OFFICIAL STOCK MARKET & ECONOMY THREAD VOL. SCHOOL'S OUT

[akuratl02]

Originally Posted by jordan23collecta

freakydestroyer wrote:

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akuratl02 wrote:

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andycrazn wrote:

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yo guys. you gotta check out how to make money in stocks by william j o neil. im reading the third edition and im gonna buy the fourth edition now. this is an amazing book!

http://www.amazon.com/How...id=1262462429&sr=8-1

Now I know I have to buy this book

.. Ran into an old friend of mine who caught me reading a book for beginner investors, and he immediately told me to return the book I was holding back to the Library and pick up William J O'Neil's book, and he said it didnt matter what edition !!! I'll probably buy the 4th edition today ...

Lets keep this thread moving, was a lot of useful information in here ...

Question, the same person who advised me on which boosk to get also stated, and I quote, "Penny stocks are worth pennies for a reason, and no REAL investor gambles on any stock under $15 bucks!" ... But I see you guys deal w/ the penny stocks ... why would he say this, and why do you guys like penny stocks?
the same reason jordancollecta said in the previous page, basically the adrenaline rush that comes with it.





to me pennies are funner (?) to play because there are huge gains and huge losses coming from a very little amount of money invested. With me, my Scottrade account was funded with PLAY MONEY, meaning i dont need that money in my account to pay rent, car note, insurance etc.. I went into this knowing full well that i could lose this money. So far, I have done very well...started with $2300 and now my account is worth around $25,000 (given ups and downs I have taken today).

What your guy said about pennies is true, penny stocks are worth pennies for a reason. BUT, if you can pick a company that goes from .01-.05, say you put $1k into it @ .01, you would be sitting on a $4k profit

(given you can sell your position which is tricky with penny stocks)

I have heard what your guys says about pennies before, another thing that I have heard from some big players in the game is "pennies are worth pennies for a reason, but its more likely that a stock goes from .01 to 1.00/share, than a stock that goes from 1.00 to 100.00/share...same % gain"

-J23C



So you like playing with money?

.... While at the sametime the gains are increasingly the same (percentage wise), how much more research and risk goes into investing on penny stocks? I really really like thepenny stock idea, because alongside a little bit a luck, if your research serves justice, you are highly capable of making a nice profit off of a "not solarge investment" otherwise.

Any good books pertaining to penny stocks?

ANDYCRAZN :: I'll be purchasing the third edition after work, didnt have the time to stop off at B&N after work the other day, thanks.

Penny stock vs greater valued shares seems to be my dilemma at the moment .. I'll definitely wait to invest once my "savings for a rainy day" issecured.

Thanks for the help fellas as usual, not lets keep this thread moving.

 

[Betonblck]

Originally Posted by DB WEST

Yeah I get what your saying, I read real money and cramer suggested not spending any less then $500 on any one stock. It's a little confusing to me why though (don't I gain the same percentage regardless of what I invest? Can you help clear that up for me?

Reasons for BP:
-oil stocks are pretty consistent gainers
-Low P/E of 8 compared to 20 for the sector, and 35 for the S&P
-earnings are projected to be $6.48 which is 40% over last years earnings
-27% Revenue growth
-trading above 50 dma but not extended too far

I like ARD and SWN for energy plays. Disclosure: I own ARD.

 

[jimmybeanz]

anyone here taking any profit from dendreon? whose waiting (hoping) for it to meet the $50 price target before taking action?

 

[vancity74]

.PK's don't have to report.

/DISCUSSION.

 

[kicksfiend]

Originally Posted by akuratl02

jordan23collecta wrote:

freakydestroyer wrote:

akuratl02 wrote:

andycrazn wrote:
yo guys. you gotta check out how to make money in stocks by william j o neil. im reading the third edition and im gonna buy the fourth edition now. this is an amazing book!

http://www.amazon.com/How...id=1262462429&sr=8-1

Now I know I have to buy this book

.. Ran into an old friend of mine who caught me reading a book for beginner investors, and he immediately told me to return the book I was holding back to the Library and pick up William J O'Neil's book, and he said it didnt matter what edition !!! I'll probably buy the 4th edition today ...

