Board 8 > Stock Topic 31

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Sunroof
06/18/21 3:28:44 PM
#1:


The big name stocks have been tanking the past week or so. Tech stocks may be rebounding. Enter now or expect it to dip more?
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Forceful_Dragon
06/18/21 3:29:31 PM
#2:


Sunroof posted...
Yes, I picked only two. I stand by that method.

Forceful_Dragon posted...
Yeah, that change in approach completely undermines the safety of the strategy.


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ChainLTTP
06/18/21 3:30:39 PM
#3:


"Buy stocks with the expectation to hold for years" should be stickied at the front of each of these topics.
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Sunroof
06/18/21 3:31:59 PM
#4:


Forceful_Dragon posted...
Sunroof posted...
Yes, I picked only two. I stand by that method.

Forceful_Dragon posted...
Yeah, that change in approach completely undermines the safety of the strategy.

Id argue that ten safe stocks is more risky than two. Its five times the chances of one of them crashing.

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Sunroof
06/18/21 3:33:23 PM
#5:


ChainLTTP posted...
"Buy stocks with the expectation to hold for years" should be stickied at the front of each of these topics.

Holding long does seem to be a good strategy. Just tough to do that when you can make more day trading sometimes.
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HeroicCrono
06/18/21 3:34:35 PM
#6:


ChainLTTP posted...
"Buy stocks with the expectation to hold for years" should be stickied at the front of each of these topics.

This is so true.

Sunroof posted...
Id argue that ten safe stocks is more risky than two. Its five times the chances of one of them crashing.

I don't even know what to say to this. I guess you're too scared of small losses and not scared enough of big ones?

---
This is Red Sox 777 on a mobile phone.
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Sunroof
06/18/21 3:36:00 PM
#7:


I dont want any losses.
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HeroicCrono
06/18/21 3:36:43 PM
#8:


You can't make gains if you don't risk losses. That's how the world works!

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This is Red Sox 777 on a mobile phone.
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Sunroof
06/18/21 3:37:31 PM
#9:


Ten safe stocks is almost guaranteed to result in a slight gain. This factors in an almost 100% chance that at least one of the stocks goes down, and the rest either stay neutral or go up slightly.

Two safe stocks is almost guaranteed to result in a big gain or slight loss.
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Peace___Frog
06/18/21 3:38:39 PM
#10:


The wonders of (h)edging

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~Peaf~
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HeroicCrono
06/18/21 3:38:51 PM
#11:


Sunroof posted...
Ten safe stocks is almost guaranteed to result in a slight gain. This factors in an almost 100% chance that at least one of the stocks goes down, and the rest either stay neutral or go up slightly.

Two safe stocks is almost guaranteed to result in a big gain or slight loss.

Two safe stocks can also result in a big loss. I guess that's the part you're missing.

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Sunroof
06/18/21 3:39:36 PM
#12:


I dont think they can though. If you pick safe enough stocks, even in the event one plummets itll only be 2-3%.
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HeroicCrono
06/18/21 3:42:12 PM
#13:


Sunroof posted...
I dont think they can though. If you pick safe enough stocks, even in the event one plummets itll only be 2-3%.

I don't think you're going to be convinced, but you've been trading in an absurdly strong bull market. "Safe" companies can and do lose most of their value.

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ChainLTTP
06/18/21 3:43:52 PM
#14:


Sunroof posted...
I dont think they can though. If you pick safe enough stocks, even in the event one plummets itll only be 2-3%.
See my first post.

This is true only if you commit to holding long. Just look at 2008 if you think safe stocks are safe.

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Forceful_Dragon
06/18/21 3:44:30 PM
#15:


Imagine you have 10 stocks.

You sell calls on all 10.

In a perfect world the prices on all 10 stay exactly the same, or it goes up juuuuust a bit, but not enough to trigger the call. So now you have the premiums and you still own the stock that is worth just as much as it was a week ago.

Heck even if they all trigger you still have a profit on the sale (depending on the strike price relative to your purchase price) and the premiums and you can start over with 10 more stocks.

But even if ONE or heaven forbid TWO stocks lose value that week, you can still run NINE or EIGHT stocks the following week and still have MOST of your money working for you. Depending on how much they fell you might still be able to sell a call at or above your original purchase price, but the premium would shrink accordingly. So you can do that or you can just sit on it for a few weeks, because remember this was a stock that you (presumably) researched and deemed "safe" enough to include in your portfolio, so unless there has been earth shattering news affecting the valuation of the one or two stocks that lost value you should be just as confident in it's value as you were a week ago.

