Can Options Trading Turn You Into a Millionaire?

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Can options trading turn you into a millionaire?

This is one of those questions I hear from people new to options trading all the time and not an easy question to answer in my opinion. Sure, options trading can create millionaires and many, including myself, have made more an a million trading options. However, can options trading turn YOU into a millionaire?

In a way, asking this question is as good as asking questions like:

Can trading stocks turn you into a millionaire?

Can trading futures turn you into a millionaire?

Can trading Forex turn you into a millionaire?

Can selling burgers turn you into a millionaire?

Can collecting coins turn you into a millionaire?

The answer to all of these questions is a resounding, YES.

The problem is, can YOU become a millionaire doing these things that have made OTHER people millionaires?

First of all, let’s ascertain the theoretical possibility of making a million through options trading. Let’s assume you have $5000 to start trading options with and you make an average of 50% per trade and compound your earnings. Here’s your account status after a number of trades:

After first trade – $7500

Second – $11,250

Third – $16,875

Forth – $25,312.5

Fifth – $37,968.75

Eighth – $128,144.5

Fourteenth – $1,459,646

As you can see, it takes only 14 trades at 50% profit per trade, which is not a lot in options trading, to grow $5000 into a million. If you do only one of those trades per month, it takes you only slightly more than a year to become a millionaire. As such, becoming a millionaire from options trading is clearly not outside the realm of possibility and clearly very fast if you do it right.

That leads us to the next question, are you able to produce a string of 14 straight wins at 50% per win? There is clearly no easy answer to this as well. I have heard of extremely lucky people who has done that before but that clearly isn’t something that applies to everyone.

Yes, in my 15 years of options trading, I must say that I have never seen anyone make a string of 14 wins within one year or two without losing no matter what options strategy they use. The good news is, you don’t need to make 50% on every win nor do you need a string of 14 wins to make a million in options trading as long as you follow a sensible trading methodology and have lots of patience.

Making a million in options trading isn’t about not losing. It’s really about making more wins than losses. As long as you have a means of consistently making more wins than losses, you can make a million in anything as long as you have the patience to stick to the game. Yes, this is the same logic in any form of trading.

If it is the same in any form of trading, why then options trading?

The beauty of options trading is that it actually helps you achieve more wins than losses through 2 unique means; Convexity and Versatility.

Convexity means being able to potentially make more money than you can potentially lose. In futures trading or stock trading, you can potentially lose as much money as you can win. When the stock goes up by $10, you make $10 worth of profit and if the stock goes down by $10, you sustain $10 worth of loss. There is no convexity. When you buy options, they will go up in value as long as the stock keep going in the correct direction (up for call options and down for put options) but if the stock goes the other direction, you will only lose as much as you used in buying the options, nothing more! For instance, if you bought one contract of call options for a stock for $150 and the stock went up by $10, you call options would be worth $1000 but if the stock went down by $10, you would only lose that $150 that you used. That’s convexity. As long as you use only money you can afford to lose or the maximum amount you are willing to lose on any single trade towards buying options, you will always have the advantage of convexity on your side.

Versatility is found in the vast array of options strategies that can be put together. Many options strategies allow you to profit not only when the underlying stock moves in one direction but in multiple directions! Yes, in futures or stock trading, you only profit when the stock goes up or down (when you are short the stock or futures). However, in options trading, there are options strategies that allow you to profit when the stock goes up OR down in both directions and options strategies that even allow you to profit from all 3 directions! Yes, being able to profit in more than one direction greatly increases your possibility of winning and greatly enhances the possibility of consistently making more wins than losses!

So, can you become a millionaire trading options? Yes you can. In fact, from the properties of convexity and versatility mentioned above, options trading could actually make it easier for you to become a millionaire versus stock or futures trading. As such, the possibility is there and the odds are in your favor. The final question to answer is, do YOU have what it takes to become a millionaire through options trading?

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Source by Jason Ng

Where to Buy Investment Properties

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So, you’ve decided to invest your money in property – good for you! There are a range of things you’ll have to consider, but one of the most important factors in your investment’s return potential is location, location, location! The area in which a property is situated is a major determining factor in that property’s value-a two-bedroom apartment in a good location can be worth three times as much as a four-bedroom house in a less desirable one. When it comes to choosing an area for your property investment there are several factors you must consider, and depending on your long-term plans for your investment, your location needs may vary considerably.

The quick sale

If you’re planning on playing the market and buying to quickly sell again, it’s a good idea to choose an area that you believe is on the verge of a boom. Of course, this is the holy grail of real-estate and everyone would like to catch something on the verge of a boom, but if your plans are to buy and sell your way to profit there are a few indicators which could lead you to a boom area. For example, there may be a mine or factory opening nearby-this would bring employment to the area and in a lucrative industry like mining, property prices would skyrocket for the time in which the mine was active.

