Value Investing

Discussion in 'Journals' started by Forexer Guru, Mar 3, 2024.

  1. Yes I am trading partly on margin because i use russian metaquotes. However, I have Robinhood account also and that does not offer margin
     
    #41     Mar 4, 2024
  2. Cabin1111

    Cabin1111

    Again the margin issue. Also with Robinhood, you will get the worst fills with both stocks and options. Eyes wide open...
     
    #42     Mar 4, 2024
  3. Specterx

    Specterx

    This approach is flawed and you're doing it wrong. In practice you are swing trading on momentum, but buying "cheap" stocks and hoping for them to move a few bucks is the wrong way to do this. If you want to swing trade momentum then you should buy hot symbols in hot sectors moving up on high volatility like BTC, NVDA, AMD etc.

    If you are going to “value invest” then you need to do a deep dive into the market & fundamentals - far, far deeper than just a simple PE ratio. Cheap stocks are usually cheap for a reason. If that 'reason' is incorrect, or the discount applied by the market is too steep, then you may have a genuine value opportunity. Also instead of stopping out when the price moves down, you should be holding and perhaps buying more since the stock is now on sale - as long as your analysis is still good. (Price is what you pay, value is what you get)

    The payoff from such an approach comes from holding for years in most cases, certainly not a few days (lol). The required analytical skills take years to develop. Start by picking companies, reading the quarterly & annual reports and presentations, and coming up with a bottom-up valuation for them.
     
    #43     Mar 4, 2024
    engineering and taowave like this.
  4. I hope you master accounting if you want to get an edge in value investing.

    My #1 read book:

    Warren Buffett and the Interpretation of Financial Statements

    You better master that one inside & out. Good luck to you sir.
     
    #44     Mar 4, 2024
    taowave likes this.
  5. 5/3/2024
    My strategy helped me to identify the the following five
    AIN.NYS EAlbany International Corp
    CPB.NYSECampbell Soup
    MKC.NYSEMcCormick & Co
    J.NYSEJacobs Engineering Group
    OMC.NYSEOmnicom Group

    based on my analysis, the following do not meet my criteria
    CPB.NYSECampbell Soup
    MKC.NYSEMcCormick & Co
    J.NYSEJacobs Engineering Group
    OMC.NYSEOmnicom Group

    AIN.NYS Albany International Corp: I am considering the option of buying the company's stock but have not yet made a firm decision (at around price 92.38)
    risk: 1% target 3%.
     
    #45     Mar 5, 2024
  6. c
    comment if you are a stock trader
     
    #46     Mar 5, 2024
  7. Quanto

    Quanto

    The real big money is made with "troubling stocks" (volatility rises),
    not with "value stocks" (volatility is low and constant).
    Or generally spoken: when volatility swings from low to high, and vice-versa; ie. doing "volatility trading".
    Especially true when trading the options of them... :cool:
    Of course this is speculation, not "value investing" :p
    But: the result should decide which one is better... :D

    https://en.wikipedia.org/wiki/Speculation

    Disclaimer: This posting is just informational to show the difference between speculation and value investing, along with some related links for further information. Yes, I'm a speculator, but not daytrader. My investment horizon is just some weeks; the shorter the better, upto 1DTE (but not 0DTE :)), ie. when doing kind of Event Trading, when a known event is expected to occur.
    Wish you well doing in whatever you prefer :)
     
    Last edited: Mar 5, 2024
    #47     Mar 5, 2024

  8. buying AIN.NYSE
     
    #48     Mar 5, 2024
  9. taowave

    taowave

    Im not second guessing your pick,but what makes you think AIN is a Value play?

     
    #49     Mar 5, 2024
  10. Double Bottom Pattern for My Journaling

    RJF.NYSE Raymond James Financial, Inc
    EEFT.NAS Euronet Worldwide Inc

    upload_2024-3-6_15-51-59.png


    upload_2024-3-6_15-54-37.png

    It is possible to use double bottom pattern along with other strategies to predict a significant increase in price?
     
    #50     Mar 6, 2024