Board 8 > Stock Topic 19

(+) Yeah! (+)

I bailed on AMC entirely. My current holdings down 70 bucks (overall up about 9 grand in case LotM is really worried about me)

just feel like its a distraction at this point -for me- hope you guys make money out the ass though.

---

I have about half my gains in amc in various ways atm

---

Yesterday was brutal, but I'm back in the green for this week again, with a little cushion, with this strong showing by SPCE today. Hopefully, it'll stay there. I have started to sell off some SPCE to lower its weight as it has gotten to the point where the daily account swings are too wild for me. I don't think I want to go through the test flight with it having more than 25% allocation.

---

Okay if y'all don't like the $20 July GME puts what would you buy

---

And yeah I hopped out of AMC earlier this morning. Took my 5k up for the day and got out. 27k+ total I think

Sucks I had a +70k trade on it at one point and got greedy! This has happened twice on huge wins now - I really think it's going to keep going up like a dolt and just have an emotional high that I don't logically check. I suspect AVCTW will be next huge win and not gonna let that happen there. Though that will be the trickiest to time a good sell either way since I want to hold those for like a year, but still want to sell the initial moon then buy back in.

I just have to take profits and close my own position when I'm satisfied, otherwise ride stop limits up, on these huge wins. Instead of waiting for the inevitable dips, watch sideways movement, then sell when I get bored

---

StartTheMachine posted...

Okay if y'all don't like the $20 July GME puts what would you buy

I mean i don't dislike the play its just not what i would do.

I'm personally selling CSP on amc at 4 a month out cause premiums are pretty good

---

GME finally showing a little life today. Some positive momentum would be really really nice. I think I could exit at $150 and not feel totally sick.

---

ExThaNemesis posted...

GME finally showing a little life today. Some positive momentum would be really really nice. I think I could exit at $150 and not feel totally sick.

lmfaooo aw

---

StartTheMachine posted...

And yeah I hopped out of AMC earlier this morning. Took my 5k up for the day and got out. 27k+ total I think

Sucks I had a +70k trade on it at one point and got greedy! This has happened twice on huge wins now - I really think it's going to keep going up like a dolt and just have an emotional high that I don't logically check. I suspect AVCTW will be next huge win and not gonna let that happen there. Though that will be the trickiest to time a good sell either way since I want to hold those for like a year, but still want to sell the initial moon then buy back in.

I just have to take profits and close my own position when I'm satisfied, otherwise ride stop limits up, on these huge wins. Instead of waiting for the inevitable dips, watch sideways movement, then sell when I get bored

I think the way to avoid this is constant position resizing. I.e. when AMC was at $4 it was a good idea to put 25% of your portfolio in it. At $18 by its own growth it is now more like 60% of the portfolio, which is too high. At $18 it's a worse investment than at $4 so it should not even be 25% of the portfolio. So there is nothing inconsistent with selling off the majority of the position even if you believe it's still going higher.

---

StartTheMachine posted...

And yeah I hopped out of AMC earlier this morning. Took my 5k up for the day and got out. 27k+ total I think

Sucks I had a +70k trade on it at one point and got greedy! This has happened twice on huge wins now - I really think it's going to keep going up like a dolt and just have an emotional high that I don't logically check. I suspect AVCTW will be next huge win and not gonna let that happen there. Though that will be the trickiest to time a good sell either way since I want to hold those for like a year, but still want to sell the initial moon then buy back in.

I just have to take profits and close my own position when I'm satisfied, otherwise ride stop limits up, on these huge wins. Instead of waiting for the inevitable dips, watch sideways movement, then sell when I get bored

AMC fell into our laps and you made what a min. wage worker makes in a year, that's not bad. I wouldn't worry about the best-case scenario. get a coffee at a drive through and think about what that person's daily grind is like for a year and think damn it feels good to be a gangster.

---

red sox 777 posted...

I think the way to avoid this is constant position resizing. I.e. when AMC was at $4 it was a good idea to put 25% of your portfolio in it. At $18 by its own growth it is now more like 60% of the portfolio, which is too high. At $18 it's a worse investment than at $4 so it should not even be 25% of the portfolio. So there is nothing inconsistent with selling off the majority of the position even if you believe it's still going higher.