The solid rent-generator

If your property investment goals are to generate a steady stream of rental income without ever having to search too hard for tenants, you need to consider buying somewhere near a university or close to the city. A university is a constant source of people who need to live nearby and are not in the position to buy, so if you choose property close by there will be no shortage of tenants.

The sure bet

If what you are looking for from your investment is a safe, steady asset that will retain its value and grow over time, there are several areas to choose from where this is the case, but be prepared to pay a big premium-and once you’re into the market in that area, STAY IN!

The Gamble

There are certain areas that begin as working class or rough areas that have the potential to become high-value areas over a longer period of time. Places close in to the city are usually good candidates for this, and just a little attention from the council in the form of a makeover can usually do the trick on these locations. On the other hand, sometimes areas stay ‘dives’ forever, in which case you’re stuck with a house at the dodgy end of town…

The decision of where to purchase property is never one to be entered into lightly, and the best way to prepare for it is to arm yourself with as much property investment advice as you can and hope that a combination of luck and good research leads you to the money.

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Source by Sam Khalil

Fixing The Thumper Mini Pro2

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Stop The Presses!

I just received an e-mail concerning a mechanical problem with a Thumper massager.

A gentleman was asking me if I knew about possible places to get a malfunctioning Thumper unit back to working condition.

At that moment in time, I did not have any answers for this individual (as far as a local repairman) but, while researching these percussion massagers, I did come across many reviews that mentioned receiving assistance from customer service over the phone (with a real person) and being talked through some common but simple repairs on their Thumper massage units.

I am not sure if these repairs are as simple for every massager model but the most common repair for the Thumper I own (MP2) seems to be with the switch and it appears to be a fairly easy fix.

Here are the instructions for correcting a malfunctioning switch.

Fixing The Switch On The Thumper Mini Pro – Problems:

  1. The switch has stopped working and it no longer “clicks” between settings causing the device to be unable to be switched on or off.
  2. There is a long delay before the massager starts to vibrate. Can this problem be corrected?

Both of these situations occur when the internal connections of the switch or the switch housing are faulty or broken. I have the same model Thumper, the MP2, and experienced the same problem.

Correcting The Problem:

First you want to check and see if the switch moves freely.

If the switch is jammed or stuck down (not making a clicking sound) you will need to clean the switch connections and switch housing (plastic part the switch slides in) and then refit the switch.

Don’t let the word “refit” scare you (it’s just a cool word for ‘put back together’), this is an easy to do job and you won’t need any special tools, just a tiny flat head screwdriver and maybe a Phillips head screwdriver should do the trick; oh yeah, and a little steel wool.

What To Do First:

First, the unit needs to be opened and the panel behind the switch needs to be cleaned and the connection should be rewired if they are broken away from the contact points, if not, (and this is usually the case) the connection points need to be cleaned.

Before unscrewing anything, try this first:

*Pry off the switch (actually it’s a cover), you will see the actual switch underneath.

Once you access the switch, take a cotton swab wetted with 91% rubbing alcohol and clean the contacts (keep in mind that there are several sets of contacts that control the speeds).

If the simple swab with alcohol doesn’t do the trick, roll up some steel wool (a small piece rolled nice and tight) and stick it into the switch openings that are clear on top of the switch (when you have the switch open in front of you, this will make more sense).

With the steel wool in place, take a small flat screwdriver and moved the steel wool up and down along the switch until you see that the contacts are clean.

Make sure to move the switch up to clean the bottom contacts and down to get access to the top ones.

Let’s See If It Works:

This is kind of important:

You want to be sure and blow any excess wool particles out of the switch before reassembling and testing the switch.

When you plug your Thumper Mini Pro back in it should work just like new in all three speeds.

Enjoy!

If you have any problems or it still isn’t working, please contact Thumper Inc. at 1-800-848-6737.

Getting Back To The E-Mail I Received

Unfortunately the switch was not the problem with Mr. C’s unit, his problem sounded a little more internal then a dirty contact but the parts he needed were made available to him, he just wasn’t interested in fixing the machines himself and he wasn’t to excited about sending them off for repair because of exorbitant shipping costs.

He told me they had two Mini Pros that need service and as you can imagine, shipping them to Canada and back is expensive.

He wanted to know if there was anybody here in the U.S. that works on them?

He received a few circuit boards and miscellaneous parts from the merchant he went through but he didn’t want to get into fixing them himself (if he could avoid it).

I told him that I have not had any deep mechanical problems with either of the thumpers that I own, just a minor switch problem, but on my website I did make reference to a review where a fella got quite a bit of over the phone help.

I can understand not wanting to maintain the unit yourself but its nice to know that, if you were so inclined, these are machines that can be repaired by the owner (as opposed to being disposable) with the correct guidance.

I was aware that this was not much help but I did wish him the best of luck.

My Personal Experience

Unfortunately I was unable to help Mr. C with his problem but I do empathize with him because I own two Thumpers myself and have yet to experience any major problems with either of them (I’m knocking on wood as I type this).

