatile. In other words there have been significant movements (up or down) in share prices. This phenomenon has been evidenced by the collapse in recent years of the share prices of the dot com companies (e.g. Yahoo, Amazon etc.) and the sharp falls in the share prices of telecommunication stocks (e.g. British Telecom, Marconi etc.). Yet despite these events there is very little emphasis placed on measuring the volatility of stocks.

The aim of this article is to explain one method of measuring the volatility namely beta factors and how investors can interpret this information. The article aims to state how investors can use beta factor analysis to their advantage when there are political uncertainties affecting markets. Though some stockbroker firms calculate the beta factors of certain stocks quoted in their respective stock exchanges, investors have little access to these figures. In more developed markets many stockbroker firms do have access to beta factors but it is only in recent years that investors have access to this information.


The beta of an investment is a relative measure of the systematic risk of an investment. In other words it measures the specific risk of the company's shares relative to the market as a whole. In general, the sign of the beta (+/-) indicates whether, on average, the investment's returns move with the market or in the opposite direction to the market. The scale or value of the beta indicates the relative volatility of the particular stock.

A beta of +0.25 for instance, would indicate that on average, the investment's returns move one quarter as much as the markets do in the same direction. If the market rose by 10%, the investment would be expected to rise by 2.5% but on the other hand if the market fell by 10% the investment would be expected to fall by only 2.5%. A beta of -0.1 would indicate that on average, the investment's returns move one tenth as much as the market's do, but in the opposite direction. If the market rose by 10%, the investment would be expected to fall by 1%. Hence we can summarise a number of situations:

If Beta > 1 this means that the investment's returns will move, on average, in the same direction as the market's returns, but to a greater extent.

If Beta = 1 this means that the investment's returns will move, on average, in the same direction as the market's returns, and to the same extent.

If 0 -1, to the same extent if Beta = -1, and to a greater extent if Beta < -1. In practice it is rare to find negative beta stocks since they go against the trend of the market. One possible sector that could consist of negative beta stocks is the gold industry that tends to go against the trend shown by equity markets.


In world markets, beta factors can have a major influence on the investment strategies of investors. If the analysis is to be believed then in times of a bull market (rising markets) investors should hold stocks with a high positive beta factor since they should outperform the market. A practical example of this was in the late 1990s concerning the dot com stocks. At this time the bull market has reached its peak and those investors who held dot com companies (that had high positive beta factors) made excess returns and did far better than the relative index performances.

However in times of bear markets (falling markets) then investors should target low beta stocks since they should outperform the market. An example of this can be found in the UK where two low beta FTSE stocks (Tesco and Centrica) outperformed the market in a falling market.


The current world political situation is probably the worst it is for many years. World markets are falling at a rapid pace. What does beta factor analysis teach us about an investment strategy in this situation? Firstly, however good a company is it likely that in such circumstances most will encounter falls in their share prices.

However during this time a number of alternative investments that have negative beta factors have appreciated in value. The prime example of this is gold. Over the past twenty years when there was a strong equity bull market, the price of gold has fallen significantly. In addition to this shares in the gold sector have performed badly when compared to equities. However in the past few years it is noticeable that in the political uncertainty that has arisen in the world that the price of gold has shown material gains at a time when equity markets have recorded sharp falls.

Another commodity that has done well is oil that has seen a significant increase in its price per barrel over the past few months. In line with gold, the oil price has suffered over most of the past twenty years (at a time when equity prices were on an increase) and it is only in recent years that the oil price has shown a recovery.


Beta factor analysis is a useful technique that has enabled many international investors to achieve satisfactory returns in the past. If one looks at the trends in world markets then one can see that in a bull market those investors that have followed a selective aggressive portfolio (i.e. including shares with beta factors of over 1 times) have generally outperformed the market.

However the wheel has changed. We are now in the stage of a bear market. The current political uncertainty has made things extremely difficult for investors. Should they get out of world markets since a conflict will almost certainly mean falling equity prices. Or should investors move to alternative investments with negative beta factors such as gold and oil? After all in case of a conflict these commodities will almost certainly rise and will probably go against the trend of equity prices. The answer will very much depend on how the current political situation develops. However investors will do well if they include gold in their investment portfolios.

