For example, Russia’s PC software piracy rate dropped seven points to 73 percent. (In the study, piracy rate is defined as the total argentina number of units of pirated software deployed in 2007 divided by the total units of software installed.) “Russia’s piracy rate is still high, but it is decreasing at a fast pace as a result of [software] legalization programs, government engagement and enforcement, user education and an improved economy,” states the BSA study’s findings. (A copy of the complete BSA study can be found here.)

Many low-piracy regions, such as the United States, United Kingdom and Austria, showed decreases (though they weren’t huge) in their piracy rates. The three lowest-piracy countries were the United States (20 percent), Luxembourg bolivia (21 percent) and New Zealand (22 percent). The study also found that many developed economies continued to show gradual declines, including Australia, Belgium, Ireland, Japan, Singapore, South Africa, Sweden and Taiwan.

PC Software Piracy Rankings, 2007
The Business Software Alliance ranks the countries where software piracy is the worst for PC software vendors, and those where conditions are best.

The Worst

1. Armenia

2. Bangladesh

3. Azerbaijan

4. Moldova

5. Zimbabwe

6. Sri Lanka

7. Yemen

8. Bangladesh

9. Libya

10. Venezuela

The Best

1.United States

2. Luxembourg

3. New Zealand

4. Japan

5. Austria

6. Belgium

7. Denmark

8. Finland

9. Sweden

10. Switzerland

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BSC 11.18, +0.45, +4.2%) almost collapsed in March.
“This year’s meeting is going to be so good because he’s really a tremendous recession/crisis investor,” Jeff Auxier, manager of the Auxier Focus Fund and a Berkshire shareholder, said in an interview this week. “He’s the type of investor who comes alive during these types of crises and he has the balance sheet to act.”
Snapping up securities
Berkshire (BRKA:berkshire hathaway inc del cl a
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BRKA 133,900.00, +50.00, +0.0%) (BRKB:berkshire hathaway inc del cl b
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BRKB 4,460.00, +3.00, +0.1%) has already snapped up some securities that have been particularly hard-hit by the credit crunch.
In February and March, the company built up a $4 billion position in auction-rate securities, Buffett told Fortune magazine in early April.
Auction-rate debt carries yields similar to long-term debt but acts like short-term investments because investors can sell at weekly or monthly auctions, when rates reset. The $330 billion market was used a lot by municipalities to borrow money, but it collapsed earlier this year, sending yields on some auction-rate securities soaring. See full story
As many investors and issuers fled the market, Buffett swooped in. In one instance, Berkshire bought securities issued by Citizens, a hurricane insurer backed by the state of Florida, at a yield of more than 11%.
The market was in such turmoil that the same bonds were selling on the same day at a 6% yields, Buffett told Fortune.
“We’ve got fabulous capital markets in this country, and they get screwed up often enough to make them even more fabulous,” he told Fortune. “I mean, you don’t want a capital market that functions perfectly if you’re in my business.”
Berkshire has also made big bets on high-yield, or junk bonds, which have suffered in recent months from the credit crunch.
The company owns derivatives contracts that require it to pay up if certain junk bonds default. They expire from 2009 to 2013. The company collected $3.2 billion in premiums on these contracts last year and paid $472 million in losses, Buffett reported in Berkshire’s latest annual report. See full story
“I expect we’ll hear about unusual investments in financial instruments that Berkshire has been able to make over the last few months during the financial turmoil,” said Thomas Russo, a partner at Lancaster, Pennsylvania-based Gardner Russo & Gardner.
Berkshire bought junk bonds in 2002, during the depths of the dot-com bust, and ended up making billions on the positions.
The current credit crisis has triggered even more forced liquidations of investment portfolios than in 2002, explained Russo, who’s largest investment is in Berkshire stock.
“This would have helped an investor with available liquidity and the ability to be nimble like Berkshire,” he added.
Berkshire has also started its own bond insurer, Berkshire Hathaway Assurance Corp., to try to grab lucrative municipal bond guaranty business from struggling market leaders Ambac Financial (ABK:AMBAC Inc
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ABK 5.03, +0.40, +8.6%) and MBIA Inc. (MBI:MBIA Inc
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MBI 11.74, +1.34, +12.9%) .
Waiting for something worse
Still, Buffett has so far been noticeably absent from the bailouts of struggling financial institutions such as Bear Stearns and Washington Mutual (WM:Washington Mutual Inc
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WM 12.52, +0.23, +1.9%) in recent months.
He’s also shied away from buying complex mortgage-related securities such as collateralized debt obligations (CDOs), which have been among the hardest hit investments during the credit crunch.
For some Berkshire shareholders, that suggests Buffett may be waiting for markets to deteriorate further before making major acquisitions or investments.
“It’s very, very telling that he has not made any investments,” said Whitney Tilson, head of hedge fund firm T2 Partners LLC and a Berkshire investor. “Every major pool of capital in the world has made big investments in distressed financial institutions. He’s seeing every deal, so why hasn’t he done one? Maybe because he thinks things will get a lot worse.”
“We are well on our way to the kind of paralyzing financial crisis that would enable Buffett to put huge amounts of money to work at extraordinarily attractive valuations,” Tilson added. “But there are still so many other investors out there with so much money who are willing to invest before him.”

