Investing General Discussion

Fogel

Fogel

Mr. Poopybutthole
12,185
45,433
Penny stocks aren't listed on any of the major exchanges, which require a lot of due diligence in filing of revenue, dept, cash levels, etc. So penny stocks can do a lot more shady things that companies on the major exchanges can't, or can't so easily anyway. They also have lower volumes which cause the bid/ask spread to be a lot bigger and it's also easier for someone to manipulate the prices.
 
  • 2Like
Reactions: 1 users
Rangoth

Rangoth

Blackwing Lair Raider
1,566
1,715
New guy here so thanks everyone. Joined during the meme stocks! So 90% of my investment was 401k or me on etrade buying for long term(5-10 years retirement). But i learned alot during this and actually did make money(not much as i was risk adverse, so only made about 2k)....but from what ive learned i now have some questions. All of this is side money outside of normal 401k shit

1.) if i reallywant to buy for long term. It seems like it would be foolish not to do a put sell(right term?) where i say im willing to buy at X and get paid whether it reaches that or not and if it does then i get the stock i want to hold for 5+ years anyway at a rate i like....is that correct? I understand the risk of that stock going to shit but thats not my concern here....i think its a balancing act of not picking a put such that i just close instantly and also not so far away that i chase the stock until i die....

2.) if im not interested in a day trading type thing, i can also sell my 100 shares at option too, correct? So once again i assume the balance is pricing such that the option wont get called(assuming i want to keep my shares) and try to make some money from them? But also whats the thoght on if ive owned those shares for 2 years and pretty much any strike is profit already, would i be ok taking more “risk”(meaning my option is called) because i could then just start over with a new stock?

Again i dont think im going to be a day trader, but im wondering if i can be slightly more aggressive in my secondary fund without risking it all. The above two seemed like good ideas
 
  • 1Like
Reactions: 1 user
Indyocracy

Indyocracy

Stock Pals Participant
<Gold Donor>
1,057
4,988
Rangoth said:
New guy here so thanks everyone. Joined during the meme stocks! So 90% of my investment was 401k or me on etrade buying for long term(5-10 years retirement). But i learned alot during this and actually did make money(not much as i was risk adverse, so only made about 2k)....but from what ive learned i now have some questions. All of this is side money outside of normal 401k shit

1.) if i reallywant to buy for long term. It seems like it would be foolish not to do a put sell(right term?) where i say im willing to buy at X and get paid whether it reaches that or not and if it does then i get the stock i want to hold for 5+ years anyway at a rate i like....is that correct? I understand the risk of that stock going to shit but thats not my concern here....i think its a balancing act of not picking a put such that i just close instantly and also not so far away that i chase the stock until i die....

2.) if im not interested in a day trading type thing, i can also sell my 100 shares at option too, correct? So once again i assume the balance is pricing such that the option wont get called(assuming i want to keep my shares) and try to make some money from them? But also whats the thoght on if ive owned those shares for 2 years and pretty much any strike is profit already, would i be ok taking more “risk”(meaning my option is called) because i could then just start over with a new stock?

Again i dont think im going to be a day trader, but im wondering if i can be slightly more aggressive in my secondary fund without risking it all. The above two seemed like good ideas
Click to expand...
Both of those options are good strategies, I have heard it referred to as the wheel. The only risk to 1 is the stock jumps in value and you miss out on the gain ( an example I had been doing puts on PLTR for 2 months at between 22 and 25 then it jumped to 35)
For 2 if you ever considered setting a limit order above today's price to lock in profits why not place a call instead.
 
Sanrith Descartes

Sanrith Descartes

Veteran of a thousand threadban wars
<Aristocrat╭ರ_•́>
41,495
107,549
Rangoth said:
New guy here so thanks everyone. Joined during the meme stocks! So 90% of my investment was 401k or me on etrade buying for long term(5-10 years retirement). But i learned alot during this and actually did make money(not much as i was risk adverse, so only made about 2k)....but from what ive learned i now have some questions. All of this is side money outside of normal 401k shit

1.) if i reallywant to buy for long term. It seems like it would be foolish not to do a put sell(right term?) where i say im willing to buy at X and get paid whether it reaches that or not and if it does then i get the stock i want to hold for 5+ years anyway at a rate i like....is that correct? I understand the risk of that stock going to shit but thats not my concern here....i think its a balancing act of not picking a put such that i just close instantly and also not so far away that i chase the stock until i die....

2.) if im not interested in a day trading type thing, i can also sell my 100 shares at option too, correct? So once again i assume the balance is pricing such that the option wont get called(assuming i want to keep my shares) and try to make some money from them? But also whats the thoght on if ive owned those shares for 2 years and pretty much any strike is profit already, would i be ok taking more “risk”(meaning my option is called) because i could then just start over with a new stock?

Again i dont think im going to be a day trader, but im wondering if i can be slightly more aggressive in my secondary fund without risking it all. The above two seemed like good ideas
Click to expand...
You may want to buy and hold stocks that you can't afford to buy 100 shares in. In these cases you can't run options like you suggest. You are correct in your understanding. The downside is while you wait for option expiry you might have significant stock movement.
 
