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

[based mod]

SCTY :x

Almost bought 100 shares at $32 this AM

 

[lazyj10]

I placed a call option on SIRI Jan2015 at $4 for 1 contract....I'm pretty bullish on this one but I just wanted to test the waters on options (only cost ~50$)....but just so I'm sure how this works, hypothetically if the price (currently at 3.62) jumps up to $6.45 in say March 2014....I can immediately exercise the option and lock in the profits right?

So if I exercised it at the $6.45 price, do I then turn around and sell those 100 shares to get the additional money? Is that how you make the money on options? Sorry if this is a reakl basic question for the experienced guys, I just want to make sure I know how it works.

Generally few people actually exercise options. At your expiration date of Jan 2015, if the stock climbs above strike, you'll have value and could choose to sell the option for your profit (versus "locked in"). Note, the close you get to expiration day, the value decays.

 

[lyonbc1]

I placed a call option on SIRI Jan2015 at $4 for 1 contract....I'm pretty bullish on this one but I just wanted to test the waters on options (only cost ~50$)....but just so I'm sure how this works, hypothetically if the price (currently at 3.62) jumps up to $6.45 in say March 2014....I can immediately exercise the option and lock in the profits right?

So if I exercised it at the $6.45 price, do I then turn around and sell those 100 shares to get the additional money? Is that how you make the money on options? Sorry if this is a reakl basic question for the experienced guys, I just want to make sure I know how it works.

Generally few people actually exercise options. At your expiration date of Jan 2015, if the stock climbs above strike, you'll have value and could choose to sell the option for your profit (versus "locked in"). Note, the close you get to expiration day, the value decays.

Repped, gotcha thanks

 

[awwsome]

What do y'all think about this NUAN-AAPL Icahn situation?

Things should be very interesting in a couple months

 

[wizards23]

I know y'all don't mess with penny stocks but...

DCTH has a fda decision sept 13. Triggered VolStopBuy signal on huge volume today. Could get pumped into the decision fwiw

Use this info at your own risk. Penny stocks are a lot riskier

 

[a one]

Hey guys, I'm curious, if the market crashes again would FAZ be a buy and hold now for an insurance policy?

 

[lazyj10]

FAS and FAZ aren't meant to be "held" per se. You certainly could, but something that levered would make me uneasy. The purpose of those are to hedge your portfolio depending on your outlook and what type of financial services/banks you own.

You can surely be spec with them - which is fine as I've done it; however i'd suggest being in and out of it and not hold longer than a couple of days.

 

[a one]

So, say I bought about 10 shares at about $30/share. (Don't mind losing $300, I'd just look at it as an insurance policy.)

If I held that, and the market crashed bringing the value of it to $25,000/share, would I have a hard time cashing out? I'm very curious as to how FAZ works because it seems too good to be true sometimes. How would they pay out an ETF at $25,000/share with the volume at, say 10 million?

Repped. Thanks for the help. 

 

[based mod]

So, say I bought about 10 shares at about $30/share. (Don't mind losing $300, I'd just look at it as an insurance policy.)

If I held that, and the market crashed bringing the value of it to $25,000/share, would I have a hard time cashing out? I'm very curious as to how FAZ works because it seems too good to be true sometimes. How would they pay out an ETF at $25,000/share with the volume at, say 10 million?

Repped. Thanks for the help. 

From $30/share to $25,000? Get off that pipe bro

If a stock has any sort of volume, there shouldn't be any problem selling it at market price regardless of what the share is worth.

I'm not sure you understand how shares are traded. If you sell your shares, you're not being paid by the company whose shares you've sold, but the person/entity who purchased those shares from you.

Also, I don't see why you think FAZ is too good to be true when we're (for the most part) in a bull market.

 

[freakydestroyer]

FB is looking better and better as of late. It can run huge IMO.

 

[andycrazn]

FB is looking better and better as of late. It can run huge IMO.

still dont know how fb is so high

 

[johnnyredstorm]

simple. it based in the mid 20s, had its earning run up and then based in the mid 30s. stock looks solid on paper.