By only running two stocks you stand to tie up (or take a loss on) HALF of your money at any given time.

I just don't even know what else to say except to wish that I had your bankroll.

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Sunroof
06/18/21 3:44:32 PM
#16:


True. The stock market overall trends upward but it can take awhile.
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Sunroof
06/18/21 3:45:32 PM
#17:


I might just take a break. I want to get in but theres nothing calling my attention. I need more on my watchlist.
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Zachnorn
06/18/21 4:05:18 PM
#18:


I'm thinking of taking a break too and just throwing money into an allocation of several ETFs regularly so my money is still working while I'm indecisive.

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<D
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red sox 777
06/18/21 4:05:35 PM
#19:


Welp, today was pretty ugly. Looks like the Dow fell every day this week. Hopefully we're rotating into tech rather than into a bear market.

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September 1, 2003; November 4, 2007; September 2, 2013
Congratulations to DP Oblivion in the Guru Contest!
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masterplum
06/18/21 4:15:23 PM
#20:


Sunroof posted...
I dont want any losses.

May I interest you in a savings account

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Sunroof
06/18/21 4:16:45 PM
#21:


I want no losses and 10% gains per month, minimum. Is that so much to ask?
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Zachnorn
06/18/21 4:27:41 PM
#22:


masterplum posted...
May I interest you in a savings account
Interest? Savings accounts? lol

I love this "high yield" account I have. 0.25%. If I put 50k into that, I'll earn $125 from it after a year. Amazing!

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<D
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red sox 777
06/18/21 4:28:25 PM
#23:


Sunroof posted...
I want no losses and 10% gains per month, minimum. Is that so much to ask?

There's probably a lot of people selling scams who might promise you such things.

---
September 1, 2003; November 4, 2007; September 2, 2013
Congratulations to DP Oblivion in the Guru Contest!
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Zachnorn
06/18/21 4:36:01 PM
#24:


I want to double my money every week.

I'll start with $1. Then next week, $2. $4, $8...

This time next year, I'll have $4,503,599,627,370,496!

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<D
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DoomTheGyarados
06/18/21 4:42:23 PM
#25:


I can offer 10% compounding interest in Pokmon investments over a 24 month period moonroof. Not too late!

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Sir Chris
Doom The Kanto Saga - Animated Series - https://www.youtube.com/watch?v=6hH4wNFCrLM
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Sunroof
06/18/21 4:48:05 PM
#26:


Thatd be $340,000 minimum if I loaned you $150,000!
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Lopen
06/18/21 4:49:13 PM
#27:


red sox 777 posted...
There's probably a lot of people selling scams

DoomTheGyarados posted...
Pokmon investments

Right on cue !!

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No problem!
This is a cute and pop genocide of love!
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Sunroof
06/18/21 4:54:55 PM
#28:


Lmao
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CaptainOfCrush
06/18/21 5:30:18 PM
#29:


Sunroof posted...
Id argue that ten safe stocks is more risky than two. Its five times the chances of one of them crashing.
I hate to open with this, but I teach a managerial finance class (granted, we rarely go over the stock market and never touch day trading, so there are regulars here far more knowledgeable than me about those specific topics), and I don't think you'd find a single reputable thinker/resource in the financial world who'd agree with you. Diversification is a major goal of proper investing - all things generally being equal, it's better to distribute the same money across ten stocks versus two.

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DoomTheGyarados
06/18/21 5:31:36 PM
#30:


Sunroof posted...
Thatd be $340,000 minimum if I loaned you $150,000!

183,000 actually what are you talking about.

Also for a scam I sure do well for myself lmao, you guys are so mean to me

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Sir Chris
Doom The Kanto Saga - Animated Series - https://www.youtube.com/watch?v=6hH4wNFCrLM
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Sunroof
06/18/21 5:39:11 PM
#31:


$15k x 24?
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Sunroof
06/18/21 5:39:46 PM
#32:


CaptainOfCrush posted...
I hate to open with this, but I teach a managerial finance class (granted, we rarely go over the stock market and never touch day trading, so there are regulars here far more knowledgeable than me about those specific topics), and I don't think you'd find a single reputable thinker/resource in the financial world who'd agree with you. Diversification is a major goal of proper investing - all things generally being equal, it's better to distribute the same money across ten stocks versus two.