I don’t like having to spend money unnecessarily and a shipping expense to Canada and back for something that weighs 7 lbs is probably not cheap so I am very happy that Thumper is willing to provide replacement parts and instructions to get my machine going again, I would truly miss my Thumper if it was gone for three weeks.

It sounds like Mr. C would too, why else would he have one of each if they didn’t do exactly what they said they do and do it well.

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Source by Dave Dillard

Lasting Leather Goods From Saddles to Wallets

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We appreciate fine leathers because they last and last and last! When one thinks of a favorite old leather coat or jacket it is with fond memories. It is almost as if that coat were an old friend, one who has been near and dear to us for many years. And it more than likely has been and will be for many more years, and it is because fine leather, which gets softer and more pliable with age, just seems to fit better each year much like an old friend. A manufacturer of such fine leather goods can be proud of their work and know the need to build and hold a reputation for being the best. Among the leading manufacturers of fine leather goods we look for those who have made a name for themselves. Among the best we may find makers of saddles, coats, baggage, purses, boots, shoes, and even hats but they have one thing in common: they select the finest in leather materials and make items that last!

Where Does the Leather in My Hand Bag Come From?

There are many sources for fine athletes including cattle, deer, sheep, snake, ostrich, and many more exotic animals. Most leather goods come from cattle, and after a lengthy drying and tanning process are sold to leather goods manufacturers priced according to the quality of the leather. The manufacturers of wallets, passport covers, and even covers for mobile phones search out the finest soft and pliable leathers that have a lasting quality.

Tanning Processes Determine Quality of the Leather Goods

The basic forms of leather (full grain, top grain, corrected grain, split leather, and buckskin go through various tanning processes which turn them into usable leather suitable for manufacture of such items as hand bags, satchels, shoes, gloves, pants, dresses , and wallets, etc. The process of tanning includes:

1) Chromium sulphate salts as a tanning material is common and produces soft smooth leather with a naturally bluish color that can also be dyed in various colors.

2) Aldehyde or oxazolidine compounds are popular as tanning material and make light colored leather, typically white or pale cream in color. Uses include shoes and leather upholstery found in automobiles.

3) Formaldehyde has long been used for tanning but now being phased out because it has proven dangerous to leather manufacturers.

4) Brain tanned leather goods make use of animal brain or emulsified oils to produce exceptionally soft and pliable materials suitable for clothing, hand bags, wallets, and many other products.

5) Chamois is leather which is especially water absorbent making it popular as a car cleaning cloth.

6) Modern methods of tanning leather make use of synthetic materials which can be far safer than the old conventional materials. Tanning processes have long been considered harmful to the environment as well as the workers in tanning plants.

Famous Leather Goods Manufacturers Earn Their Reparation

Quality leather goods are an extremely popular product and are appreciated for their beautiful color, soft durable feel, and long lived usability. Originating from living creatures, fine leather products continue to live on for a good long time.

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Source by Rubel Zaman

7 Keys to AutoResponder Success

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The simplicity of adding AutoResponders to your overall marketing and web strategy is one of the best available ways to boost your online sales.

As an online marketer, you realize that building and managing a targeted list of prospects for your offer is the life-blood of your business. Adding AutoResponders to your online marketing strategy helps you develop a loyal following of contacts that you can market to over and over again.

Here are 7 keys to helping you get the most out of your AutoResponder campaigns:

1) Subscription Forms: Be sure to add subscription forms to your own websites. (If you do not have your own web site, get one!) Adding AutoResponder subscription forms to your own web site helps you capture valuable information from site visitors that otherwise may leave your site without taking the desired action.

2) Add Value: Offer something of real value to your subscribers in exchange for them giving you their contact information. This can be a free report, a free download, a coupon, or discount.

3) Backup Your Lists: Backup your subscriber lists regularly. The last thing you need is to lose your list of prospects! This AutoResponder list is your gold mine. Protect it.

4) Personalize Messages: Personalize your AutoResponder messages by inserting your prospects' name, email, and other relevant information you have collected from them.

5) Target Your List: Target your list even further by collecting more detailed information such as their phone number, address, etc. Add custom fields to your subscription forms to fine-tune your targeting even further.

6) Focus On Lead Generation: Focus your advertising on directing prospects to your capture pages or your website that has a subscription form. By focusing on lead generation, you can build a valuable list then follow up with your prospect lists over and over again. This will dramatically increase your success rate.

7) Be Responsible: Manage your prospects responsibly. By sending relevant benefits and building credibility with your subscribers, you can reasonably expect your subscribers to stay with you longer. Some of my sales have come from subscribers that had been receiving my messages for more than two years!

By following these 7 simple guidelines, you can help assure yourself of success when using AutoResponders.

The value of a targeted and well-managed list of subscribers can not be overstated. Successful online marketers realize that their profits are truly in the list. This is why you see so many online marketers adopting AutoResponders and list building techniques to build their businesses.

