Investing Thread

[Y2HH]

Got myself in to the stock game with my own money. I own stock that my dad bought for me when I was a kid, but this is my own money and my own account and doing it all myself.

 

Bought stock on Tuesday. Sold it all on Friday. Make a 70% profit. Unfortunately I only invested $97. And after commissions and fees, I only ended up with a $31 gain. Blah.

 

You will also owe short term cap gains on that profit at the end of the year.

[ChiliIrishHammock24]

Feels good doesn't it? Just remember, it's your personal responsibility to give up gains on your own money.

 

Feels good, but at the same time, I find myself trying to push myself "wait 1 more day" on both the selling and buying end. I was waiting for the stock HEMP to fall to 0.10 flat before I bought. It got down to about 0.105 and I decided to "wait 1 more day". That was on Friday, and since then, it's rallied back up to 0.135 at some point today. Could have made a 30% gain in 2 days.

 

Just put in a couple buy orders for NTRR and FITX if they drop a few more pennies.

[StrangeSox]

Day trading at the top of a five-year bull market sounds like a great, can't-fail idea...

[Y2HH]

Day trading at the top of a five-year bull market sounds like a great, can't-fail idea...

 

In OTC penny stocks, no less.

[southsider2k5]

In OTC penny stocks, no less.

 

Waiting for half of a cent in any market is a terrible idea. If you have a buy signal, the last thing you should be doing is waiting for the stock to fall.

[Y2HH]

Feels good, but at the same time, I find myself trying to push myself "wait 1 more day" on both the selling and buying end. I was waiting for the stock HEMP to fall to 0.10 flat before I bought. It got down to about 0.105 and I decided to "wait 1 more day". That was on Friday, and since then, it's rallied back up to 0.135 at some point today. Could have made a 30% gain in 2 days.

 

Just put in a couple buy orders for NTRR and FITX if they drop a few more pennies.

 

Why are you day trading in penny stock trash? You realize these are the exact types of worthless stocks that Jordan Belfort (The Wolf of Wall Street) pitched the people he was scamming, right?

 

With computers doing day trading these days, it's impossible for a regular person to be successful at this long term. By the time you hear the news, or login to sell your stock, it's already been dumped by the computers running these elaborate schemes for traders, and there is no possible way for you to match that speed.

 

Unfortunately, the worst thing that can happen to you is happening to you right now -- you're getting away with a few easy "wins", and it's going to convince you that you can't lose -- I assure you, in day trading you can and WILL, it's just a matter of time.

 

And worse, you've already shown the first sign of invincibility in that you called something a "quick profit", but included the dreaded "...but I only invested 90$ in it"...meaning you're already thinking, "man, if I had only invested 1000$, instead". Don't get into this sort of trading, it's a fools game.

[StrangeSox]

With computers doing day trading these days, it's impossible for a regular person to be successful at this long term. By the time you hear the news, or login to sell your stock, it's already been dumped by the computers running these elaborate schemes for traders, and there is no possible way for you to match that speed.

 

Even by the time your computer "hears" it, the big firms' computers have already heard it and processed a huge number of transactions on it.

[StrangeSox]

guys put all of your money in one of these:

 

 

[southsider2k5]

Why are you day trading in penny stock trash? You realize these are the exact types of worthless stocks that Jordan Belfort (The Wolf of Wall Street) pitched the people he was scamming, right?

 

With computers doing day trading these days, it's impossible for a regular person to be successful at this long term. By the time you hear the news, or login to sell your stock, it's already been dumped by the computers running these elaborate schemes for traders, and there is no possible way for you to match that speed.

 

Unfortunately, the worst thing that can happen to you is happening to you right now -- you're getting away with a few easy "wins", and it's going to convince you that you can't lose -- I assure you, in day trading you can and WILL, it's just a matter of time.

 

And worse, you've already shown the first sign of invincibility in that you called something a "quick profit", but included the dreaded "...but I only invested 90$ in it"...meaning you're already thinking, "man, if I had only invested 1000$, instead". Don't get into this sort of trading, it's a fools game.

 

Any company that has lost half of its stock price is more likely to end up in bankruptcy than to go back to its old highs.

[Y2HH]

Surely it's not the best route to go but if you utilize stop gaps and do your dd you can come out on top. I have actually had a huge day today because of two OTC stocks in $MINE and $ELTP.

 

I wouldn't even recommend that to a person that doesn't work in that industry.

 

I don't believe in day trading, especially today. I think that day is done.

