100k to 2,800,000 Since April 2nd (including 2 Million in 2 Days) - Of THIS YEAR!

Discussion in 'Chit Chat' started by ByLoSellHi, Apr 28, 2007.

  1. Yes, it's on paper for thestreet.com competition.

    It's damn impressive, though.

    Does anyone here think it's easy to do what one does in paper with real money?


    'Beat the Street': BuyBuyBuy

    By TSC Staff
    4/26/2007 4:02 PM EDT

    On Monday, we were astounded that our leaders were over $500,000. On Thursday, our leader, Felix Diexia Wang, stands at $2.8 million. We naturally wanted to know how he did it. Here are his replies.

    Can you tell me how you made $2 million in the last two trading days?

    Well ... if you really want to know ;-), I used the full margin available to me every time I traded. In other words, 200% buying power. This allowed my returns to grow exponentially. I used this strategy with my investments in the short biotech boom. I also had a substantial investment in Vonage (VG - Cramer's Take - Stockpickr) several days before the court decision announcing VG will be able to sign on new customers. The stock rose over 45% at one point.

    What stocks have you traded most effectively and how?

    Recently, many small biotech stocks are on a tear after reporting encouraging data in their clinical trials. I have been able to realize gains on both sides of the trade because of rampant speculation before and after the release of the results of the drug trial. Examples include BioDelivery (BDSI - Cramer's Take - Stockpickr - Rating) and Avanir Pharmaceuticals (AVNR - Cramer's Take - Stockpickr - Rating). (Click here to see Gregg Greenberg interview BDSI's CEO.)

    What's your style of investing? Are you daytrading, or making longer-term picks?

    Schoolwork and other activities have limited my time to do research on many securities. Thus, I focus only on a handful of stocks and use an all-in approach for this game. Leverage and carefully timed, well-informed investment decisions play big roles in generating a high absolute return. Short-term or long-term strategies do not matter much as long as one adapts to the market situation and is confident in his trades.

    Do you primarily trade on the long or short side? Any stocks that have been particularly good from both sides?

    I trade about 60% long and 40% short. Trading a stock on both sides is very tricky and risky. It is difficult to say when to use this tactic.

    How do you research your picks? Do you primarily use fundamental or technical analysis?

    I believe a combination of fundamental and technical analysis (sources include Thomson Financial, Bloomberg, and Yahoo! Finance) is necessary homework for a trader. I look at all the price ratios, volatility measures and historical trends of a particular stock. In addition, revenue and earnings growth as well as changes in free cash flow are important indicators of a company's potential.

    As for other sources, TheStreet.com, MarketWatch, The Wall Street Journal, and Barron's are all valuable resources.

    If you win, what will you do with the $100,000?

    1. Pay my college tuition.
    2. Start paying off debt to my parents.
    3. Buy a Jim Cramer "Boo-yah" bobblehead.

    Have you given any thought to what you'll look to learn from Jim if you go on air together? Any stocks you'd like his take on for "real" investing?

    I want to learn about his success in managing his hedge fund. I also want to learn about his experience at Goldman Sachs' (GS - Cramer's Take - Stockpickr - Rating) sales and trading division. Finally, any advice for an aspiring portfolio manager would be wonderful.

    How long have you been investing? And what's the best investing advice you've ever received? The worst?

    I have been investing for eight years.

    Best advice: Think before do.
    Worst: Do before think.

  2. is that you??
  3. Sadly, no. :(

    Surf, have you ever seen or heard about returns this crazy, even short term?
  4. Yeah, I was amazed at that performance too.

    Sim or not, or lucky or not, it was still awesome for that short of time span.

    Bet that guy and his family wished he had done it with real money. But of course, that's when you get wiped out!

    Good luck to all. :cool:
  5. ER9


    current leader is at $3,200,000.00 after 1 month
  6. is this some kinda BS? paper or not, turning 100,000 into 3 million in a month is ....... unreal. I've seen super successful futures pit traders turn 100,000 to 1.7million and even they took 3 month!.
  7. This is the dart throwing monkey on the end of the bell curve. Pure luck.
  8. I would like to see the result of everyone in the competition, to determine the percentages of those gaining and those losing money.

    If the number of those losing money is exceptionally high, as I suspect (I suspect for every one net 'winner,' there are 8-9 'losers'), this is still interesting because whereas the losers lost anywhere from .01 to 100k, the spectacular gains of the top echelon of the winners profiled (those in the top 10 are up at least 500% in one month) might make attempting such volatile strategies worthwhile for those with completely discretionary accounts.

    I would also like to know the median and mean gains or losses of the entire field of contestants.
  9. You want to know about the losers?!? Hmmm - I'm gonna have to start a thread about that....
  10. My comment: papertrade is different than realtrade. Like water and fire.
    #10     Apr 29, 2007