Investors....come in please!
- Thread starter Last_Z
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I have considered Lu....but haven't bit yet, if it comes down, say 20% and nothing changes fundamentally, it should be a deal.
Sell on good news!
Sell on good news!
Well, this stock has gone up as high as 110% since I bought it. It is pulling back a bit and I would like to keep some of the profits. LU is a very risky and volatile company to buy shares from, so as a newbie, I'm just playing it safe. I rather pay the $10.99 to buy it back than lose it all.
Do you think I should just wait it out? I do plan on buying more, so this "dip trip" (from your link) might not be bad at all!
I knew that and should have done it for a quick turn around. Now I'm back down near my buy price.
I have no doubt that it will, but I wish I could be smart enough to sell on the good news and buy back. I would have made 20% in a week. I guess I'm greedy.quote:
Originally posted by Last_Z:
sparks,
It'll rebound.....hang in there. I'm planning on buying more.....waiting to see how low it goes
What I would like to be able to do is make about 10-20% a month on a consistant basis, by doing some short term trading, not really day trading but maybe holding 1-3 weeks.
msparks,
I sent you a pm.
If you are new, anything thats a profit is great! Don't expect unrealistic goals! Start small and work your way up. 100-300% returns per year are only achieved by the seasoned pros that have been doing it for years or the extremely lucky! The good news is everyone has to start somewhere and there is no better time than today!
I sent you a pm.
If you are new, anything thats a profit is great! Don't expect unrealistic goals! Start small and work your way up. 100-300% returns per year are only achieved by the seasoned pros that have been doing it for years or the extremely lucky! The good news is everyone has to start somewhere and there is no better time than today!
That's almost not possible-I knew a few folks that had inside connections in the 1997-2000 they were holding stocks somwhere between 1 to 5 days. They cleaned up in those couple of years. But til all the dust settled they might have broken even. I did some of it and never made out too well. I personally would not expect to do what you are proposing except as a hobby with a set amount of "expendable money" Hey you might be able to do it-but not long term.quote:
Originally posted by msparks:
But I wish I could be smart enough to sell on the good news and buy back. I would have made 20% in a week. I guess I'm greedy.quote:
Originally posted by Last_Z:
sparks,
It'll rebound.....hang in there. I'm planning on buying more.....waiting to see how low it goes
What I would like to be able to do is make about 10-20% a month on a consistant basis, by doing some short term trading, not really day trading but maybe holding 1-3 weeks.
[ January 23, 2004, 06:43 PM: Message edited by: Al ]
If it could be so easy: use charts, buy rumors - sell facts etc. Manies were thinking the same way and reputed themselves so genious to sell on tops and buy on dips and finally lost a lot of money. Charts study, market knowledge and trade experience don't guarantee you from losses. Yes, charts and numerous trade indicators help to enter or exit the market, but nevertheless, DJ, S&P and Nasdaq remain the biggest casino in the world.
Some traders are really successful, but 1). majority of them possess huge financial resources (banks, funds) to follow a chosen strategy and deal with investors money. And this is not the same as to trade with your own bucks (if you are not Waren Buffett or he is your uncle, but in this case you would not probably need to trade and would go to a real casino just for fun); 2). even the most successful traders have win to loss ratio 3 to 7.
Believe it's better not to start, especially if you are ready to risk 5.000 bucks only. I don't deny a possibility to earn 10.000 or more, but like in a casino, if you don't stop to play in due time, you may to lose everything. So, be careful, there are many other ways to drive adrenalin.
Now it's easier to say what you have not to do. My friends and I would write a book "How we lost our money or how you should not trade" and probably it would not be less popular and useful for the beginners then a well known Murphy's book. To my actual view, if you
- may allow min. $ 20.000
- have a plan, discipline and ready to love your losses
- manage to catch the trend and then add to your positions
- able to say it's enough and stop all your trades
then probably you may become one of those f.cking genious that write books du type "How I earned my first million".
Good luck !
Some traders are really successful, but 1). majority of them possess huge financial resources (banks, funds) to follow a chosen strategy and deal with investors money. And this is not the same as to trade with your own bucks (if you are not Waren Buffett or he is your uncle, but in this case you would not probably need to trade and would go to a real casino just for fun); 2). even the most successful traders have win to loss ratio 3 to 7.
Believe it's better not to start, especially if you are ready to risk 5.000 bucks only. I don't deny a possibility to earn 10.000 or more, but like in a casino, if you don't stop to play in due time, you may to lose everything. So, be careful, there are many other ways to drive adrenalin.
Now it's easier to say what you have not to do. My friends and I would write a book "How we lost our money or how you should not trade" and probably it would not be less popular and useful for the beginners then a well known Murphy's book. To my actual view, if you
- may allow min. $ 20.000
- have a plan, discipline and ready to love your losses
- manage to catch the trend and then add to your positions
- able to say it's enough and stop all your trades
then probably you may become one of those f.cking genious that write books du type "How I earned my first million".
