SA markets and economyTrader insightsUS markets and economy

Trouble in China!

Why you should still be careful investing in resource shares. “Resource shares are so cheap now, should I buy?” I get the question from clients often and the subject is debated in the SPI investment meetings regularly. I have expressed my worries about growth in China a few times on TV and Twitter. A new

SA markets and economy

What is the reason for the surprise interest rate hike?

The only reason for the rate hike that I can understand is if it is part of a concerted EM action. We know that most of the emerging markets increased rates recently: Brazil, India, Russia, Turkey, etc. With interest rates in the US and Europe likely to stay this low until H2 2015, higher yields

Educational and learning materialiTrade Fantasy LeagueSA markets and economy

How the iTrade Fantasy League portfolio outperformed the JSE All Share Index

In what was probably a world first, Sanlam iTrade asked Facebook fans to choose 20 shares and manage the portfolio for nine months. We invested R1m in the shares chosen and the portfolio outperformed the JSE All Share Index! The JSE Index increased by 13% from March to November and the iTrade Fantasy League portfolio

Global investment research

Balance of Payments, Syria, strikes and putting money back.

South Africa’s Balance of Payments data  was announced today. The Current Account deficit amounted to 6.5% of GDP versus 6.2% expected and 5.8% in the first quarter. Please refer back to my previous Blog about the Balance of Payments, The Lucky Quarter. A few points on the release. I am more worried about the Capital

SA markets and economyTrader insightsUncategorized

Time to take money off the market?

28 August 2013 The JSE had quite a spectacular run over the last two months. The Allshare Index gained 14% since 24 June to 26 August and slipped 2% over the last two days. The major engine this time was the Resources sector. The Resi Index shot up 22% from 5 July to 26 August.

SA markets and economy

Don’t be fooled by the Lucky Quarter of our Balance of Payments!

So most economists were surprised by the narrowing of the Current Account deficit of the Balance of Payments from 6.5% of GDP to 5.8%, especially whilst forecasts expected it to widen to 7% or more. On top of that the Capital Account registered even bigger inflows than the 4th quarter while we were worried that

Educational and learning materialHow to start investing

First steps to start investing

Many followers have asked us how they start on the road to become investors themselves. I will try to give some guidelines in this post. It is important to note that the JSE is not a casino and investing or even trading is not supposed to be gambling, that is looking for trouble. To be

Educational and learning material

Introduction to Shares: The Basics

So, we all heard about shares and stockmarkets and The JSE and Bulls and Bears, but what do they all mean. Here we will give a briefly explain what they are. What is the JSE? The Johannesburg Stock Exchange, now called the JSE Securities Exchange was founded in 1887 and is the largest in Africa.

Educational and learning materialTechnical AnalysisTrader insights

Investor Education Series – Technical Analysis: Minor Trend Change Indicators

Minor trend change indicators are very useful indicators of short-term changes in the price trends of securities and are mainly used by day traders and short-term speculators.  There are four of these indicators namely: Key Reversal Day, Inside Range Day, Outside Range Day and Mid-range Close.  It is important to first determine the direction of