Why Is The Obvious Not So Obvious?

Discussion in 'Risk Management' started by nysestocks, Jan 25, 2009.

  1. ironchef

    ironchef

    Please stay with me for a min: So, I watched what the price were doing Friday, saw the price went down like crazy from 2:00 pm to close. What is that telling me? What should I do on Monday based on what the price was doing Friday afternoon?
     
    #6501     Mar 25, 2018
  2. fbmbirds

    fbmbirds

    Im new to the investing game and have 100k capital to use for day trading. how long will it take until I lose it all?
     
    #6502     Mar 26, 2018
    J Ski likes this.
  3. Neuroway

    Neuroway

    Statistically, you're dumb money, fbmbirds, and there's a probability of 90% that you will lose 90% of your capital in 90 days. Then, you should lose another 90% of the remaining 10% in another 90 day. And so on.

    Basically, if we stick to statistics which always tell the truth and if your broker is honest enough not to rob you here and there, you can expect to have 0.01% of your capital left after 1 year (around $10 bucks, which you can use to start another business or buy yourself a pack of beer), that's if you learn nothing and if you're stubborn enough to stick to trading and not move on to something else.
     
    #6503     Mar 26, 2018
    Skynetgen, 312 and fbmbirds like this.
  4. SkyChef

    SkyChef

    You have to wait until the end of Monday to know what you should do next :D
     
    #6504     Mar 26, 2018
    ironchef likes this.
  5. fbmbirds

    fbmbirds


    Thank you for being brutally honest, So should I trade futures instead?
     
    #6505     Mar 26, 2018
  6. Vindago

    Vindago

    FB, you should not trade at all and keep your money, but, if you insist on embarking on this road, spend a few years trading a dummy account, then when and only when you have been consistently profitable for at least a year, you may try to go live, trading small for another 6 months than increase a little every three months that your are profitable.
     
    #6506     Mar 27, 2018
  7. ironchef

    ironchef

    The old saying: What goes up must come down and what goes down must come up.:D
     
    #6507     Mar 27, 2018
  8. ironchef

    ironchef

    IMHO, day trading is not investing. First you have to decide whether you want to be an investor or a trader.

    If you want to invest, don't day trade. Otherwise, it is mostly speculating and not investing. To learn to trade, you do need to read up on the finer details of trading. Buy a few books and read up, not that they will help you make money but they will at least show you the ins and outs and how to manage risks.

    Not losing money is rule #1 and it took me years to figure that out.:banghead:

    Good luck and welcome to ET.
     
    #6508     Mar 27, 2018
    Onra and fbmbirds like this.
  9. Vindago

    Vindago

    Very true indeed, but... you first need to make sure what is up and what is down and ...what is the middle point.
     
    #6509     Mar 28, 2018
  10. MrScalper

    MrScalper

    it really should not matter what way it goes..but..as you are a self professed buy and hold guy..then it does matter to you if the market falls

    if you bought FB recently for the long haul..your underpants probably has a lot of skid marks :)

    nothing wrong with buy and hold once you don't get greedy like most do..and lock in those profits when you have them

    some find it much better..and have a good nights sleep every night..by just waiting for the market to open..see where it is actually going..and jump in and out at the right TIME

    so..let me predict the future for you now..your next question will be..

    "how do I know the right TIME" :)
     
    #6510     Mar 29, 2018
    fbmbirds likes this.