***Official*** 2010 Stock Market Thread

[IEC]

Are we bouncing now or is this a head fake?

 

[ivan2]

they think it's worth $1.70...

http://www.prnewswire.com/news-rele...on-in-common-stock-and-warrants-82785402.html

 

[IEC]

Well, at least I only lost 5% net worth today...

 

[snoopdoug1]

they think it's worth $1.70...

http://www.prnewswire.com/news-rele...on-in-common-stock-and-warrants-82785402.html

I see $2. What did I miss?

 

[ivan2]

I see $2. What did I miss?

i think 2 bucks get u the stock plus the option that worth .30, is it?

 

[IHateMyJob2004]

keep in mind that it isn't as completely as bad as it sounds. this is true because with the transfer of the convertible bonds into shares, the company now no longer has that bond debt to pay back.

Depending on the bond agreement of course. That is usually the case, not always.

 

[richardycc]

bought some GMCR calls, if it works out, I will make all my paper lost from gnvc back. wish me luck. its down AH with great earnings..WTF?

 

[IHateMyJob2004]

I only had $100 cash in my account since I'm tied up elsewhere but I bought some GNVC @ 1.79. A measly 55 shares but it's a start.

So, with a $10 commison to buy and sell, yo uneed to make 20% on the stock jsut to break even?

 

[snoopdoug1]

it's time to go all in...I am selling everything else to buy more.

Did you do it?

Risk-o-meter would be sky high!

 

[Extelleron]

Never buy a stock because you think it's cheap. I too have became "investor" in a few stocks that I thought was cheap.

Investing in companies that are undervalued is exactly the point of investment. If you don't purchase a company based on it being undervalued, then what do you purchase it on?

 

[hiromizu]

Investing in companies that are undervalued is exactly the point of investment. If you don't purchase a company based on it being undervalued, then what do you purchase it on?

I'm not even sure if he's saying don't buy stocks because their stock price is below value or if the price per share is cheap because it's below a buck a share or something. I have a bad feeling it's the latter.

 

[Jassi]

Hello Mr. E*Trade!

At the risk of looking like a complete idiot later, I think E*Trade PPS is finally going to turn around. This month has been really good for DARTS (based on daily market volume) and loan loss provisions are on the decline. They are finally in a place to show net profit. I've got a lot of shares so I'm not in the market to buy or sell but I suggest people look at the latest earnings release.

I missed the CC, if anyone knows where I can get the transcript, please point me to it. Now, if only I had some money for RMBS

 

[El Guaraguao]

gnvc on the move!

 

[HopJokey]

gnvc on the move!

Yes it is.

Any particular reason?

 

[richardycc]

Did you do it?

Risk-o-meter would be sky high!

I am pretty much all-in before, will see how this will play out.

 

[El Guaraguao]

Im still practicing with this virtual stock market howthemarketworks.com has.. I invested $10,000 (virtual money) into gnvc this morning @ opening. I sold off at the highest peak it reach so far today and made a profit of $520. I held off until it dropped a little more and purchased 10g worth of stock again, and sold it off when it reached a certain point, making a TOTAL profit of $918.93

900 bucks after commission?

Do I pocket all this "virtual" money is there some kind of other hidden fee?

 

[oznerol]

Im still practicing with this virtual stock market howthemarketworks.com has.. I invested $10,000 (virtual money) into gnvc this morning @ opening. I sold off at the highest peak it reach so far today and made a profit of $520. I held off until it dropped a little more and purchased 10g worth of stock again, and sold it off when it reached a certain point, making a TOTAL profit of $918.93

900 bucks after commission?

Do I pocket all this "virtual" money is there some kind of other hidden fee?

Taxes.

 

[Slew Foot]

Taxes be your hidden fee. about 40-50% for daytraders.

 

[El Guaraguao]

Taxes be your hidden fee. about 40-50% for daytraders.

silly me, forgot about tax......but 40-50% of my cashout? how does that work?

 

[Slew Foot]

Short term capital gains are a bitch. Then you die.

 

[richardycc]

you will pocket about $500..not bad for a few mins of 'work' eh?
It's totally different with real money thou, it's like playing poker online with fake money.

Plus you can only do 3 round trips (one buy and sell of the same stock)every 5 days, over that, your broker will label you as daytrader, I think they also report that to the IRS. you will need to have a margin account with $25k or they will shut off your account for 90days.

http://en.wikipedia.org/wiki/Pattern_day_trader

 

[El Guaraguao]

you will pocket about $500..not bad for a few mins of 'work' eh?
It's totally different with real money thou, it's like playing poker online with fake money.

Plus you can only do 3 round trips (one buy and sell of the same stock)every 5 days, over that, your broker will label you as daytrader, I think they also report that to the IRS. you will need to have a margin account with $25k or they will shut off your account for 90days.

that was in my original plan. to pocket about $500. I guess I actually achieved that after I made that $900 before commission\tax.

so let me get this straight, so in order to become a day trader, i would have to come up with a 25k buy in and make 3+round trips everyday? :hmm:

 

[richardycc]

that was in my original plan. to pocket about $500. I guess I actually achieved that after I made that $900 before commission\tax.

so let me get this straight, so in order to become a day trader, i would have to come up with a 25k buy in and make 3+round trips everyday? :hmm:

no, if you dont want to be labeled as daytrader, just don't executes 4 or more round-trip day trades within any 5 successive business days. from your examples, it looks like you did that 2 round trip trades today already, so if you do 2 more within the next 4days, you can become designated a pattern day trader.

 

[IHateMyJob2004]

Im still practicing with this virtual stock market howthemarketworks.com has.. I invested $10,000 (virtual money) into gnvc this morning @ opening. I sold off at the highest peak it reach so far today and made a profit of $520. I held off until it dropped a little more and purchased 10g worth of stock again, and sold it off when it reached a certain point, making a TOTAL profit of $918.93

900 bucks after commission?

Do I pocket all this "virtual" money is there some kind of other hidden fee?

In the real world, you make money, then you loose money, then you make it, and loose it. This is what traiding does. You add all these gain and losses together (along with commission costs). At the end of a year, you either have a write off or you get taxed to hell.

The winner in all of this is your broker. No matter if you win or loose, he takes his cut on every trade.

In the long term, traders WILL underperform the major indices, especially when taxes and commisisons are added into the trades.

How do you win? Value the company. Not BS like it is down 25% or under $1. Determine what it is worth. It has assets and liabilities. It generates free cash flow. You need to understandhese things or you are simply guessing at value. Then buy companies that are undervalued by 50% and sit on them for years. You loose small amounts in commision this way and your tax rate will be much lower. Not to mention that doing this will kill major indices in the long term.

To many people are speculators but don't admit it. Investment requires critical thinking and an investment in time to find value.

 

[snoopdoug1]

I thought GNVC had support at 1.80 - looks like I was wrong!