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[Piecake]

Wow, so I need to both keep an eye on the currency and the stock, I'll be wary of that. =)

Are any of you, beside long-term investing, also doing short-term ones? And what did you guys do when you first entered the market? Did you try and invest, then sell it to gain a few dollars quickly just to get a taste of what it feels like? Or did you only do long-term investment? What would be the best way of doing it as a beginner (after having studied everything as I talked about before) ?

well, just remember that you'll be taxed a lot more if you do short-term gains.

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

Probably make a whole lot more sense to wait at least a year. As for what i would do, I would pretty much always invest for the long haul due to compound interest kicking some serious ass.

Sure, you'll make a bit of money buying cheap stocks and selling them a couple months later, but it wont be all that much. If you want some money coming in from your investment you could always buy a dividend stock. though personally, I would reinvest the dividend back into the stock instead of just getting cash

as for long term, the longer you have it in the better due to compound interest.

http://www.investopedia.com/video/play/what-is-compound-interest#axzz1Vu4HnLL2

So if you dont need the money, dont touch it, or add to it. If you want to force yourself not to touch it, you can set up a Roth IRA. 5K a year cap on earned income, but it is all tax free when you hit 60

 

[spiderman123]

Oh wow Steve Jobs just announced he's stepping down as CEO of Apple, AAPL's price just ate shit and died as a result.

MARKET CLOSED.....

 

[Secks4Food]

MARKET CLOSED.....

After hours still counts!

Not to mention it will probably gap down pretty hard opening tomorrow.

 

[MesserWolf]

Oh wow Steve Jobs just announced he's stepping down as CEO of Apple, AAPL's price just ate shit and died as a result.

Holy shit ...

 

[Cloudy]

Oh wow Steve Jobs just announced he's stepping down as CEO of Apple, AAPL's price just ate shit and died as a result.

I'll be looking to buy tomorrow

 

[Rubenov]

Ohhh I bought AAPL stock 2 days ago. Debating whether I should sell tomorrow or hold

 

[Cloudy]

Ohhh I bought AAPL stock 2 days ago. Debating whether I should sell tomorrow or hold

Don't sell. All the damage will be done early tomorrow anyways...

 

[Zyzyxxz]

Ohhh I bought AAPL stock 2 days ago. Debating whether I should sell tomorrow or hold

Usually good or bad news like this has already been accounted for in the stock.

Dumb money should be selling tomorrow and I'll probably buy in if I can get some cash freed up.

Apple is on the hells of releasing the iPhone soon I wouldn't worry. Longterm I do wonder though how the company will keep innovating without Steve Jobs but then again nothing in recent times has really but revolution product wise, just great in terms of improving consumer accessibility so I think Apple should be fine without him at the head and he is still on the board of directors (assuming he can be active due to health and not have to send a representative).

 

[TheRagnCajun]

Expecting huge hit to apple stock in pre-market....

 

[TylerD]

Buffett just pledged to invest 5 billion into BoA. It is up about 20% right now.

and... I am out. There is way too much shit going on.

 

[Rubenov]

AAPL not losing as much as I tought so far. Seems reason and fundamentals are prevailing.

 

[TheRagnCajun]

AAPL not losing as much as I tought so far. Seems reason and fundamentals are prevailing.

What Reason? AAPL is sitting on a mound of cash that they have no idea what to do with. Jobs is an icon, a visionary. I'm not saying that AAPL isn't a good company, but I fear for their future. It takes a bold visionary to grow in this market. RIMM has good fundametals too, but all they do is play catchup these days and watch their marketshare slowly dwindle.

 

[Zyzyxxz]

Buffett just pledged to invest 5 billion into BoA. It is up about 20% right now.

and... I am out. There is way too much shit going on.

Same I got out at 8.42, should have just sold on open but I wanted wait at least to see if it was gonna keep trending downward. Thinking of buying back in tomorrow but not sure to be honest I made a good 20% for the day.

What Reason? AAPL is sitting on a mound of cash that they have no idea what to do with. Jobs is an icon, a visionary. I'm not saying that AAPL isn't a good company, but I fear for their future. It takes a bold visionary to grow in this market. RIMM has good fundametals too, but all they do is play catchup these days and watch their marketshare slowly dwindle.

