Fed Drops Rate .25%…Market tanks.

[Coronita]

RatherOpinionated,

I have to say, your picture would look perfect for my signature.

Not that it's really your business,my comment about the little piggy is about DUG getting slaughtered in the coming days.

I am long pretty much long in everything except oil and gas. I just feel oil/gas has reached beyond fundamentals. But what do i know. It's a crap shoot which waythe ball is bouncing on a given day. If i really knew what I was doing, I would be working on Wall Street. So I'm losing money on this fund, so fvcking what.

 

Your point about the 200pt rise today is fine. But again, I wasn't exactly happy when my portfolio lost value in the 300 pt plunge yesterday either, so any recovery float my boat as well. However, mind you we're still down 100pt relative this week. I would be thankful for dow closing 14000 this year. Doesn't seem like it's going to happen.

 

While you're at it, feel free to post how well DUG is doing. Nice death spiral so far.

The good news, is the government will bail me out of this investment.

 

Signed,

Bitter renter,ex-qualcomm, ex-IPOed startups 1,2,3,4 fat lazy union worker.

 

[Coronita]

does anyone understand how straddles work? care to explain it in 30 words or less or better yet provide an example?

I suspect that strategies that profit from volatility are making good money right now – anyone employing straddles, spreads, strangles, etc?

 

Think of it as a put and call option on the same stock. You're betting that the stock will move dramatically (rise dramatically or fall dramatically). You would get screwed if stock doesn't move, and your straddle is worthless on both sides.

Wikipedia is your friend: http://en.wikipedia.org/wiki/Straddle

 

[Coronita]

does anyone understand how straddles work? care to explain it in 30 words or less or better yet provide an example?

I suspect that strategies that profit from volatility are making good money right now – anyone employing straddles, spreads, strangles, etc?

 

Think of it as a put and call option on the same stock. You're betting that the stock will move dramatically (rise dramatically or fall dramatically). You would get screwed if stock doesn't move, and your straddle is worthless on both sides.

Wikipedia is your friend: http://en.wikipedia.org/wiki/Straddle

 

[Coronita]

does anyone understand how straddles work? care to explain it in 30 words or less or better yet provide an example?

I suspect that strategies that profit from volatility are making good money right now – anyone employing straddles, spreads, strangles, etc?

 

Think of it as a put and call option on the same stock. You're betting that the stock will move dramatically (rise dramatically or fall dramatically). You would get screwed if stock doesn't move, and your straddle is worthless on both sides.

Wikipedia is your friend: http://en.wikipedia.org/wiki/Straddle

 

[Coronita]

does anyone understand how straddles work? care to explain it in 30 words or less or better yet provide an example?

I suspect that strategies that profit from volatility are making good money right now – anyone employing straddles, spreads, strangles, etc?

 

Think of it as a put and call option on the same stock. You're betting that the stock will move dramatically (rise dramatically or fall dramatically). You would get screwed if stock doesn't move, and your straddle is worthless on both sides.

Wikipedia is your friend: http://en.wikipedia.org/wiki/Straddle

 

[Coronita]

does anyone understand how straddles work? care to explain it in 30 words or less or better yet provide an example?

I suspect that strategies that profit from volatility are making good money right now – anyone employing straddles, spreads, strangles, etc?

 

Think of it as a put and call option on the same stock. You're betting that the stock will move dramatically (rise dramatically or fall dramatically). You would get screwed if stock doesn't move, and your straddle is worthless on both sides.

Wikipedia is your friend: http://en.wikipedia.org/wiki/Straddle

 

[(former)FormerSanDiegan]

my investing / speculating philosophy in a nutshell:

Buy some of everything, tinker at the margins.
I hold US stocks (primarily ETFS), large dividend-paying individual stocks, cash, gold, real estate (both REITS and investment property), foreign stock index ETFS (EAFE, Japan, Hong Kong), Short _Dollar ETF (UDN), etc.