Lets keep this thread moving, was a lot of useful information in here ...

Question, the same person who advised me on which boosk to get also stated, and I quote, "Penny stocks are worth pennies for a reason, and no REAL investor gambles on any stock under $15 bucks!" ... But I see you guys deal w/ the penny stocks ... why would he say this, and why do you guys like penny stocks?
the same reason jordancollecta said in the previous page, basically the adrenaline rush that comes with it.





to me pennies are funner (?) to play because there are huge gains and huge losses coming from a very little amount of money invested. With me, my Scottrade account was funded with PLAY MONEY, meaning i dont need that money in my account to pay rent, car note, insurance etc.. I went into this knowing full well that i could lose this money. So far, I have done very well...started with $2300 and now my account is worth around $25,000 (given ups and downs I have taken today).

What your guy said about pennies is true, penny stocks are worth pennies for a reason. BUT, if you can pick a company that goes from .01-.05, say you put $1k into it @ .01, you would be sitting on a $4k profit

(given you can sell your position which is tricky with penny stocks)

I have heard what your guys says about pennies before, another thing that I have heard from some big players in the game is "pennies are worth pennies for a reason, but its more likely that a stock goes from .01 to 1.00/share, than a stock that goes from 1.00 to 100.00/share...same % gain"

-J23C



So you like playing with money?

.... While at the same time the gains are increasingly the same (percentage wise), how much more research and risk goes into investing on penny stocks? I really really like the penny stock idea, because alongside a little bit a luck, if your research serves justice, you are highly capable of making a nice profit off of a "not so large investment" otherwise.

Any good books pertaining to penny stocks?

ANDYCRAZN :: I'll be purchasing the third edition after work, didnt have the time to stop off at B&N after work the other day, thanks.

Penny stock vs greater valued shares seems to be my dilemma at the moment .. I'll definitely wait to invest once my "savings for a rainy day" is secured.

Thanks for the help fellas as usual, not lets keep this thread moving.




It seems the only sure thing when it comes to penny stocks is that the ones that break the +@*+ out will come down as soon as people start selling. That'sbecause these penny stocks are illiquid. They go up a lot of the time once people take an interest in them, buying pushes the price up. That's it. When itcomes down to it, those that are trying to raise their $25,000 for day trading have penny stocks as an option. There are also futures, currencies, options aswell that can help you gain that money. You can't trade penny stocks with 40-50gs, they're far too illiquid.

What many of you guys are not realizing is that you're taking excessive risks. I rather make 10% return off $50,000 than 100% return off $5,000. Sureit's the same money but the former is FAR LESS RISKY as your penny stock investment. You're suppose to get paid for risks but illiquid price action canmake you pay for taking risks. Unless you know what you're doing, moving the price with your buying/selling is extremely dangerous. You risk blowing youraccount.

Now I know a lot of you are going to continue trading penny stocks. I've read one of you guys saying that it doesn't matter if you lose your moneybecause you aren't using important funds. However, why do anything if you don't care of the outcome? Start thinking about preservation of capital andrisk management. If you're going to trade, trade for real and make it your goal to improve constantly. Gambling with penny stocks won't help youimprove. If any of you guys hope to have a career in finance in the future, the penny stock trading you do now won't help you. Try getting a job with aprop trading firm with penny stock experience, it won't happen. Most day traders trade high volume stocks because of the liquidity.

I'm attempting to go the quant route. I'm thinking about either switching my major or double majoring in math. I plan on getting a masters in financialengineering after college. At the end of the day, the real money is in derivatives (which is why I want the MFE so I can understand the pricing models betterthan most traders). Penny stocks are where you start but not where you should end. Progress is key to making real money in finance.

