The concept is very simple, but carrying out this mission is no easy task.  Essentially to make money here (and just about every where else) you have to be different from the crowd.  When people are fearful, you must shine with bravery.  However, when things are at there peak and the wine is flowing, you must look for the exit.  The key here is valuation and your ability to accurately value something when no one else can.  To value a service or a product, look at what it’s utility is to you and others.  How much value would it have if everything was “normal”?  Is the market saturated with the product?  Is the service in demand?  Then you must look at how much demand and at what prices.  The sooner you can put an accurate value on something, the better.  This is a big first step into converting your existing money into more money.  Stocks are the ideal example of this.  Traders are constantly looking for undervalued stocks to buy and trying to sell stocks when they feel their value would drop.  This is a nuance in the formula however because tranders are not always selling because they believe the stock is not worth its current price.  On the contrary, they are selling because others will percieve it as not worth its current price because of its inherit qualities or the exterior market itself.  You can see how the concept of buy low sell high is so simple, yet takes a tremendous skill set.  Wealthier people usually have a firm grasp on how to make money into bigger funds.