[southsider2k5]

I wouldn't even recommend that to a person that doesn't work in that industry.

 

I don't believe in day trading, especially today. I think that day is done.

 

I think day trading can be done today, mostly because the spreads are smaller than ever because of penny and sub-penny trading. You just have be more judicious about it. It isn't like the late 90's where you could buy something, spin it back 90 seconds later and profit. The extreme volatility is gone.

 

There is good and bad. Before everything was automated, you didn't have a chance as a small trader. Your orders were behind any big dollar traders, it was harder to get an order in with any amount of time, and there was no way you were getting filled on a bid or offer unless it was running against you. I won't even talk about what commissions looked like back then.

 

 

[StrangeSox]

Some brokerages have no-free ETF's.

[ChiliIrishHammock24]

Why are you day trading in penny stock trash? You realize these are the exact types of worthless stocks that Jordan Belfort (The Wolf of Wall Street) pitched the people he was scamming, right?

 

With computers doing day trading these days, it's impossible for a regular person to be successful at this long term. By the time you hear the news, or login to sell your stock, it's already been dumped by the computers running these elaborate schemes for traders, and there is no possible way for you to match that speed.

 

Unfortunately, the worst thing that can happen to you is happening to you right now -- you're getting away with a few easy "wins", and it's going to convince you that you can't lose -- I assure you, in day trading you can and WILL, it's just a matter of time.

 

And worse, you've already shown the first sign of invincibility in that you called something a "quick profit", but included the dreaded "...but I only invested 90$ in it"...meaning you're already thinking, "man, if I had only invested 1000$, instead". Don't get into this sort of trading, it's a fools game.

 

 

I'll let you know when my dad stops making money on them.

[southsider2k5]

Yeah, there definitely are winners in OTC stocks. It's just traditional belief that they're manipulated and largely trash which is true in part. Hell, a lot of people are making a lot of money on these pot stocks that are all OTC and pink sheet. I made a killing on $PLPL in January and got cocky and invested that money into $SKTO. I made more than 50% on $PLPL and lost 30% on $SKTO. I still netted the 20% though. This just has to be money you're not relying on obviously. Things happen fast and are much more volatile. Plus, the people that are in penny stocks are very sheepish so a little pullback can turn into a large drop when shares start dropping like flies.

 

They are so thinly traded, that they are extremely volatile. No one trades these things unless they are moving a lot.

[greg775]

Thanks caufield.

Do any of you think the economy will flourish ever again, enough that everybody is fat and happy again?

[Jenksismyhero]

Thanks caufield.

Do any of you think the economy will flourish ever again, enough that everybody is fat and happy again?

 

Have you been around the last few years?

[Cknolls]

LOL.

 

No, you'll only let us know so long as you win, the minute you lose, and you will, we won't hear a peep.

 

As with all day traders that think they know what they're doing, when they don't.

 

 

But BOOM BOOM Bernanke said we have to take risk. How are we supposed to make any money?

 

 

Margin at an all time high means good times for all...

[Y2HH]

Yeah, there definitely are winners in OTC stocks. It's just traditional belief that they're manipulated and largely trash which is true in part. Hell, a lot of people are making a lot of money on these pot stocks that are all OTC and pink sheet. I made a killing on $PLPL in January and got cocky and invested that money into $SKTO. I made more than 50% on $PLPL and lost 30% on $SKTO. I still netted the 20% though. This just has to be money you're not relying on obviously. Things happen fast and are much more volatile. Plus, the people that are in penny stocks are very sheepish so a little pullback can turn into a large drop when shares start dropping like flies.

 

The low number of outstanding shares and complete lack of trading volume is why these stocks are easily movable/easily manipulated. A person with some disposable cash in a quantity of thousands can move these stocks with a single trade, in either direction they choose.

[Y2HH]

I'll let you know when my dad stops making money on them.

 

Let me know when your dad stops getting lucky, instead.

 

I hate responses like this, that sound snarky but lack any real information. What kind of money are we talking about here? Why is he buying THOSE specific stocks? I saw those stocks you're buying, and there is no fundamental or technical indicators to buy either. It's like you (or he) threw darts are a board of stock names and just arbitrarily chose them.

 

Let me ask you an honest question...do you have any idea what you're doing or why?

Edited March 12, 2014 by Y2HH

[NorthSideSox72]

I know a guy who confided in me he has $200,000 total. He is divorced but wife remarried and he has to pay no money to her. He is employed and currently healthy but we know how health can change in an instant. He wants to know what he should be doing with the money to make some rapid gains in his total wealth with about 10 years left to retirement. I had no idea what to tell him because my brother the tax lawyer has mapped out a plan for me. He wants rapid gains. What should he do?

