Market down 2% at noon hour

[stockstradr]

I’m with Chris_Scoreboard that the 770% (or 570% or whatever) profit claim might more accurately describe the percentage increase in bullshit postings in this forum since Oct ’07.!

This very thread has seen a good appreciation in the level of BS postings!

And I had better acknowledge my claim of +20% was a guess, and I have to admit I didn’t pull off that 20% appreciation soley on trades that were all round-tripped within in the last three weeks.

For example, let’s look at one collection of puts against the NASDAQ, and S&P500, that I collected over the last 12 months. I just sold all those to close.

I just now put those into the spreadsheet and confirmed an aggregate net (including commission cost in/out) gain of 21% across all those closed option trades. How much was initially invested on that set of puts? Total initial cost was $24,437, which frankly is a lot of options for a light trader like me to be buying. Obviously I consider that amount to be “throw-away” money relative to my overall retirement portfolio because when you buy options you gotta be ready to lose every cent!

My biggest mistake on that collection of puts came with two of the positions purchased too early at original cost of $5000 (JAN08 QQQ strike at 42, and 44) both of which are now totally worthless, expiring in matter of few days. If I had only broke even on those two I would have made ten grand on the original twenty-five grand, a more respectible gain. The worst part is during the low lows of March ’07, those two options were UP about 25% (on paper in my account), and I didn’t sell them. (oops!)

Frankly, I’m not proud of making 20% return on that overall collection of options (held that long) because the risk was so high relative to that return.

I’m not a trader by profession. I’m just an engineer who makes trades weekly or monthly as a hobby.

[Coronita]

Grrr.. So here's some irony.

 

Intel, which announced earnings 2 days ago, posted profit of $2.27 billion, or 38 cents and margins of 58.3%, yet gets hammered 12-13% the few days before earnings and another 12-13% after posting earnings….for supposedly coming in slightly shy on profits and revenues and cautiously guiding the next quarter…..

 

AMD, which announced earnings today, posted a loss of $1.77 billion, also came in slightly short on revenue expectations, admitted it overpaid for ATI (by 30%- hence taking huge "one time charges"), and has production issues and delays for the next generation server processors, is trading 4.5% up AH…

Go figure.

(Yes, I understand that it's more about expectations than the actual numbers).

 

[img_assist|nid=5962|title=selfportrait|desc=|link=node|align=left|width=100|height=80]

—– Sour grapes for everyone!

[Coronita]

Grrr.. So here's some irony.

 

Intel, which announced earnings 2 days ago, posted profit of $2.27 billion, or 38 cents and margins of 58.3%, yet gets hammered 12-13% the few days before earnings and another 12-13% after posting earnings….for supposedly coming in slightly shy on profits and revenues and cautiously guiding the next quarter…..

 

AMD, which announced earnings today, posted a loss of $1.77 billion, also came in slightly short on revenue expectations, admitted it overpaid for ATI (by 30%- hence taking huge "one time charges"), and has production issues and delays for the next generation server processors, is trading 4.5% up AH…

Go figure.

(Yes, I understand that it's more about expectations than the actual numbers).

 

[img_assist|nid=5962|title=selfportrait|desc=|link=node|align=left|width=100|height=80]

—– Sour grapes for everyone!

[Coronita]

Grrr.. So here's some irony.

 

Intel, which announced earnings 2 days ago, posted profit of $2.27 billion, or 38 cents and margins of 58.3%, yet gets hammered 12-13% the few days before earnings and another 12-13% after posting earnings….for supposedly coming in slightly shy on profits and revenues and cautiously guiding the next quarter…..

 

AMD, which announced earnings today, posted a loss of $1.77 billion, also came in slightly short on revenue expectations, admitted it overpaid for ATI (by 30%- hence taking huge "one time charges"), and has production issues and delays for the next generation server processors, is trading 4.5% up AH…

Go figure.

(Yes, I understand that it's more about expectations than the actual numbers).

 

[img_assist|nid=5962|title=selfportrait|desc=|link=node|align=left|width=100|height=80]

—– Sour grapes for everyone!

[Coronita]

Grrr.. So here's some irony.

 

Intel, which announced earnings 2 days ago, posted profit of $2.27 billion, or 38 cents and margins of 58.3%, yet gets hammered 12-13% the few days before earnings and another 12-13% after posting earnings….for supposedly coming in slightly shy on profits and revenues and cautiously guiding the next quarter…..