May 1 (Bloomberg) — Manufacturing in the U.S. shrank for a third month and rising prices eroded consumers’ buying power as the six-year economic expansion ground to a halt.

The factory index compiled by the Tempe, Arizona-based Institute for Supply Management was unchanged at 48.6 in April. The Commerce Department said consumer spending rose 0.4 percent in March. Stripping out the effect of inflation, purchases were up 0.1 percent after stagnating the previous month.

The ISM report indicated no sign of improvement from the first quarter, when only a jump in inventories prevented the economy from shrinking. Consumers and manufacturers are struggling with rising prices and the worst housing slump in a quarter century. Home Depot Inc., the world’s biggest home- improvement retailer, today scaled back expansion plans and said it will fire workers as its sales and earnings deteriorate.

“The economy is still in a mode where it’s declining,” Brian Bethune, director of financial economics at Global Insight Inc. in Lexington, Massachusetts, said in an interview with Bloomberg Radio. “These numbers certainly reflect that. We’re going to see weaker jobs numbers and we’re going to see consumption bump along at a very slow rate.”

Treasuries reversed early gains after the ISM report, with the yield on 10-year notes rising to 3.77 percent at 4:27 p.m. from 3.73 percent late yesterday. The Standard & Poor’s 500 stock index closed up 1.7 percent at 1,409.34.

Inflation Threat

Today’s reports also showed that the Federal Reserve’s preferred measure of consumer prices rose more than anticipated, and that manufacturers are paying the most for goods in four years. Fed policy makers yesterday signaled they are ready to pause their series of interest-rate cuts as some former officials warn about stoking price pressures.

“I really don’t think the Fed should continue to cut,” Susan Bies, a former Fed governor, said on Bloomberg Television yesterday. Given the inflation rate, “the risk is it’s taking away from people’s spendable income.”

The ISM figure was higher than economists had forecast as exports continued to prevent a deeper decline in manufacturing. The median estimate among 78 projections in a Bloomberg News survey was 48. Fifty is the dividing line between contraction and expansion. Manufacturers account for 12 percent of the economy.

Today’s spending data were incorporated in the Commerce Department’s report on gross domestic product yesterday, which showed that consumer spending rose at a 1 percent annual pace last quarter, the weakest since the 2001 recession. GDP rose 0.6 percent in the period, the same as in the previous three months, marking the slowest six months of expansion in seven years.

Four-Year High

The Labor Department reported separately that first-time claims for unemployment insurance rose more than forecast last week, to 380,000. The total number of Americans receiving benefits climbed to 3.019 million, the highest level since April 2004.

“Consumers are struggling,” said Ryan Sweet, an economist at Moody’s Economy.com in West Chester, Pennsylvania. “Their finances are being squeezed on two fronts: they’re getting pressure from higher energy prices and slower income and job growth.”