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Source by Brian Rooney

30 Min Scalping Strategy Puts Pips in Your Pocket

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The components of this 30 minute scalping strategy can be applied to almost any time frame. If you use it on another time frame please make adjustments for stop loss levels and profit targets.

This trading strategy takes place approximately 2 to 4 times in a 24 hour period between the major currency pairs.

When choosing to look for a different time frame you must do some testing to determine your comfort level for profit targets and stop loss. Each one of us prefers to use a different type of stop loss and it may change the outcome of this strategy. The details laid out in this article are for the 30 minute time frame only.

How to set up your charts:
I typically use the CCI set at 14 on the 30 minute chart.

In the price pain window I use a 20 day EMA. Usually I will go long when price is above the 20 day EMA and short when it is below. These are just some basic outline principles and can be adjusted according to market conditions such as consolidation.

I also use the fulcrum based on each day price activity. A general method of using the fulcrum is to go long when price is above the fulcrum and short when the low.
please remember these are just outline rules to apply some structure, do not forget to do some testing.

The set up:
The entry occurs when I have a completed candle pattern such as a morning star, evening star or engulfing candle pattern. I must stress that I only analyze a trade when I have a closed completed candle on whatever time frame I am using.

For example,
If price is inside of consolidation, I will look for one of these candle patterns to occur at support or resistance on the 30 minute chart and I prefer price to be below or above the 20 day EMA according to the rules I mentioned above. Now in reality it is not always going to look like that when price is inside of consolidation. The 20 day EMA will often times move in a semi-straight-line through consolidation making it difficult to get a reading.

If this is the case I will only take one of these candle patterns when price has hit support or resistance that I can identify during the consolidation stage.
If there is a candle pattern that I mentioned above in the middle of this consolidation, I leave it alone as it may be a false move.

The other location I find an entry to use the scalping method is when price has actually broken outside of a consolidation range. What I am specifically looking for is a confirmed closed breakout candle. After wards I watch for the retracement to either support or resistance depending on which direction price has broken out. Once price has returned to a support or resistance, again I look for that candle pattern in the direction of the confirmed breakout.

Using this retracement pullback method will also allow for additional forms of confirmation such as finding the support or resilience level with psychological levels, Fibonacci retracement levels and the fulcrum. Additionally old highs and lows will often have an impact.

Profit targets:
I am basically looking for 20 to 25 pips as a profit target on the EUR / USD. This method can be used with only one lot as scaling out of the trade is not necessary. Comfortably I look for 25 to 35 pips on GBP / USD.

The stop loss levels are approximately one to one ratio and equal to profit targets however on occasion it is not always possible that price will have depending accordingly and depending on market activity at the time, retests of the stop loss area are bound to happen. Specifically retests to support or resistance levels that often times will be very close to your stop loss.

For example if the last relative low on a long trade would require more than 20 to 35 pips you should pass on the trade if you are only willing to accept a 20 to 35 pip stop loss. Just wait for another opportunity, believe me another one will come and you can very often find a scalping trade like this with the stop loss I recommend in this article.

That's basically it … now just practice this over and over.

The number one tip:
I recommend only analyze and wait for the candle to close creating the pattern you're looking for.

Also do not expect price will continue any farther than you planned. Simply take the profit target what you intended to from the beginning of your trade and follow your plan.

It is usually when we change our plan that we end up losing.

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Source by JJ King

How to Buy Bitcoin – Step One

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The best way to learn about bitcoin, is to jump in and get a few in your “pocket” to get a feel for how they work.

Despite the hype about how difficult and dangerous it can be, getting bitcoins is a lot easier and safer than you might think. In a lot of ways, it is probably easier than opening an account at a traditional bank. And, given what has been happening in the banking system, it is probably safer too.

There are a few things to learn: getting and using a software wallet, learning how to send and receive money, learning how to buy bitcoin from a person or an exchange.

Preparation

Before getting started, you will need to get yourself a wallet. You can do this easily enough by registering with one of the exchanges which will host wallet for you. And, although I think you are going to want to have one or more exchange wallets eventually, you should start with one on your own computer both to get a better feel for bitcoin and because the exchanges are still experimental themselves. When we get to that stage of the discussion, I will be advising that you get in the habit of moving your money and coins off the exchanges or diversifying across exchanges to keep your money safe.

What is a wallet?

It is a way to store your bitcoins. Specifically, it is software that has been designed to store bitcoin. It can be run on your desktop computer, laptop, mobile device (except, as yet, Apple) and can also be made to store bitcoins on things like thumb drives. If you are concerned about being hacked, then that is a good option. Even the Winklevoss* twins, who have millions invested in bitcoin, put their investment on hard drives which they then put into a safety deposit box.

*The Winklevoss twins are the ones who originally had the idea for a social networking site that became Facebook. They hired Mark Zuckerberg who took their idea as his own and became immensely rich.

What do you need to know about having a bitcoin wallet on your computer?