Yes, and considering I basically do this on the way up in runs on the buying side, I'm not sure why I don't do it when it's way way up and start taking profits slowly. That or closing the whole position at once when satisfied and not thinking about it.

It's an addictive property for sure. Like I sold AMC and was so happy, then I schemed to myself how it could make ne so much more and compulsively bought! It could have made me more too if I just sold pre-market lol, which is why I sold that today

---

Also Extha I'm sorry it turned out like this. I still think buying GME at $250 was positive EV, but it was very risky. Don't let this experience color your perception of the stock market, because these past couple weeks are once in a decade or more event.

---

ExThaNemesis posted...

GME finally showing a little life today. Some positive momentum would be really really nice. I think I could exit at $150 and not feel totally sick.

This is what those day trader folks call a "dead cat bounce" ExTha

Your used games were the dead cat the whole time

---

ethereum is hot right now. I bought in at 470. I wish I understood crypto better. I keep thinking I should buy more but I don't know enough and don't want to sit there holding massive bags of fake money. are we in the "early majority" phase?

---

*bounces*

Everybody keeps telling me to buy Ethereum. Well I did buy ETHC and sold for like a grand or 2 earlier in the year when I wasn't really posting in these topics. Which is the best Ethereum fund, or just straight up buy on coinbase or something?

---

a dead cat posted...

*bounces*

Give me your cash app info and you get $5!

---

In other typical Blur news I threw more money than I should have at ENZC, a penny stock and am up 1k

Learn from me the secret to riches

---

Officially out all of my GME positions. My puts that expired this week were down under $3 so I closed them out and I can't roll them because TD still restricting the options >_>

But regardless, made a good amoung of money. Thanks Gamestop

---

I learned yesterday that if you have under $25k in stocks and make too many day trades you can get labeled a pattern day trader and that limits you

That seems ridiculously advantageous to the wealthy and helps keep the plebs out of their club

What a fucked up system
---

Jakyl25 posted...

I learned yesterday that if you have under $25k in stocks and make too many day trades you can get labeled a pattern day trader and that limits you

That seems ridiculously advantageous to the wealthy and helps keep the plebs out of their club

What a fucked up system

I had to work my way up to earn that privilege!

Then get locked out of that privilege again and hold patiently until I got it once more.

But yeah it was an annoying ass rule

---

Jakyl25 posted...

I learned yesterday that if you have under $25k in stocks and make too many day trades you can get labeled a pattern day trader and that limits you

That seems ridiculously advantageous to the wealthy and helps keep the plebs out of their club

What a fucked up system

That specifically is why I'm holding off on doing much investing. I've got a Schwab account set up, and when I decide to sell my 5 free shares of AMC at some point (the ones I earned last week by putting in $1100 and taking it back out later that day) I'll probably move it there and do some baby trading. But the 3 day trades a week limit is pretty harsh. Ostensibly it's to "protect" investors who will ruin themselves by making bad trades, and by that logic if you have 25,000 in the bank you are a smarter person because...reasons?

.

But in crypto news I have so far managed to turn my free $36 into $38. That's $2 of profit baby!

Still waiting for binance to verify me so I can get off coinbase.

---

Bought $50k GOOG for the long hold.

damn Blockbuster Liquidation is down 37% today

I don't know if they're gonna make it

E: As I say that, goes up 10% smh

---

The PDT rule is unfair and everyone should be allowed to choose their own trading techniques but it is true that most day traders lose money and most investors make money. Part of that is because the returns for day traders are distributed very unequally - the small percentage of day traders who make money tend to make a lot while many lose. If you had 10 day traders, I expect the first 8 would lose money, the 9th would make less than an average investor with his starting capital, and the 10th would make more than an average investor with his starting capital.