A report tomorrow is forecast to show payrolls shrank in April for a fourth month, which combined with record fuel prices and slumping home values, indicates spending may slow.

The Commerce Department also reported today that spending on U.S. construction projects fell 1.1 percent in March as homebuilding posted the biggest one-month drop on record.

Economists’ Forecasts

Economists had forecast a spending gain of 0.2 percent, according to the median of 78 estimates in a Bloomberg News survey.

Incomes increased 0.3 percent, less than estimated, after a 0.5 percent gain in February. The median forecast for incomes called for a 0.4 percent increase.

Households spent mainly on services such as medical care and utilities, and bought fewer big-ticket items such as cars and furniture.

The inflation measure tracked by the Fed, which strips out food and fuel prices, increased 0.2 percent after a 0.1 percent gain the previous month. It rose 2.1 percent from March 2007, compared with a median estimate of 2 percent.

Policy makers yesterday cut the main interest rate by a quarter point to 2 percent, the seventh reduction since September. The Federal Open Market Committee removed language from its March statement that “downside” risks to growth remained, and said that “substantial” easing of policy to date should help spur growth over time.

Savings Rate

Because the increase in spending was bigger than the gain in incomes, the savings rate fell to 0.2 percent, from 0.4 percent the prior month. Disposable income, or the money left over after taxes, increased 0.3 percent.

Retail sales signal continued weakness. Sales at stores open at least a year rose 1.9 percent last week from a year earlier, the eighth straight week below 2 percent, according to the International Council of Shopping Centers and UBS Securities LLC.

The government this week started sending out tax rebate checks as part of the Bush administration’s fiscal stimulus plan. Retailers are trying to lure shoppers to spend the extra cash.

Wal-Mart Stores Inc., the world’s largest retailer, will cash tax-rebate checks for free and cut prices on shampoo, cereal and groceries.

`Very Hopeful’

“We see the strain on the consumer as they get near the end of the month,” Jane Thompson, president of Wal-Mart’s financial services, said in a phone interview this week. “We’re very hopeful for what this is going to do for the economy.”

Home Depot’s planned job cuts are the third this year. The retailer employs about 331,000 people, two-thirds of them full- time.

The rebates may be more of a temporary relief for consumers burdened by gasoline prices approaching $4 a gallon and by three consecutive months of job losses.

“Growth may just manage to stay above the zero line yet again in the second quarter, thanks to the heavy-duty support from the rebates,” Doug Porter, deputy chief economist at BMO Capital Markets in Toronto, said before the report. Still, “much of the stimulative impact will be gobbled up by surging gasoline and food costs.”

To contact the reporter on this story: Bob Willis in Washington at bwillis@bloomberg.net; Shobhana Chandra in Washington at schandra1@bloomberg.net

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CLX 58.24, +5.24, +9.9%) said it would have earned 84 cents.
Wall Street had forecasted a profit of 75 cents a share, according to a FactSet analyst survey.
Sales grew 9% to $1.35 billion, thanks to price increases, a weak U.S. dollar compared with other foreign currencies, and new products, such as its line of biodegradable Green Works cleaners and Burt’s Bee’s lip balms and hand soaps.
Clorox, known for its namesake bleach, sells a range of household products, including Glad trash bags, Hidden Valley salad dressings, Kingsford charcoal and Fresh Step cat litter.
For fiscal 2008, which ends in June, the Oakland-based company said sales growth would be in the range of 8% to 9%, up from its prior target of 6% to 7%.
It narrowed its full-year profit outlook to a range of $3.20 to $3.28 a share, including charges, compared with its previous forecast of $3.20 to $3.35 a share.
Due to the “strong business performance” of Burt’s Bees and lower interest rates, Clorox said the Burt’s Bee deal will hurt fiscal 2008 earnings by 9 cents to 11 cents a share, less than the 13 cents to 15 cents a share it had previously forecasted.
Also Thursday, Clorox issued its initial fiscal 2009 financial targets.
Including charges, it projected earnings between $3.75 and $3.90 a share. It pegged sale growth in the range of 6% to 8%. The company’s fiscal year ends in June.
Clorox shares are down 16% over the past year, more than the 6% decline for the S&P 500.
The current long-range price target on the stock is $63.71, according to analysts surveyed by FactSet, which represents a 20% gain over the stock’s current trading levels.