Below you can download the original bitcoin wallet, or client, in Windows or Mac format. These are not just wallets, but are in fact part of the bitcoin network. They will receive, store, and send your bitcoins. You can create one or more addresses with a click (an address is a number that looks like this: 1LyFcQatbg4BvT9gGTz6VdqqHKpPn5QBuk). You will see a field where you can copy and paste a number like this from a person you want to send money to and off it will go directly into that person’s wallet. You can even create a QR code which will let someone take a picture with an app on their phone and send you some bitcoin. It is perfectly safe to give these out – the address and QR code are both for my donations page. Feel free to donate!

NOTE: This type of wallet acts both as a wallet for you and as part of the bitcoin system. The reason bitcoin works is that every transaction is broadcast and recorded as a number across the entire system (meaning that every transaction is confirmed and made irreversible by the network itself). Any computer with the right software can be part of that system, checking and supporting the network. This wallet serves as your personal wallet and also as a support for that system. Therefore, be aware that it will take up 8-9 gigabytes of your computer’s memory. After you install the wallet, it will take as much as a day for the wallet to sync with the network. This is normal, does not harm your computer, and makes the system as a whole more secure, so it’s a good idea.

Bitcoin Qt

  • The original wallet.
  • This is a full-featured wallet: create multiple addresses to receive bitcoins, send bitcoins easily, track transactions, and back up your wallet.
  • Outside of the time it takes to sync, this is a very easy to use option.
  • Search for Bitcoin Qt wallet download to find their site.

Armory

  • Runs on top of Bitcoi Qt, so it has all of the same syncing requirements.
  • Armory allows you to back up, encrypt, and the ability to store your bitcoins off line.
  • Search for Bitcoin Armory Wallet to find their site.

If you don’t want to have that much memory used or don’t want to wait for your wallet to sync, there are good wallets that do not make you sync the entire history of bitcocin:

Multibit

  • A lightweight wallet that syncs quickly. This is very good for new users.
  • Search for Bitcoin Multibit Wallet to find their site.

Electum

  • In addition to being quick and light, this wallet allows you to recover lost data using a passcode.
  • Search for Bitcoin Electum Wallet to find their site.

After you get the wallet set up, take a few minutes clicking around. Things to look for:

o There will be a page that shows you how many bitcoins are currently in your wallet. Keep in mind that bitcoins can be broken up into smaller pieces, so you may see a decimal with a lot of zeros after it. (Interesting note, 0.00000001 is one Satoshi, named after the pseudonymous creator of bitcoin).

o There will be an area showing what your recent transactions are.

o There will be an area where you can create an address and a QR code (like the one I have above). You don’t need the QR code if you don’t want it, but if you run a business and you want to accept bitcoin, then all you’ll need to do to accept payment is to show someone the QR code, let them take a picture of it, and they will be able to send you some money. You will also be able to create as many addresses as you like, so if you want to track where the money is coming from, you could have a separately labeled address from each one of your payees.

o There will be an area with a box for you to paste a code when you want to send money to someone or to yourself on an exchange or different wallet.

There will be other options and features, but to start out with, these are the items that you should know about.

Getting Your First Bitcoins

Now that you have a wallet, you will, of course, want to test them out.

The very first place to go is http://faucet.bitcoin.st/.

This is a website that gives out small amounts of bitcoin for the purpose of getting people used to using them. The original version of this was run by the lead developer of bitcoin, Gavin Andreson. That site has since closed and this site operates by sending out one or two advertisements a month. You agree to receive those messages by requesting the bitcoins. Copy and paste your new bitcoin address and enter a phone number to which you can receive an SMS. They send out an SMS to be sure that people are not continuously coming back for more since it costs nothing to create a bitcoin address. They will also send out once or twice a month advertisement to support their operation. The amount they send it trivial: 0.0015 BTC (or 1.5 mBTC). However, they process almost immediately and you can check to see that your address and wallet are working. It is also quite a feeling to get that portion of a bitcoin. (Non-disclaimer: I have no connection with this site and receive nothing if you use them. I simply think they are a good way to get your feet wet).

Congratulations! You have just entered the bitcoin economy.

To get your feet a little wetter, you can go panning for gold. There are a number of services and websites out there that will pay you in bitcoin to do things like go to certain websites, fill out online surveys, or watch sponsored videos. These are harmless, and you can earn a few extra bitcoins this way, but it is important to remember that these are businesses that get paid when people click on the links on their sites. They are essentially kicking back a portion of what they get paid to you. There is nothing illegal, or even immoral about this (you might like what you see and make a purchase!), but they are frequently flashy and may not be completely straightforward. All the ones that I have tried (particularly bitvisitor.com) have paid out as advertised. It is interesting to experiment with these, but even with the likely rise in the value of bitcoin, you won’t become a millionaire doing this. So, unless you are an advertisement junkie, I would recommend you move on. If you would like to try, simply Google “free bitcoins” or something along those lines and you will find numerous sites.

