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Monday, January 31, 2011

Precious Metals Options - the MOST Overlooked Market

Reprinted by permission
The League of Power

       A New “Twist” in the MOST Overlooked Market in the World Could Make You Rich

5:44 AM

Dear Entrepreneur:

“Are you kidding me? It CAN’T be that simple”!

That’s what a client said when I showed him a little-known “twist” in the precious metals market.
No….it doesn’t have anything to do with trading coins, picking mining stocks, getting cash for gold or even handling the precious metal itself.

More important, this little “twist” has made a lot of people a lot of money, including yours truly.
Before I show you the “twist” let’s get something straight.

 I Am Not Offering Investment Advice

So don’t report me to the Commodity Futures Trading Commission (CFTC)!
I’ll be as clear as humanly possible.

The information I’m giving you today only intended to be a basic understanding of the precious metals market. 

This information is NOT intended to provide specific financial or investment advice. 

On top of that, don’t rely on nor act the information without seeking the advice of a qualified financial adviser or futures broker. They can help determine if your financial circumstances are suitable for trading.

Ok……now that I’ve managed to scare you senseless… let’s get to business.

The Risk of Precious Metals Options

In deciding whether or not you want to become involved in any type of futures or options trading you should be aware you could both gain and lose large amounts of money. 

In other words, without limitation, you risk losing money because:
(a) You could lose all the margin funds you deposit with the futures broker to establish or maintain a futures position and lose further amounts as described in paragraph (c) below.
(b) If the market moves against your position, you may be required, at short notice, to deposit with the futures broker further monies as margin in order to maintain your position. Those additional funds may be substantial. If you fail to provide those additional funds within the required time your position may be liquidated. You will be liable for any shortfall in your account resulting from that liquidation.
(c) You could lose all monies deposited with the futures broker, and in addition be required to pay the futures broker further funds representing losses and other fees on your open and closed positions.
(d) Under certain conditions, it could become difficult or impossible for you to liquidate or close a position (this can happen when there is significant change in prices over a short period).
(e) The placing of contingent orders (such as a "stop-loss" order) may not always limit your losses to the amounts that you may want. Market conditions may make it impossible to execute such orders.
(f) The high degree of leverage that is obtainable in futures trading with the futures broker because of small margin requirements can work against you as well as for you. The use of leverage can lead to large losses as well as large gains.
(g) Futures and options trading are not appropriate for everyone. There is a substantial risk of loss associated with trading futures and options on futures. Only risk capital should be used.
(h) No representation is being made that futures and options on futures trading is appropriate for everyone or that it should be viewed as an alternative, replacement or supplemental form of income.

As I said…you should discuss these matters with a qualified financial advisor or commodity broker prior to commencing any trade.

How to Reduce Your Risk and Trade Like a Seasoned Professional 

We all agree there’s a risk in trading precious metals futures and options.
However, there are ways to reduce your risk.

In addition to reducing your risk, you can also make money, like I did, as an independent trader.
I started trading precious metal options from a back bedroom office in 1991. Three years later I was trading full-time.

My objective each week is to focus on legitimate business opportunities. 

What’s more, I like to focus on opportunities which do not require huge inventories, office buildings, employees, massive start-up capital, or boatloads of red tape. 

I also prefer businesses with easy learning curves too.

The greatest downside of precious metals options is probably the start-up capital. You will need money to open a precious metals trading account.

Most brokerages require a minimum deposit of $5,000 to open an account. I would recommend at least that much. But you can open an account with $2,000 at some brokerages.

Never Trade With Money You Can’t Afford to Lose!

There are many aspects of futures and options trading. 

My focus this week is on precious metals options trading. 

In future issues, I'll cover other markets and opportunities. 

But today I’m going to show you a little-known “twist” in the precious metal options market.
But first a quick overview……

An Overview of Precious Metals Futures 

A futures contract is an agreement (obligation) to buy or sell a given quantity of a particular asset at a specified future date at a prearranged price. 