With passage of the bill virtually assured in the House, the debate over how best to address the downturn in housing now shifts back to the Senate where Democrats drafting a similar plan must overcome the reservations, if not outright opposition, of a more robust Republican minority.

President Bush has called on Congress to pass very specific legislation to update the operations of the Federal Housing Administration; to tighten regulation of the government-sponsored lending companies, Fannie Mae and Freddie Mac; and to let state and local housing authorities use tax exempt bonds to refinance bad loans.

But Mr. Bush opposes the more expansive legislation pursued by Democrats.

The Financial Services Committee approved the bill by a vote of 46 to 21, with 10 Republicans joining the Democrats in favor of it.

Representative Barney Frank, Democrat of Massachusetts and the chief author of the housing legislation, said on Thursday that he hoped the bill would ultimately reach the White House as part of a wider package that Mr. Bush would sign if it also contains the legislation that he has demanded.

The Democrats’ legislation seeks to help homeowners by requiring lenders to reduce the principal balances for borrowers at risk of default. The bad loans, typically with high adjustable rates, would then be refinanced into more affordable 30-year fixed-rate loans insured by the Federal Housing Administration.

The new loans would be limited to no more than 90 percent of the current value of a property, based on an updated appraisal. In addition, the government would retain a stake in any future sale of the property, worth 3 percent of the initial loan balance or 50 percent of the net profit from a sale, whichever is greater.

Borrowers would have to demonstrate the ability to pay the new loan, and if they default, would forfeit the property. Democrats say the plan could help as many as 1.5 million homeowners.

The Bush administration calls that goal unrealistic and achieving it would require loosening underwriting rules that would put taxpayer money at too much risk. But the administration’s own effort to help troubled borrowers, called FHA Secure, has so far aided only about 2,000 homeowners who were clearly behind in paying their loans.

In an interview, Mr. Frank said that Republicans, including the president, understood that the government-sponsored lenders were playing an increasingly vital role in the stability of the economy and that they were now anxious to tighten regulation.

“Don’t underestimate the importance” of changes affected Fannie Mae and Freddie Mac, he said.

As for the Senate, Mr. Frank said: “I am not going to guess.”

Senator Christopher J. Dodd, Democrat of Connecticut and chairman of the banking committee, is hoping to finalize a bill next week that would incorporate the broad expansion of federally insured loans sought by Democrats with a Senate version of the legislation sought by the Bush administration.

In a statement on Thursday, Mr. Dodd said he hoped of reaching a deal, even as some Senate Republicans said they remained uncertain.

“Our top priority right now should be helping people keep their homes,” Mr. Dodd said, praising the Financial Services Committee vote. “This is another step in the right direction.”

He added: “I am committed to working on bipartisan legislation with my colleagues in the Senate banking committee to reduce foreclosures and restore liquidity to the mortgage market.”

A spokesman for Senator Richard C. Shelby of Alabama, the senior Republican on the banking committee, declined to comment.

Republican support for the Democrats’ plan has waned in recent days. Senator Mel Martinez, Republican of Florida and a member of the banking committee, who had previously advocated aggressive government action to stem foreclosures, this week said that he supported the more measured response favored by President Bush. Florida is one of the state’s being hit hardest by foreclosures.