Disclaimer: No responsibility for loss can be accepted to any person acting or refraining from acting as a result of material in this article.

2004 by Andy George. All rights reserved

About The Author

Andy George is a qualified chartered accountant who was born in Birmingham, England and who has had many years experience in public practice, industry, and commerce and as a lecturer. Since 1991 he has been based in the island of Cyprus. Andy was a financial correspondent for eight years at the Cyprus Financial Mirror where he wrote articles on business and accounting related issues to a non-technical audience.

He is the author of eBooks: How to write and Publish Your Own With a Shoestring Budget http://www.budgetebook.com



Forex Trading - Earn Bigger Profits Now By Applying the 80-20 Rule

The 80:20 rules applies in many spheres of life and if you know what it is and apply it in forex trading you will increase your profits dramatically. So lets take a look at what it is and specifically how to apply it to forex trading.

In the late nineteenth century an Italian economist named Vilfredo Pareto observed that, in his native country of Italy, a small group of people held nearly all the power, influence, and wealth.

Came to the conclusion that in most countries, about 80% of the wealth and power was controlled by about 20% of the population and he referred to this as:

Predictable imbalance, which became known as the 80:20 rule.

He concluded that in relation to an individuals effort:

20% of your effort or energy output will produce 80% of your income furthermore, 20% of your time will produce 80% of your work out put or income.

Does this apply to forex trading?

Yes it does and the lesson you can learn from the 80:20 rule is to work smart not hard. Concentrate your effort on the trades that have the best risk reward.

Cut The Number Of Trades You Do

Its a fact that most traders trade too much and execute trading signals to often, as they want to force the market to give profits, but of course profits cannot be forced.

The way to apply the 80:20 rule to currency trading is drop your frequency of trading. If you look at forex charts you will see that there are very few big trends each year but when they do occur they produce huge profits.

How do you spot them?

Here is a checklist

1. Look for valid resistance levels, that if broken are considered significant by the market.

2. Learn how to use a breakout methodology and go with breaks of these support and resistance levels.

3. To increase the odds even further make sure that you use momentum indicators to confirm that price momentum is supporting a break.

4. As you are trading less you can afford to risk more on these trades and increase profitability.

5. Dont trail stops to close and have a profit target that relates to the size of the break.

The above method will ensure you are trading a lot less and it could be as much as 80%, but your profitability will be increased.

Its a fact that most of the big profits are generated from trades that break from new market highs - NOT market lows.

So if you have been buying dips its time to re think your forex trading strategy.

Trading Less for More Profits

If you like excitement and the thrill of trading this strategy is not for you. The above strategy is all about making money and trading the trades with the best risk to reward which can yield triple digit annual gains.

If you have been trading and making marginal profits, apply the 80:20 rule to your trading, cut the frequency of trades and increase the profits!


On all aspects of becoming a profitable trader including features, downloads and some critical FREE Trader PDF's and more FREE Forex Education visit our website at http://www.net-planet.org/index.html

FOREX Education Getting The Right Education For Success PART 1

Consider this fact:

Despite the vast amount of FOREX education available, the bulk of traders still lose.

The reason for this is most of the accepted wisdom does not work.

Here we will look at the FOREX education you need and a simple system thats FREE That can make you big consistent profits.

Before we start looking at FOREX education itself, lets look at the equations you need to be successful trading FOREX.

Equation for success 1

Robust Method + Confidence + Discipline = Long term currency success.

Now, when you trade you need a method thats simple and you understand.


Because if you want to make money trading you are going to have short term losses and you need to the discipline to follow your method when these occur.

If you dont you will not have a method at all.

Many traders FOREX Education involves following systems they dont understand or gurus and they simply cant stick with them and fail.

Equation for success 2

Your method needs to have the following characteristics:

Liquidate losers quickly + Run Profits

Obvious one, but today people receive FOREX education that teaches them to trade short term and even worse day trade.