Futures contracts have standard delivery dates, trading units, terms, and conditions. They can be based on any one of a number of underlying assets. 

There are futures contracts available in individual shares and stock market indices, bonds, interest rates, coffee, sugar, orange juice, and other agricultural commodities. You can even trade catastrophe futures!

The best futures contracts are traded on government-regulated exchanges like the Chicago Board of Trade (the largest futures exchange), ICE, London Exchange and the New York Mercantile Exchange.

There are futures exchanges in most industrialized countries.

Futures prices are quoted by every top financial website and business newspaper on the planet.

The total number of contracts traded onus futures exchanges in 2009 was valued at more than $600 trillion!

You can "open" a futures position by either buying or selling a contract. You can "close" a futures position by doing the exact opposite − either selling or buying the same contract. 

If you believe the price of the underlying asset will rise, you would buy a futures position. This is referred to as being "long." 

When you buy a futures contract and hold it to expiration, you would be required to take delivery of the underlying asset, or equivalent cash value, at a prearranged price and by a certain date.
But don't worry, only a small percentage of futures contracts are held to expiration. 

In the futures market most of the money is made during the life of the contract.

If you believe the price of the underlying asset will fall, you would sell a futures position. This is referred to as being "short." 

When you sell a futures contract and it is held to expiration, you would be required to deliver the underlying asset, or equivalent cash value, at a prearranged price and by a certain date. 

Beginning traders often have difficulty grasping the concept of selling something they don't own. What you are doing is simply selling something on paper - via the contract. 

There is a risk of sustaining substantial losses when trading precious metals options.

One way to reduce risk is to always have a specific strategy for leveraging winning trades and cutting losing trades quickly. 

In other words, you need to know what you’re going to do if the market moves against your positions. 

The little-known “twist” I’m going to show you today have worked for me, and for countless other precious metals traders. 

The “twist” is selling or “writing” precious metal options. I won't get into all the nuances of option trading right now – it wouldn't hurt to do your own research on Google or Wikipedia.

But know this, when you buy a precious metal option your risk is defined upfront.

In other words, if you buy a gold option for $500 that is the most you can lose.  

Your downside risk is limited to the “premium” or the price you pay for the option.

When you sell or “write” a precious metal option there can be unlimited risk if the option is 
exercised…but most are not. Most options expire before they are excercised.

How Professional Traders Make Money Using a Little-Known “Twist”

There are thousands of systems, techniques, and software programs on the market today which supposedly help you trade profitably. 

Most of these techniques and programs are designed to help you make money. 

Obviously, some products, programs, and strategies are better than others

But I learned a trading strategy from a professional commodity trader many years ago which still works today. 

The best part is you won’t need expensive sophisticated software trading programs or technical manuals.

The “Twist” in a Nutshell

An interesting phenomenon takes place in volatile or high volume markets.

There’s a frenzy of buying or selling….and then at some point, like clockwork, the buying and selling slows down.

In some cases, the buying and selling slows to a crawl and the market remains flat.
This is where the “twist” comes into play.

You can try this on paper without risking a dime to see if the technique works in actual market conditions.

But remember…..

The most important aspect to this technique is volatility or a rapidly climbing or falling market.
The precious metal market can be very volatile, especially when there are problems like war, uncertainty, stock market crashes, or sudden disruptions.

When an event like this occurs you can sell or “write” a precious metal option well above the current market price and the funds are placed into your account immediately.
Now…the trick with precious metals options is two-fold.

One - The option strike price needs to be far enough away from the current market price so the probability of it getting “exercised” or redeemed is very, very low.

Two - The option date needs to be close enough to the expiration date of the underlying 
precious metals futures contract, so the probability of it getting “exercised” is very low. In other words, your objective with selling or writing a precious metal option is to have it expire without it being exercised. 

One way to utilize both of these aspects is to calculate the price movement of precious metals over say a two month period, preferably during a violate period.

This calculation will give you a basic price range.

