634 Points Worst Stock Drop Since 08

Since I consider stocks a form of gambling I feel it's appropriate to mention it here. Are many people active traders here? Daytraders? Anyone have their portfolios devastated by recent events?

I always thought stock trading was fun. I dabbled in daytrading and did fairly well. After the market crashed in 08 I only managed to come out even, though. I am 'lucky' enough not to have any spare cash to have invested right now. I would definitely stay away from the market for at least the next few months until things settle down.

Quote: iwannaiguana

Since I consider stocks a form of gambling I feel it's appropriate to mention it here. Are many people active traders here? Daytraders? Anyone have their portfolios devastated by recent events?

I always thought stock trading was fun. I dabbled in daytrading and did fairly well. After the market crashed in 08 I only managed to come out even, though. I am 'lucky' enough not to have any spare cash to have invested right now. I would definitely stay away from the market for at least the next few months until things settle down.

Just practice trading the Forex right now. Trying to save some cash to go real next year. One thing I see there is you cannot scalp much. Trying to practice until I can even make $20-30 a night risking $150 or less per trade, IOW $10,000 lots. If I can do that I hope to build over time and get more serious.

I don't like calling the markets "gambling" or "betting." I'd more compare it to sports-wagering and say "wager" or "take a position." Sports betters and stock pickers seem to cross talents.

The Dow numbers for the day only matter if you're buying or selling. I'm doing neither.

Quote: AZDuffman

Just practice trading the Forex right now. Trying to save some cash to go real next year. One thing I see there is you cannot scalp much. Trying to practice until I can even make $20-30 a night risking $150 or less per trade, IOW $10,000 lots. If I can do that I hope to build over time and get more serious.

I don't like calling the markets "gambling" or "betting." I'd more compare it to sports-wagering and say "wager" or "take a position." Sports betters and stock pickers seem to cross talents.

The stock market is one of few propositions that can offer a positive edge. I still consider it gambling or betting just as much as I do sports betting. There's always risk, even smart traders lose big sometimes.

Quote: zippyboy

The Dow numbers for the day only matter if you're buying or selling. I'm doing neither.

I'd say they still matter if you're holding. If you're 20+ years from retiring then no big deal, but when you're over 50 and watch your retirement fund lose 10%... You gotta sell sooner or later

Just like you can buy using dollar cost averaging (at least if your taking a relatively simple, hands off approach) you can sell the same way, or at least convert from shares into secure bonds over time... that way you don't have to second guess the market.

I never try to catch a falling knife. I don't reccomend buying right now. The problems are deep and well-established. Imagine people fleeing to US Gov. Bonds. They are in competition with the US Gov. itself... and when they pull the tablecloth away... crash, and loss of principal.... but, gee, you get a higher interest rate. The old adage in the tech-world comes immediately to mind, "First-adopters must die". If you must do something with your currency.... sit on it, just like the grown-up boys do, Silver is still 40ish an ounce, a fair bit more palatable than 1700+ Gold.Wait and ride this out a bit, play close to the vest.

if you're in a 401K, you might be toast... AGAIN, just like 2008. (What a shell game)

FWIW N&B

Its 12am and the DOW futures for tomorrow is already
down 300 points.

There will be a bottom. 'Have they found it yet' is the question.

There is one thing that will go back up and I guarantee it. Oil is down now and you can't lose long term on that is my bet. The VDE etf is getting more of my attention at the moment.

I worked in derivatives for years, stock markets panic and those are really good days for traders. They'll never admit it though.

Quote: s2dbaker

I worked in derivatives for years, stock markets panic and those are really good days for traders. They'll never admit it though.

high volume is good for traders, but september and october, typically the worst months of the year is just around the corner. if the market doesn't recover a little before then i think things could get much worse.

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I've traded the Forex market since September of '09 and never became consistently profitable until March of '11. August was my fifth month in a row of nice profits. One quote that really changed the way I traded was by Warren Buffett that says something like "Investing is like batting in baseball only with no called strikes". I see this as the difference between investing and gambling. With gambling you have to put money in the machine, or on the table before you see your hand (called strikes).

Quote: ikilledjerrylogan

I've traded the Forex market since September of '09 and never became consistently profitable until March of '11. August was my fifth month in a row of nice profits. One quote that really changed the way I traded was by Warren Buffett that says something like "Investing is like batting in baseball only with no called strikes". I see this as the difference between investing and gambling. With gambling you have to put money in the machine, or on the table before you see your hand (called strikes).

I guess a called strike has to be a good opportunity you didn't take... of course he is right, there is no umpire to take your money when you sat on your hands, when you should have bought or sold.

I'm sticking with my forecast that the market will roar back sometime towards the end of the year. Not because the economy recovered yet, but because the stock market wants to get in ahead of that.

One thing that has to change is people seeing their housing values continue to go down. That's almost worse than no one hiring.

Quote: odiousgambit

One thing that has to change is people seeing their housing values continue to go down. That's almost worse than no one hiring.

That will continue to plummet as long as people are unemployed and aren't
spending money. The housing market is supply and demand, and with families
moving back in together like they did in the Depression, the demand will continue
to go down.