Well thats because with only two youd lost a lot more per stock than ten.

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Forceful_Dragon
06/18/21 5:41:50 PM
#33:


Sunroof posted...
$15k x 24?

10% annually.

And that isn't how compounding works.

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Forceful_Dragon
06/18/21 5:43:17 PM
#34:


If he could offer 10% monthly it would compound to 1.477M after 2 years.

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Sunroof
06/18/21 5:59:03 PM
#35:


Oops. For some reason I was thinking monthly. And was still wrong.
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ExThaNemesis
06/20/21 11:39:56 AM
#36:


God I love just waking up at 8:30am and being able to buy the bottom of a dip. I so love it. Got BTC, ADA, and ALGO for a discount.

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"undertale hangs out with mido" - ZFS
Smash Ultimate Switch Code: SW-6933-1523-8505
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Sunroof
06/20/21 7:49:56 PM
#37:


Ive decided that Im going to put $50k into crypto next week. Havent decided which ones.
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Sunroof
06/20/21 8:12:08 PM
#38:


Been looking for something to have my money just sit in. Tired of looking at the market every single day, stressing.
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DoomTheGyarados
06/20/21 8:15:40 PM
#39:


*quietly sorts his psa 10 pokemon collection*

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Sir Chris
Doom The Kanto Saga - Animated Series - https://www.youtube.com/watch?v=6hH4wNFCrLM
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Sunroof
06/20/21 8:17:49 PM
#40:


Haha. I want to actually, but it hurt has scam written all over it. I mean, the ingredients of it on the surface are, guy on online forum promises large return. While youre not a random guy and weve all been exchanging messages for years, its just risky.
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DoomTheGyarados
06/20/21 8:18:17 PM
#41:


Have you seen my explanation in my sir chris topic? Curious.

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Sir Chris
Doom The Kanto Saga - Animated Series - https://www.youtube.com/watch?v=6hH4wNFCrLM
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ChainLTTP
06/20/21 8:21:13 PM
#42:


Sunroof posted...
Ive decided that Im going to put $50k into crypto next week. Havent decided which ones.
See username
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Sunroof
06/20/21 8:48:58 PM
#43:


I havent.

Chainlink is on the shortlist but Ill have to look deeply.
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DoomTheGyarados
06/20/21 8:49:37 PM
#44:


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ExThaNemesis
06/20/21 10:13:41 PM
#45:


Sunroof posted...
Ive decided that Im going to put $50k into crypto next week. Havent decided which ones.

do you have time to talk about our lord and savior Cardano?

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"undertale hangs out with mido" - ZFS
Smash Ultimate Switch Code: SW-6933-1523-8505
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Sunroof
06/21/21 12:14:51 AM
#46:


Chris, if you wanted to meet in person, propose a business plan, sign some stuff, etc., I might be amenable to it. Thats about the only way Id feel comfortable. But that is me being overly cautious and likely not worth your effort.

In other news, looks like another red day coming.
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DoomTheGyarados
06/21/21 1:03:17 AM
#47:


Sunroof posted...
Chris, if you wanted to meet in person, propose a business plan, sign some stuff, etc., I might be amenable to it. Thats about the only way Id feel comfortable. But that is me being overly cautious and likely not worth your effort.

In other news, looks like another red day coming.

Where do you live lol

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Sir Chris
Doom The Kanto Saga - Animated Series - https://www.youtube.com/watch?v=6hH4wNFCrLM
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Sunroof
06/21/21 1:11:31 AM
#48:


Baton Rouge!
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masterplum
06/21/21 7:15:56 AM
#49:


Not going to lie, I think Pokmon cards as a major investment is both dumb, and smarter than crypto currency.

Draw conclusions from that as you will.

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DoomTheGyarados
06/21/21 8:18:01 AM
#50:


Sunroof posted...
Baton Rouge!

I mean I am near Atlanta so...!

masterplum posted...
Not going to lie, I think Pokmon cards as a major investment is both dumb, and smarter than crypto currency.

Draw conclusions from that as you will.

Tbh I think that is just a statement born of absolute ignorance so I mean!

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Sir Chris
Doom The Kanto Saga - Animated Series - https://www.youtube.com/watch?v=6hH4wNFCrLM
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