I just bought 500 shares of TASR stock at 14.25/share
It is now 1460/share
Day trading
If you have large amounts of capital to invest, day trading makes sense. I'm an investor myself--I have over $1,000 in a stock account. Not all of it is invested; I dumped Red Hat after their stocks reached a short peak and before they took a large slump due to bad news about their accounting practices. So far, in about a year, I've made over $280. Not bad for an original investment of $500.
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Darkside Heartless
- DBB Captain
- Posts: 562
- Joined: Tue Dec 09, 2003 3:01 am
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You have to have a really large amount of capital to make day trading profitible, considering that each trade is going to set you back at least 10 bucks or so. Which means for every company you buy/sell you have to come out $20 ahead just to recover trade expenses.
Personally I prefer the buy and sit on it method of investing. Preferably with dividend-yielding stocks. And mutual funds just to even out the odds.
Personally I prefer the buy and sit on it method of investing. Preferably with dividend-yielding stocks. And mutual funds just to even out the odds.
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Mobius
- DBB_Master
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I made a huge bundle after the crash in '87. Started buying the day after the crash. I made a little over $9K intop almost $72K in less than 18 months. 
At that time though, I was waking up in a pool of sweat the same size as my body, having nightmares that the whole lot fell over again. So I sold the lot very shortly thereafter.
One thing I found in stock trading is it is IMPOSSIBLE to think of the money you invested AS THE ACTUAL AMOUNT YOU INVESTED. And, that until you have cashed the sale cheque, you haven't made a single cent.
In my view, you are simply crazy to trade in volatile stocks unless you REALLY know what you are doing. For two years prior to the crash, I had been charting about 140 companies every single day. I understood very intimately the financial situation of the companies concerned: AB, P/E ratio, past dividends, accounting practices etc.
I was VERY fortunate to start buying when the market had just gone mental. Most companies were trading far lower than their asset backing value - even after the crash was taken into consideration - so it was like taking candy froim a baby. I once bought Equiticorp at 37 cents and sold at 76 cents only 4 days later. A sweet deal indeed.
Today, the stock market is STILL the best investment BUT ONLY IN BLUE CHIP STOCKS. My mother has a portfolio of over a million dollars in blue chip accounts. I begged and pleaded with her to sell up in mid '87 - but she refused to. I once calced that if she has sold up then, and purchased after the crash she would have pocketed a cool 1.6 million in profit in less than 6 months.... Anyway - she never sold, and never sells, and the income (taxable) and capital gains (non-taxable in New Zealand) are well in excess of both deposit rates and property purchasing.
Historically the stock market does very well over long periods - and if you invest in blue chip stocks you will very seldom lose any money at all IN THE LONG TERM.
It's day traders who are the scum of the earth in my view - they're the ones who tip the market over, and they're the ones who overvalue shares. I was happy to take my money and run in 1989 - but I'll never go back to day trading.
At that time though, I was waking up in a pool of sweat the same size as my body, having nightmares that the whole lot fell over again. So I sold the lot very shortly thereafter.One thing I found in stock trading is it is IMPOSSIBLE to think of the money you invested AS THE ACTUAL AMOUNT YOU INVESTED. And, that until you have cashed the sale cheque, you haven't made a single cent.
In my view, you are simply crazy to trade in volatile stocks unless you REALLY know what you are doing. For two years prior to the crash, I had been charting about 140 companies every single day. I understood very intimately the financial situation of the companies concerned: AB, P/E ratio, past dividends, accounting practices etc.
I was VERY fortunate to start buying when the market had just gone mental. Most companies were trading far lower than their asset backing value - even after the crash was taken into consideration - so it was like taking candy froim a baby. I once bought Equiticorp at 37 cents and sold at 76 cents only 4 days later. A sweet deal indeed.
Today, the stock market is STILL the best investment BUT ONLY IN BLUE CHIP STOCKS. My mother has a portfolio of over a million dollars in blue chip accounts. I begged and pleaded with her to sell up in mid '87 - but she refused to. I once calced that if she has sold up then, and purchased after the crash she would have pocketed a cool 1.6 million in profit in less than 6 months.... Anyway - she never sold, and never sells, and the income (taxable) and capital gains (non-taxable in New Zealand) are well in excess of both deposit rates and property purchasing.
Historically the stock market does very well over long periods - and if you invest in blue chip stocks you will very seldom lose any money at all IN THE LONG TERM.
It's day traders who are the scum of the earth in my view - they're the ones who tip the market over, and they're the ones who overvalue shares. I was happy to take my money and run in 1989 - but I'll never go back to day trading.
Actually today it is the institutional computor run proggies that are bain detesto.Mobius wrote: It's day traders who are the scum of the earth in my view - they're the ones who tip the market over, and they're the ones who overvalue shares. I was happy to take my money and run in 1989 - but I'll never go back to day trading.
for a while i was all keen on getting into stock trading. and i found a site that let you play with fake money - but real stock figures.
i found i sucked at it
, so i'm glad i didn't put actual money into my hunches. it was a brilliant learning experience btw.
day trading... uh, don't you guys have capital gains tax? (bah, i've fergotten how it all works)
i found i sucked at it
, so i'm glad i didn't put actual money into my hunches. it was a brilliant learning experience btw.day trading... uh, don't you guys have capital gains tax? (bah, i've fergotten how it all works)