 

[a one]

From $30/share to $25,000? Get off that pipe bro

If a stock has any sort of volume, there shouldn't be any problem selling it at market price regardless of what the share is worth.

I'm not sure you understand how shares are traded. If you sell your shares, you're not being paid by the company whose shares you've sold, but the person/entity who purchased those shares from you.

Also, I don't see why you think FAZ is too good to be true when we're (for the most part) in a bull market.

Think I'm smoking something? Check the charts from 2008, right after the market crashed. Also FAZ is not some publicly traded company, it's a leveraged ETF.

 

[based mod]

From $30/share to $25,000? Get off that pipe bro


If a stock has any sort of volume, there shouldn't be any problem selling it at market price regardless of what the share is worth.


I'm not sure you understand how shares are traded. If you sell your shares, you're not being paid by the company whose shares you've sold, but the person/entity who purchased those shares from you.


Also, I don't see why you think FAZ is too good to be true when we're (for the most part) in a bull market.

Think I'm smoking something? Check the charts from 2008, right after the market crashed. Also FAZ is not some publicly traded company, it's a leveraged ETF.

Yes, I know it's a leveraged ETF. I've played FAS in the past. That doesn't change the fact that whatever company/ETF provider whose shares you're holding isn't paying you when you're selling your shares unless they're doing a buyback.

If you wanna gamble on the market crashing, go for it. Just read up on leveraged ETF decay because you're gonna be holding it for a few decades if you want to see a market crash like in 2008.

 

[a one]

With the fed printing stupid money and our national debt, I don't see it getting any better. I'm not hoping the market crashes, but it's a possibility and I'm going to insure myself just in case.

 

[wizards23]

they will prop the market up as long as possible. there will be a crash in the future if they stop. when? no idea. it could be years away..

in theory your idea could work IF and WHEN the market crashes. just know that it is a gamble and about FAZ hitting 25k/share i have to agree with based mod

 

[a one]

I'm not trying to attack you guys in any way, but why can't it get to 25k? It was at about 30k around the time of the crash in '08. Experts are saying that this next crash, if/when it happens, will be bigger than the one we just came out of.

 

[freakydestroyer]

they will prop the market up as long as possible. there will be a crash in the future if they stop. when? no idea. it could be years away..

in theory your idea could work IF and WHEN the market crashes. just know that it is a gamble and about FAZ hitting 25k/share i have to agree with based mod

This and crashes like to occur when the general public is least expecting it. Right now people are still leery.

 

[awwsome]

If you are paying close attention to the market daily specifically the big 3 then you won't get caught in a crash without seeing it before hand. **** doesn't happen overnight, there are always many warning signs.

 

[wizards23]

interesting chart in DECK

 

[secretzofwar]

I'm not trying to attack you guys in any way, but why can't it get to 25k? It was at about 30k around the time of the crash in '08. Experts are saying that this next crash, if/when it happens, will be bigger than the one we just came out of.

Two words for you: Index Fund

 

[sunsetcity]

Hey guys,

Need advised on ACHN, did some research and think its going to hit $10 by mid oct. What do you feel about  the stock?

 

[based mod]

Ford keeps looking good

I'm surprised the news of senate approval of a strike on Syria didn't have much of an effect on the general market, but caused a spike up on gold miners. Kinda weird.

Hey guys,

Need advised on ACHN, did some research and think its going to hit $10 by mid oct. What do you feel about  the stock?

Don't know anything about it, but all smaller biotechs/pharmas is almost solely dependent on FDA approval and/or a buyout/partnership

 

[gold st capital]

Oil and gas exploration companies

Ford technical chart been looking good for a week

Delta airlines chart looks great also. Wouldn't hold this one tho. Spike in oil will mess u up

 

[wizards23]

BBRY if this breaks 11 tomorrow, shorts are getting squeezed. This could have 12+ in it

KONG also setting up for a nice chart break around 11. 10.92 is 52 week high. Lower volume tho