There are hundreds of ways to calculate the “time” aspect of options. 

But in my experience, if you focus on precious metals options expiring in 60 days or less you’ll be in good shape.

Here’s an illustration:

Let’s say the current gold futures price for the January 2011 contract is $1371.

The price of the January 2011 gold futures call option with a strike price of $1450 is 26.80.
NYMEX Gold option prices are quoted in dollars and cents per ounce and their underlying futures are traded in lots of 100 troy ounces of gold.

In this scenario the premium or amount of money you would receive for selling (or writing) a gold call option with a strike price of 1450 would be $2680 (26.80 x 100 ounces).
This gold option call would expire in less than sixty days.

If the underlying price of the January gold futures remained below $1450 by the second week of January, you would keep the entire premium, or $2680.

Can you see why people become so excited about precious metal options?

Granted, this is only a hypothetical illustration.

But if you do some homework and research you will find this can be a very lucrative market and opportunity.

Have fun and play nice.

Your humble host,

Marc Charles

(Ed Note:  Marc Charles is referred to as "The King of Business Opportunities" ....and for good reason. He should be known as "The King of Legitimate Business Opportunities"...because he's launched, bought, sold reviewed and advised on hundreds of businesses and money making opportunities. He understands legitimate opportunities. Marc has agreed supply League of Power members with crucial updates regarding legitimate business and money making opportunities.)

Important Point: Unlike real estate, coins, brick-and-mortar businesses, and hundreds of other investments, the futures market is IMMEDIATE. This is especially true for the markets that have large volume and open interest (open contracts). The precious metals futures market on the NYMEX is HUGE. When you place an order to buy or sell, it's filled almost INSTANTLY! No lawyers, accountants, appraisers, government workers, or employees are required.

***** Action Strategy *****
If you're new to precious metals futures trading, start your education today. Research the topic on Google. Read books and articles written by hands-on (successful) professional traders. I've listed a few suggestions below.

This is one of the few businesses that enable you to "practice" before you commit any funds. You can "paper trade" futures before you start trading with actual money. 

Paper trading is easy too!

Go to any financial website that offers commodity futures quotes, like Commodity Futures Charts and Quotes. Now select the commodity quote you want. The quotes will typically list the opening price, the high, low, and settle, or closing, price.

Simply right down a precious metals option you would like to select based on the information I gave you today.

Then monitor the market to see if your trade would have been profitable in the real world.
It’s that simple.

I know you’ll get excited when you see the opportunities and potential of this “overlooked” market!

****** Valuable Resources*******
Top World Commodity Futures Exchanges
CME Globex Flash Quotes
Chicago Board of Trade (the largest T-bond futures exchange in the world)
Chicago Mercantile Exchange
Global FOREX
Kansas City Futures Exchange
London Metal Exchange
Hong Kong Futures Exchange
Minneapolis Grain Exchange
New York Board of Trade
New York Mercantile Exchange
New York Stock Exchange
South Africa Futures Exchange
Sydney Futures Exchange
Tokyo Commodity Exchange
Winnipeg Commodity Exchange
Commodity Brokers
Fox Investments
Great Pacific Trading Company
Ira Epstein
R.J. O’Brien
Traders Network

Friday, January 21, 2011

How to Make Money form the Dark Internet "Underbelly"

Reprinted by permission
The League of Power

How to Profit from the Dark Internet “Underbelly” Over the Next 12 Months Using a Little-Known Skill

7:10 AM

Dear Entrepreneur:

There's a battle raging beneath the Internet. 

I’ll show you how to produce a nice income for yourself…in a great side business. 

Or you can choose to leverage this market in a bigger way.

Here’s the deal…..

Like I said….there’s a war taking place in the Internet’s “underbelly”. It’s like the movie The Matrix, but this is real not a fantasy.

And actually, it’s not limited to the Internet. This warfare is taking place on corporate intranets, extranets, wireless networks and everywhere in between.
About the only place you won’t find a battle is on “dead drops”. Which are “off Internet” style P2P file sharing zones such as

The problems are being caused by pesky little things called "bug variants."
A "bug variant" is a conscious software programming error which can have many different negative side effects. 

