Posts Tagged ‘Stocks’

Can The Stock Exchange Guru Lead You To Your Next Fortune?

January 9th, 2010

Forecasting your way around the stock market
I play the stock market for 2 reasons: I enjoy it and I like making money without working. I guess I’m a gambler at heart but I don’t have the guts or the wherewithal to go to the casinos so I play on the stock exchange under the maybe-false impression that I can’t lose everything as I could in the casino. When the market is rising I float on a cloud and when it is falling I feel depressed, but my stake is small and should the worst happen, I can afford to lose it. At the moment my cloud is flying high in the sky.

My stock exchange car.
I used to drive a stock exchange car. Some years ago we sold our house and I was flush with money. I decided to invest a few thousand dollars in stocks and one evening I came across a company called Yahoo. I knew the name from my computer activities so I bought a hundred shares at $15 each. They began to rise. Then there was a rights issue and I suddenly had 150 shares and the price kept going up. It reached $117 before my nerve broke and I sold the shares, rushed downtown and bought a brand new car. What a coup, I thought, a free car, bought at the cost of 2 phone calls to a broker. I doubly enjoyed that car for years.

Our old friends
Three years ago we visited old friends in Canada. She was desperately ill after a stroke and her husband refused to leave her even though they had a full-time care giver. I asked him how he passed the time and he led me to his study which contained a long worktop and a few computers. “I play the markets,” he said. He belonged to one of these share advisory services and faithfully followed their tips, playing with enough money to do everything they suggested. The market was rising steadily in those days and so was the value of his portfolio. He tracked everything and the walls were plastered with print-outs of rising graphs. “You should join the guru-service,” he said.

I join up with a guru
Back home I did just that. I invested $6,000 and started playing. The tips came fast and furious and I chose and bought shares with a cash advance. Some were good and some were not. My fund rose to $7,000 in a year and then came the crash. I watched my fortune drop to $2,000. The renewal notice came from the guru service and I tossed it. I began playing on my own, buying and selling shares for small gains or losses. My fund is within reach of $9,000 now. The gurus keep writing to me and offering me advice. I sometimes check their results and in my opinion they know no more than I do. But then again, they are making money selling their advice.

Payday Loans

Tags: Casinos, Gambling, Stock exchange, Stock Gurus, Stocks
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How to choose the stocks you buy

September 1st, 2009

I use the pin and blindfold method

Way back in October 2006 on a day when the stock exchange was roaring along, I saw an article somewhere on the internet tipping a share called Sirius XM Radio Inc. and known as SIRI. I proceeded to do my due diligence which consisted of about 4 minutes scanning the company profile and another 2 minutes understanding what satellite radio was all about. I checked the balance in my account with my broker and instructed him to buy 100 shares. Total outlay for me was $394. I can afford to lose that, I thought.

Not my first time

Years ago I did something similar with a stock called Yahoo. I ended up buying a new car with the proceeds when I finally sold the shares. My goal is to repeat the exercise. Unfortunately SIRI has not behaved as the writer of that article predicted and I have felt misled in a way. More than once I have been tempted to erase the SIRI line from my portfolio so that it will no longer distract me when I am reviewing my retirement fund. The truth is I lost all interest and when the stock eventually fell to 15 cents I quit following it. At that price it wasn’t worth the energy of watching it or the cost of calling the broker.

Today’s article

There is another article about Sirius today. I had to look for the price of the stock before I started reading. Wow! Up all the way to 69 cents! More exciting is that the writer says, “Sirius has begun to shed its bashed and tarnished negative image and is starting to show real promise again.” I’m all hyped up. It’s like, “Surprise!”

Will it or won’t it?

Actually I’ve become so used to it not doing anything that I don’t mind what it does. Much more interesting is the fact that I own some stock in a company that people write about – that makes me feel that I am doing something right. The Sunday afternoon stock market investor For someone who plays around in the stock market like me, these casual purchases and sales are probably the most dangerous form of ‘money-play’ outside a casino. I do not play in casinos because I am afraid of losing money. Playing in the stock exchange is different. It suggests that you have some knowledge, that you are financially savvy and are a man of the world. It allows you to initiate sophisticated discussions at dinner parties and being able to nod wisely at the right moment. It also allows one to utter the correct mourning noises when someone talks about their losses.

Back to SIRI

So SIRI, I am not counting on you to bring me a new car, nor to make me huge globs of money. In many ways you are paying your way already. I’m going to reinstall your line in my portfolio.

Tags: Investing, Pin and Blindfold, Stock exchange, Stocks
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