Online Stock Trading

[JerichoHill]

Even if you were Warren Buffet saying that I would have to say I disagree with you

You did say that.

I'm sure you'll be a millionaire in 2 years though since you've got it all figured out and nothing could go wrong.

 

[JollyRoger]

Yeah, but once you have a lot of money it's a lot easier to make it. What's the old saying? It takes money to make money.

So you give heed to old sayings but not to old track records?

 

[JerichoHill]

So you give heed to old sayings but not to old track records?

It's just silly too, because having alot of money can also go hand in hand with being too risky.

Yeah, alot of contradictions here.

 

[JollyRoger]

It's just silly too, because having alot of money can also go hand in hand with being too risky.

Yeah, I was a mere minnow that got wiped out in 2000. I lot bigger fish than me got fried by thinking the internet changed the rules of the game back then.

 

[Kruelgor]

...while many people talking like you got wiped out in 2000.

I can't get wiped because:

1. I only have 1/4th of my investment capital in any one specific stock at any given time.

2. The average time length my money is in a stock is only a few hours.

3. The game I play doesn't allow for stocks to drop to zero in a matter of a couple of hours. My specific picks are too strong financially. It may drop, but wont drop to zero.

So, if I get "wiped out" it will need to be something on a global scale where everyone gets wiped out and the value of the dollar equals zero, because 3/4ths of my investment money sits in a cash account the majority of the time waiting and ready to be invested like Army Divisions ready to enter the battlefield.

 

[JollyRoger]

I can't get wiped because:

1. I only have 1/4th of my investment capital in any one specific stock at any given time.

2. The average time length my money is in a stock is only a few hours.

3. The game I play doesn't allow for stocks to drop to zero in a matter of a couple of hours. My picks are too strong financially.

You pay a commission every time you trade and your portfolio is pretty small now. Assuming you have doubled your money to $6,000, your biggest trade is only $1,500.

You get wiped out by taking a string of losses that is longer than you now think possible, but is more likely than your 3k-to-a-million-in-2-years scenario.

You get wiped out when after-hours opens 20% down on too many trades in a short time period.

You get wiped out by holding Lehman Brothers at the wrong moment.

You get wiped out when China shuts down the internet at the wrong moment.

Think about it, by holding so many stocks, you are increasing your risk of holding on to someone that will announce a bankruptcy at market close and there goes almost a quarter of your portfolio by the time you can react.

And by wiped out, I didn't mean my entire portfolio, I meant my profits and a bit more.

You are playing a momentum game and using long-term tools. The stocks you mentioned are very volatile and you have lucked into the upward volatility and this upwardness has been biased by an overall upward trend in the market while you have been trading. Nothing you are doing hasn't been tried before.

 

[emzie]

I can't get wiped because:

1. I only have 1/4th of my investment capital in any one specific stock at any given time.

2. The average time length my money is in a stock is only a few hours.

3. The game I play doesn't allow for stocks to drop to zero in a matter of a couple of hours. My specific picks are too strong financially. It may drop, but wont drop to zero.

So, if I get "wiped out" it will need to be something on a global scale where everyone gets wiped out and the value of the dollar equals zero, because 3/4ths of my investment money sits in a cash account the majority of the time waiting and ready to be invested like Army Divisions ready to enter the battlefield.

Out of hundreds of millions of investors, you were the first to figure this out. You are just that good. Congratulations.

 

[Kruelgor]

This may sound funny, but I do contribute my success in the stock market with my years worth of utter obsession to mastering online multiplayer war games. To master a war game you have to know it inside and out. You have to experiment with different strategies and know every unit and know every weapon in your arsenal. I took this same "war gaming" approach and applied it to this other man-made game we call the stock market.

If you know anything about me, you will know that I train and dedicate myself to utterly destroy opponents in multiplayer war games. I get a nice thrill out of it.

 

[JollyRoger]

This may sound funny, but I do contribute my success in the stock market with my years worth of utter obsession to master online multiplayer war games. To master a war game you have to know it inside and out. You have to experiment with different strategies and know every unit and know every weapon in your arsenal. I took this same "war gaming" approach and applied it to this other man-made game we call the stock market.

If you know anything about me, you will know that I train and dedicate myself to utterly destroy opponents in multiplayer war games. I get a nice thrill out of it.

You think you are Level 80, but are still wandering around the shadows of Northshire Abbey.

You are using a long-term tool to hammer out short-term trades. It is painfully obvious you do not know the game inside and out.

 

[Kruelgor]

You think you are Level 80, but are still wandering around the shadows of Northshire Abbey.

It's possible. You could be right. I shall found out if you are right, or if you are wrong. That much is guaranteed because I'm not stopping until I've either lost everything, or until I've gathered enough economic power to jump start the Magog movement I have envisioned.