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CMCSK 21.88, +1.64, +8.1%) , the largest U.S. cable operator, said it earned $732 million, or 24 cents a share, compared with $837 million or 26 cents a share in the same quarter a year ago.
The latest quarter included a $144 million gain related to the breakup of a partnership with rival Insight Communications. Results in the prior year’s first quarter included a $300 million gain related to the transfer of cable systems in Kansas City, south and west Texas to Time Warner Cable Inc. (TWC:time warner cable inc cl a
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TWC 30.10, +2.10, +7.5%)
Excluding items, adjusted earnings rose to 19 cents a share from 17 cents in the first quarter of 2007. Revenue rose 14% to $8.39 billion.
Analysts polled by FactSet Research had been expecting, on average, a profit of 19 cents a share on revenue of $8.18 billion.
Comcast Cable revenue rose 10% to $7.9 billion, as video revenue increased 5% to $4.7 billion. Operating cash flow grew 9% to $3.1 billion.
High-speed Internet revenue rose 12% to $1.8 billion, as the company added 492,000 customers.
Analyst Craig Moffett at Sanford C. Bernstein said that the broadband signups topped most estimates by 50%.
He noted to clients that “overall subscription growth remains very healthy, with little sign of the broader economy’s macro-economic weakness.” Moffett added that “Comcast’s broadband growth remains strong, and is clearly gaining share.”
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CMCSA 22.31, +1.76, +8.6%) rose $1.76, or 8.1%, to close at $22.31 on heavy volume of 46 million shares.
Slowing customer growth at Comcast and other cable companies in recent quarters had fueled concerns that a sputtering economy and stiffer competition from phone and satellite companies are having an adverse impact, though Time Warner Cable on Wednesday reported a surprise gain in basic subscribers in the first quarter.
At Comcast, basic-cable customers declined by 57,000 in the latest three months, but Chairman Brian Roberts told analysts on Thursday’s earnings call that the company should no longer be judged by basic video, as the combination of video, broadband and phone service — the so-called “triple-play” bundle — is working.
He said that despite a tough economic climate, Comcast has been able to raise average revenue per-customer to $107 from $96 over the past 12 months.
“Obviously we would like to gain video customers every quarter,” commented Steve Burke, the company’s chief operating officer, during the call. “I think with the competitive situation being what it is, that is not going to happen, or at least not likely to happen unless some extraneous event occurs like the country’s digital transition in February of next year. But to us, if we lose 57,000 basic subscribers and gain 630,000 phone subscribers or 490,000 high-speed data subscribers, that is a pretty good trade-off.”
Burke said the Federal Communications Commission’s mandate that all television broadcasts must be digital beginning in February 2009 represents a significant opportunity for Comcast. Consumers who get their TV from traditional over-the-air signals using an antenna will no longer be able to receive them, and many may end up subscribing to cable or satellite service at that point.
Digital-cable customers grew by 494,000 over the first quarter of 2007.
Comcast said that 639,000 digital-telephone subscribers signed up during the quarter, as revenue rose 65% to $587 million.
The company’s programming segment — including Versus, E, Style, Golf Channel, G4 and AZN Television — saw revenue climb 20% to $363 million.
Advertising revenue rose 6% to $344 million in the first quarter.
Comcast also reaffirmed its full-year financial outlook for 2008.
David B. Wilkerson is a reporter for MarketWatch in Chicago.

Once you have paid this, you will be given a number of search boxes in which you search for a movie title, and actor, a movie genre, etc. The software will check out the hard disks of others that are connected to the network and provide a list of those movies that are available. You simply click on what you want and download it. The download speed depends on the bandwidth used both by you and the movie file provider, the size of the file and the software version you are using.

Once the download is complete, it will be saved to a location on your hard disk that you have chosen, and then you can play it. As simple as that. As to what movies are available, you name it and you will be able to download it. This is where the legal and ethical questions now enter the picture. It is illegal for you to download a movie that is covered by copyright. If somebody has purchased a legal movie download, that does not authorize them either to sell it or to give it away free.

The same is true of a TV recording. If you record a movie to your hard disk from the TV, you can watch it yourself, but you cannot sell it and cannot legally allow others access to it. In that respect, the person allowing you to make the download is breaking the law by giving you the file. However, it is also illegal for you to obtain it free ��” or is it? If you obtain a DVD containing a pirated blockbuster movie for free, are you guilty of a crime or is it the person giving it to you: or is it both of you? It’s a moot point and worth considering.