I don't think Steve Jobs is as integral a role in Apple these days as most people think he is.

In fact Tim Cook is a very good choice to replace him, in fact probably better because unlike Jobs, Cook knows how to run a company. Jobs was a figurehead who set direction for product development but I didn't see Jobs doing anything revolutionary with the products. I've said it before and I'll say it again, Apple's strenght in the consumer products market is not that it innovates but it makes technology accessible for the masses.

They didn't invent the smart touch phone, tablet, HTPC, MP3 player but they made them accessible to the general public. I have full confidence that the stock will continue to grow and possibly even hit that $500 target.

 

[spiderman123]

AAPL not losing as much as I tought so far. Seems reason and fundamentals are prevailing.

Why should they?!

 

[DarrenS]

If anybody is specifically interested in investing in video game companies then I've set up a site which contains relevant information, forums, release schedules and up and coming events.

It's called Bougafer and, not surprisingly, the URL is http://www.bougafer.com.

For anybody with long memories this was the site that was pretty popular back in the late 90s that has started again a few months back.

I think the traditional publishers may start to come back into favour with (maybe) the September, but certainly the October NPD results. The release schedule compared to last year really kicks in around October time and so the headline figures should start to look better.

Looking at individual companies then you'll find some debate but there seems to be some support for EA, Take Two, Ubisoft, Gamestop and GAME Group although different people have different opinions on those. Not a lot of love for Activision or THQ.

Personally, I think EA look good for the Battlefield/SWTOR kick, Take Two look good for next year although no rush to buy, Ubisoft are a gift, especially if the early Driver SF reviews convert into sales and GAME group could be a good blanket buy for a strong Sep-Dec release schedule.

Like I say, it's only for people interested in investing video game companies but that probably covers some of the people who look at this thread.

 

[Xisiqomelir]

Buffett just pledged to invest 5 billion into BoA. It is up about 20% right now.

and... I am out. There is way too much shit going on.

Uncle Warren gave Goldman and GE bailouts on (respectively) 9/23/08 and 10/1/08. Both hit new lows by Nov 20 that year.

His timing (right after his meet with Bams and right before Bernanke's WY speech) does suggest that the government won't allow BAC to fail though.

I have been short since ~$10 and am not about to cover yet.

 

[MesserWolf]

Uncle Warren gave Goldman and GE bailouts on (respectively) 9/23/08 and 10/1/08. Both hit new lows by Nov 20 that year.

His timing (right after his meet with Bams and right before Bernanke's WY speech) does suggest that the government won't allow BAC to fail though.

I have been short since ~$10 and am not about to cover yet.

wow you stayed short after the news of buffett and its effect on the pre market ... you sir have strong nerves

 

[Zyzyxxz]

wow you stayed short after the news of buffett and its effect on the pre market ... you sir have strong nerves

yeah I couldn't handle it, once I knew he was in it only took me 20 cents drop from opening to sellout my position, wish I had just sold on open at 8.70~ but oh well.

Anybody think I should get back in?

 

[TheRagnCajun]

I don't think Steve Jobs is as integral a role in Apple these days as most people think he is.

In fact Tim Cook is a very good choice to replace him, in fact probably better because unlike Jobs, Cook knows how to run a company. Jobs was a figurehead who set direction for product development but I didn't see Jobs doing anything revolutionary with the products. I've said it before and I'll say it again, Apple's strenght in the consumer products market is not that it innovates but it makes technology accessible for the masses.

They didn't invent the smart touch phone, tablet, HTPC, MP3 player but they made them accessible to the general public. I have full confidence that the stock will continue to grow and possibly even hit that $500 target.

I just dont' know what Apple intends to do with their success. So much money, so much momentum, and I don't get the sense that they know what the next step is. A lot of people are championing Tim Cook, and I think he's an excellent businessman, but I dont' know if he's a visionary. I'm afraid what is going to happen is Apple will rest on their laurels.

 

[Rocket Scientist]

Hey guys, any tips on finding out which companies are providing components and logistics/transport for companies like Apple, Samsung etc?

 

[Zyzyxxz]

I just dont' know what Apple intends to do with their success. So much money, so much momentum, and I don't get the sense that they know what the next step is. A lot of people are championing Tim Cook, and I think he's an excellent businessman, but I dont' know if he's a visionary. I'm afraid what is going to happen is Apple will rest on their laurels.

