Build Wealth Sit at Your Home
As you sit in traffic, inching along between irate drivers, you think to yourself, “there must be a better way.” You get to work, you endure another tirade from an incompetent boss, and you think, “there must be a better way.” You work hard, you’re underappreciated, underpaid, and fed up. After all this, you can barely pay the bills, and haven’t taken a real vacation in years.
Benefits of Working At Home
Many people have a romantic vision of working at home, doing chores while making money, working at their own pace, sipping coffee poolside with laptop nearby. For most people, that dream will never come true because of unrealistic expectations and poor planning. But all of the potential benefits of working at home are in fact possible to achieve, if you choose the right business and plan properly.
How do you choose the right business? First, you must avoid a retail business where customers expect you to be available during normal business hours; it means avoiding a business that requires stocking or shipping products; and it means avoiding a business that requires any serious degree of production, which is usually not practical in a home environment. So what’s left?
What about a business that requires no product, no shipping, no customer service, and no regular hours. Does such a business exist? Yes! It’s called trading futures. Wait! Don't be intimidated by something you don't know about. Trading futures is the most profitable skill you can ever master. Trading futures is the world's fastest way to riches and freedom. This is one of very few models that meets all the realistic requirements for a successful home business. And you can trade from home even if you have absolutely no experience, and don’t even know what trading is, or what futures means right now. You will soon.
Where Do I Start?
We will start at the beginning of course! Like any new subject, at first the ideas might be a little intimidating. But we will walk you through at a gentle pace. We will start by explaining the basics of futures, then describe some old trading systems that brokers recommend but don’t work. We will reveal the myths and lies on Wall Street that you have to get past to start really trading successfully. Finally we will lead to the STARS method of trading futures. STARTS stands for Securely Trading A Revolving Spread. Right now that will make no sense, but you will see later how this will change your life.
Trading Critters
Futures traders fall into two categories: hedgers and speculators. The primary economic purpose of the futures market is for hedging, which is buying or selling futures contracts to offsets risks of changing prices in the cash markets. Hedge traders, such as large commercial firms that may actually take delivery of certain commodities, like coffee or wheat, use futures contracts to protect (hedge) themselves against changing cash prices.
Speculators, however, make up the majority of futures traders. Speculators have no commercial interest in the underlying commodity and have no interest in taking delivery of the commodity. The potential for profit is what motivates speculators to trade commodity futures. Speculators buy when they believe that prices will increase and they sell when they believe that prices will fall. Futures traders using STARS would be considered speculators.
Basic Basics
If a trader is a buyer, he has taken a long position. A long position involves the purchase of a futures contracts in the hope that the price of the contract will increase in the future. Let’s say our friend Trader Bob contracts in March to buy a widget (a long position) in June for $10. June rolls around, and the price of a widget is now $14. That means Bob now has the right to buy the widget for $10 even though the going rate is $14. Bob goes ahead and buys the widget for $10, then turns around and immediately sells it for $14, pocketing the difference.
A trader who is a seller takes a short position, which involves the sale of futures contracts in anticipation of prices falling in the future. Trader Bob in this case contracts in June to sell a widget in September for $14. Fall comes around, and the going rate for widget in September turns out to be $9. Trader Bob buys a widget for that going rate of $9, then immediately turns around and exercises his right sell the widget for $14, profiting from the difference. At first, it might seem odd that Trader Bob is contracting to sell something he does not yet own. But look at the situation this way instead: in June, Bob makes a commitment to sell a widget to Sam in September for a guaranteed price of $14. If Bob can buy the widget for less than that sometime before September, he will make a profit.
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