Investing megathread extravaganza

[DaFace]

A place to talk about investing stuff.

[lewdog]

Originally Posted by neech

Thanks Lewdog I will consider WIRE, I don't know how you figure risk percentage into the math but I trust you.

It's just math for how much capital you'd lose on a trade.

(Purchase price - stop loss)
Divided by purchase price

= percent loss for trade

WIRE
72.21 - 68.88 = 3.33
3.33/72.21= 4.6% loss

[George Liquor]

I'm tired of working, can any of you guys help me get rich?

[lewdog]

Originally Posted by YontsRBake

Amazing earnings this week.

AMD is gonna blowout their earnings, I think a surprise $4.5B revenue quarter. Intel's data center segment was bleeding and the choice CPU of high-end mining rigs are threadrippers.

EBAY I think has a big Q as they're the ones facilitating the used GPU and collectible boom.

Qualcomm should also could react well to their earnings, they're lagging behind the rest of the semi industry also.

Earnings are SO hit or miss. You may see a stock trend higher on the rumor of a great earnings report. The earnings report hits, and it's great, but the stock tanks on institutional selling based on run-up to earnings. Or the stock trends higher during the day earnings are released, followed by a massive selloff after hours. It's definitely not consistent.

[eDave]

Originally Posted by BDj23

I'm tired of working, can any of you guys help me get rich?

Bitcoin is nothing new. Dedicated thread and everything.

[George Liquor]

Originally Posted by eDave

Bitcoin is nothing new. Dedicated thread and everything.

One of my biggest regrets is not buying in at 7-8k this time last year. But I couldn't sell the idea to my pregnant wife.

[neech]

Originally Posted by BDj23

I'm tired of working, can any of you guys help me get rich?

Listen to MTG.

[neech]

Originally Posted by MTG#10

There's more than one way to skin a cat.

lew's way is the safest/smartest way to invest, no question.

The way I go about it is definitely riskier, but also a higher chance of quick gains.

I'm too lazy/impatient to invest like lewdog but that doesn't mean I haven't learned from him.

Less then 1 percent of my portfolio is in these kind of stocks I think they are kind of fun, I'm more down then up on them though.

[lewdog]

Originally Posted by MTG#10

There's more than one way to skin a cat.

lew's way is the safest/smartest way to invest, no question.

The way I go about it is definitely riskier, but also a higher chance of quick gains.

I'm too lazy/impatient to invest like lewdog but that doesn't mean I haven't learned from him.

I agree. But without capital risk management, all these gains your making could be washed away with one market correction.

I'm just asking that people appreciate that when investing. You don't get many 2020 stock market gains. That rebound from pandemic lows is not common.

[MTG#10]

Originally Posted by neech

Less then 1 percent of my portfolio is in these kind of stocks I think they are kind of fun, I'm more down then up on them though.

You gotta get in before the end of the pump and out before the dump. And after you take profit dont look at it again like me and be pissed at yourself for not letting it go longer...that will inevitably lead to bagholding the next play.

[rydogg58]

Originally Posted by lewdog

It's just math for how much capital you'd lose on a trade.

(Purchase price - stop loss)
Divided by purchase price

= percent loss for trade

WIRE
72.21 - 68.88 = 3.33
3.33/72.21= 4.6% loss

Are your stop losses always set less than 10%? Just curious because in the previous examples, they weren't round numbers. Where do you come up with the stop loss %? I usually just set it at 5%, sometimes 10% depending on volatility.

[lewdog]

Originally Posted by rydogg58

Are your stop losses always set less than 10%? Just curious because in the previous examples, they weren't round numbers. Where do you come up with the stop loss %? I usually just set it at 5%, sometimes 10% depending on volatility.

Always less than 10%, yes. That’s one of my rules.

It’s based on recent lows or levels of support such at 20 and 50 day moving averages.

[jjchieffan]

I saw a nice turn around this week. Things had been falling since mid February, but Wednesday, Thursday and Friday were great. I was down 8% on the week Tuesday close. By Friday close, I was up 15% for the week. That was a great swing. I am hoping that the correction is over and this green continues.

[-King-]

Originally Posted by KCUnited

This thread is a living advertisement for ETFs

Originally Posted by KCUnited

Yes, you scream disciplined

[eDave]

Originally Posted by BDj23

One of my biggest regrets is not buying in at 7-8k this time last year. But I couldn't sell the idea to my pregnant wife.

50 is the new 8

[lewdog]

Originally Posted by rydogg58

Are your stop losses always set less than 10%? Just curious because in the previous examples, they weren't round numbers. Where do you come up with the stop loss %? I usually just set it at 5%, sometimes 10% depending on volatility.

I didn't have the energy to expand on this yesterday but my buy orders for breakouts are different than most people, as most write limit buy orders.

For possible breakout stocks that I listed, I am looking to buy in at a price ABOVE it's current market value. I do not purchase unless the stock confirms continued movement upward. So I write Buy stop market orders, meaning the stock has to go above my stop market order before I buy shares. This ones I posted this week are all pretty close to their breakout price, but many times shares are $1-2 away from a breakout price so they must continue decent upward momentum before I'll buy.

Once purchased, I monitor the stock for continued appropriate movement. Sometimes after purchasing a stock on breakout it will squat quickly, this isn't a good sign. Sometimes when I see this I sell the stock within the first few hours after purchasing or days after purchasing because it didn't confirm that the breakout up was real.

With swing trading you are generally looking for 3-10% gains within days to weeks. The stocks previous volatility will determine if it falls on the low or high side of that range. One of my rules is once a stock reaches 10% gains I sell at least 50% of my position. If the chart shows that a bullish pattern may continue, I let the remaining 25-50% of the position run but raise my stop loss to at least break even (limit your chance of losing trades!)

Hope that helps.