Hard to predict anything based on the impression of "visionary". We are talking about a company that reveals a product at earliest a few weeks before they sell it. You never know what they have up their sleeve and the real innovators, the engineers, at Apple will probably keep pushing to put out well designed and easy to use products.

 

[MesserWolf]

In my opinion Apple is fine in the short term .... even medium, but long term .... I doubt that the absence of Jobs won't dent the future growth.

 

[Zyzyxxz]

In my opinion Apple is fine in the short term .... even medium, but long term .... I doubt that the absence of Jobs won't dent the future growth.

what reason do you have to believe that? I don't give Steve Jobs that much credit these days at Apple since I believe him to be a figurehead.

 

[Troblin]

Is anyone thinking about investing long in the coming weeks? If so, what are you looking at?

I've been wanting to get back in, but am still a little hesitant due to the market volatility.

 

[Zyzyxxz]

Is anyone thinking about investing long in the coming weeks? If so, what are you looking at?

I've been wanting to get back in, but am still a little hesitant due to the market volatility.

how long you talking about?

I'm thinking of getting back in to Bank of America monday since I just sold my short position but I may only hold that for a little while, who knows.

I'm currently long on Clearwire, expecting Sprint to buy them out eventually since they need to get bought out to survive but since Sprint already owns 50% of the company not too much upside to gain here.

 

[Troblin]

how long you talking about?

I'm thinking of getting back in to Bank of America monday since I just sold my short position but I may only hold that for a little while, who knows.

I'm currently long on Clearwire, expecting Sprint to buy them out eventually since they need to get bought out to survive but since Sprint already owns 50% of the company not too much upside to gain here.

Long meaning pretty much buy and hold w/ no immediate intent to sell. I'm 29, so this would be the start of my own personal retirement portfolio. (Minus work contributions, and Roth IRA)

I'm not really looking to get into anything extremely risky, since i got slaughtered by small CAP/emerging market investing back in 2007. That experience me off the market for like 3 years.

Since I've been accumulating cash for the past 3 1/2 years, I figured the recent market pullback, was a good time to enter. I was planning on buying on a dip, but wasn't really sure of what a sound investment would be. Wanted to stick primarily to Large CAP, dividend paying stocks if possible. (undervalued w/ the recent drop).

I don't have enough trading knowledge, nor have the risk tolerance to attempt shorts and such.

Any advise or recommendations would be appreciated.

 

[MesserWolf]

what reason do you have to believe that? I don't give Steve Jobs that much credit these days at Apple since I believe him to be a figurehead.

• Charisma
• ability to make innovations and successfully implement them
• ability to create new markets
• he is the incarnation of the successful entrepreneur (PIXAR anyone ? you don't start 2 super successful company without a special talent for it)
• Apple history :
  
  [*]Apple with Jobs good
  [*]Apple without him super crap
  [*]Apple with him again great.​

there is an interesting article on WSJ by the way (and also on the FT : http://www.ft.com/intl/cms/s/3/2ca923c6-cefd-11e0-86c5-00144feabdc0.html#axzz1VwDaQG9C )


Jobs is an exceptional person, the best Apple can aspire to do is to replace him with a very qualified person (Cook). Not for nothing Cook claims that Jobs's spirit has been institutionalized within Apple DNA .... too bad I don't really think that it is possible, not on the long term.

 

[Zyzyxxz]

• Charisma
• ability to make innovations and successfully implement them
• ability to create new markets
• he is the incarnation of the successful entrepreneur (PIXAR anyone ? you don't start 2 super successful company without a special talent for it)
• Apple history :
  
  [*]Apple with Jobs good
  [*]Apple without him super crap
  [*]Apple with him again great.​

While your points may be valid and true this thread is about stock trading so lets not forget why we are here. Buying stocks is based on confidence in a company's value. Let's not forget that Jobs has built an incredible foundation, attracted the best talent, and instituted a corporate culture that will probably go on as long as upper management promotes it.