 

AMD, which announced earnings today, posted a loss of $1.77 billion, also came in slightly short on revenue expectations, admitted it overpaid for ATI (by 30%- hence taking huge "one time charges"), and has production issues and delays for the next generation server processors, is trading 4.5% up AH…

Go figure.

(Yes, I understand that it's more about expectations than the actual numbers).

 

[img_assist|nid=5962|title=selfportrait|desc=|link=node|align=left|width=100|height=80]

—– Sour grapes for everyone!

[Coronita]

Grrr.. So here's some irony.

 

Intel, which announced earnings 2 days ago, posted profit of $2.27 billion, or 38 cents and margins of 58.3%, yet gets hammered 12-13% the few days before earnings and another 12-13% after posting earnings….for supposedly coming in slightly shy on profits and revenues and cautiously guiding the next quarter…..

 

AMD, which announced earnings today, posted a loss of $1.77 billion, also came in slightly short on revenue expectations, admitted it overpaid for ATI (by 30%- hence taking huge "one time charges"), and has production issues and delays for the next generation server processors, is trading 4.5% up AH…

Go figure.

(Yes, I understand that it's more about expectations than the actual numbers).

 

[img_assist|nid=5962|title=selfportrait|desc=|link=node|align=left|width=100|height=80]

—– Sour grapes for everyone!

[cooperthedog]

Just my two cents on all the ego in this thread & the 570% return (2280% annualized!). That is an improbable, and definitely unsustainable, yet *possible* return.

Even for a larger account (1M), assuming your trading very liquid securities (e.g. SPY which can trade 1-2 million shares a *minute*, 1M will buy ~7500 shares, so that level of capitalization won’t move the market). Of course, to make 570% in ETF’s in 3 months would be almost impossible.

The real question is how much risk did someone take to get such a high return? Assuming our friend did indeed get 570% return (wink wink), he would’ve had to trade derivatives, single securities, or use a foolish amount of leverage. I’m sure Chris, our resident futures expert, has seen gamblers rack up spectacular gains in a short timeframe using 20:1 leverage, only to end up completely ruined later.

There *are* more opportunities in volatile markets, especially the strongly trending intraday markets that have occurred, but with the added volatility comes additional risk…

One last point, it seems everyone loves to post how ignorant everyone else is, yet I’ve seen incorrect information posted from novices as well as the pros on this board, (and I’m sure I have as well). Over confidence & arrogance are not traits that play well with investing/trading. They will lead to poor results and frustration.

[cooperthedog]

Just my two cents on all the ego in this thread & the 570% return (2280% annualized!). That is an improbable, and definitely unsustainable, yet *possible* return.

Even for a larger account (1M), assuming your trading very liquid securities (e.g. SPY which can trade 1-2 million shares a *minute*, 1M will buy ~7500 shares, so that level of capitalization won’t move the market). Of course, to make 570% in ETF’s in 3 months would be almost impossible.

The real question is how much risk did someone take to get such a high return? Assuming our friend did indeed get 570% return (wink wink), he would’ve had to trade derivatives, single securities, or use a foolish amount of leverage. I’m sure Chris, our resident futures expert, has seen gamblers rack up spectacular gains in a short timeframe using 20:1 leverage, only to end up completely ruined later.

There *are* more opportunities in volatile markets, especially the strongly trending intraday markets that have occurred, but with the added volatility comes additional risk…

One last point, it seems everyone loves to post how ignorant everyone else is, yet I’ve seen incorrect information posted from novices as well as the pros on this board, (and I’m sure I have as well). Over confidence & arrogance are not traits that play well with investing/trading. They will lead to poor results and frustration.

[cooperthedog]

Just my two cents on all the ego in this thread & the 570% return (2280% annualized!). That is an improbable, and definitely unsustainable, yet *possible* return.

Even for a larger account (1M), assuming your trading very liquid securities (e.g. SPY which can trade 1-2 million shares a *minute*, 1M will buy ~7500 shares, so that level of capitalization won’t move the market). Of course, to make 570% in ETF’s in 3 months would be almost impossible.

The real question is how much risk did someone take to get such a high return? Assuming our friend did indeed get 570% return (wink wink), he would’ve had to trade derivatives, single securities, or use a foolish amount of leverage. I’m sure Chris, our resident futures expert, has seen gamblers rack up spectacular gains in a short timeframe using 20:1 leverage, only to end up completely ruined later.