Good luck !
Hey guys......I bought another 200 shares of LU......got 'em at $4.05......closed at $4.11. I made a whole $10
Amkeer;
I was reading your link last night......A LOT of info and terminology there
, but I particularly like the "Dip Trip" concept. I think I used that concept today.
[ January 23, 2004, 10:22 PM: Message edited by: Last_Z ]
Amkeer;
I was reading your link last night......A LOT of info and terminology there
[ January 23, 2004, 10:22 PM: Message edited by: Last_Z ]
primus,
Good post....however, for newbies like me who put forth ~$1500 and are willing to lose it in a screw up.....I really don't see a problem. You assesment about casinos is about right....but you have a much better chance of making a buck or two in stocks.
You can't win the lotto in you don't play!
Had I put a good amount of money in LU, I would have made a small fortune.....the stock is up almost 100% since I bought....it was as high as 109% just last week.
Good post....however, for newbies like me who put forth ~$1500 and are willing to lose it in a screw up.....I really don't see a problem. You assesment about casinos is about right....but you have a much better chance of making a buck or two in stocks.
You can't win the lotto in you don't play!
Had I put a good amount of money in LU, I would have made a small fortune.....the stock is up almost 100% since I bought....it was as high as 109% just last week.
Primus,
I went over this already! If you are a good technician you can earn a very good living at stocks. If you are a good technician you can earn alot of money as an investor. Its done every day the market is open!
I agree alot of wealth is lost in the markets. Thats not in the same catagory as an individual that does their research, picks a company they like, trades that stock. They may have core holdings and trading shares. The buy and hold strategy works in a good market like we have had since March. It doesn't work if your stock drops 20-50% from where you bought it! If you buy stocks, just like any business, you need to put forth some serious effort if you want to prosper! Their is nothing worse than being up 20% of your capital in a short time only to watch those gains fade and end up with a 20% loss! Good management will minimize that! I learned early on that buy and hold is not for me since the 20% loss story happened to me! I bought JDSU at $54 per share in about 2001. The stock immediately went to around $67 a share in 3-4 days. I was excited since this exceeded my expectations. I was already counting profits but didn't sell. The next day it went down to $64, I didn't sell. The day after $62, geez I thought it surely will go back up, I will hold. Next day $59, dam I can't sell here this has to be the bottom. The friggin thing went down and wouldn't stop! I eventual sold at about $48! JDSU eventually ended up at about $2.50! That was a year later!
Would you send a football team on the field without a game plan? Then why do people do the same with there life savings! Its sad!
I could go on and on about people that had their money with professional money managers and lost $100,000 of thousands of dollars in this last bear market! Why when there is a bear market fund?
Trading stocks without a plan is like skydiving without a parachute, but with a good strategy and careful planning it can be very profitable!
PS..Your 3-7 win ratio is off!
[ January 23, 2004, 11:50 PM: Message edited by: Amkeer ]
I went over this already! If you are a good technician you can earn a very good living at stocks. If you are a good technician you can earn alot of money as an investor. Its done every day the market is open!
I agree alot of wealth is lost in the markets. Thats not in the same catagory as an individual that does their research, picks a company they like, trades that stock. They may have core holdings and trading shares. The buy and hold strategy works in a good market like we have had since March. It doesn't work if your stock drops 20-50% from where you bought it! If you buy stocks, just like any business, you need to put forth some serious effort if you want to prosper! Their is nothing worse than being up 20% of your capital in a short time only to watch those gains fade and end up with a 20% loss! Good management will minimize that! I learned early on that buy and hold is not for me since the 20% loss story happened to me! I bought JDSU at $54 per share in about 2001. The stock immediately went to around $67 a share in 3-4 days. I was excited since this exceeded my expectations. I was already counting profits but didn't sell. The next day it went down to $64, I didn't sell. The day after $62, geez I thought it surely will go back up, I will hold. Next day $59, dam I can't sell here this has to be the bottom. The friggin thing went down and wouldn't stop! I eventual sold at about $48! JDSU eventually ended up at about $2.50! That was a year later!
Would you send a football team on the field without a game plan? Then why do people do the same with there life savings! Its sad!
I could go on and on about people that had their money with professional money managers and lost $100,000 of thousands of dollars in this last bear market! Why when there is a bear market fund?
Trading stocks without a plan is like skydiving without a parachute, but with a good strategy and careful planning it can be very profitable!
PS..Your 3-7 win ratio is off!
[ January 23, 2004, 11:50 PM: Message edited by: Amkeer ]
Rick,
You need to have a plan before you get in and stick with it. The criteria is dependent on your time frame and expectations. You need to be thinking longer term holds with your strategy. You CAN NOT trade in and out frequently since you will lose money! Your trade costs will eat you alive! So stick to your original plan and read the links and learn as much as you can. This is a decent market! Be patient!