But even on average (arithmetic mean, not median), a day trader will do substantially worse than an investor. Part of that is bad human psychology, part of that is lack of time in market (a day trader has his money in cash a rather large percentage of the time - all the time between trades), and part of that is being constantly front run by HFT algorithms. The last one is not fair, and is a big deal, even if it looks invisible. A few cents a share per trade is not a big deal to an investor who doesn't trade often but to a day trader it is calamitous.

---

Quoting myself from the discord

Watching day traders on YouTube fascinates me endlessly. Their hustle is so disciplined and so much harder than what I'm doing. Yet I doubt any of them have 10xed (okay 8xed now) their accounts recently. I respect the hustle but damn I don't get these guys

---

Watching day traders on YouTube fascinates me endlessly. Their hustle is so disciplined and so much harder than what I'm doing. Yet I doubt any of them have 10xed (okay 8xed now) their accounts recently. I respect the hustle but damn I don't get these guys

It's like gamblers working very hard to figure out how to win at roulette. The work is there, but it's being applied to a game that's impossible to win (or at least impossible with the methods they have available).

---

red sox 777 posted...

It's like gamblers working very hard to figure out how to win at roulette. The work is there, but it's being applied to a game that's impossible to win (or at least impossible with the methods they have available).

All those scanners and all those trend line charts and all those technical setups have to even the odds in their favor a decent amount

...I hope.

---

Pattern Day Trading doesnt apply to crypto I imagine?
---

StartTheMachine posted...

All those scanners and all those trend line charts and all those technical setups have to even the odds in their favor a decent amount

...I hope.

No. They could even make it worse. Because suppose I'm a hedge fund with an HFT and I know all these day traders are using this system. What will I do? Program my algorithm to front run the day traders and profit at their expense.

---

Jakyl25 posted...

Pattern Day Trading doesnt apply to crypto I imagine?

Crypto isn't stock

---

StartTheMachine posted...

Quoting myself from the discord

The thing about day traders is theyre spending their whole day trying to protect themselves from risk, (which limits their potential as well) as opposed to traders like you who dump 50k in a single stock for massive gains at a much higher risk.

---

Lot of movement with Aphria. That merger was a solid

---

ChaosTonyV4 posted...

The thing about day traders is theyre spending their whole day trying to protect themselves from risk, (which limits their potential as well) as opposed to traders like you who dump 50k in a single stock for massive gains at a much higher risk.

This is the way.

Though I don't think I've ever dumped that much before, but I have dumped 100% of my portfolio once!

It worked out very well, but never again

---

HeroicCrono posted...

No. They could even make it worse. Because suppose I'm a hedge fund with an HFT and I know all these day traders are using this system. What will I do? Program my algorithm to front run the day traders and profit at their expense.

Isnt that literally how RH works
---

I still have my AMC.

Readjusted my sold calls from $13 EOW (exit gain of $40 per contract) to $11 End of Next Week (gain of $123 per)

So my cost adjusted AMC is now at $11.37. Technically I sell at a very small loss if those $11s get cashed out but feels strong.

---

Oh also I used a lot of the proceeds (about 2/3s of them) from the $13 EOW to double down and get 14 EOW $13 calls in addition to unselling mine, so I guess if we're splitting hairs I'd be at cost basis of $11.67 if these $13s expire worthless.

Of course if it goes to the moon before Friday I'm going to rake. Technically if a bunch of WSB people did as I did and cashed out Robinhood and moved to another broker they'd be able to reinvest now-Friday depending on timing so we do have some moon upside here.

---

Jakyl25 posted...

Pattern Day Trading doesnt apply to crypto I imagine?

Nope, i've made nearly a dozen moves in the past 48 hours to try and catch different cryptos on their way back up from a dip. Now because coinbase takes 2% it's pretty slow but for example here are the moves with one of my crypto chunks:

Link - $7.35 in, $7.64 out
XLM - $7.50 in $7.95 out
OMG - $7.77 in $8.87 out
REN - $8.72 in (9.07 target)

So when my stack in REN reaches a value of 9.07 I'll move it to something else before it dips. So I'm losing 2% every time I move it (and i'm pretty sure binance has a more favorable % available for that), but some of these smaller cryptos have so much variance that when one of my chunks (currently running 5) hits it's target I look for a crypto that has been having a bad hour or a bad day and switch it over. As each chunk hits $10 rather than converting the whole thing I'll split into two separate chunks.