 

At that level, he could potentially be considered a sophisticated investor (this is a LEGAL term, not making a subjective judgment), and he could in theory enter into some hedge funds.

 

But the reality is, there simply are no reliable outliers from the simple concept of risk versus return. Hedge Funds, even really good ones, can tank in a hurry and then those people lose a LOT. Same with any individual stock. Stock funds or ETF's and the like, the potential returns are more subdued, but with significantly less risk (and still can make good money if you invest smartly). Or you can buy bonds and make small returns with minimal risk.

 

The key is horizon. A 10 year horizon is long-term investing. That means, probably, a diversified group of funds/ETF's are that person's best bet, IMO.

 

 

Do any of you think the economy will flourish ever again, enough that everybody is fat and happy again?

 

Did you not read SS2K5's post just a little ways up? The markets have gone crazy the last few years, with immense gains.

 

Now, if you are talking employment and adjusted wages, that is a different issue.

 

[Harry Chappas]

At that level, he could potentially be considered a sophisticated investor (this is a LEGAL term, not making a subjective judgment), and he could in theory enter into some hedge funds.

 

But the reality is, there simply are no reliable outliers from the simple concept of risk versus return. Hedge Funds, even really good ones, can tank in a hurry and then those people lose a LOT. Same with any individual stock. Stock funds or ETF's and the like, the potential returns are more subdued, but with significantly less risk (and still can make good money if you invest smartly). Or you can buy bonds and make small returns with minimal risk.

 

The key is horizon. A 10 year horizon is long-term investing. That means, probably, a diversified group of funds/ETF's are that person's best bet, IMO.

 

 

 

 

Did you not read SS2K5's post just a little ways up? The markets have gone crazy the last few years, with immense gains.

 

Now, if you are talking employment and adjusted wages, that is a different issue.

 

Last two years S&P is up 24%. A diversified portfolio would be up 17%.

 

While the middle class (which I am part of) has wage and employment issues. Retirement funds (401(k)'s are doing just fine).

Edited March 12, 2014 by Harry Chappas

[ChiSox_Sonix]

I have a very small position in OXiGENE but that has played out nicely overnight. Most of my money is in other sectors but I like to keep a small amount in biotechs just in case one like this happens to hit on a successful trial.

 

(And in non-investing news, the positive report is great for research as well)

[ChiliIrishHammock24]

I have a very small position in OXiGENE but that has played out nicely overnight. Most of my money is in other sectors but I like to keep a small amount in biotechs just in case one like this happens to hit on a successful trial.

 

(And in non-investing news, the positive report is great for research as well)

 

I saw that today, 86% spike. Wowzers.

[ChiliIrishHammock24]

Let me know when your dad stops getting lucky, instead.

 

I hate responses like this, that sound snarky but lack any real information. What kind of money are we talking about here? Why is he buying THOSE specific stocks? I saw those stocks you're buying, and there is no fundamental or technical indicators to buy either. It's like you (or he) threw darts are a board of stock names and just arbitrarily chose them.

 

Let me ask you an honest question...do you have any idea what you're doing or why?

 

A couple thousand here and there. And mostly pot stocks.

 

Excuse me for being snarky when you tell me my dad doesn't know what he's doing.

 

And I am a novice in the stock world, I just work with the small amounts of information I retain when my dad tries to educate me on the subject.

[caulfield12]

At that level, he could potentially be considered a sophisticated investor (this is a LEGAL term, not making a subjective judgment), and he could in theory enter into some hedge funds.

 

But the reality is, there simply are no reliable outliers from the simple concept of risk versus return. Hedge Funds, even really good ones, can tank in a hurry and then those people lose a LOT. Same with any individual stock. Stock funds or ETF's and the like, the potential returns are more subdued, but with significantly less risk (and still can make good money if you invest smartly). Or you can buy bonds and make small returns with minimal risk.

 

The key is horizon. A 10 year horizon is long-term investing. That means, probably, a diversified group of funds/ETF's are that person's best bet, IMO.

 

 

 

 

Did you not read SS2K5's post just a little ways up? The markets have gone crazy the last few years, with immense gains.

 

Now, if you are talking employment and adjusted wages, that is a different issue.

 

 

For example, George Soros' hedge fund underperformed the broader indexes by about 10% last year. Pretty sure he made a big bet on JC Penney and it blew up in his face.