Andrew Baxter

Emotions are the key driver of the stock market. Yes, fundamentals and economics are the “Why” prices will rise or fall, but Fear and Greed are a here and now action that causes prices to fluctuate despite the underlying factors of a company, commodity or market. Hence, the reason why Technical Analysis has become such a prized and popular method in modern day investing. It’s not a market crash that causes investors to lose their wealth. Ok, so a 30% fall in the markets within a few days wipes out tens of Billions of dollars in value, but unless you sell stock and exit the position/s, you have an unrealized loss due to the crash. And in most “Flash Crash” situations, the markets rebound very quickly, resulting in stock positions bouncing back to previous crash levels, if not within weeks, then within a couple of months. What loses wealth for stock market investors is holding onto stocks during an extended Bear market, and then selling at the bottom. Markets move in ...

Ok, so it seems wherever you look on social media these days there are people with the blue banner yelling this at you. The latest multi-level marketing pitch is all about lifestyle, best get in quick! As someone that travels a bit – just a lazy 10,000 Km’s in the past 3 days, I’ve had the opportunity to share a very straightforward message regarding cash flow generation with a great group this week. Interestingly, one of the attendees had seen this presentation back in November at another event. He had joined, stepped off the program and then came back to us this week. Human nature is a funny thing – second guessing decisions and then falling back into old behaviour;, that in some cases are largely responsible for the financial predicament that people find themselves in. Being comfortable feels like playing it safe. However, as we all know, growth only happens when you step out of your comfort zone – across all areas of life! So far this year… After the e...

Trading Strategies that work. I’ve heard numerous clients and colleagues over the last 18-months describing how the current markets are the hardest they have experienced in a decade. One of the key lesson’s I’ve learnt in nearly 15 years as an analyst is that no matter what the markets are doing, you have no control over what tomorrow will bring. Hence, Risk management and choosing the right Trading Strategy are the absolute keys to success in the markets. You might think it simple, but how I view the markets is that they can only trend in one of three directions at any one time: Up, Down or Sideways. So while most people are trying to second guess which way the markets are likely to go, I already know! Fact is, I don’t know what is going to happen in the future, I just know that the markets will either be Up, Down or Sideways. For this reason, my focus (as a professional analyst and advisor) is not on trying to choose what direction the markets will be on a day to d...

Andrew Baxter from Australian Investment Education looks at the Stock Market vs The Economy with a focus on what's happening right here in Australia. We have an economy right now that is in a lot of pain and we've got the stock market that has pushed up over 25% in just 6 weeks. How can that be? That's exactly what we are going to explore in this show, more importantly, how can you make sure you don't get caught in the risky side if things change and the stock market runs out of puff.

Last night, executives had the enviable task of announcing BHP results for the full year – a whopping $8.3bn loss. Not a small amount and the ramifications on this are just the beginning of an investor nightmare when it comes to BHP results. The loss is one thing, and rest assured as I type, the stock is, yep, you guessed it, up almost 2.2%.   However, the longer term impact and positioning of the stock is now under even greater scrutiny, than simply BHP results of minus $8.3bn for the year! Over recent years, BHP Management introduced a progressive dividend model, quite at odds with what would typically be expected of a mining company. Traditionally, earnings have been poured into asset development and future growth, rather than a reward to shareholders in the form of an enhanced dividend.  Back in 2015 for example, the dividend yield on the stock was more than 7%, higher than 10% if you took into account the franking credit – great for retirees loo...

Becoming an Online Investor is a very simple process. And trading online has never been easier or more cost effective. But being successful with your investing means more than finding the cheapest brokerage. Here are a beginners key steps to getting started as an online investor: 1) Choose how much capital you intend to invest with We all have to start somewhere, and the age old saying of “only invest what you can afford to lose” does have some merit. Just be aware that the smaller the amount of capital you use, the more riskier your investing becomes as you don’t have room to move if stock prices (or whatever you are trading) move against you. With more capital, you have the ability of diversifying and spreading your Risk. Capital amounts for someone starting as an online investor usually are around $2,000 to $10,000. It’s quite rare for an individual to start with $100,000 or more. Quite often I hear “I’ll start small and add more money to my account when I’m c...

The reopening of the Australian Economy post-COVID-19, the pros and cons, the businesses that will do well vs those that won't. We will look at what this really means for the stock market and more importantly what this means for your investment opportunities and potential profit within the stock market. We hope you will find this podcast really useful and it will also give you a different set of l ens to look at this opportunity. The reopening of the Australian Economy post-COVID-19, the pros and cons, the businesses that will do well vs those that won't. We will look at what this really means for the stock market and more importantly what this means for your investment opportunities and potential profit within the stock market. We hope you will find this podcast really useful and it will also give you a different set of lens to look at this opportunity. FREE Online Training with Andrew Baxter: https://bit.ly/cod-online