There *are* more opportunities in volatile markets, especially the strongly trending intraday markets that have occurred, but with the added volatility comes additional risk…

One last point, it seems everyone loves to post how ignorant everyone else is, yet I’ve seen incorrect information posted from novices as well as the pros on this board, (and I’m sure I have as well). Over confidence & arrogance are not traits that play well with investing/trading. They will lead to poor results and frustration.

[cooperthedog]

Just my two cents on all the ego in this thread & the 570% return (2280% annualized!). That is an improbable, and definitely unsustainable, yet *possible* return.

Even for a larger account (1M), assuming your trading very liquid securities (e.g. SPY which can trade 1-2 million shares a *minute*, 1M will buy ~7500 shares, so that level of capitalization won’t move the market). Of course, to make 570% in ETF’s in 3 months would be almost impossible.

The real question is how much risk did someone take to get such a high return? Assuming our friend did indeed get 570% return (wink wink), he would’ve had to trade derivatives, single securities, or use a foolish amount of leverage. I’m sure Chris, our resident futures expert, has seen gamblers rack up spectacular gains in a short timeframe using 20:1 leverage, only to end up completely ruined later.

There *are* more opportunities in volatile markets, especially the strongly trending intraday markets that have occurred, but with the added volatility comes additional risk…

One last point, it seems everyone loves to post how ignorant everyone else is, yet I’ve seen incorrect information posted from novices as well as the pros on this board, (and I’m sure I have as well). Over confidence & arrogance are not traits that play well with investing/trading. They will lead to poor results and frustration.

[cooperthedog]

Just my two cents on all the ego in this thread & the 570% return (2280% annualized!). That is an improbable, and definitely unsustainable, yet *possible* return.

Even for a larger account (1M), assuming your trading very liquid securities (e.g. SPY which can trade 1-2 million shares a *minute*, 1M will buy ~7500 shares, so that level of capitalization won’t move the market). Of course, to make 570% in ETF’s in 3 months would be almost impossible.

The real question is how much risk did someone take to get such a high return? Assuming our friend did indeed get 570% return (wink wink), he would’ve had to trade derivatives, single securities, or use a foolish amount of leverage. I’m sure Chris, our resident futures expert, has seen gamblers rack up spectacular gains in a short timeframe using 20:1 leverage, only to end up completely ruined later.

There *are* more opportunities in volatile markets, especially the strongly trending intraday markets that have occurred, but with the added volatility comes additional risk…

One last point, it seems everyone loves to post how ignorant everyone else is, yet I’ve seen incorrect information posted from novices as well as the pros on this board, (and I’m sure I have as well). Over confidence & arrogance are not traits that play well with investing/trading. They will lead to poor results and frustration.

[nostradamus]

Well stockstradr said he threw in the towel, which IMO is a wise move right now. I’m really tempted to invest in quite a few companies but I’m holding back. The market is really unpredictable.

There are layoffs happening within at least one big tech company I know of. Sometimes layoffs get translated into “streamlining the company” or “cost-cutting” and the stock goes up, but in this climate I wouldn’t bet on it.

[nostradamus]

Well stockstradr said he threw in the towel, which IMO is a wise move right now. I’m really tempted to invest in quite a few companies but I’m holding back. The market is really unpredictable.

There are layoffs happening within at least one big tech company I know of. Sometimes layoffs get translated into “streamlining the company” or “cost-cutting” and the stock goes up, but in this climate I wouldn’t bet on it.

[nostradamus]

Well stockstradr said he threw in the towel, which IMO is a wise move right now. I’m really tempted to invest in quite a few companies but I’m holding back. The market is really unpredictable.

There are layoffs happening within at least one big tech company I know of. Sometimes layoffs get translated into “streamlining the company” or “cost-cutting” and the stock goes up, but in this climate I wouldn’t bet on it.

[nostradamus]

Well stockstradr said he threw in the towel, which IMO is a wise move right now. I’m really tempted to invest in quite a few companies but I’m holding back. The market is really unpredictable.

There are layoffs happening within at least one big tech company I know of. Sometimes layoffs get translated into “streamlining the company” or “cost-cutting” and the stock goes up, but in this climate I wouldn’t bet on it.

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