For example, bug variants in Web browsers cause security breaches, deceptive downloads, automatic redirects and malicious viruses.

"Variants" are new strains of viruses which borrow code from other known viruses. 

A letter or letters following the virus family name usually identifies the variants.
For example, AgentBKY, SmallDAM, VBS.LoveLetter.B., VBS.LoveLetter.C., and WareZOV are all “bug variants”.

Bug variants are easy to understand for people who know the basics of programming, viruses, and software architecture. 

But get this.

There are incredible money making opportunities surrounding “bug variants” and the programming warfare taking place as we speak.

Heck….network security is the fastest growing sector in information technology!

One opportunity is professional hacking

Granted, you might not be tech savvy or even have an interest in this area. But you might know someone who is. Give them this information today!

What’s more, you can also invest in entrepreneurs and companies who are successful in network security, encryption, virus detection, IT forensics and professional hacking.

Believe me…this is a HOT rising trend.

Who would have guessed you could make money by eradicating bug variants on the Internet? 

But it's true! 

Programming, professional hacking and network security is a legitimate business opportunity and the demand is growing like wildfire.

Robert Graham, founder and CEO of Errata Security, said, "We’re seeing kids playing and pretending to be masterminds, but recently, we saw the rise of the professional hacker. Many hackers are graduating into the professional ranks too. This development carries serious implications for corporate security."
And this is the opportunity for professional hackers.

How to Make Money as a Professional Hacker

One of the best ways to get started as a professional hacker is to start hacking. 

I’m serious.

There are thousands of books and online tutorials available to help bring you up to speed. 

But my 18-year-old son assures me the best “hacking” information and tutorials are posted online, in hacking forums, gaming chat rooms, and on encrypted websites. 

Hackers get a "kick" out of divulging their escapades!

As Graham points out, ordinary programmers in a “job” write code to pay the bills.

But professional freelance hackers think of this as something to do for fun.
Most hackers are delighted to find someone willing to pay them to do it. But for many hackers, money is secondary or even relevant. 

Don't get me wrong. 

I'm not suggesting your break into professional hacker to screw things up, steal, or cause malicious problems for people and businesses.

I'm confident if more people learn how to hack and become "tech savvy" with regards to bug variants, viruses, and other network security issues, there will be fewer opportunities for wayward geeks to get their thrills.

The big money is in providing this service for large corporations, governments, military, education, health care, and e-commerce. 

My preference would be to approach this market as a freelancer rather than an in-house hacker or in a “job”. 

Granted, you may have to work with a company on a part-time or intern basis to get your feet wet.

There’s a new job title in networking and security circles, it’s called a "Chief Hacking Officer." 

I’m not kidding.

There were hundreds of freelance programmer and hacker opportunities posted online on sites like CodeWalkers,, and DICE.
If you review these postings you’ll become familiar with what companies are looking for when it comes to professional hackers. 

Many times professional hackers will also be referred to as “code specialists” and security programmers. But either way you’ll begin to see a tremendous need for professional hackers.

On top of that, the windows of opportunity have opened in three new sectors too: Google hacking, mobile phone (and iPhone) hacking, and Linux hacking. You can also join in the fun with online games.

This market is growing in leaps and bounds.  Google “hacking” and you’ll see what I mean.

On top of that, the money making potential in this sector is serious business.

Your humble host,

Marc Charles

(Ed Note:  Marc Charles is referred to as "The King of Business Opportunities" ....and for good reason. He should be known as "The King of Legitimate Business Opportunities"...because he's launched, bought, sold reviewed and advised on hundreds of businesses and money making opportunities. He understands legitimate opportunities. Marc has agreed supply League of Power members with crucial updates regarding legitimate business and money making opportunities.)

******* Action Strategy *******
If you're new to hacking, and you have an interest in it, it’s fairly simple to bring yourself up to speed. 