Buying Bitcoin Hand-to-Hand

Finally, this is going to be the real test of bitcoin. Can people easily trade them back and forth? If this can’t happen, then there can’t really be a bitcoin economy because retailers won’t be able to use it. If retailers can’t use it, what earthly good is it? Fortunately, this is not really a problem. iPhone is a bit of a hold out, but many smartphones have apps (mobile wallets) that will read QR codes and allow you to send bitcoin to whomever you want. You can also display a QR code of your address, or even carry a card in your wallet with your QR code to let people send bitcoin to you. Depending on what kind of wallet you have, you can then check to see if the bitcoins have been received.

A couple of things to note:

  • When you set up your wallet, if you click around a bit, you will see an option to pay a fee to speed transactions. This money becomes available to a bitcoin miner as he/she/they process bitcoin information. The miners doing the work of creating blocks of information keeps the system up to date and secure. The fee is an incentive to the miner to be sure to include your information in the next information block and therefore “verify” it. In the short term, miners are making most of their money by mining new coins (check the section on What Are Bitcoins for more information about this). In the long term, as it gets harder to find new coins, and as the economy increases, the fees will be an incentive for miners to keep creating more blocks and keep the economy going. Your wallet should be set to pay 0 fees as a default, but if you want, you can add a fee to prioritize your transactions. You are under no obligation to pay a fee, and many organizations that process many small transactions (like the ones that pan for gold described above) produce enough fees to keep the miners happy.
  • In clicking around your wallet, on the transactions page or linked to specific transactions, you will see a note about confirmations. When you make a transaction, that information is sent out into the network and the network will send back a confirmation that there is no double entry for that bitcoin. It is smart to wait until you get several confirmations before walking away from someone who has paid you. It is actually not very easy to scam someone hand-to-hand like this, and it is not very cost-effective for the criminal, but it can be done.

Where can you buy bitcoin like this?

  • You may have a bitcoin Meetup in your area.
  • You can check out localbitcoins.com to find people near you who are interested in buying or selling.
  • Some are trying to start up local street exchanges across the world. These are called Buttonwoods after the first street exchange established on Wall Street in 1792 under a buttonwood tree. See if there is one, or start one, in your area.
  • See if you have any friends who would like to try bitcoins out. Actually, the more people who start using bitcoin, the larger and more successful it will be come. So please tell two friends!

Some people ask if it is possible to buy physical bitcoins. The answer to this is both a yes and a no. Bitcoin, by its very nature, is a digital currency and has no physical form. However, there are a couple of ways that you can practically hold a bitcoin in your hands:

  • Cascascius Coins: These are the brainchild of Mike Caldwell. He mints physical coins and then embeds the private keys for the bitcoins inside them. You can get the private key by peeling a hologram from the coin which will then clearly show that the coin has been tampered with. Mike has gone out of his way to ensure that he can be trusted. These are a good investment strategy as in the years to come it may be that these coins are huge collector’s items.
  • Paper Wallets: A paper wallet just means that rather than keeping the information for your bitcoin stored in a digital wallet, you print the key information off along with a private key and keep it safe in a safe, in a drawer, or in your mattress (if you like). This is highly recommended and cost effective system for keeping your bitcoin safe. Keep in mind, though, that someone could steal them or if your house burns, they will go with the house and there will be no way to get them back. Really, no different than cash. Also, as with Casascius Coins, they will not really be good for spending until you put them back into the computer.

* There is software to make printing your paper wallets easier. bitcoinpaperwallet.com is one of the best and includes a good tutorial about how to use them.

* The bitcoins are not actually in the wallet, they are still on the web. In fact, the outside of the wallet will have a QR code that will allow you ship coins to the wallet any time you like.

* The sealed part of the wallet will have the private key without which you cannot access the coins. Therefore, only put as many coins on the wallet as you want to be inaccessible. You will not be able to whip this thing out and take out a few coins to buy a cup of coffee. Rather, think of it as a piggy bank. To get the money, you have to smash it. It is possible to take out smaller amounts, but at this point the security of the wallet is compromised and it would be easier for someone to steal the coins. Better to have them all in or out.

* People who use paper wallets are usually security conscious, and there are a number of ways for the nefarious in the world to hack your computer. Bitcoinpaperwallet.com gives a lot of good advice about how to print your wallets securely.

Some people have also asked about buying bitcoins on eBay. Yes, it is possible, but they will be far overpriced. So, selling on eBay might seem to be a better option given the extreme markup over market value you might see. But, as with anything that is too good to be true, this is too good to be true. As I will explain in the next section, selling bitcoin this way is just way too risky.

How Not to Buy Bitcoin

In the next section, I am going to explain a couple of key points about buying from Bitcoin Exchanges. Before I do, let me give you a warning.

