Stock Trading Strategies for profitable Business Champions:

In order to buy low and sell high, Market timing attempts to forecast the track of future market movements. Most of the professional investors rely on this strategy and many other investors hope to repeat the same.

Most of the investors prefer to buy such stocks that show a rising trend. Half of the battle of the strategy is to understand when to enter in and when to leave out. It is directed by the professionals of the stock market that one should let the profits to increase and decrease the losses through diversification. Through Candlestick analyses we utilize the signals of candlestick in order to provide setup for stock trading strategy that is profitable.

To enter the trades the utilization of the signals the candlestick provides is the first step. The second step is the capacity to examine the trend that is new which will start from the reversal indication which will either confirmed or not, will require the constant buying trend, and also one should be able to identify the selling trend, and the stochastic model is a simple indicator that will give you an insight on how to assess the strength on new trend.

The information that the candlestick signals makes develop the strategy that reduces the losses which is easy to apply. The characteristics of these signals will allow the investors of candlestick to bring out their money from the trades that are not giving immediate results and put that funds in to those stocks that shows the pattern where there is greater likelihood to produce the higher profits.

The mixture of having short and long position in the portfolio is also a part of profitable stock trading strategy, Moreover when there is an oversold condition in the market that will start to produce the candlestick buy signals and that will be the time to start to add the long position on the other hand when there is an overbought condition, the candlestick will show the sell signals and it is a time to take the profit from the long position and then start to move to short position. Hence more short position will add and long position will be closed out as the market continues to show the toppy signals.

The most probable time for the best stock to buy is when the stock behaves well in the facet of the bad news. Moreover Trading is not purely based on logic as it also deals with the emotions and capitalizing on these emotions when it hits the extreme level. Even a shocking headline cannot pushed the stock price further down if the sellers have pushed it so down to the extreme level, such condition will lead to sharp bounces and the buyer could make the gain from it very quickly.

For example, Ford motors stock in last July reported the worst earnings is their history when there earnings and revenues are very much in the lower side even than from the forecast of the bearish analysts. It is guided by the management to be in the lower side for the next quarter. Due to this news the stock responded by dropping 10 cents.  This is the example of how the stock beats from the emotions.

Moreover sector rotation can be the lucrative stock trading strategies as there are some sectors whose performance is good as the season change so therefore invest in the sectors or shift the investment to the other sector according to the seasonal boom. 

A Journey from Fairy Tale to Walt Disney:

The founder, chairman and CEO of the Walt Disney named Walter Elias “Walt” belongs to a humble background. He had one of the distinctive imaginations in the world and considered to be an innovator. In this article we will have a look at Walt Disney life achievements and the timeline of Walt Disney life is also discussed in this article.

He has born on December 5, 1901 in Chicago’s Hermosa community area, to parents Elias Disney and Flora Call Disney. In 1911 after living in the city of Marceline, Missouri, for four year, the Disney moved to Kansas City, where Walt attended Benton Grammar school with his sister. There, he met Walter Pfeiffer, who exposed him to the world of vaudeville and motion pictures. In 1917 Walt’s Family moved back to Chicago, where he took drawing and photography classes at McKinley High School.

In 1918 He was dropped out of high school when he was 16 years old to join the army but was rejected for being underage. In 1920 after returning from France, his brother got him a job at Pesmen-Rubin Art Studio, where he created ads for newspaper, magazines, and movie theaters. In 1923 cartoons presented as Newman Laugh-O Grams gained popularity in the Kansas City area. This enabled Disney to purchase his own studio and recruit additional animators. However due to higher salaries the studio went bankrupt. In 1923 Walt Disney and his brother set up a cartoon studio in Hollywood called “Disney Brothers Studio. This is considered to be the founding date of the Disney Company.

In 1928 the first animated shot with Mickey Mouse in it was titles, “Plane Crazy,” which, like all of Disney’s previous works, was also a silent film. Disney finally created a Mickey Mouse cartoon with sound titled “Steamboat Willie.” In 1932 received a special Academy Awards for the creation of Mickey Mouse, a series that was transformed with colors in 1933.

In 1933 Disney’s wife Lilly gave a birth to his first child, Diane Marie Disney, on December 18, 1933. “The three Little Pigs” was released. The title song of the movie “Who Afraid of the Big Bad Wolf?” became an anthem for the nation during the great Depression. In 1937 on December 21, snow White and the seven Dwarfs was released. The movie grossed $1.499 million on the box office. In 1955 Walt Disney gave an opening day speech as Disneyland officially started operations.

In 1963 while on a business trip to Chicago, Disney penned down his thoughts for building an amusement park where his employees could spent time with their children. In 1966 doctor discovered that a Disney had a huge tumor on his left lung, due to being a chain smoker for years. He died 10 days after his 65^th birthday and was buried at California. Now Walt Disney is in number 17^th on the list of world’s Most Valuable Brands. Hence Walt Disney is really an inspiring CEOs and a role model for everyone.

Stock Valuation Approaches used by Champion Business Models.

In this article we are trying to find out the Valuation method used in the model of business champions. There are number of valuation techniques available and we use different approaches according to the situation as no one method is suited to value the stock at every time and situation.

The first approach of stock valuation is Intrinsic Value approach where earning forecast we derived the future dividends. We determine the worth of the business that is equal to the net present value of the future cash flows. The Intrinsic value is used in discounted cash flows such as TFC. Dividend discount Model is most commonly used for this approach.

The second valuation approach we used is called Relative valuation approach that determines the company value by comparing it to with similar company values. This approach is most commonly used in property or Real Estate.

The third approach is known as Acquisition value that calculates a company share price by determining its worth to third party acquirer. In comparison with the relevant company the analyst evaluates the industry acquisition prices.

 The fourth approach we used to identify the stock valuation is Leverage buyout value where the prospective price of the business is its value in leverage buyout. . Leverage buyout is used when we expand the company and in order to raise the finances, the Assets are pledged therefore the real worth of the Assets determines the overall value of the company.  

The fifth approach is based on technical analysis value where we predict the share price by investigating its historical patterns and trends and then applying it to the future as well. This approach is used by the momentum investors who believe in daily trading. Hence investment analysis was on the bases of above valuation approaches.

Learning’s and Life lessons from the world richest man.

Bill Gates was born on October 28, 1955 in Seattle, Washington. At the age of 13 Bill gates shows his interest in computer programming at a school level but he pursued his passion through college. Bill Gates belongs to the middle- class family and had a very close relationship with his mother.

Bill parents began to have concern about his behavior around the age of 11 or 12. Bill was doing well in school but looks bored and quiet at times. Bill parents had a concern that he might become a loner.

At Lakeside school Bill met Paul Allen who was two years senior from him. They both have the common passion and enthusiasm over computer and became a good friend. Bill Gates went into business with Paul Allen at the age of 15 and developed a “Traf-o-Data,".

Bill Gates with his friend Paul Allen founded the largest computer software company named Microsoft. After that Gates never look behind to fulfill his dream and passion and became the richest man in the world. Bill is very fond of charity and had an organization with name of Bill and Melinda Gates Foundation.

As a trend setter Inspirational quotes by Bill Gates success gives a valuable life lessons and the business insights:

•   A greater source of learning is your most unhappy customers.
• According to Gates an organizational culture is that which is willing to invest in research and education. 
• In Microsoft all the great business ideas comes from the top but he believes that employee should not only contribute time and effort but also their ideas.
•  As a kid Bill had a lot of dream and more of these grew from a chance to read a book a lot.
•  In the next century leaders will be those who empower others.