I wish I could tell you more but you will have to read and learn.
I use moving averages to time exits and entries. What charts are you looking at?
[ January 24, 2004, 12:30 AM: Message edited by: Amkeer ]
You need to have a plan before you get in and stick with it. The criteria is dependent on your time frame and expectations. You need to be thinking longer term holds with your strategy. You CAN NOT trade in and out frequently since you will lose money! Your trade costs will eat you alive! So stick to your original plan and read the links and learn as much as you can. This is a decent market! Be patient!
I wish I could tell you more but you will have to read and learn.
I use moving averages to time exits and entries. What charts are you looking at?
[ January 24, 2004, 12:30 AM: Message edited by: Amkeer ]
Amkeer,
I'm trying to be a long term investor. I've been very disciplined so far (until my big screw up the other day) and intend to stay that way.
I agree with you that with the amount of money I have in, I will definitely lose money to fees/commisions......again, my screw up alone has cost me about $45.
As for the criteria.....just wanted to get some insight as to how the "big dogs" do it.
I just noticed I was charged an S.E.C. Fee on my sells. What the hell is that?
It wasn't much.....$.05 and $.09.
Thanks for the advice!
Rick
I'm trying to be a long term investor. I've been very disciplined so far (until my big screw up the other day) and intend to stay that way.
I agree with you that with the amount of money I have in, I will definitely lose money to fees/commisions......again, my screw up alone has cost me about $45.
As for the criteria.....just wanted to get some insight as to how the "big dogs" do it.
I just noticed I was charged an S.E.C. Fee on my sells. What the hell is that?
It wasn't much.....$.05 and $.09.
Thanks for the advice!
Rick
So the silly Dow came down, what 55 or something today?
I still made money. I am not invincible. I already wrote my "rules", I break them occasionally and pay the piper.
Another observation or two:
1)I appreciate the Primus attitude, properly directed it keeps a cap on things, keeps the gamblers to a minimum, etc. Without it, there wouldn't be dreamers.
2) When the market is moving as whole in the "wrong" direction, you can't fight it in mass, step aside and be more selective, but remember the real winners today are the ones that were buying (again) in 2001, 2002.
3) Follow the IBD rules!
I still made money. I am not invincible. I already wrote my "rules", I break them occasionally and pay the piper.
Another observation or two:
1)I appreciate the Primus attitude, properly directed it keeps a cap on things, keeps the gamblers to a minimum, etc. Without it, there wouldn't be dreamers.
2) When the market is moving as whole in the "wrong" direction, you can't fight it in mass, step aside and be more selective, but remember the real winners today are the ones that were buying (again) in 2001, 2002.
3) Follow the IBD rules!
I can testify to this stock (IMH)---good stuff. As to LU, I own it to, bought it at around $12 about 3 years ago--and then it tanked and I went down with the ship. I do think it will go back up, or I would have sold it by now. Will probably be mid-twenties within 18 months. If I had less tech stock in my portfolio, I would buy more of it. Bell Labs won't let it die, they're still a giant and have too much into it. However, I limit my exposure to tech stocks, for there are only a few with honest long-term potential and viable products.
I'm a finance major with a masters in financial planning and enjoy all forms of investing. Annuities are good for a small portion of a portfolio. Insurance is just that-whether it's a whole-life policy or an annuity. You pay high fees for that peace of mind and is not a good place for anymore than about 5% of your savings plan for those folks that are more than 20 years out from entering retirement. Financial planners love them due to the reciprocal commissions they earn on them (pays their kids college tuition). Anyway, EFTs are excellent to have and as well as a few mutual funds. I prefer Vanguard funds and IShares ETFs. They've got everything and SUPER low annual fees. Most, if not all of the planner-pushed funds have loads AND maintenance fees. This significantly errodes your investment principle. Any advisor that is whispering in your ear and showing you charts (biased I may add) that so "clearly" show that front-end funds are the better performer are laughing all the way to the bank. Find a good fee-based planner if you want professional advice and leave the commissions to pure stock brokers that should get paid for wise stock picks, not saving account mutual funds.
I enjoy and have success at buying stocks that I think are going places. Some of my favorites are: COST, CD, AXP, C, HD, IGE, KMX, NOVL, MSFT, RD, SGDE, TIVA, VIGN, CSCO. These are companies I think have potential for huge growth--some slow steady and some fast burners. However, all should do great in the next 5 to 10 years.
Anyone who truly thinks gloom and doom better stick their money in small coins of precious metals and jewels in a floor vault. That's the only real "money" if the economy falls and depression-like (or worse) events occurs. However metals and precious items should be a portion of everyone portfolio (like 5%).
Stocks are the best place for long-term investments. Commodities and futures contracts are for get-rich folks that have the time to watch the details 24/7.
There's my bit.....later
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