A short history lesson: When people first started setting up actual business based on bitcoin, they used all of the tools available to any merchant. They sold by credit card and PayPal. The problem with this business model was quickly spotted: bitcoin transactions are not reversible by anyone except the recipient of the money. Credit cards and PayPal have strong buyer protection policies that make it relatively easy for people to request a chargeback. So, nefarious individuals realized this and began making purchases of bitcoin and then sooner or later requesting a chargeback. And, since bitcoin is a non-physical product, sent by new and poorly understood technological means, the sellers were not able to contest this. Because of this, sellers stopped accepting credit cards and PayPal.

This was a big problem for the currency: How to move money between buyers and seller? Some business emerged that would credit you with bitcoin if you wired them money. Very often these businesses would give addresses in Albania, Poland, or Russia. The fact is that many of these did work and there are a lot of stories on the forums of people who bought bitcoins this way. But it took a lot of time and in the meantime the buyer just had to bite his or her fingernails wondering if they would get their bitcoins or kiss their investment goodbye.

I expect that as bitcoin becomes more acceptable and valuable, we are going to see a version of the Nigerian Prince scam. So the warning is this: we now have exchanges and other businesses that allow for moving money easily onto and off of exchanges. Never wire money for bitcoin. It was a short-lived, and well-forgotten, moment in the history of bitcoin.

Next, I will be talking about how to buy from a bitcoin exchange and give a review of the some of the best known exchanges.

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Source by Mark Andrew Norton

Internet Marketing Advice – Keep Your Wallet In Your Pocket

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Trying to Buy Success

How much are you spending to learn the tricks of the Internet marketing trade? Are you spending cash hand over fist in pursuit of an ideal approach to implement your business idea? Are you becoming an IM product addict, investing your cash in anything and everything that might improve you bottom line?

If you're spending a fortune on your business, you're not the only one. Far too many Internet marketers are doing the exact same thing.

And that's totally understandable. It makes perfect sense to purchase new information and products to keep your business rolling right along. There's nothing crazy about acquiring new information and products in order to stay abreast of changes in the business. However, there is a problem with running on the 'BUY NOW' treadmill if you're not making any money.

There's a significant difference between trying to stay on the cutting edge and gambling on every possible tool in examples of making a business work.

You want to spend your money the smart way. You do not want to be the person who has spent $ 40,000 on IM products and still is not making regular sales.

Buying the Right Way

How do you prevent yourself from unnecessary overspending? It starts by building a rock-solid foundation. If you strip away all of the details, tricks, options and creative new ideas from Internet marketing, it's a simple proposition.

You must have a product you can sell. You must have a way to sell the product. You need to secure traffic to the website you'll be using to generate sales.

That's IM in a nutshell. All of your efforts should relate to one of those basic needs.

As such, you need to focus on building strength in all three areas. When you buy something, it must directly address one of those three fundamental needs.

Before you start reaching for details, tweaks, adjustments and tricks, you need to develop your core means of making online money. Once you have the basics in place, you're going to start making money. After you're making money, you can be looking at those extras and adjustments.

Smart Foundation Building

You do not need to spend big money to build a profitable foundation. This is what you need to do.

  • Get a smart, big picture understanding of Internet marketing. You need to hear, straight from the proverbial horse's mouth, how things fit together and what really works.
  • Focus on ways to boost traffic. As noted, traffic is one of the three keys to a solid foundation. It's also the most important one you'll address. Without traffic, you can not determine if your product is interesting or if you're sales strategy is working. Without traffic, you can not determine if you have the right product or a workable sales strategy. You need to get people to your site as soon as possible.
  • Discover a continuing source of support and guidance. A good eBook can be helpful and instructional videos can really help if you are a visual learner. However, developing a real relationship with a successful mentor is much more valuable than any eBook or video series. Good mentoring increases efficiency, makes it easier for you to build a foundation, and allows you to avoid common mistakes.
  • Do not overexpose yourself. You want to meet your objectives without risking significant losses. Find opportunities to get the essentials at bargain prices. Look for a business coaching program or mentoring arrangement that does not cost more than you can afford.

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Source by Russell Hamel

Where to Buy Investment Properties

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So, you’ve decided to invest your money in property – good for you! There are a range of things you’ll have to consider, but one of the most important factors in your investment’s return potential is location, location, location! The area in which a property is situated is a major determining factor in that property’s value-a two-bedroom apartment in a good location can be worth three times as much as a four-bedroom house in a less desirable one. When it comes to choosing an area for your property investment there are several factors you must consider, and depending on your long-term plans for your investment, your location needs may vary considerably.

The quick sale

If you’re planning on playing the market and buying to quickly sell again, it’s a good idea to choose an area that you believe is on the verge of a boom. Of course, this is the holy grail of real-estate and everyone would like to catch something on the verge of a boom, but if your plans are to buy and sell your way to profit there are a few indicators which could lead you to a boom area. For example, there may be a mine or factory opening nearby-this would bring employment to the area and in a lucrative industry like mining, property prices would skyrocket for the time in which the mine was active.

