Mike Davies asked:


In any form of financial trading there are two terms which you will first need to fully understand before proceeding to the next stage.

The fundamentals of any trading system are the same whether it be stocks and shares, bonds, forex, spread betting or of course the betting exchanges.

1. Liquidity - Cash

2. Volatility - News

Lets start with liquidity or “cash”.

1. Cash is what physically creates/ moves markets.

2. Cash is what physically drives prices up or down, (bullish or bearish).

3. Cash determines how far a trend goes and when it will end.

The more cash coming into a system (buying positions) the longer a trend will last, so making it easier to trade successfully (in theory).

Markets of all types are self perpetuating, as we have seen over the last few years in the UK, bubbles are created, just like for example, in the UK residential housing market.

While buyers will meet sellers with available cash, prices go up and up and up, all other factors are irrelevant. Anyone could see that the housing market was overbought except the mug punters who believed the dross churned out in the form of hour after hour of prime time property **** TV.

Punters were falling over themselves to buy rabbit hutches in city centres that were genuinely worth about a fifth of the price they were actually paying.

The result was inevitable. Crunch!! Credit dries up, Cash dries up, the bubble bursts, sellers will not match buyers and not only do prices fall, but the volume of transactions collapses as well.

So here we are with factor 2.

Volatility. What are the factors that create the initial switch event?

Well they are quite basic - NEWS.

The news can come from anywhere, any angle, any source, there are hosts of sources of news that affect markets.

The economics of accounts and balance sheets, the movements of fiscal indices such as interest and inflation. Movements of exchange rates between currencies.

Oil prices, food prices, availability of credit and cash are recent movers of markets.

Even the climate and global terrorism play their part in disturbing regional markets.

For the housing market in the UK, the warning signs began early in 2007 with information that sub prime lenders in the USA were dangerously over exposed.

Even then, property prices in the UK continued their upward run for another 6 months such is the power of media propaganda and the nature of human greed and entrenchment.

Basically if you are playing the stock market, the property market or any other market and are trying to keep tabs on the number of things that might affect your trades, you have to attempt to follow all these sources of news 24 hours a day, piecing them together, attempting to predict their effect on the market along the way.

And, to be frank this is nothing short of gambling. Its also extremely stressful.

Part of the problem with stock market day trading is the competition.

Huge corporations, pension funds, investment banks and Wall Street itself are working on huge commissions to profit from these markets.

Their technology is second to none, high tech automated robots compete for easy money.

Insider trading is rife and unless you are “in the know” you will always be fighting to beat these markets as an independent.

To make matters worse the incoming news can occur night and day, and you can awake to an important piece of news that sent your stock into freefall at opening.

In part 2 of this article we examine how and why Betfair has become the platform of choice for traders and other punters, and the software, systems and strategies that are making them consistent profits.



DANNY

Thomas Brailsford asked:


Why Bulgaria? It’s not just the good value of the land. Take a walk through a blizzard in Sofia, the capital city, like I did last winter. The snow is falling thick and fast and cars fly past me down the boulevard seemingly trying to break the world land speed record. Realising that I have a free afternoon I turn my head and through the falling snow and over the rooftops I can make out the looming white shape of Vitosha mountain. Let’s time this. Forty-nine minutes later I am looking down on the city with a snowboard attached to my feet flying down the mountain at death defying speed. What a place to live; work in the morning, snowboard in the afternoon. A lazy countryside, yet more rugged mountains and quaint villages lie a few kilometres beyond. Beaches stretch along the coast further out.

Of course there is more to Bulgaria than a few mountains and beaches. The countryside is varied and spectacular, littered with pretty villages. The people are warm and friendly and will invite you to drink a rakya with them, not caring that you don’t speak a word of each others language. On semi-major roads it is not uncommon to see a top of the range BMW overtaking a horse and cart. Eating out in a fresh seafood restaurant is cheap and the fresh fruit you find at road side stalls along the highway is some of the most delicious I have ever tasted. The country is also a major exporter of quality wine.

This mix has become a magnet for discount holiday seekers, and the property dealers - like myself - that follow. The Bulgarians have risen to the occasion, dropping what they’re doing and setting out their stalls to sell any property that they can.

Of course it wasn’t just the hot bulgarian properties that put me in competition with the locals. On my way back from a reconnaissance in June 2004, I arrived early to the airport to be in plenty of time to reserve my favourite window seat. To my utter dismay there was no window on my aisle and I was lumbered with a ‘wall seat.’ The Bulgarian girl next to me found it amusing, commenting “nice view!” Within 3 months we were living together in Sofia. Three more months and we were married. Daniel Brailsford was born 5 months after that. Fast work.

So I went online with everyone else and found many punters would prefer a cheap little cottage set in beautiful mountains or seaside areas. However, due to decrepit properties that often are worth nothing more than the land they are built on, money may be spent better elsewhere. Many of these properties have ownership complications hanging over them to boot not to mention being nigh on impossible to get to during some of the most brutal winter months. It became apparent that new-built developments are a far more sensible investment.