I feel everybody idolizes him a bit too much and makes it seem like Apple can only go downhill without him. Would you think Steve Jobs would leave his company like that with no contingency plan? I'm sure he has thought of how the company should strive to run for the next 50 years. You don't spend most of your life at the company you built up and not prepare the best for it to keep afloat once you die. Although I've seen him to be a bit arrogant at times I do recognize him as being a very smart person and as if I were buying the stock I'd be pretty confident in the longrun. The company has only showed us that over the last decade it strived to generate more value and will continue to do so.

 

[sfedai0]

Jobs may have been instrumental in vaulting Apple to where it is now, but it would be hard to believe that he didnt have great talent helping him along the way. Apple has enough in its pipelines for the next couple years. Assuming Jobs doesnt get better by then, it will be interesting to see where and how Cook leads them. P.S. I am long Appl.

 

[06nbarnhill]

Hey thar pplz.

I have a couple thousand dollars and am looking to get my feet wet in trading. I feel confident in what I would like to buy. For me it finding the right site. I looked at reviews online and apparently OptionsHouse gets very high marks, no maintenance fees for low total value, and very low trade costs.

Can anyone speak one way or the other on this site? (or can give e other recommendations)

 

[Piecake]

Quick question about Dividend reinvestment plans. Ive been looking around online and I am a bit confused. Im not exactly clear whether DRIPs are only (or only some companies) available if you go through that company's stock transfer agent or if you can go through a regular online broker.

I would like to just use an online broker since its cheap and I don't want to create like 5 different accounts if I eventually get around to getting that many DRIP stocks, but I don't want to buy the stock through the broker and find out that that company only offers the DRIP if you invested and signed up with their stock transfer agent/registrar.

 

[Xisiqomelir]

Megaton drop.

http://online.wsj.com/article/BT-CO-20110902-711635.html

FHFA Files Suits Against 17 Financial Firms Over Mortgage Bonds
By Maya Jackson Randall
Of DOW JONES NEWSWIRES


WASHINGTON (Dow Jones)--The U.S. federal regulator for mortgage giants Fannie Mae (FNMA) and Freddie Mac (FMCC) Friday filed lawsuits against 17 of the nation's largest banks over soured mortgage bonds, aiming to recoup billions of dollars in losses from the failed investments.

The Federal Housing Finance Agency is suing Bank of America Corp. (BAC), Citigroup Inc. (C), J.P. Morgan Chase & Co. (JPM); Goldman Sachs Group (GS) Deutsche Bank AG (DB, DBK.XE), General Electric Co. (GE) and others, according to a notice the agency released late Friday.

The agency, charged with conserving the assets of failed mortgage giants Fannie and Freddie, is accusing the large banks of violating federal securities law and other laws in the sale of residential private-label mortgage-backed securities.

The FHFA filed the first of the string of lawsuits in July against UBS AG (UBS, UBSN.VX), seeking $900 million in damages. UBS, in a statement at the time, promised to "vigorously" defend against all charges in court.

The FHFA issued 64 subpoenas last year to issuers and servicers of mortgage-backed securities in what has become one of the largest investigations to date of potential securities fraud from the mortgage boom and bust. The FHFA didn't disclose its targets at the time.

The inquiry has focused on the "private label" securities based on subprime and other risky loans that were originated by mortgage companies, packaged by Wall Street firms, and then sold to investors.

The suits come as the potential statute of limitations for the FHFA to take such actions draws near next week, according to people familiar with the matter. The FHFA placed Fannie and Freddie into conservatorship, a legal process similar to bankruptcy restructuring, three years ago next Wednesday.

-By Maya Jackson Randall, Dow Jones Newswires; 202-862-6687, maya.jackson-randall@dowjones.com

--Nick Timiraos of The Wall Street Journal contributed to this article.

Per WaPo, the numbers/bank.

http://www.washingtonpost.com/blogs...-are-involved/2011/09/02/gIQAjSgTxJ_blog.html

Name Amount in billions
Ally Financial, formerly GMAC 6
Bank of America 6
Barclays Bank 4.9
Citigroup 3.5
Countrywide Financial 26.6
Credit Suisse Holdings 14.1
Deutsche Bank 14.2
First Horizon National Corporation 0.883
General Electric Company 0.549
Goldman Sachs 11.1
HSBC North America Holdings 6.2
JPMorgan Chase 33
Merrill Lynch 24.853
Morgan Stanley 10.58
Nomura Holding America 2
The Royal Bank of Scotland 30.4
Société Générale 1.3
Total 196.165

BAC longs, your thoughts?

