The Stock Market

[White97Jimmy]

I also have Ford...I bought it at $6 and not too long ago it went over $9. Then, just as everything else, it dropped down again!

[TheEconomist]

Originally Posted by JohnnyFlake

Any thoughts on Staples (SPLS)?

I don't know your financial situation or what your timing goals are, but I would say it could be a solid buy for the long term.

Looks like its strengths would be in capital structure and cashflows in relation to price. It has low debt in relation to cashflow (debt/cashflow), good profit margins.

the only thing that concerns me is it's short term growth.

Cash flow growth and the growth of the market it is in don't seem too great.

Holding it for the long term looks alright, due to the dividend and the fact that it is such a solid company (perhaps due to Gov. Romney? haha).

I won't be buying it, as there is nothing that excites me about it.

My rule of thumb is to only buy a stock if you can make a case for its well being outside of its financials. IF you can, and its financial are solid, you have a winner. I can't do that with staples, but it most likely is due to my lack of familiarity with it.

[JohnnyFlake]

Originally Posted by TheEconomist

I don't know your financial situation or what your timing goals are, but I would say it could be a solid buy for the long term.

Looks like its strengths would be in capital structure and cashflows in relation to price. It has low debt in relation to cashflow (debt/cashflow), good profit margins.

the only thing that concerns me is it's short term growth.

Cash flow growth and the growth of the market it is in don't seem too great.

Holding it for the long term looks alright, due to the dividend and the fact that it is such a solid company (perhaps due to Gov. Romney? haha).

I won't be buying it, as there is nothing that excites me about it.

My rule of thumb is to only buy a stock if you can make a case for its well being outside of its financials. IF you can, and its financial are solid, you have a winner. I can't do that with staples, but it most likely is due to my lack of familiarity with it.

Thanks for your thoughts on Staples. I have basically been thinking the same things you have mentioned. I believe it's a great stock and will do extremely well over time, however, with the exception on Mutual Funds, I am looking for short term investments. I have moved into a phase, at this time in my life (age 66), that I like to buy stocks that move up and down on a fairly regular basis, buying low and selling after a small but reasonable increase. Ford has been working well for me lately.

[olateone]

Anyone dipping their toes in the financials, yet?

[omowasu]

Originally Posted by JohnnyFlake

This thread is a GREAT IDEA!!!

I hope that those of use that do a bit of day trading and that have other interest in the market can keep this thread alive.

I have been following about 15 stocks but I have only bought and sold one of them a number of times over the last few months. I also hold about 7 Mutual Funds. I do not play with Mutual funds, when I decide to buy one, I usually hold it for years.

I agree, I like this thread, we should keep these alive. I used to day trade and play the stock market. Last year some alarms went off in my head and I started to play metals and commodities. I have made a few bucks doing so in the past year!

I am looking to get back into stocks soon, but our economic situation is very... well... weird nowadays. I cant make heads or tails of the inflation/deflation/stagflation paradigms nowadays, and the last few guesses I have made haven't panned out quite so well. For the life of me, I cant predict where things are going in the next 6 months to 1 year! And I admit it! Maybe I will buy more silver...

Relative to mutuals and 401(k), I have been sticking money in funds that are globally diversified. I am not quite ready to jump into the Shanghai exchange due to bubbles in mainland China. I have been looking at the currency markets as well, but the USD "knife edge" trading scares me, and the resulting fluctuations in other currencies have left me wondering...

I have a few stocks that I am looking into, I will post them (with my rationale) soon. Now I need a cigar to calm down!

[TheEconomist]

OUCH! MER with a few more billion in write downs,

I can't watch!!!!!


maybe buy more?

we'll see how hard of a hit this actually takes. I have a feeling there might be some overselling today because of the huge gains yesterday and this terrible news..

we'll see.

[TheEconomist]

ooh la la, Investors are liking the writedowns it appears! pre-open MER= up about $1.50!

[JohnnyFlake]

I know someone loves Nokia - It's taking a serious hit today! Sorry about that Bro!!!

[TheEconomist]

OUCH! man that hurts. Down 4 freaking bucks just like that. Thats why I hate watching it everyday. Its a long term investment, but man does that still sting.

I'm buying more!

[Puffy69]

I used to watch the market daily and played alot of options with Goog, amd, intc, ebay and whatever was moving that day that i was familiar with..started playing the OEX and got my ass handed to me and Goog as well..Did good when i was not so greedy and knew how to cut losses but the hits put me out for a while..im looking to just trade stock and do some conservative option plays that arent so volatile...Learned my lesson the hard way..should have been practicing more than playing real money but it made me smarter..Do you guys use charts.?

