It is easier to get the hang of selling covered calls then it is to get the hang of swing trading or day trading. Some strategies can be a lot of work and time heavy to keep going. Most strategies to beat the market take a lot of research or a lot of time looking at a chart. Covered calls on the other hand can be very profitable will a minimal amount of work. And it may only take 5 minutes a month to manage a covered call position.

With a general understanding of the market fluctuations, you will need to determine how much risk you are willing to take with your money. In general, the longer you have to save, the more risk you can afford to take. But, if you can’t sleep at night or it makes you sick to watch your balance plummet, then you may want to consider safer avenues that still have potential for growth. Mutual funds that have a balance between Stocks and bonds can be a little more stable while still allowing growth. As you approach college, you may want to move into safer investments, such as all bond funds, getting you out of the fluctuation game all together.

You might be paying too much for insurance. If you want to reduce your premiums, you should think about raising your deductibles. Open a savings account and put money aside to pay these deductibles, if something should happen. You can keep your deductibles low by looking for discounts and not filing small claims.

With less money to lend, Banks and Finance companies are proving to be more difficult to borrow money from and when considering a major expenditure such as a new company vehicle – why would any business use valuable capital to buy a depreciating asset.

Find out the history of every pennystock you are thinking about purchasing. The main thing you need to look at is how a penny stock has held its value over the past year or so. Most of the time, penny shares that have not been drastically reduced in value over this period of time are smart investments. After you invested in your pennyshares, however, you should monitor them every day. Pennystocks’ value can shift in only a moment; it is important to always know the state of the market so that you can sell or trade at the opportune time.

By cutting your spending, you are essentially increasing the amount of money you have at the end of every month. With this money, you can even invest in low risk options and still ensure that overtime, you will see a substantial amount of increased income as you develop a greater nest egg. This money can be invested into bonds or mutual funds that track the Stock Market, or even something as simple as a reward checking account.

Certainly there is no major harm in a door sticking. But the above example illustrates the process of how we can come to accept situation that can be very major. When traders and investors get used to, or normalized, to volatile market conditions like we have today; it is easy to make mistakes in judgment that under mormal times would not be accepted.