Stocks

[Brian P]

Just for clarification since I'm new: how do you lose all your money in stocks? Do stocks ever drop to 0 per share or is that if a company goes bankrupt or shuts down or something. I know you can lose a lot of money but if is it common to lose ALL the money?

There are lots of ways to lose money. Bankruptcy is one way. This is why you read financial statements. This is why you only buy companies that you know. This is why you stay the heck away from penny stocks. This is why you don't put all your eggs in one basket. This is why you have to approach being in a margin position (borrowing money to invest) very cautiously.

It's really easy to lose everything if you do the wrong things. Buying out-of-the-money call options is a good way to do that. If the underlying stock doesn't reach the strike price, you lose all that you paid. Even if you buy an in-the-money call, and the stock goes down below your strike, you lose it all. Options magnify the movements of the stock relative to how much you have invested. It can go up, but it can seriously go down.

I rarely buy options ... I sell them all the time.

Expiration day is tomorrow ...

 

[CruisnGrrl]

There are lots of ways to lose money. Bankruptcy is one way. This is why you read financial statements. This is why you only buy companies that you know. This is why you stay the heck away from penny stocks. This is why you don't put all your eggs in one basket. This is why you have to approach being in a margin position (borrowing money to invest) very cautiously.

It's really easy to lose everything if you do the wrong things. Buying out-of-the-money call options is a good way to do that. If the underlying stock doesn't reach the strike price, you lose all that you paid. Even if you buy an in-the-money call, and the stock goes down below your strike, you lose it all. Options magnify the movements of the stock relative to how much you have invested. It can go up, but it can seriously go down.

I rarely buy options ... I sell them all the time.

Expiration day is tomorrow ...

the last two times i had options from an employer they were higher than the actual stock

 

[REDBALLS]

http://online.stanford.edu/Stocks_and_Bonds_Fall_2014
Plenty of information, easy to follow, free online course to introduce you to stocks and bonds.
Take your time to learn and understand the terminology of the market.


Sent from my iPhone using Tapatalk

 

[Boots]

What are your guys thoughts on oil? I plan on purchasing since it's low right now.

 

[-Maverick-]

The good ol days when RIM. was the whore of the Nasdaq.

Go long Apple, and go riding.

 

[-Maverick-]

Download a stock market simulator app:

http://appcrawlr.com/ios-apps/best-apps-stock-market-simulator

Watch Fast Money at 5 and Mad Money at 6 on CNBC. Whether you agree with the choices and opinions on either show, you will get to know the lingo fast. Cramer is a like or leave him kind of guy.

 

[油井緋色]

What are your guys thoughts on oil? I plan on purchasing since it's low right now.

I work in the energy sector and have a bit invested in Canadian oil related companies (operations, drills, etc.). It's speculated to go back up in the long run. A lot of things dropped 200%-400% so now is a good time to buy.

 

[Boots]

I work in the energy sector and have a bit invested in Canadian oil related companies (operations, drills, etc.). It's speculated to go back up in the long run. A lot of things dropped 200%-400% so now is a good time to buy.

Thank you. I think I might invest a couple hundred in OASIS petroleum. It's at an all time low at 13.46 from their highest point at almost 60 dollars a share... A lot of investors in this too with 11 million shares.

Feeling confident with this one.

 

[油井緋色]

Thank you. I think I might invest a couple hundred in OASIS petroleum. It's at an all time low at 13.46 from their highest point at almost 60 dollars a share... A lot of investors in this too with 11 million shares.

Feeling confident with this one.

https://www.google.ca/finance?cid=666320

This one isn't too bad either as you get dividends and it's cheap as hell.

Also, if you plot a graph of gas prices against it, you'll see that they are heavily related. So unless we stop using gas.........=D lol

 

[Gary]

When a barrel of crude gets to $37.50 this will be a very good play.....or start buying it now if you think oil is finished going down:

https://www.google.ca/finance?q=TSE:HOU&ei=RlLIVPiTFtGpqAHt74GYDw

 

[油井緋色]

When a barrel of crude gets to $37.50 this will be a very good play.....or start buying it now if you think oil is finished going down:

https://www.google.ca/finance?q=TSE:HOU&ei=RlLIVPiTFtGpqAHt74GYDw

It isn't, at least not based on the analysts at where I work. I'll be watching this stock though, thanks =D

 

[Gary]

It isn't, at least not based on the analysts at where I work. I'll be watching this stock though, thanks =D

The HOU is an ETF. Much safer than playing a single company.
But, if here's one for you. Do your DD.
SGY.TO
How many analysts at work pegged $45 oil when it was $120? (answer in percentage is fine).

 

[Brian P]

What are your guys thoughts on oil? I plan on purchasing since it's low right now.

I've already been buying some, but don't expect the recovery to be either particularly soon or happen in a straight line. Suitably chosen big-cap energy stocks are paying a decent dividend so that you get paid to wait, and the ones that don't pay an outrageously-high dividend will probably hang in there. Watch out for high dividends that haven't been cut ... check their payout ratios. If you are in them for the next couple of years at a minimum, I think they will be okay.

As usual, whenever buying these, I've been selling a next-strike-out-of-the-money call option against them with the expectation that they are not going to rocket higher in the near term. If I'm wrong and they DO rocket higher before February expiration, I'm quite content to take the money and run. Option premiums are high ... sell some.

 

[Gary]

March crude sets another intra-day low price, $45.03.
Stay tuned. $37.50 on the horizon.

 

[Brian P]

49.76 right now.

SGY was a good call. Cha-ching.

Still a couple weeks to go before February options expiration ... Some of what I own will get called away (for more than what I paid) at this rate. Boo hoo.

 

[inreb]

What are your guys thoughts on oil? I plan on purchasing since it's low right now.

Canadian Tire has Rotella on sale from time to time. Watch the flyers and/or the general thread. Usually, when it's on sale, somebody will alert the community. The stock I'm not so sure about but it's Shell so should be of no concern.

 

[Gary]

49.76 right now.

SGY was a good call. Cha-ching.

Still a couple weeks to go before February options expiration ... Some of what I own will get called away (for more than what I paid) at this rate. Boo hoo.

Congrats. Stay on that!! Run up is just starting back up. ($7.70 by summer.....IMO)

Shell should be of no concern.

You're as good, if not better than the dart throwing monkey! Today: $62.94 Up $1.49(2.42%)

 

[SunnY S]

Canadian Tire has Rotella on sale from time to time. Watch the flyers and/or the general thread. Usually, when it's on sale, somebody will alert the community. The stock I'm not so sure about but it's Shell so should be of no concern.

ok, I laughed...

 

[bobbyh]

Check out www.greaterfool.ca. It's Garth Turners blog ,lots of helpful info for the DIY'er . He looks after investing also for a fee also. Really interesting site ,geared to Canadians , that makes a lot of sense.

 

[Boots]

My Oasis Petroleum Stocks are doing good so far. Up 4 dollars since I bought them at 12.20. Only invested 300 bucks into it since they were my first stocks but damn I wish I'd done more.