Hopefully some of you guys understand what I'm trying to say. I'd like to see this thread talking more about the overall stock market rather than asmall niche.

 

[teddy jam]

not enough talk about markets overall, and no focus on commodities (with the exception of gold) ..no discussion about large cap stocks or any news relating tothem

too much talk on pennies, short-term gains


and chico, no i never got into YRCW

 

[lilchico4life]

"The U.S. unexpectedly lost another 85,000 jobs in December after revised figures showed payrolls climbed by 4,000 the month before, today's reportfrom the Labor Department showed. The November gain was the first since the economic slump began in December 2007."

Bad number = good news since the Fed won't raise rates any time soon.

Also, people are betting on good earnings. Not too many want to sell now and miss the run if the earnings are good.

All IMO.

 

[finnns2003]

I bought some more DOLE today, hoping that with a little time, this strong company gets to the 20's.

 

[andycrazn]

Originally Posted by finnns2003

I bought some more DOLE today, hoping that with a little time, this strong company gets to the 20's.

yea i was looking to get del monte or dole. not sure yet. dole is still new.

 

[lilchico4life]

Have you took profits on DLM or still holding your core position?

 

[andycrazn]

i sold to buy more ng. it was a right choice but i wanna get back in. it looks like its trying to attack 12 again. most likely they are going to beat themarkets expectations once earnings come. their earnings growth is insane

 

[th0mas cr0wn]

ATNP.PK

 

[finnns2003]

Originally Posted by andycrazn

Originally Posted by finnns2003

I bought some more DOLE today, hoping that with a little time, this strong company gets to the 20's.

yea i was looking to get del monte or dole. not sure yet. dole is still new.

Very true. So far I've made money since DOLE went public, has rarely gone under $12.

 

[jordan23collecta]

Originally Posted by teddy jam

not enough talk about markets overall, and no focus on commodities (with the exception of gold) ..no discussion about large cap stocks or any news relating to them

too much talk on pennies, short-term gains


and chico, no i never got into YRCW

Switch it up then Teddy!

like I have stated before, I play pennies because I dont have the liquidity to put my money in a stock for a minimum of 5 months and have it sit. Its fun tosee where I turn up with only investing $1k. So far, I feel like I have done well. Once I get enough $ to put into the larger cap stocks, THEN I will startto talk about those. Until then, it is pennies, pennies, and more pennies.

akuratl02,

Yes, it is play money that I started with. Now granted it is a lot of money to most, this was money that I went into the market with EXPECTING to lose. If Imake $ on it then I am already exceeding my expectations...

I juststarted out recently and thought to myself "because Im new, I will probably have some mistakes that cost me, but as long as Im learning everyday I cant bemad at myself if I lose that money"



-J23C

 

[nicefro]

edit: at the same time ?

 

[andycrazn]

what the hell happened?

 

[lilchico4life]

Weekly chart of DJIA by someone I know. I'd be very careful holding long positions. This probably won't cause an end to this rally, but should be agood opportunity to buy back in.

 

[nicefro]

FAZ is now showing price of $16.81

 

[jordan23collecta]

^^

remember...the stock price is only a reflection of the last trade...there could have been someone that did a market order, and the next seller was @ the$100/share price



-J23C

 

[nicefro]

true but it execued on a Sunday and there was more than one trade

 

[finnns2003]

I love that sig.

 

[cruthik3]

LOL at Timmy G and the AIG fiasco. He wasn't involved my balls. I can't get myself to invest into anything that isn't bearish. I'm going tobeat this government at all costs!

 

[jdb1523]

Bought GSG, a Goldman Sachs commodities index fund, last week and am confident it'll be solid over the next few years. Other things I own right now:

CEP
KO
CSCO
AAPL
TEX

 

[andycrazn]

ng

 

[teddy jam]

Originally Posted by andycrazn

ng

paitently waiting for a dip...