The recent actions by the movie companies in prosecuting kids for downloading movies would indicate that it is illegal to obtain free movies from other people unless these movies are in the public domain. I have previously written an article on movies in the public domain entitled The Legal Use of P2P Movie Downloads, and you might even find it on this directory if you search for it. It provides more arguments on this point, and also a list some of the better public domain movies that you can download free using P2P software.

However, assuming that it is illegal, then why don’t the movie companies provide an alternative network that would allow people to download movies legally rather than whining about the illegal use of P2P software and asking for it to be taken offline

It is not the software that is illegal, but it’s use, and if movie companies don’t have the intelligence to use the technology available to provide a simple way of people paying for their downloads, then they shouldn’t be surprised of they continue to download, legal or not.

I make it a point to state the legal aspects of peer to peer file sharing networks on my website, and why it is illegal to download free movies, but the fact is that millions do it every day, and of these practically nobody is caught and prosecuted. The penalties for downloading free movies should be applied to those people that do so in mass for resale, and make money from it, and until at least that has been done then the small guys that download a movie now and again should be left alone.

Once the movie companies are targeting the professionals for whom free movie downloads are a major means of income, then we will feel happier about them picking on the high school kids, until then, in the words of the famous Pink Floyd song , leave . . .

For more information on the ethics and mechanics of downloading free movies, check out Online Free Movies where you will all you need to know about the software and the legal implications of its use.

Double combinations are combinations where 2 numbers repeat. For example, 2-2-7, 8-6-8, 5-5-9, 4-3-4, 5-5-6, etc… These numbers rarely hit and should play with caution if you ever do decide to play doubles. I would recommend though not wasting your time. Doubles will not pay off in the long run, so please do not waste your money.

Triples, let’s not even talk about betting on triples. Let’s just analyze the odds of triples hitting for a second. Triples are 3 like numbers such as 0-0-0, 1-1-1, 2-2-2, 3-3-3, 4-4-4, 5-5-5, 6-6-6, 7-7-7, 8-8-8, 9-9-9. Triples are the hardest things to pick in any state pick 3 lottery. The odds of triples hitting are 1 out of 99 pick 3 lottery drawings. Now when that 1 pick 3 drawing hits with a triple out of 99, you have to have the right triple selected.

Now let’s get back to UNMATCHED numbers. There are 720 UNMATCHED NUMBER COMBINATIONS OUT THERE. Now if you play those 720 combinations as BOXED, there are only 120 actual combinations. Boxed bets are seriously also the only way to go. The payout is a little lower but you can win in any combination. Let’s say you have 1-5-7. The pick 3 comes 5-1-7… You win regardless of the way the lotto balls come out.

Now only choosing unmatched numbers gives you a legitimate shot of winning the pick 3. 1:120 compared to 1:1000? You definitely can’t beat that. Using no strategy at all you will find yourself at a 1:1000 chance of winning the pick 3. That’s almost unbearable. 1:120 is not bad odds at all. If you put 2 dollars on the Pick 3 you got a 1:60 chance, 3 dollars you got a 1:40 chance. Not bad huh?

Unmatched number betting has definitely won me some serious cash and truly works. The state lottery systems are seriously making way to much money on everyone. It is now time to turn the tables on them and start winning! Whatever you do, I wish you the best of luck.

If you make $100 from $500 that is a 20% increase. That may be a little hard to pull off in 1 month. But if you make $100 from $1000 that is only a 10% increase in a month. Now I’m sure you all realize that the more money you have in the market the more you can pull out. So let me give you an example on how margin does just that.

Tom wants to buy stock ABC. It is a good stock that he believes will go up. The stock is currently trading at $85. He buys 100 shares of ABC. 2 years go by and ABC is trading at $170. Tom is excited and sells his stock. This gives him a 100% increase in 2 years.

In this example Tom made a good profit of his investment. But there is a way in which Tom could have made even more money. What is it?