 

[Zyzyxxz]

BAC longs, your thoughts?

I was on the BAC long boat until Warren bought in 5 billion, I sold my position then and was waiting to get back in but I'm not sure.

I think its very likely this stock will go sideways for a while until confidence regains.

Considering Meryll Lynch is now part of BOA their total liability is $30 billion according to those numbers which definitely adds more pressure on top of the AIG lawsuit.

I'm predicting it will go back to $6 range, current support seemed to be at $7 but not likely anymore.

 

[RevoDS]

I was on the BAC long boat until Warren bought in 5 billion, I sold my position then and was waiting to get back in but I'm not sure.

I think its very likely this stock will go sideways for a while until confidence regains.

Considering Meryll Lynch is now part of BOA their total liability is $30 billion according to those numbers which definitely adds more pressure on top of the AIG lawsuit.

I'm predicting it will go back to $6 range, current support seemed to be at $7 but not likely anymore.

Countrywide is also part of BoA. Their total liability is thus closer to $60 billion ($56 billion to be exact)

 

[Anno]

Quick question about Dividend reinvestment plans. Ive been looking around online and I am a bit confused. Im not exactly clear whether DRIPs are only (or only some companies) available if you go through that company's stock transfer agent or if you can go through a regular online broker.

I would like to just use an online broker since its cheap and I don't want to create like 5 different accounts if I eventually get around to getting that many DRIP stocks, but I don't want to buy the stock through the broker and find out that that company only offers the DRIP if you invested and signed up with their stock transfer agent/registrar.

They're kinda different things with the same acronym. DRIPs through a broker usually just reinvest dividends in more shares. DRIPs through a company are usually direct, sometimes comissionless ways to buy shares directly from the companies agent on top of dividend reinvestment. For example every month Pepsi and Abbott both take $75 from my bank account and give me shares. It's a great way to dollar-cost average into a long term investment, particularly those that pay and raise dividends consistently.

Basically, DRIP can mean both dividend reinvestment plan and direct investment plan.

 

[Piecake]

They're kinda different things with the same acronym. DRIPs through a broker usually just reinvest dividends in more shares. DRIPs through a company are usually direct, sometimes comissionless ways to buy shares directly from the companies agent on top of dividend reinvestment. For example every month Pepsi and Abbott both take $75 from my bank account and give me shares. It's a great way to dollar-cost average into a long term investment, particularly those that pay and raise dividends consistently.

Basically, DRIP can mean both dividend reinvestment plan and direct investment plan.

So, If I sign up with the company directly, I could sign up for a dividend and a direct investment plan, both possibly commission fee. If I go through a broker, I would get the dividend reinvestment, but not the direct, but the dividend reinvestment might also be free?

 

[Xisiqomelir]

Countrywide is also part of BoA. Their total liability is thus closer to $60 billion ($56 billion to be exact)

If you're going to be exact, it's good to actually be exact

BAC 6
+
CFC 26.6
+
MER 24.853

= $57.543B

 

[Zoe]

Anybody have anything good or bad to say about Sharebuilder?

Unfortunately I'm starting pretty small.

 

[whiteknight]

I started practicing the basics in Stock buying/selling/limiting/stops etc. on the Investopedia Simulation two days ago. I'm excited about all this, but when I finally decide to jump in for real (will probably be at the start of next year, after I have practiced and studied most things) I'm contemplating doing it myself instead of letting a bank do it; they'll apparently take a lot of money.

Would it be possible to do long-term investments (10 years, 20 years) and short-term investments (months) at the same time? One of my customers suggested, that at the start, I should try an buy cheap, then sell when it rises a little, and then buy again when the stock falls - just to feel how it is to actually gain from the market.

By the way, would $10,000 be a good amount to invest in the start or at least $6000?
I don't have a ton of money lying around just to be spent, as I'm still only 22 years old.

