A put option contract gives the buyer of the contract the right to sell the underlying asset to the seller of the option at the strike price on the day of expiration. The put buyer has the right to ‘put’ the asset or sell the asset to the put op... Read more
In finance and investing the correlation coefficient is used to calculate a statistical measurement of how strong movements in two markets are historically in relation to one each other. The correlation is expressed in a range of values between... Read more
A chart pattern is simply a visual representation of the prices buyers and sellers bought and sold in the past. There is no magic in a chart pattern they just show you what happened in the past and what has a higher probability of happening in t... Read more
Warren Buffett is a rabid reader of newspapers, company reports, and books. He has spent many hours a day reading over the past 70 years and does have some favorite books that made a big impression on his life. Here are the top five books that m... Read more
A margin call is when a broker requires that an account holder deposit more capital into their account or sell an open position to maintain it at the required minimum security value for margin requirements. A margin call happens when the value... Read more
The definition of financial hedging is to buy insurance to limit the risk of the downside if an asset falls in value. Hedging is a multi-position strategy that purchases insurance for an investment or trade position that is being held as a way... Read more
The falling wedge chart pattern can fit in the continuation or reversal category. When it is a continuation pattern it will trend down, however the slope in the wedge will be against the overall market uptrend. When it is a reversal pattern, the... Read more
Warren Buffett thought the management fees that hedge funds charged investors was ridiculous based on their historical returns in comparison to the markets. So Mr. Buffett set up a challenge for the hedge fund industry in 2008. One fund accepted... Read more
In the world of finance, intrinsic value is the true, inherent, and essential value of a specific asset independent of its quoted price in a market. In speculation prices can become far removed from the real actual value of a stock, tulip, Beani... Read more
Jeff Bezos current net worth is $125.5 billion making him the richest person in the world again. His net worth is up over $13 billion since November 2019 with most of the increase coming after last Friday’s gap up in Amazon price. Amazon... Read more