And I'm sure there is a ton of research that I'm going to need to do to figure out what is actually moving the needle on cryptos, but for now I just make sure that the ones i'm using seem to have a fair bit of daily variance, and that they recently dipped.

---

Coinbase takes 2% from every transaction?

Oof

---

ChaosTonyV4 posted...

Coinbase takes 2% from every transaction?

Oof

oh yeah, it's very oof.

Coinbase charges a spread of about one-half of one percent (0.50%) for cryptocurrency purchases and cryptocurrency sales. However, the actual spread may be higher or lower due to market fluctuations in the price of cryptocurrency on Coinbase Pro between the time we quote a price and the time when the order executes.
We also charge a Coinbase Fee (in addition to the spread), which is the greater of (a) a flat fee or (b) a variable percentage fee determined by region, product feature, and payment type. The flat fees are set forth below:

If the total transaction amount is less than or equal to $10, the fee is $0.99 | 0,99 | 0,99 | C$.99
If the total transaction amount is more than $10 but less than or equal to $25, the fee is $1.49 | 1,49 | 1,49 | C$1.49
If the total transaction amount is more than $25 but less than or equal to $50, the fee is $1.99 | 1,99 | 1,99 | C$1.99
If the total transaction amount is more than $50 but less than or equal to $200, the fee is $2.99 | 2,99 | 2,99 | C$2.99

so you actually get completed screwed by the fees from coinbase unless you had massive gains. And so if you were just cashing out and making purchases it sounds like you'd be getting hit by .5% plus the flat fee every single time.

As opposed to the conversation fee of 2% which seems like the lesser of all evils and avoids any of the flat fees.

Binance.us on the other hand has much smaller fees which are reduced even further if you put some of your stack in BNB (their own coin) and use the BNB to pay the fees.

https://www.binance.us/en/fee/schedule

.

But for now I'll see how much I can make from my free coinbase money until I can switch.

---

Yeah, Coinbase has the commissions set high enough that day trading is going to lose a lot of money quickly.

---

These are the puts I ended up buying. Let you know when they print money.

---

So... you do realize if GME never goes below $5 those will expire worthless right

So you basically want to get out as soon as you can when they show as green. Time is not your friend with this investment.

---

$5 strike? Okay, I won't feel sorry for you if that $6,200 goes to zero.

---

We breakin $9

TO THE MOON SON

---

Goddammit I don't understand. It's a good thing only 15 orders filled lol I'll sell it.

So wait...I thought with time decay that chart just means I can flip it back to someone else when it reaches those numbers for profit??? I'm so confused

---

StartTheMachine posted...

Goddammit I don't understand. It's a good thing only 15 orders filled lol I'll sell it.

So wait...I thought with time decay that chart just means I can flip it back to someone else when it reaches those numbers for profit??? I'm so confused

The time decay chart is not a schedule baked into the put contract. The value of this put entirely depends on other people believing that GME may fall below $5. That can change, and will probably do so quickly if GME doesn't crater immediately.

---

StartTheMachine posted...

Goddammit I don't understand. It's a good thing only 15 orders filled lol I'll sell it.

So wait...I thought with time decay that chart just means I can flip it back to someone else when it reaches those numbers for profit??? I'm so confused

Well isn't that just the anticipated value of that agreement based upon the current situation? So wouldn't it still involve someone being willing to assume the liability which isn't necessarily a given?

---

I don't understand why it matters if I hit the strike price. I thought I sold calls for profit without being in the money before

---

IF you're buying options you need to need to know what they symbolize

You're basically buying an inverted warrant with expiration Nov 19th that gains value as GME goes down and is "in the money" if GME goes below $5

Theoretically due to how volatility influences price it COULD become more valuable than that price even if it doesn't, but you're playing a very dangerous game because as time of the contract decreases and volatility decreases the value of the contract decreases.

---