I invested @ 22 with 5k and found i was prob to small an amount with infrequent trading (10k to me sounds like a better starting amount if your ok with loosing it all if something goes wrong)
With regards to buying cheap and selling when it rises a little, you just have to make sure it rises enough to cover costs of the trade itself.

extra info: I invested in Alcoa shares from Australia so i have to pay $70 a year for the account, i bought in @ 14.02 and currenlty get $0.03/share per quater
im not overly fussed as im in it for the long run rather than a quick profit.

 

[RevoDS]

If you're going to be exact, it's good to actually be exact

BAC 6
+
CFC 26.6
+
MER 24.853

= $57.543B

Fine. Closer to exact than the first quote while not quite exact out of sheer laziness would have been a better wording

 

[Anno]

So, If I sign up with the company directly, I could sign up for a dividend and a direct investment plan, both possibly commission fee. If I go through a broker, I would get the dividend reinvestment, but not the direct, but the dividend reinvestment might also be free?

Correct. I've not heard of a broker charging for DRIPs though. If they do I'd drop em like a rock.

 

[The Power Of Snap]

What's up with the up/down thing? The market is not moving at all since 1 month, we loose 200 points and win back the same points the day after.

I'm getting sick of the same bullshit reasons like the problems in europe that helps the market get the beaten.

We know about that problem since 6 months and it's like wall street forgets about it every 2 weeks.

 

[Zyzyxxz]

What's up with the up/down thing? The market is not moving at all since 1 month, we loose 200 points and win back the same points the day after.

I'm getting sick of the same bullshit reasons like the problems in europe that helps the market get the beaten.

We know about that problem since 6 months and it's like wall street forgets about it every 2 weeks.

Its basically a tug-of-war between bears and bulls. There is so much uncertainty that things are basically just going sideways in the market. Money is hard to come by too, right now it's hard enough to sell with only a 10% gain but being that there is so much volatility right now I can easily lose that 10% within a day.

Really sucks not being able to know if I can make some money or not.

I did read an article saying that its likely we will drop down to below 10K again by next summer based on past trends and if the economy stays stagnant like it is.

 

[Rubenov]

I can't wait until we go back to trading based mostly on the companies' fundamentals, instead of this macro bad news / good news days. At this point nothing seems to matter much except how many good/bad news are coming from Yurop (and of course, the jobs reports aren't helping either).

 

[bathala]

I'm so happy I bought some yesterday while it was down.

 

[Zyzyxxz]

So right now I have a small position on OVTI [Omnivision] and if anybody wants to know it may be a good gamble. I've been watching it for a week after it dropped $8 in one day due to a rumor that their camera chips will not be in the iPhone5 (yet to be confirmed though).

I don't want to sound like I'm selling a pyramid scheme but just wanted to let you guys know its a good one to watch, the company has solid financials and supplies camera chips to HTC and other Android phone makers so even if they lose the iPhone contract it shouldn't go down too much further.

If anybody has an opinion on the stock too I'd be glad to hear it.

 

[ElyrionX]

I can't wait until we go back to trading based mostly on the companies' fundamentals, instead of this macro bad news / good news days. At this point nothing seems to matter much except how many good/bad news are coming from Yurop (and of course, the jobs reports aren't helping either).

It's going to be a long wait for you.

 

[Xisiqomelir]

Its basically a tug-of-war between bears and bulls.

Bear team here, happy with all of my shorts (espec. BAC and DB) and going to add more global banks and China frauds.

Things only get worse from here.

 

[Rubenov]

Anyone thinks Greece will default over the weekend? I'm starting to read a lot of about that possibility.

 

[[Nintex]]

Anyone thinks Greece will default over the weekend? I'm starting to read a lot of about that possibility.

Greece has done little to balance their budget the EU/IMF watchers actually walked out so they could be able solve that mess. Not to mention that a second german executive left the ECB because he didn't agree with their policies. The only thing that can save the Euro is more EU regulation but that would be equal to giving up sovereignty for a lot of European states. Greece will default it's not a question of 'if' but 'when'. The European states are trying to postpone it to keep Italy, Spain, France and 90 exposed banks out of the fire but they're in deep now. They should've let Greece default at the first sign of trouble and in that event they should've bailed out the banks and states that might've gotten into trouble. Instead now everything will collapse anyway and there's no money to bail out the banks and other states because it all went to Greece.

A second solution would've been writing off 50% of Greece's debt but these 'half measures' are only making things worse.