  • 2Quality Calories
Reactions: 1 users
Rangoth

Rangoth

Blackwing Lair Raider
1,566
1,715
Thanks. Basically i buy a little with each paycheck and my overall account is way up(not bragging, seriously) just trying to usesome new shit i learned to maybe grow a little bit faster/better.

Ill look into those things and maybe put aside like 10% for the fun stuff like what happened recently
 
Gravel

Gravel

Mr. Poopybutthole
36,379
115,595
I don't know how you all do this day trading shit.

I'm down like $250. And it's stressing me the fuck out.

Not even talking about how insignificant that is to my net worth, I make just over $50/hr. There's no reason I should care about this.

I'm hoping to get out of this even, but if not, it'll be a lesson on why I don't invest in individual stocks. More power to you all making 5-6 figures doing this in your spare time, but not for me.
 
Araysar

Loser Araysar

Chief Russia Correspondent / Stock Pals CEO
<Gold Donor>
75,430
149,645
Gravel said:
I don't know how you all do this day trading shit.

I'm down like $250. And it's stressing me the fuck out.

Not even talking about how insignificant that is to my net worth, I make just over $50/hr. There's no reason I should care about this.

I'm hoping to get out of this even, but if not, it'll be a lesson on why I don't invest in individual stocks. More power to you all making 5-6 figures doing this in your spare time, but not for me.
Click to expand...

bro, throw $100 on this penny stock herbal supplement company with me and we'll both make 5-6 figures in 2021

1612237060790.png
 
  • 1Supertaster
  • 1Like
Reactions: 1 users
Pogi.G

Pogi.G

Silver Baronet of the Realm
1,553
8,008
Tarrant said:
I just got this email from Robinhood. They went from brushing this all off to saying it wont impact their future business to now sending this out.

View attachment 332450
Click to expand...
I call horse shit. Not that I have skin in the game anymore. I moved all my cash from RH, webull, and td ameritrade to Fidelity. Fuck those companies for their moves to tank the stock.
 
  • 1Solidarity
Reactions: 1 user
Locnar

Locnar

<Bronze Donator>
2,716
2,996
Arden said:
Still watching youtube vids nonstop on SPACs but I have a few questions:

1. It seems like most people indicate the risk of SPACs is either a poor acquisition or no acquisition at all. If I'm reading you guys right, most of you are getting out of SPACs pre-acquisition? You are basically just waiting for the "good news bump" and then selling? Or are you staying in until after the actual acquisition?

2. Is 10$ really as low as a SPAC can go? If so, it seems like an extremely mitigated risk if you get into a SPAC near the bottom (10$ range). You have plenty of upside and very limited down. Am I missing something?
Click to expand...

1. it depends on the spac and what your guts tell you. If you really like the post merge company, then stay in. I'll add to this: Because I was too slow to sell, I got stuck with LAZR the day it merged because Fidelity did not recognize the new name or some shit. I was kinda pissed....until LAZR mooned to the Void the next day! More recently I was in OAC which became HIMS. I sold half pre merger and then kinda forgot about it.... then I was like , oh wow this merger is done and the stock is HIMS now. While I was wondering what to do Cathy Woods buys it for her ETF and now its higher then it was as a spac. So yes post merger SPACs can and do pay too.

2. think of it as escrow, your money (10 dollars a share) sit in escrow waiting for you and can't be touched UNTIL the merge happens. If merge does not happen, they give you back your 10 dollars (a share).
 
Last edited:
  • 1Like
Reactions: 1 user
SeanDoe1z1

SeanDoe1z1

Avatar of War Slayer
7,228
18,612
i can already imagine how people with the reigns are trying to somehow identify WSB (or any version that comes after this) as financial terrorists.


even though in the grand scheme of things this is entirely what it is, a meme that went viral. a good story at least, or at least add a little flair!
 
  • 1Like
Reactions: 1 user
Furry

Furry

WoW Office
<Gold Donor>
19,542
24,674
Funny thing about this GME squeeze is that it's clung on to life long enough to be a zombie squeeze. Anyone who makes loss porn from here definitely has worked for the lols they'll give us.
 
Locnar

Locnar

<Bronze Donator>
2,716
2,996
Arden said:
I've seen WoWS. I thought he got rich off penny stuff? Been a while though.
Click to expand...

he got rich, by running pennystock scams on everyone else! (you are everyone else in this movie)

I played with sundail during the summer, I do think the penny stocks can be manipulated more which means the real money goes to way fewer people then is usual
 
Pogi.G

Pogi.G

Silver Baronet of the Realm
1,553
8,008
Arden said:
I've seen WoWS. I thought he got rich off penny stuff? Been a while though.
Click to expand...
He did. His firm would buy a shit ton of stock of a penny stock company that was worthless. Then his firm would make calls and send marketing out that was positive to bring attention to the stock. When people caught on, it would create a buying frenzy driving up the price(pumping) and when his firm reached their pump price, they would then sale their shares near the top (dumping). This would leave all the investors who were not in on the scam holding worthless stock and losing all of their money.
 
You must log in or register to reply here.