We have written about this in our other articles and its a waste of time. You wont win, it will just be expensive FOREX education!


Because, the time frame is to short and moves are random.

You may have profits but you cant run them in a day and they can never cover your inevitable losses and high transaction costs you accumulate.

Avoid FOREX Education that teaches you short term trading unless you like losing your money

The Education You Need

Most of the education is free and on the net.

FOREX Education you dont need

There are of course many e-books and courses but most of these are worthless ( only buy one which has a real track record and the seller is a trader ) and there are few of these around.

In part 2 of this article we will cover a system you can learn yourself that is used by many of the worlds top traders and its simple to apply and understand.

Learn this fact

There is no correlation between how complicated a method and how successful it is.

In fact, the opposite is true, the more complicated a system is the more likely it is to break in the face of ever changing brutal market conditions.

Finally, as we have said you need to understand how your method works (this is easier with a simple system) as you need confidence to follow it with iron discipline to eventual currency trading success.


The only material we recommend you buy is classic works by traders who have been at the sharp end and here are some good ones

Market Wizards & The New Market Wizards Jack schwager

Great books!

Full of inspiration, as the top traders in the world share their wisdom on how they made millions or even billions trading FOREX and other markets

Anything By Jake Bernstein

Focuses on the importance of discipline and mental attitude a key to success.

Trader Vic Vic Sperandeo

Perhaps my favourite book of all. Packed with common sense from cover to cover from one of the true great traders.

They will cost you about $50.00 and thats money well spent for the type of FOREX Education they give.

A system for profit

In part 2 of this article your FOREX education will continue, when we start looking at a specific method that you can apply for bigger FOREX profits and currency trading success.


On all aspects of becoming a profitable trader including info about legendary trader W D Gann who made a $50 million fortune trading go to our website for an exclusive Gann Trading Course visit our website at http://www.net-planet.org/index.html

A + B - N (AMRO) Bank

The investment market is like the dating market; the ugly little duck can turn into a desirable prince(s) after someone has given it some attention. And what happens next, all of a sudden the former duck gets surrounded by a chain of new admirers. They all want her. Or him.

Currently on the scene is ABN AMRO. Not really small, nor exactly ugly but not performing according to the stock exchange standards (what ever they might be). And the bank found a buyer (Barclays) for its shares willing to pay around the 36 euros.

New admirers of the bank include a group of three European banks that are willing to offer 39 euros. Why 39, you may ask. Perhaps because 40 seems psychologically too much or simply that 39 divided by three is exactly 13.

The offer of this consortium (formed by the Spanish bank Santander, the Belgium bank Fortis and the Royal Bank of Scotland) will bring ABN to a demolition stage; each bank acquires a part of the whole. Santander receives the desired Italian branch only recently acquired and Brazil, Fortis the Benelux part and RBS the American operation.

The question whether this split-up would be worse than the original offer from Barclays remains unanswered. Many believe so, I doubt it from a cultural point of view.

In fact the situation in which ABN stranded is one of incomplete acquisition. In the financial world it is to eat or get eaten and ABN ate only half its way. It left the company with a well established market in Europe but insignificant in nearly any other continent. For Santander it makes much more sense to acquire Brazil and an Italian part (something its rival BBVA - could manage so far) and the acquisition of Fortis will make perfectly sense although a larger cultural mismatch. And the oversees (US) activities of RBS seems neither illogical.

Cultural speaking the break up would make more sense, because each three banks would expand with similar cultures. Santander would provide a better fit for the Brazilian branch, although you could question whether this fits also the Italian case.

On the other hand, the consortium offer would also mean a bigger change, because the name ABN AMRO would cease to exist.

2007 Hans Bool

Hans Bool writes articles about management, culture and change. If you are interested to read or experience more about these topics have a look at: Astor White or sign-up for our newsletter.

How to Generate Free Traffic to Your Website

According to the Internet Usage and World Population Statistics, there are 1,086,250,903 internet users worldwide as of September 2006. So, how many of these people are visiting and/or purchasing products from your website? If your answer is not many, then you might benefit from the tips below on how to generate free website traffic.