[tchariya]

Originally Posted by TheEconomist

Any of you gorillas invest on your own? I find it very fun! Whenever I smoke I'm either on here, listening to dogwatch, checking out stogie review, or researching stocks!

I know the market has sucked here in the last few months, but I think we are due for another huge drop and then i think well be back into solid gains.

Anyway, just wondering what you guys are holding.

Right now my biggest holdings are in:

Nokia (NOK)- my big pick for the next 10 years. Bought it at $23.55. It is my baby. Huge dividend, DRIP available, Very stable company, and Huge growth potential! (many people in America don't realize its dominance overseas)

Microsoft (MSFT) <- self-explanatory, DRIP & Div

Disney -> I'm sure if you have kids or a little brother or sister, you would know of its popularity (hannah montana? Highschool musical?) Also a large company that seems to be incredibly stable. a broad investment as well, as it owns espn, ABC, and others. DRIP & Div

Intel (INTC)---> global giant, again, self explanatory DRIP and Div

American Software --> creates software for logistic purposes, owns the majority holding in LOGILITY, growing company. Got into it because of the generous Div and DRIP.

my riskier plays:

Merrill Lynch---> I know many will think I'm stupid. I just bought it a little bit ago at $41 on the dot. I've already profited quite a bit, but i figure that the media has caused overselling. Either way, at this price MER is cheap cheap cheap. once this little crisis is over, its bound to bounce back to the 90+ mark.

Gander Mountain (GMTN) --> I love hunting and fishing. They have expanded so fast in the past years that has caused them big problems, hence the falling prices. But once the cloud of chaos settles, it is bound to explode.



Looking at a bunch others as well. I pretty much follow one strategy--> don't listen to the crowd. If you do, you always miss the upswing.

I do my own research and buy with anticipation of 0 to negative growth for a year or more, followed by gigantic gains long run.

Any body else enjoy the "game" that is the stock market?

I find it very much like poker..all about odds, psychology, and picking up on trends. The ups and downs will keep you glued to CNBC and or financial websites.

Jim Cramer would say....you are not diversified! You have two software and two tech fabrication giants on the board! But not a bad portfolio. (I'm not a Jim Cramer fan..he makes me laugh...but he sure can get his followers to 'move the market')

I've been riding with
Wynn
Sears Holding
Citigroup
Toyota
Intel
and floating mutual funds since 1980s.

[TheEconomist]

ha, you are correct, but those are just my biggest holdings, not all of them.

These are my lesser holdings

I also hold RSX <--Russian ETF (big fan of russia in the future)
BLK<----Blackrock
lvlt<--------Levl 3 communications
tasr<------Taser
Rio<---companhia vale
And good old DE<---John Deere


I have moved into the big multinational-dividend paying drip stocks in order to hedge the risk a bit. You won't see Microsoft, intel, nokia, or disney go out.

[RUJohnny99]

Originally Posted by tchariya

Jim Cramer would say....

LOL....

http://youtube.com/watch?v=gUkbdjetlY8

How many people have to lose money from this fraud?

[GAW]

Great thread - I've often wondered why there were so few posts here about the markets since they are such a large part of our lives both positive and negative.I'm an old retired guy so I have the time to really get into the weeds and find the markets today about as fascinating and scary as I can remember. Started out in my early 30's trading commodities - then I visited the Chicago Exchange and got a whole new perspective on " the action in the pits". I don't give advice and I don't seek it -you learn to carry your own hide to the market - but much can be learned in discussion and information exchanges. I read and use the charts on a regular basis especially the various momentum indicators - MACD divergences are probably the most useful for me. The technicals can't tell you what to take a position in - only at best when! I think we are in for a rough ride for the next few months at least and the days of buy and hold are over IMO. As the old saying goes " some days you eat the bar, some days the bar eats you".Be careful out there! Jerry

[TheEconomist]

I think we are in for a rough ride for the next few months at least and the days of buy and hold are over IMO. As the old saying goes " some days you eat the bar, some days the bar eats you".Be careful out there! Jerry

in my opinion the buy and hold is the most efficient method of making real money in the market, and turning it into something other than just educated gambles. (Granted, I totally agree the short term fluctuations are the fun part)
Short term fluctuations are what will make people filthy rich, and ruin even more peoples fortunes. holding it for the long term usually will put you somewhere in the middle.

average return in the market over the past century is between 10-12%, not including drips.


I'm still pretty young (21), so holding for 20+ years is a very feasible option.

Rule of 70! if you make an average of 10% return/year over 20 years, you will have just about tripled your money. that would be if the long run trend stays the same.

with drip, that number exponentially grows.