Category Archives: Money

Investing in the Stock Market Part 2

It has been a little bit more than two weeks since I have invested into a company that publicly trades on the stock exchange. At this point, my portfolio is up over $100 if I decided to cash out today 2/29/2012. I have a stop loss order that will ensure me at least a $70 profit. This stock has been looking good with only two days in which the stock lost points. I still plan to hold it through March and April with the possibility of cashing out in May depending on if the stock is still hot! I’ll just have to find another way to fund my necessities.

Now, I am a former casino addict. Let’s be blunt, a former Treasure Chest casino fiend. A major problem of losing lots of money developed. I was heavily involved in a zero-sum game, craps. I always felt I was intelligent enough to beat the system. I’ve mimicked dice progressive systems using excel that demonstrated how I would lose. Lo and behold, I lost. I have since abandoned those beliefs e.g: dice throwing control, martingale system, don’t pass, laying the 4 and the 10. (In a later post I’m going to post my Win/Loss statement from the year 2011. It was down bad for real, for real) Nevertheless, the best odds one can get at the casino is about 46% at the craps table betting the pass line with full odds. With the stock market, the stock either gradually goes up or down, 50% > 47%. Pick one! I choose 50%. Of course it is not that simple as I can imagine a seasoned broker saying, “you must be willing to lose everything you invest.” Will holla lata…

Investing in the Stock Market Part 1

I have a little money to throw around and finally become an investor thanks in part to my tax refund. The Rich Dad author said that boys spend and men invest. I am aiming at a few shares of a particular tech company which is a fruit that I am not going to say. It is trading at nearly $500/share. Why not invest in a company that has performed so well in the past? Well, there are a lot of reasons we all know but I am willing to take that risk. The iPad 3 seems to be coming out in early March which can be the catalyst to launch my minimal shares into astronomical returns. I am using tradeking.com since I am somewhat of a cheapskate and like how the broker assisted trades do not cost extra. For the cheapest commission, I can buy and sell when I would like.

I plan to hold this stock from this week until May when I will pull out of the market. This is an experiment worth $1600. According to my research I am expecting a return close to 15% which will do much better than just sitting in a Capital One savings account with their 0.25 percentages.

This will be the first post in a series from now until May when I plan to cash out, that is if there is any cash left ;-).