My wife and I are officially small retail investors now. And it's 100% due to WSB, this GME stock craze, and you guys on GAF that alerted me to all of this.
You guys have opened my eyes to a whole new world over the last 5 days. So I'm all end. I want to go to the moon with some of these horribly shorted stocks, yet buy long on some smart buys too.
So please when you hear a tip, drop it by here. Together we can all make each other some good money.
Cheers. Good luck.
Just make note today's market is really amped up and all the crazy GME stuff is once in a lifetime stupidity. If you still catch getting on the the train and get off making money thats great, but watch out.
Every person will have different advice, but here's some personal advice:
1. Only invest/gamble what you can afford to lose. If I lose $10,000, it sucks but not the end of the world. I still got a job, only a mortgage left, and got lots of money in other stuff. I can absorb a $10k hit. So put this thinking into your situation
2. Do not do calls, puts or short a stock unless you know what you're doing. Just go long the normal way. Since you are just starting, your trading account probably only lets you go long anyway until your account is granted access to more options
3. Pre-market and after hours trading. I don't do it. Prices can whipsaw hard but normalize during normal trading hours
4. Avoid sketchy stocks, low floats, penny stocks, OTC (over the counter) stocks trading at 24 cents running on fumes
5. Most volatile stocks are weird penny stocks, small bio-techs, tech in general, electric vehicle companies
6. In the modern age, BE NIMBLE. The days of Warren Buffet buying old school companies like Coke and Gillette 40 years ago and holding forever is over. Even he has shifted. He used to be anti-tech, yet look at that. Now he has tons of Apple. That worked back then with traditional companies, zero internet trading, and stock prices didn't fluctuate much
7. Yes, you can sink money into a startup like Amazon and pray it goes from $10 to $3,000 if you patiently hold for 20 years, but those are rare. Most people won't ride the ship the whole way. That's how dreams are made, but most people wake up to reality and sell after its doubled
8. Never borrow money to buy stocks. Only invest what you got to invest in cash