Stocks Videos

Tim Sykes discusses the basics of trading penny stocks.  He believes that penny stock prices are primarily driven by technical analysis as opposed to fundamental analysis since these companies have few business fundamentals.  When trading penny stocks, he keeps it simple by looking to buy stocks which are making higher highs and sell stocks, or short, making lower lows.  This strategy is a self fullfilling prophecy which is very reliable.

He only plays stocks that are in play, or very hot, with heavy volume.  One should be willing to trade any company in any industry but should realize that there is sector specific risk in industries such as oil which is tied to the price of crude. 

When trading penny stocks, look for gains of .50 to 2 dollars and take your profits.  Also, be willing to go long or short; your goal is to ride a trend.

Finally, Sykes covers the different types of charts; bar, line, area, and candlestick charts.  His favorite charting method is candlestick charts as it provides more clarity into the price structure of a stock.

Professor Shiller discusses the effects of the financial crisis and the failed policies of investment banks.  He walks through the wreckless actions taken by investment banks, their effects on the secondary market, and the intervention by the federal reserve to soften the landing of the crisis. 

Shiller suggests that the financial system is unstable and needs more regulation and oversight, especially for consumers.   He believes that the role of the federal reserve will be altered in the future.  Furthermore, Professor Shiller discusses the basics of investment banking and talks about how they underwrite securities which are then traded in the secondary market.  These securities came under fire as they were irresponsibly created and were composed of toxic assets which cratered in value as the housing market started to take a nose dive.

The speaker provides an overview of a blue chip stock.  He suggests that these stocks have stable earnings and no widespread liabilities.  These stocks are known for paying consistently high dividends and many can be found on the Dow Jones Industrial Average.