Gotta love ZERO RISK in the SP500 = $$$

Discussion in 'Trading' started by makloda, Jan 27, 2007.

  1. Deez

    Deez

    Oil spiked and markets reacted. Now they are reverting short term. Why do you think the Fed reducing rates is a good thing for the markets? Historically it signifies weakening corporate profits and some type of recession. What if Trump steps down? Too much uncertainty. Do you think the S&P will be higher in 9 months? Get serious. The world is more complicated than your simplistic analysis.
     
    #22911     Jan 8, 2020


  2. See that:
    Upside into the 2030's
    Cycle high 2021-2022 between 3850-4700


    The stock market is one area where people are happier with more bull.
     
    #22912     Jan 8, 2020
    jl1575 likes this.
  3. I see


    inverse.jpg
     
    #22913     Jan 8, 2020
  4. Some folks get very confused when the markets don't work the way they think they should. They can't predict what will happen tomorrow, but they can tell you where the markets will be in 9 months. These folks stand on the sidelines making there predictions.
     
    #22914     Jan 8, 2020
    jl1575 likes this.
  5. Deez

    Deez

    Lol upside into the 2030’s. No fuking sheit. If you invested in any 5 year period you are 90+% to be up. Over 10 years it’s essentially 100%. Equities are the lowest risk LONG TERM investment. This is trading though son.
     
    #22915     Jan 8, 2020
  6. Deez

    Deez

    That’s cool. My return was 50% last year. You?
     
    #22916     Jan 8, 2020
  7. Look like we got some folks who don't want to be long overnight. Iran very unpredictable.
     
    #22917     Jan 8, 2020
  8. Deez

    Deez

    I’m sure you saw it coming. In hindsight..
     
    #22918     Jan 8, 2020
    Overnight likes this.
  9. I find your comments entertaining, Rickshaw, but I assume they are said half-seriously.

    This thread was started in 2007 and we all know what happened in 2008. And it's only been a year since the last 20 % correction.

    We need to differentiate between trading leveraged futures and long-term holding stocks in a portfolio.

    Initial margin on one ES contract is $6930.

    ETH the market was down 56,75 points from the RTH Close yesterday.

    56,75 x 50 = $ 2837,50

    For simplicity, let's say you utilize 10K per contract. This means your account would have been down 28,38 % overnight. You would have been roughly 100$ from a margin call/forced liquidation.

    Unless you're continuously reducing risk, i.e., trading the same amount of contracts as your account grows, going long only without a stop is a great way to eventually blow an account. It works until it doesn't. :)
     
    #22919     Jan 8, 2020
  10. Deez

    Deez

    We all know what they say when you start getting tips from your taxi errrr rickshaw driver...
     
    #22920     Jan 8, 2020