People have asked me how I make a profit on the stock market when there seems to be a Global Financial Turmoil going on. In case you haven’t noticed, 2008 has been one of the toughest years global stock markets have seen for generations. Traders and investors all over the world have been losing huge amounts of money, with the markets showing no mercy. So how am I making a profit on trades?

Renting Shares With Collars - This Works For Me

I have personally been using something called “Collars” while Renting My Shares. It’s a very simple strategy and it works great for me in this current market. I learned how to do this from Andrew Dimitri at Planet Wealth. His latest Free Online Webinars are now showing people how to do this.

The markets are falling. So, is the worst behind us? Who knows! Trying to pick the bottom of the market is a foolish and often very expensive quest. Even if we are near the bottom, it certainly appears as though the volatility will be here to stay for some time. And that is great for an options trader. I only Rent Shares as a sideline and it does bring in some handy extra cash. Volatility in the markets works well for this strategy.

Learn The Strategies Now

Whether you are a novice investor or you’ve already lost a bundle, you can still make some serious money. You just need to use strategies that work for the current market environment. Even in these tough times, you can still generate a healthy income each month, but you need to know how to do it smartly and safely!

As you may already know, my friend Andrew Dimitri at Planet Wealth trade a variety of different strategies, but one of his favourites right now is a new portfolio: Collars

Collars: The only way to Rent your Shares!

Collars can not only provide a regular income, but they also provide protection against large drops in the share price. That’s crucial to long term success, especially in these turbulent times.

But don’t take my word for it. Here’s a summary of the actual trades for November 2008, which members of the Planet Wealth Trading Diary had copied to their account.

Keep in mind that over the same time frame, the Australian All Ords index went down 11.4%…!

• The Planet Wealth Account Size = $70,000
• Number of Trades = 6
• Average Capital Protection Level = 80%
• Income = $9,030
• Return on Investment = 12.9%

12.9% ($9,030) in One Month

That is 12.9% Return OnIinvestment in a month when the stockmarket index went down 11.4% !!!

This should give you an idea what anyone can achieve by using an intelligent strategy, even when the market is getting pummeled. An income of $9,030 for one month - when the market went down over 11% - is an awesome result by anyone’s standards.

Remember, these aren’t simulated trades - they are real-life trades placed on the Planet Wealth account, and can be copied by members of the ‘Protected’ Renting Shares Trading Diary automatically using a unique service called AutoTrader.

And now, for the first time ever, Planet Wealth are holding a series of FREE Introductory Sessions so everyone can learn, understand and implement the Collar strategy for themselves.

These Sessions Are FREE

The FREE sessions will be run by the founder and chief trader of Planet Wealth, Andrew Dimitri. He will show you..

1. Exactly how the Collar strategy works.
2. Why it is the only way to Rent your Shares (especially right now!).
3. How you can easily start generating a substantial income virtually immediately.

Your Income Guarantee - 100% Money Back

And even better, Andrew will introduce the new “Income Guarantee” - where Planet Wealth gives you a 100% Money Back Guarantee on your Trading Diary subscription costs if you don’t earn sufficient income.

Planet Wealth will be holding several Introductory sessions, starting on December 6. You simply choose the session that suits you best. All sessions are held online, so you simply log in via your computer to see and hear Andrew’s presentation LIVE.

Places are limited and will fill up fast, and you must register to be a part of it. It’s first in, first served, so get in quick and register now:

Register for the FREE Intro Session here << Click this yellow link to book your spot

Session Times

Sunday 7 December 2008, 1pm (AEDST)
Monday 8 December 2008, 7:30pm (AEDST)

Yes, you really can make considerable profits in any market, which is something the members of the Protected Renting Shares Trading Diary have already discovered. Now you can take a close look at this wonderful resource, with no obligation and no cost.

Register now - you won’t regret it!

Register for the FREE Intro Session here >>

May the wealth be with you

Sean Rasmussen
Stock Market Investor
Planet Wealth Blog © 2007 - 2008

P.S. These are the FREE Introductory session times:

Sunday 7 December 2008, 1pm (AEDST)
Monday 8 December 2008, 7:30pm (AEDST)

You only need to submit a name and email to get access to the Webinar. Book Here >>

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I posted this in my Trading Diary blog and received such a huge response, that I thought I would post it here too. After all, it is very relevant to both the Planet Wealth Strategy and the Renting Shares Strategy, and in fact, any successful stock market strategy.

It is said that Psychology is 80% of trading and I believe it.

With the choppy conditions we have going on in the market at the moment, I think it is important to understand just what emotions are behind the rises and falls in the market.

Most traders are on the lookout for ways to improve their trading, but some dedicate their lives to searching for the holy grail — the perfect indicator or trading system that will provide setups with a 100% success rate. Many of them have been trading for years, and have tried and tested a number of successful systems, but they seem to suffer from a short attention-span. They drop what they are doing at the first opportunity and head off after the latest fad.

Perfectionism and Avoidance

Perfectionists are often motivated by avoidance: the need to avoid unpleasant emotional experiences. Traders who seek the perfect system are also likely to be motivated by the need to avoid unpleasant experiences.