The capital is one destination many foreign investors are missing. While the coastal market has grown at an unnatural rate, and this may be of concern to the speculator, a capital city is the fairest measure of the true nature of a property market. Bulgaria will join the European Union in 2007. This will further cement stability and lead to further investment on all levels. All this combined and you have the perfect ingredients for steady and sustained urban market growth. It isn’t a bad investment for those willing to up the stakes and gamble on an apartment in the capital, especially new construction.

All things considered, in a foreign country with different laws and language it’s foolish to embark on anything without a good lawyer. English nationals can register a Ltd. company in Bulgaria when purchasing the equivalent to an ‘English freehold’ of land, or property with land attached. The law will change in this respect to bring property ownership in line with other European countries. When land is not part of the parcel - for example when purchasing an apartment - company registration is not necessary to gain freehold of the property. The daring are not finding these things to be much of a barrier.

The tricky thing is finding a trustworthy agent among the crowd, and that is where new investors in the region are stumbling. With my father as a former estate agent now specializing in surveying and having worked for him within the constraints of professional rules and ethics, with a civil engineering degree under my belt and construction experience, I was more than a little shocked at what I found in the Bulgarian market. Enforcement and good professional associations have not cleaned up the mess that high demand is spurring.

I spent a few months working with a Bulgarian estate agency of questionable ethics and following a failed coalition with some other wannabe estate agents, I discovered anyone can be an estate agent here and have heard various stories of people being considerably mislead. That’s not to say that all agents are sharks, but it does pay to shop around.

Unfortunately there are no numbers, nor a professional watchdog to say how much of this money might find its way into dubious transactions, but English investors might do well to check out their potential agents before leaping into the market. If regulation of the Bulgarian estate profession can be implemented, perhaps through EU accession everyone will be better off. If it all works out, more Britons will be flying the flag in the balmy Balkans, broadening the pool of pub-goers, and just maybe walking with a Bulgarian wife hanging off their arm. The bulgarian property I can find for you; a wife you have to find yourself.



BURT

Proud_Mom asked:


Does anyone in the Air Force or near the area of an AF base know which ones have horse property within a half hour of them? Sale or rent, Id really love to be able to keep my horses with me while my husband is serving. And no, ridiculous boarding costs or selling of my horses is currently not an option Im willing to consider. They are not a hobby to me, they are my career and my life, so somehow someway I need to find a way of keeping them nearby….even if it means living on base and just owning some grazing pasture.

DARIUS

Martin Webbster asked:


It has become increasingly important that real estate investors diversify their interest. One area that has gained much commonality over the years is horse property. The interest has arisen out of the growing number of vacationers who visit rural areas to enjoy their favorite sports such as hunting, fishing, hiking and kayaking. As they move towards this part of the country, they create the need for accommodation and hospitality services that offer some aspects of modern city conveniences and at the same time the rustic, serene rural atmosphere.

A horse property like any other business requires lots of managerial skill. From acquisition to ownership, you need to take cognizance of many factors that will impact on the value and eventual resale value of the property.

Here, we take a look at how to go about the business of horse rearing and its associated activities.

Before you make any commitment to the purchase of the property, you will want to satisfy yourself with many things. You will want to inspect the place thoroughly so that it best meets the purpose for which you are buying. The inspection will also allow you to know how much repairs will have to be done and how much they will cost. All of these will impact on the price negotiation.

The object of the horse property is the animal so you will need to consider many things in addition. You will have to take walk round the land to judge its suitability as a horse rearing ground. How large is it? If you decide to build a ranch, how much space will be left for the horses to roam about? You will also have to consider the suitability of adjoining land for grazing. Is the grass green or burnt out? Does it slope enough to allow for better drainage?

Availability of water on or near the horse property is something you will find ideal. The water will be used to fed the horses, make compost and irrigate the pasture. A stream, river or creek will do. Having water near your property will save you lots of inconveniences especially if you have the property in an arid area.

You will need to find out about zoning for the place. Are farm animals allowed? Is horse breeding allowed? You would not want to spend thousands of Dollars developing your land only to be told to cease working. The property will obviously need buildings to go with. You will also have to find out the kind of buildings allowed in the locality you are buying the property from.

If you do not intend to build fresh facilities, you will want to satisfy yourself that what you found on the land is of adequate use. You will need to look at the barns, the stable, the stall and the fences to determine their suitability for the horse property. Of particular importance is the cost of maintenance of the fencing structure.

For equestrian purposes, you need special attention to the topology of the land. It should be somehow flat, well-drained and green. It must have enough room for set up of equestrian facilities. Think of access roads to the place. Will vehicles easily get onto the area? Or they will have to maneuver?

It will pay to get the records about the weather situation in the locality. Most especially you would want to know about the potential and likelihood of flooding to avoid any inconvenience.

The last property you would like to buy is one with legal cases against it. You need to buy property which has no liens against it. Check with the records see if the horse has been mortgages or if there is an opposing interesting in it. Any of these would affect your convenient use of the property.



FRANCES