On October 08 2011 17:19 blah_blah wrote:
OP, you sound really dumb and clueless about how stocks work in general (likely as a result of being misled by friends or by various scammy stock market strategies from the internet)
That's a great blanket statement, I'm not even going to bother trying to prove you incorrect because you don't have any points that actually back your opinion. I have not been misled by friends, I only know 1 person that is interested in the stock market and he knows about the same amount as I do. I have not payed or nor do I learn from online stock market strats, I know full well that there is a lot of hard work and time investment and that is what I am doing.
You appear to have no sort of real education about how stocks work (and certainly no idea of what it means for a market to be efficient), almost no sort of practical or theoretical understanding of volatility or bankroll management (not that bankroll management is especially important when you likely have a negative expectation), and you almost certainly cannot afford to lose the money that you are going to lose.
No I have not attended college level courses on economics, and I am learning as I find new venues of information. Since the stock market is a zero sum trading environment, efficiency is something that would not be seen over the entire market. I plan on starting with approximately $2500 doing 1k trades, I know that there will be some losses but I think that with 2 years of learning/practicing and the right setup of charting programs I will see some measure of success doing this.
You talk about buying options when you definitely have no clue as to how options are actually priced in mathematical finance. You will probably lose money either way, but since you have no clue on what a proper price for an option should be, you are better off making simple directional bets on the market rather than getting into derivatives which are beyond your ability to understand (don't construe this as a recommendation -- based on your post you should not be investing in the stock market under any circumstances).
I know that options are set and they are stock-dependent, there is not a set price to options. I also have a lot to learn about options and I am still in the beginning stages of this process. I would like to know exactly what sets a price for options, if you could point me to a proper website or book or w/e to learn that I would appreciate it. What makes you think that I shouldn't be investing in the stock market. There are people that make their living on the stock market and I plan on being one of those people, if you can show me where I am going wrong instead of being a prick that would be great; Or you can just refrain from posting, that would be fine as well.
If making profits on stocks was as simple as buying in September and selling in January or whatever stupid pet theory you have adopted, then everyone would be doing it (and more relevantly, the market would have already priced it in).
Well, most people don't know that stocks are typically lower in september and higher in january, also most people don't have access to current charting services, if they are using charting services it is commonly delayed by 20+ minutes. You could argue that the market does price it in because stocks rise in value between september and january, this is easy to see if you just look at historical values of any market, including the dow in general (last year the dow rose about 20% from sep 2010 and jan 2011).
The sad irony is that you appear to have been the beneficiary of a great deal of government programs designed to help less fortunate individuals such as yourself, but you spend a substantial amount of time railing against the very programs that you are taking advantage of over the internet. When you blow the little amount of disposable income that you have on this ill-conceived endeavor you will probably continue to receive aid from the government. You are the embodiment of the substantial amount of Americans who vote Republican believing that, despite their general ignorance and lack of proficiency in any technical field, they are just a small break away from being in the highest income bracket (and hence social programs are bad, taxes on the rich should be slashed, etc, etc, etc). You are not a unique snowflake. You are mediocre and unremarkable. If you and individuals like yourself would realize this and vote in your own economic and social interests, America (and the rest of the world by extension) would be much better off.
I have taken part in food stamps for the last year because I qualified for them and I benefited from the 200 a month. That is the only government program that I use and if I could structure the program I would advocate for a charity to replace the government in doing that job. I do spend a fair amount of my time talking about government money pits simply because I feel that they put a substantial burden on our economy (same with our military spending). I don't think that business taxes and taxes on individuals over 300k (obamas tax increase plan) would be good for teh country, partially because of the spending that we see now. As a fairly broke college student I know that I can't hire someone to do a job on a regular basis. I can't pay someone 40 hours a week 50 weeks a year, but people and companies that make more (and subsequently are being taxed more) can. I am studying computer science and will be transferring to cal poly in san luis obispo for my 4 year degree and my dream is to get my masters and eventually phd at MIT. If I am the embodiment of people that vote republican then I feel good about the republican party. Interestingly enough, I don't consider myself a republican, I consider myself a libertarian. I don't believe in religion, I think it is none of my business what people decide to do to themselves (including abortion) and I advocate for stem cell research. To be honest, your crude remarks are wrong, you sound like a prick and I doubt you know any more about what you are talking about. YOU are not special. You are not a beautiful or unique snowflake. You're the same decaying organic matter as everything else. And so am I.
I made one of my responses bolded for clarity.