It involves borrowing money. If Tom not only bought 100 shares of ABC, for $8500, but also borrowed an additional $8500 what would have happened. Well when the stock went up to $170 because he owned 200 shares he would have had $34,000. After he paid the money back Tom would have had $25,500. This would have given Tom a 200% return on his money.

How can Tom do this? Well Tom’s broker has a lot of money. The broker doesn’t mind loaning Tom some money to make a few trades. In fact Tom’s broker will loan him 100% of his account value.

Now there are a few bad things that can happen. Because when you buy on margin it is a loan you will have to pay some interest on it. Tom borrowed $8500 and maybe paid back $9000. Tom paid back so much because he held the stock for so long. If he had only held the stock for a few month he might have paid back only $8600. Every broker has a different interest rate they charge. To find out what your broker charges you can always call them up and ask.

Worst than the fee’s you might pay for buying on margin are margin calls. If Tom’s stock had gone from $85 to $50 his broker would worry and for a good reason. If Tom doesn’t have any money than he can’t possibly afford to pay them back. At this point your broker may call you up and tell you to sell your stock within a couple days. Tom would have had to sell his stock for $40, took a loss, and most of what he had would have had left would have gone to the broker, Owe.

There are a few things you can do to prevent margin calls.

1 You can watch your stock. Don’t let your stock go from $85 to $50 in the first place. If it starts to head down it would be better to get out at a small loss than to accumulate a bigger one, especially if you bought the stock with margin.

2 Put more money into your account. If your stock starts to fall and you still like it in the long term. You can always put more money into your account to pay your broker if he starts to get nervous.

3 Don’t buy on margin. If you want to invest in the long term and don’t want to take the chance that you might get a margin call, don’t borrow money. It is as simple as that. You can still make money without it.

Buying on margin can be a very effective way to leverage your money. I still borrow money every time I make a trade. It can help small profits become big profits. If you don’t know if it is right for you maybe paper trade with it. Just to get used to it. You never know if it works well for you until you try.

For more information on how to trade the stock market visit http://www.stocks-simplified.com

To make the above data more relevant to the beginner, this particular example can be applied–an American consumer with one dollar could buy 110 Yen worth of Japanese candies at the start of 2008. But towards the middle of March, the same one dollar could only buy about 96 Yen worth of Japanese candies.

This kind of volatility can have disastrous consequences in the real world, especially to an American importer of Japanese candies as the example above would suggest. On the other hand, forex traders, especially those with their ears firmly planted on the ground, could actually have cashed in big time on this kind of currency fluctuation.

During times like this, veteran forex traders might actually issue a caution to those just beginning to test the forex trading waters. The reason is simple–beginners might become too spoiled. They may think that making huge amounts of money is this easy.

The point is, these kinds of big fluctuations do not occur regularly. While the opportunity for big profits does arise when such fluctuations happen, beginners must keep in mind that forex trading itself is a system.

This is a basic concept that some people fail to understand. For beginners, you must first make up your mind and ask yourself two questions before entering–1) do you want to make this a long-term investment? or 2) do you want to make this a full-time career?

The difference between the two is basically that one is passive and the other is active. Either way, a beginner is advised to enroll in a good training course and shop around for a broker that can help you with your needs.

A good forex coach or broker will help you achieve the following:

1. Plan your strategies;
2. Develop discipline in order to carry out your strategies and make profitable trades;
3. Learn risk management;
4. Familiarize you with the software and trading platforms that best suit you;
5. Most importantly, they will make you understand that there are substantial opportunies for huge losses.

Monitoring your trades is one of the most fundamental and important aspects of trading. A good broker will allow you to do this online, anytime, anywhere. Even if a beginner may depend on their broker for advice or guidance, at the end of the day, it is still the trader who must have full control.

Investing in the right currencies at the right moment in a worldwide arena requires an investment in knowledge as well. Even for veterans, the learning process is non-stop. This fact makes it even more imperative for the beginners to know and understand their fundamentals.

If you want to be good in forex trading, then you must make sure that you are in good hands. There are numerous brokers online who can offer you plenty of opportunities to profit handsomely. Study them and choose wisely.