Avoidance
Imagine taking part in a game where participants are divided into two groups, blindfolded and asked to stick out their right hand. The first group is given ten dollars each time they extend their hand. They soon learn how to play the game and, no doubt, enjoy playing at every opportunity.The second group is also given ten dollars, randomly, about 80% of the time. The remaining 20% of the time, instead of being given a dollar, their hand is jabbed with a pin. Most participants in this group are likely to quit fairly quickly — they focus on the pain and ignore the reward.With trading losses, the only pain that you will suffer is the emotional reaction to a loss — often far worse than being jabbed with a pin. If you concentrate on avoiding losses rather than on maximizing your overall gain, you are unlikely to succeed at trading.

Personality Types

A group of traders may all incur the same loss but suffer vastly different emotional responses. A lot depends on their past experiences — not only while trading but in the broader arena of life.

A-type Personalities
The more competitive you are, the more uncomfortable you are likely to be about incurring losses. From an early age, many of us are programmed to compete: to win; to accomplish; to be top of the class; to always be right; and to succeed at whatever we set out to do. Losses are equated with losing — to be avoided at all costs.

Perfectionists
Not all perfectionists are A-type personalities. Many procrastinate, or avoid competing altogether, to avoid failure.

Beginners
Newcomers to trading often start off with a string of positive experiences. Unfamiliar with the basics of money management, they are often over-confident and prepared to bet large amounts of their capital in the expectation of further gains.

Traumatic Experiences
Past trauma affects how we view related experiences. A child who almost drowns may be prone to developing a fear of water. Similarly, when hit with the “shock and awe” of a major loss, many traders never recover. They quit trading completely or spend their entire career trying to avoid a repeat of that negative emotional experience.

Developing A Healthy Attitude Towards Losses

Avoid chasing after the perfect system that promises to eliminate losses.

Don’t equate losses with failure. In fact, complete elimination of losses should be seen as a failure — you are likely to have eliminated most of your gains as a consequence.

Distinguish between abnormal losses and the small losses normally incurred by any trading system.

Accept that small losses are an unavoidable part of trading — and that you will regularly incur them. They are as much a part of trading as are profits.

Most successful traders, enjoy success rates no greater than 50%. What they are able to do, however, is to restrict the size of their losses while realising substantial gains on their successful trades.

Focus on the collective effect (maximising your overall gain) rather than on the impact of individual transactions.

Happy trading and remember…

Mums the word

Marketmum
Stock Market Investor
Planet Wealth Blog © 2007

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Hello everyone and thank you for the introduction Sean, it’s great to be here.

As Sean mentioned, I have been Trading For a Living since November 2005 and started my own site a little under 6 months later, where I decided to place my trading diary online so others could view and learn from both my good experiences, and those that were not so good!

MarketMum’s Strategy

I trade a simpler strategy than Planet Wealth but have had much experience using Andrew Dimitri’s strategy and are very pleased to be able to share my experiences with you all here. I mainly sell puts and then if I have to buy the shares, write covered calls over them. This strategy has allowed me to completely replace my income so that I am able to stay at home with my two beautiful boys, and yet run my successful business.

I look forward to many more posts and will see you all back here next week, so until then,

Happy trading and remember…

Mum’s the Word!

Marketmum
Stock Market Investor
Planet Wealth Blog © 2007

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The First Stock Market Strategy I noticed was The Renting Shares Strategy. At least that was the one that grabbed my attention. Everyone else seemed to be gambling and bumbling their way in the stock market. 21st Century Academy taught me the way to be Renting Shares and enabled me to get a ‘sleep at night factor’.  Planet Wealth took it one step further by showing me to be selling insurance on a stock and insuring it at a lower level.

Andrew Dimitri wrote a stock market eBook that I was privileged enough to get an early, pre-released copy of back in 2004.  Monthly returns of 2-3% were quickly turned into 20% returns. At times they were much better than that. Of course, I had bad months as well. Every time this happened, I realised I was breaking the rules and quickly moved back to the Planet Wealth Rules that I was given. Common sense is a big part of trading success.

Over the years, Andrew Dimitri has become a personal friend of mine. I consider him one of my millionaire mentors and happily copy the strategies that he has taught me. Especially the Planet Wealth strategies from his eBook that is available on the Planet Wealth Website. One strategy they cover is the Bull Put Credit Spread. Another is the Volatility Advantage. I will cover more on that one soon.

May the wealth be with you

Sean Rasmussen
Stock Market Investor
Planet Wealth Blog © 2007

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Welcome to the Planet Wealth Blog.  Home of the famous Dimitri Strategy.  Over the next few weeks, months and years, I will introduce you to articles, reports and real life examples of ordinary people living extra ordinary lives.  All thanks to my friend Andrew Dimitri and his Planet Wealth strategy.

Learn how to be Renting Shares or using the famous Volatility Advantage on the US stock market.  Stay tuned and I look forward to sharing lots of information with you about investing in the stock market.

May the wealth be with you

Sean Rasmussen
Stock Market Investor
Planet Wealth Blog © 2007

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