Perpetual Lottery Tickets Drawer

Discussion in 'Journals' started by random trader, Sep 9, 2003.

  1. Stock market to the middle class is lottery to the underclass.

    Background
    This is the sister thread to "I trade 1 ES".

    Objective
    Buy and hold lottery tickets (penny stocks) until target is reached or all tickets expire.

    System
    Buy and buy more. Bias is up and up more. No indictors. Price is its own indicator.

    Entry
    Try to buy these tickets on sale. Those no one wants to touch are the best. That means they have to be cheap, right? Will be buying 100 shares of each. All subsequent calculations will be done in $ terms, no percentages.

    Stop
    None. No fear.

    Exit
    Sell when the total investment doubles. No greed, just looking for a 100% gain.

    Let N be the number of stocks, X be the $ of total costs of N stocks, P be the profit on a stock
    On any day
    Rank all N P’s from high to low and number them 1 through N
    For I = 1 to N
    If sum(P(I)) > 2X
    Sell stock 1 through I
    The rest (I+1 to N) is free lunch after the investment is doubled.
     
  2. A comparison of the two experiments follows:

    I trade 1 ES
    Vechicle: futures
    Leverage: high
    Trade: in and out
    Bias: up and down
    Stops: yes
    Indicators: MACD, CCI

    perpetual lottery tickets drawer
    Vechicle: penny stocks
    Leverage: none
    Trade: buy and hold
    Bias: up and up
    Stops: no
    Indicators: price is its own indicator
     
  3. Spanky

    Spanky

    i think u r going 2 make a fortune with this
     
  4. 9/9/03

    N = 4
    X = $173
    Sum(P) = $19

    Stock market to the middle class is lottery to the underclass.


     
  5. At least you have a plan.
     
  6. Found 3 lottery tickets under the bed this morning. In the afternoon went to the corner store and bought another one. Put all in the drawer.
     
  7. 9/10/03

    N = 8
    X = $264
    Sum(P) = $6

    Stock market to the middle class is lottery to the underclass.
     
  8. Went to the friendly corner store at lunch time and bought a ticket.
     
  9. 9/11/03

    N = 9
    X = $299
    Sum(P) = $2

    Stock market to the middle class is lottery to the underclass.
     
  10. Lottery tickets not on sale today.
     
    #10     Sep 12, 2003