Biltmore Capitol

<h2>7 Common Trading Mistakes Part 7: Believing that things are different this time</h2>

7 Common Trading Mistakes Part 7: Believing that things are different this time

Remember the dot-com bubble of the late 1990’s? How about the real estate bubble leading up to 2007? I remember the enthusiasm about the “nifty fifty” back in the late1960s and early 1970s. The nifty-fifty were considered by some to he such high quality firms (e.g., Kodak, Sears, Polaroid) ...

<h2>7 Common Trading Mistakes Part 5: Buying stocks on short-term dips</h2>

7 Common Trading Mistakes Part 5: Buying stocks on short-term dips

A common tax mistake is caused by anchoring. Anchoring is the idea that when a stock trades in a range such as $20-$25 per share for a few months, investors begin to think that $20-$25 is a reasonable future price for the stock. Therefore, lots of people cannot resist buying the stock on a dip ...

<h2>7 Common Trading Mistakes Part 4: Trading Cost Blindness</h2>

7 Common Trading Mistakes Part 4: Trading Cost Blindness

When trading in search of dollars, it is a mistake to ignore wasting even only a few cents on trading costs. Consider an investor who buys 500 shares of a stock at $10.00 each and then turns around and sells the stock for $10.10. The investor seems to pick up a $50 profit (500 shares …

7 Common Trading Mistakes Part 3: Market Timing

The last decade has been an emotional cliff-hanger for most investors as they see the stock market soar to higher and higher levels – along with their increasing concern that the these large increases are going to be erased when the inevitable correction occurs. This attempt to “time” markets ...

<h2>7 Common Trading Mistakes Part 2: Tax Blindness</h2>

7 Common Trading Mistakes Part 2: Tax Blindness

Taxes are one of the biggest costs to investing. Ignoring income taxes when making investment decisions can be a big mistake. Being tax-smart is one of the surest ways to enhance long-term performance. Here’s a common mistake that investors make: they periodically buy and sell stocks based on ...