Then depending on conditions I tinker at the margins. For example, I decreased my US stock allocation from about 75% 2 years ago to about 55% today. And have more dividend-paying defensive stocks. Also, have about 20% Cash waiting for buying opportunities.

Using a diversified approach guarantees that I will at least be partly wrong at any given time. However, it also guarantees that I won’t be completely wrong, and more likely to make money with lower volitility.

This approach is boring, but it got me through the late 90’s speculative bubble and through the 2000-2003 bear market without losing my A$$.

[(former)FormerSanDiegan]

my investing / speculating philosophy in a nutshell:

Buy some of everything, tinker at the margins.
I hold US stocks (primarily ETFS), large dividend-paying individual stocks, cash, gold, real estate (both REITS and investment property), foreign stock index ETFS (EAFE, Japan, Hong Kong), Short _Dollar ETF (UDN), etc.

Then depending on conditions I tinker at the margins. For example, I decreased my US stock allocation from about 75% 2 years ago to about 55% today. And have more dividend-paying defensive stocks. Also, have about 20% Cash waiting for buying opportunities.

Using a diversified approach guarantees that I will at least be partly wrong at any given time. However, it also guarantees that I won’t be completely wrong, and more likely to make money with lower volitility.

This approach is boring, but it got me through the late 90’s speculative bubble and through the 2000-2003 bear market without losing my A$$.

[(former)FormerSanDiegan]

my investing / speculating philosophy in a nutshell:

Buy some of everything, tinker at the margins.
I hold US stocks (primarily ETFS), large dividend-paying individual stocks, cash, gold, real estate (both REITS and investment property), foreign stock index ETFS (EAFE, Japan, Hong Kong), Short _Dollar ETF (UDN), etc.

Then depending on conditions I tinker at the margins. For example, I decreased my US stock allocation from about 75% 2 years ago to about 55% today. And have more dividend-paying defensive stocks. Also, have about 20% Cash waiting for buying opportunities.

Using a diversified approach guarantees that I will at least be partly wrong at any given time. However, it also guarantees that I won’t be completely wrong, and more likely to make money with lower volitility.

This approach is boring, but it got me through the late 90’s speculative bubble and through the 2000-2003 bear market without losing my A$$.

[(former)FormerSanDiegan]

my investing / speculating philosophy in a nutshell:

Buy some of everything, tinker at the margins.
I hold US stocks (primarily ETFS), large dividend-paying individual stocks, cash, gold, real estate (both REITS and investment property), foreign stock index ETFS (EAFE, Japan, Hong Kong), Short _Dollar ETF (UDN), etc.

Then depending on conditions I tinker at the margins. For example, I decreased my US stock allocation from about 75% 2 years ago to about 55% today. And have more dividend-paying defensive stocks. Also, have about 20% Cash waiting for buying opportunities.

Using a diversified approach guarantees that I will at least be partly wrong at any given time. However, it also guarantees that I won’t be completely wrong, and more likely to make money with lower volitility.

This approach is boring, but it got me through the late 90’s speculative bubble and through the 2000-2003 bear market without losing my A$$.

[(former)FormerSanDiegan]

my investing / speculating philosophy in a nutshell:

Buy some of everything, tinker at the margins.
I hold US stocks (primarily ETFS), large dividend-paying individual stocks, cash, gold, real estate (both REITS and investment property), foreign stock index ETFS (EAFE, Japan, Hong Kong), Short _Dollar ETF (UDN), etc.

Then depending on conditions I tinker at the margins. For example, I decreased my US stock allocation from about 75% 2 years ago to about 55% today. And have more dividend-paying defensive stocks. Also, have about 20% Cash waiting for buying opportunities.

Using a diversified approach guarantees that I will at least be partly wrong at any given time. However, it also guarantees that I won’t be completely wrong, and more likely to make money with lower volitility.

This approach is boring, but it got me through the late 90’s speculative bubble and through the 2000-2003 bear market without losing my A$$.

[Author]

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