The solid rent-generator

If your property investment goals are to generate a steady stream of rental income without ever having to search too hard for tenants, you need to consider buying somewhere near a university or close to the city. A university is a constant source of people who need to live nearby and are not in the position to buy, so if you choose property close by there will be no shortage of tenants.

The sure bet

If what you are looking for from your investment is a safe, steady asset that will retain its value and grow over time, there are several areas to choose from where this is the case, but be prepared to pay a big premium-and once you’re into the market in that area, STAY IN!

The Gamble

There are certain areas that begin as working class or rough areas that have the potential to become high-value areas over a longer period of time. Places close in to the city are usually good candidates for this, and just a little attention from the council in the form of a makeover can usually do the trick on these locations. On the other hand, sometimes areas stay ‘dives’ forever, in which case you’re stuck with a house at the dodgy end of town…

The decision of where to purchase property is never one to be entered into lightly, and the best way to prepare for it is to arm yourself with as much property investment advice as you can and hope that a combination of luck and good research leads you to the money.

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Source by Sam Khalil

Can Options Trading Turn You Into a Millionaire?

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Can options trading turn you into a millionaire?

This is one of those questions I hear from people new to options trading all the time and not an easy question to answer in my opinion. Sure, options trading can create millionaires and many, including myself, have made more an a million trading options. However, can options trading turn YOU into a millionaire?

In a way, asking this question is as good as asking questions like:

Can trading stocks turn you into a millionaire?

Can trading futures turn you into a millionaire?

Can trading Forex turn you into a millionaire?

Can selling burgers turn you into a millionaire?

Can collecting coins turn you into a millionaire?

The answer to all of these questions is a resounding, YES.

The problem is, can YOU become a millionaire doing these things that have made OTHER people millionaires?

First of all, let’s ascertain the theoretical possibility of making a million through options trading. Let’s assume you have $5000 to start trading options with and you make an average of 50% per trade and compound your earnings. Here’s your account status after a number of trades:

After first trade – $7500

Second – $11,250

Third – $16,875

Forth – $25,312.5

Fifth – $37,968.75

Eighth – $128,144.5

Fourteenth – $1,459,646

As you can see, it takes only 14 trades at 50% profit per trade, which is not a lot in options trading, to grow $5000 into a million. If you do only one of those trades per month, it takes you only slightly more than a year to become a millionaire. As such, becoming a millionaire from options trading is clearly not outside the realm of possibility and clearly very fast if you do it right.

That leads us to the next question, are you able to produce a string of 14 straight wins at 50% per win? There is clearly no easy answer to this as well. I have heard of extremely lucky people who has done that before but that clearly isn’t something that applies to everyone.

Yes, in my 15 years of options trading, I must say that I have never seen anyone make a string of 14 wins within one year or two without losing no matter what options strategy they use. The good news is, you don’t need to make 50% on every win nor do you need a string of 14 wins to make a million in options trading as long as you follow a sensible trading methodology and have lots of patience.

Making a million in options trading isn’t about not losing. It’s really about making more wins than losses. As long as you have a means of consistently making more wins than losses, you can make a million in anything as long as you have the patience to stick to the game. Yes, this is the same logic in any form of trading.

If it is the same in any form of trading, why then options trading?

The beauty of options trading is that it actually helps you achieve more wins than losses through 2 unique means; Convexity and Versatility.

Convexity means being able to potentially make more money than you can potentially lose. In futures trading or stock trading, you can potentially lose as much money as you can win. When the stock goes up by $10, you make $10 worth of profit and if the stock goes down by $10, you sustain $10 worth of loss. There is no convexity. When you buy options, they will go up in value as long as the stock keep going in the correct direction (up for call options and down for put options) but if the stock goes the other direction, you will only lose as much as you used in buying the options, nothing more! For instance, if you bought one contract of call options for a stock for $150 and the stock went up by $10, you call options would be worth $1000 but if the stock went down by $10, you would only lose that $150 that you used. That’s convexity. As long as you use only money you can afford to lose or the maximum amount you are willing to lose on any single trade towards buying options, you will always have the advantage of convexity on your side.

Versatility is found in the vast array of options strategies that can be put together. Many options strategies allow you to profit not only when the underlying stock moves in one direction but in multiple directions! Yes, in futures or stock trading, you only profit when the stock goes up or down (when you are short the stock or futures). However, in options trading, there are options strategies that allow you to profit when the stock goes up OR down in both directions and options strategies that even allow you to profit from all 3 directions! Yes, being able to profit in more than one direction greatly increases your possibility of winning and greatly enhances the possibility of consistently making more wins than losses!

So, can you become a millionaire trading options? Yes you can. In fact, from the properties of convexity and versatility mentioned above, options trading could actually make it easier for you to become a millionaire versus stock or futures trading. As such, the possibility is there and the odds are in your favor. The final question to answer is, do YOU have what it takes to become a millionaire through options trading?

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Source by Jason Ng