 

[amadeus]

I know this is "crazy" talk and it defies logic, but IF (and I stress IF) I continue at this rate I will have turned $3000 into a million bux in less than 2 years (magic of exponential growth). Hehe...that sounds insane and I don't expect any of you to believe it, because I know I wouldn't if I heard someone else say it.

If Japan kept growing at the rate it did in 1950, they'd have a GDP 15 times the size of the United States. Hooray for extrapolating data!

 

[Kruelgor]

If Japan kept growing at the rate it did in 1950, they'd have a GDP 15 times the size of the United States. Hooray for extrapolating data!

True and good point. The one obstacle I foresee is when I'm investing much larger dollar amounts. That is something I'm a bit worried about because for every seller there needs to be a buyer and vice versa, so I am a bit concerned if my trade transactions will even take place once I'm making trades of $100k+. For example, if I sell $100k worth of stock, will there be enough buyers to buy it at my price at the time I want to sell it? With these smaller amounts I'm trading it's no problem, but I don't know about the larger amounts. That is something I need to research.

 

[JollyRoger]

True and good point. The one obstacle I foresee is when I'm investing much larger dollar amounts. That is something I'm a bit worried about because for every sell there needs to be a buyer and vice versa, so I am a bit concerned if my trade transactions will take place once I'm making trades of $100k+

If you knew the game inside and out, you would realize how small a $100k trade is to the Level 80s.

 

[mrt144]

This may sound funny, but I do contribute my success in the stock market with my years worth of utter obsession to mastering online multiplayer war games. To master a war game you have to know it inside and out. You have to experiment with different strategies and know every unit and know every weapon in your arsenal. I took this same "war gaming" approach and applied it to this other man-made game we call the stock market.

If you know anything about me, you will know that I train and dedicate myself to utterly destroy opponents in multiplayer war games. I get a nice thrill out of it.

Ok, now you're just putting us on.

 

[Kruelgor]

If you knew the game inside and out, you would realize how small a $100k trade is to the Level 80s.

It really depends on the stock. If it's a stock that has an average daily volume of 3 million+ shares per day then it shouldn't be a problem, but most stocks average much less trade volume especially in the premarket and aftermarket trade hours which I rely on heavily. I have a friend who traded a "small" amount and although he wanted to sell all of his shares at a given moment at a given price he couldn't, simply because there were not enough buyers at the time.

 

[JollyRoger]

It really depends on the stock. If it's a stock that has an average daily volume of 3 million+ shares per day then it shouldn't be a problem, but most stocks average much less trade volume especially in the premarket and aftermarket trade hours which I rely on heavily. I have a friend who traded a "small" amount and although he wanted to sell all of his shares at a given moment at a given price he couldn't, simply because there were not enough buyers at the time.

If you are trading in low volume stocks, you are really asking for trouble as it is easier for the wolves to get to the sheep.

 

[Kruelgor]

Ok, now you're just putting us on.

No. I am not.

 

[mrt144]

True and good point. The one obstacle I foresee is when I'm investing much larger dollar amounts. That is something I'm a bit worried about because for every seller there needs to be a buyer and vice versa, so I am a bit concerned if my trade transactions will even take place once I'm making trades of $100k+. For example, if I sell $100k worth of stock, will there be enough buyers to buy it at my price at the time I want to sell it? With these smaller amounts I'm trading it's no problem, but I don't know about the larger amounts. That is something I need research.

Liquidity can be a problem and could limit future selections of stock. Imagine you want to purchase ABC at $10. You'd be screwed if you put 100k in it only to discover that not only was the ask price increasing on each small purchase from each individual willing to sell up until you've accumulated all your shares, but that once you had completed your purchase the bid price might be right back where you put your order at. Sure it might not be a 1% loss but if the avg volume for that stock was 10k shares per day, you might be holding that a lot longer than you'd expect and might incur a loss.

Of course you can place all or none orders... but again, this limits your selection to stocks that have a lot of volume daily.

 

[Kruelgor]

If you are trading in low volume stocks, you are really asking for trouble as it is easier for the wolves to get to the sheep.

Yeah, I know that. I'm currently trading stocks with an average of 900,000+ shares per day. It's one of my requirements.

 

[Kruelgor]

Liquidity can be a problem and could limit future selections of stock. Imagine you want to purchase ABC at $10. You'd be screwed if you put 100k in it only to discover that not only was the ask price increasing on each small purchase from each individual willing to sell up until you've accumulated all your shares, but that once you had completed your purchase the bid price might be right back where you put your order at. Sure it might not be a 1% loss but if the avg volume for that stock was 10k shares per day, you might be holding that a lot longer than you'd expect and might incur a loss.

Of course you can place all or none orders... but again, this limits your selection to stocks that have a lot of volume daily.

Thank you for that information. I will remember that and take note.