One of the best ways to learn hacking is on hacking websites, forums, discussion lists, and IT Security websites which are devoted to the area.
There are a certification courses in "ethical hacking" too.

The Security Certified Network Architect (SCNA) offers one of the most respected courses. 

If you're already proficient at programming and hacking and you want to start making money, the fastest way to get started is by posting your availability on the most popular security boards.  I’ve included a ton of links to them in the Valuable Resources section.

Simply post your qualifications and expertise or interest on the top hacking sites and forums. 

I realize there’s a huge demand for a “high-level” security experts and hackers is with larger companies, corporations, governments, military, etc.

But there are plenty of opportunities in the small and medium sized business market too.

Direct marketing should be a part of any fast start strategy.

Most freelance programmers and hackers think marketing is a “sin” (and I know because I’ve hired, trained and worked with dozens of them).

But a simple, persuasive sales letter sent via FedEx to "A Prospects" (companies who hire professional hackers and security experts on a regular basis) could be very effective at securing projects.

Another approach is entering hacking tournaments.

If you place in the top percentile of these high-profile competitions, you'll have more work and offers than you could ever handle. 

DEFCON hosts one of the largest hacking events in the world. 

You can also post a website or blog and “lace” it with security, virus and hacking terms with SEO and SEM in mind.

I helped a freelance programmer recently post his bio and expertise with a simple website and domain for under $100. He told me he receives quality traffic, inquires and leads every week. He hosts his bio/website free of charge on

Now we’re talking!

Look….it’s simple. 

The security, hacking and virus sector of programming is a HOT rising trend. If you can hack and you know how to market and close contracts you’ll have more work and projects then you can handle.
Have fun!
Please send me your feedback and thoughts!

************ Valuable Resources**************

Top Freelance Hacking Job and Projects
IT Jobs Post (UK)
Security Focus Jobs
Craigs List
Premier Hacking Competitions
LinuxSecurity (announcements)
Ghetto Hackers
Hack in the Box (announcements)
Additional Hacking Resources (Hacking school, competitions, tools, forums, etc.)
The Network Administrator
Astalavista (fast crack engine)
Hacker Threads
How to Become a Hacker
Hackers World Portal
Phrack (digital hacker's magazine)
2600 - The Hacker Quarterly
CIO Magazine

Saturday, January 15, 2011

How Can I Make Money with YouTube?

Reprinted by permission
The League of Power

How Can I Make Money with YouTube Videos?

7:11 AM

Question: Hi Marc, most of the stuff I’ve read about making money with YoubTube is a joke. Do you have any “street smart” suggestions for making money with YouTube?
G.T. Bakersfield CA

Dear GT:

YouTube is the master of the universe when it comes to online videos. This includes targeted traffic, average time spent on the site and ad revenue.

But believe me….YouTube is NOT the only game in town.

I’ll show you some ways to make money with YouTube which is applicable for the other online video sites too.

So let’s get this party started!

I’ll give you three easy, proven ways to make money with YouTube.

I agree most of the stuff you read online regarding YouTube money makers is a joke!

I’ll set the record straight for you.

Tactic #1 --- YouTube for Business

This opportunity involves making short YouTube video for businesses,
Charitable organizations and special-interest groups (like local Red Cross chapter). 

Most people realize they need a YouTube video, but almost no one knows how to make one.

Making YouTube videos for businesses is super easy!

In fact, it’s so easy a 15 year-old can do it! My daughter has started making YouTube videos for local restaurants. She got the idea from another girl on Twitter before she read my commentary or League of Power article!

Once of the easiest software apps for making (and editing) YouTube videos for businesses is Microsoft Movie Maker 2.6.

There are bunch of other programs available, including Sony’s
Movie Maker 10 and most programs are under $100 or free. 

But almost anyone can use Microsoft Movie Maker 2.6…it’s that easy.

Combine this software with a video camcorder and you’re in business!