1. Take advantage of online forums and online communities. This is a great way to get you and your business talked about for free. Target the forums and communities that relate to your business. For example, if you sell home decor products, join home decorating forums and communities. While talking to other members of the forum, you can promote your business, share tips, get advice, and often find other members willing to do link exchanges and free advertising swaps. Tip: When posting information on a forum, be sure to include your websites full URL so the search engines and other members can visit your website. Also, be sure to read and follow the forums rules and guidelines.

2. Create a monthly newsletter for your website. Provide registered newsletter members with special promotions, interesting and entertaining articles, free products, contests or anything else that will make people want to sign up for your newsletter. The more people that sign up for your newsletter, the more website traffic you will receive.

3. Exchange links with other quality websites that are related to yours. One mistake that many webmasters make is trading links with any website that will accept link exchanges. This does not increase your traffic or benefit your website in any way. In fact, some of the major search engines will actually penalize your website for having a huge amount of unrelated links. So, take the necessary time to link with quality, related websites.

4. Write articles and submit them to article directories. At the bottom of each article, include a short description of yourself and/or website and include the full URL to your website or product. This will allow viewers of the article to follow the URL to your website, resulting in more traffic. Many websites offer free submission and posting of your articles. Here is a short list of free article directories:




5. Write good content for your site and add it frequently. Many search engines track down the keywords and keyword phrases used in your websites content.

6. Use an email signature. This is possibly the most under-rated way of advertising on the internet. Email signatures are very useful for providing important contact information and can be an effective way of marketing. In your email signature you should include:

Your name

Your email address

Your website URL

Optional information might include your phone number, mailing address, or your title.

6. Get your website listed in online directories. There are many directories on the internet that will allow you to list your site information for free. For example, if you sell home and garden products, search for directories that specialize in the home and garden industry. There are also directories that charge a small fee but may well be worth it.

7. Create you own eBook. Write an eBook that is relevant to your websites subject matter. Be sure to include a link to your website on every page of the eBook. To market your eBook, make sure that it is clearly stated in your eBook that it can be freely distributed as long as it is not altered in any way. Give it away on your website and distribute it to eBook directories and other relevant websites.

8. Hold a contest on your website. A contest on your website can have tremendous traffic building potential. Hold a contest on your site for a prize that is relevant to your website. For example, if your website sells software products, you could offer a prize of a popular piece of software, which you know everyone that visits your website will be interested in. Having contests on your website can bring you unlimited popularity and traffic.

9. Create a Blog for your website. Blogs, short for web logs, are free and easy to create. They can also be an awesome traffic generating tool if you use and promote them properly.

If you dont already know, the key to building free search engine traffic is to receive as many related, high-quality websites that point back to yours. Your Blog will act as a related website that points to your own website, will build traffic to your main website, and attract its own traffic.

There are many good, free Blog hosts to choose from. Blogger.com is very popular because each new post creates a search-engine friendly web page. Blogger.com is easy to use and they offer great features such as visitor comments, customizable templates, archiving options, and much more.

10. Create RSS Feeds for your website. RSS stands for Really Simple Syndication. It is an XML based content format for distributing headlines, news, articles, and other updated content. For webmasters, this is an excellent way to bring repeat traffic to your website.

By providing an RSS Feed, you will not have to rely on your visitors to bookmark your site and return at a later date. Instead, their RSS reader will keep your site fresh in their minds.

There are numerous free tools for creating RSS Feeds. Do a Google search on create free rss feeds and this should help you find the tools available for you to use.

The above ten methods have the potential to drive a lot of free traffic to your website. All it takes is a bit of effort, patience, and time. Try to research and learn all you can about the methods listed above and you too can be on your way to generating a great traffic flow to your website for free!

Lesley Dietschy is a writer, jewelry designer, and the founder of a network of popular websites including http://www.HomeDecorExchange.com and http://www.HomeGardenExchange.com Both of these websites feature valuable information and resources to assist you in decorating your home and garden.

For beautiful beaded bracelets, please visit: http://www.BeadedBraceletBoutique.com