On top of that, in only takes a few minutes to shoot and edit a top quality video. Practice makes perfect!

Heck….video editing is a nice skill to master even if you don’t want to make money!

Here’s the key to making money with YouTube for Business…

My recommendation would be to offer a local business, restaurant, (charity or special interest group) a complete YouTube Video package.

The video package could include a domain name, a simple website or blog,
and Google search strategy for $500.

If a business owner doesn’t want a domain, website or Google strategy you could offer a simple video posted to YouTube for $69 (more or less depending on the market).

The actual price point may vary from town to town, and market. But these would be good starting points in most locations.

Businesses need YouTube videos….but your ideal prospect would be a business owner already spending money on Internet marketing or online advertising.

Tactic #2 “How To” Videos with Backend Sales
One of the fastest growing sectors on YouTube is the “How To” videos.

There are MILLIONS of How To videos in the YouTube database!

You’ve probably seen these online…it’s about learning how to do anything, like how to wash a car, how to make a paper airplane, how to open an overseas bank account, how to study for a test and so on.

But very few people know “How to Make Money” with “how to” videos!

I discovered a great way to do it. I’ve taught this method at a handful of seminars and conferences. Most of the entrepreneurs who’ve heard this can’t believe how easy it is.

I can’t take all of the credit though.

My oldest son was working my office recently and I was ranting and raving about YouTube videos with a “million” views.

He said, “That’s peanuts”! Have you seen the “guitar” video”?, he asked with a silly grin.

“No”….I said sheepishly.

The “guitar” video on YouTube has more than 79 MILLION VIEWS!

Simply enter the word “guitar” in the YouTube search box and you’ll see it.

But the value of 79 million views comes into play when you can monetize the traffic and views.

The guy who developed the “guitar” video uses a great technique called “backend sales”. You can do the same thing.

The “guitar” video posted on YouTube includes a URL and short description. The description is “How I learned to play like this…”.

On the website you can opt-in to receive a free guitar lesson.

But more importantly…..

They offer dozens of information products and videos….some free some pay.

This is back end sales at its best.

Granted, you’ve got to have video which goes nuts (viral)….most videos sit like a bump on a log!

But if you copy the essence of the most viewed videos on YouTube (like guitar) you begin see how to make it happen.

You can also build a “review” website of the “guitar” video and reap Internet wide traffic…then sell back end products.

Oh…by the way…you can also become an affiliate for and make money this way too.

Tactic #3 Partner with YouTube and Grab a Slice of their Ad Revenue
Now you can partner with YouTube and grab a slice of the ad revenue pie.  The ad revenue is the generated when someone clicks ad next to your video. 

Granted, it takes a boatload of views…let alone clicks…to generate ad revenue on YouTube.
But if your videos receive respectable traffic….10k views per month and up….you will see some click thru and ad revenue. 

What videos receive the most traffic you ask? 

Well, videos like the “guitar” video I told you about do fairly well.

But all you have to do is search YouTube for the Most Viewed Videos, and you’ll find your answer.

You can advertise on YouTube too. This would be a type of YouTube arbitrage. You would advertise at one price point and split the ad revenue received in the partner program.

Have fun!

Your Humble Host,

Marc Charles

(Ed Note:  Marc Charles is referred to as "The King of Business Opportunities" ....and for good reason. He should be known as "The King of Legitimate Business Opportunities"...because he's launched, bought, sold reviewed and advised on hundreds of businesses and money making opportunities. He understands legitimate opportunities. Marc has agreed supply League of Power members with crucial updates regarding legitimate business and money making opportunities.)

***** Action Strategy *****

I’ve outlined three ways to make money with YouTube videos. Each of them is unique and can be very profitable.

Focus on the angle which best suites your objectives:

·        YouTube for Business
·        Develop “How To” Videos with Backend Sales

·        YouTube Ad Revenue Share

Have fun!

******Valuable Resources *******

Other Top Online Video Sites

More Video Revenue Share Opportunities