LOL! If a stock splits 4 to 1, that doesn't mean your return on that stock also magnifies 4-fold automatically. Last time Apple did a split the share price was about $700 and they did a 7 for 1 split - that means immediately post-split you would have 7 shares worth $700 (i.e. the new post-split share price is $100 per, you DO NOT own 7 shares at $700 per).
Day Trading?
- Thread starter Corym
- Start date
LOL! If I truly thought it was a waste of my time, I wouldn't have replied/corrected your erroneous belief in what a split actually does! It wasn't personal mate - but people (some of them being novices in stock investing) might read your post and come away with a grossly incorrect idea of what a stock-split actually does/means!
You still miss the point of the post, and you are wasting your time. My point was don't let your emotions lead you into wrong decisions, or personal decisions. I only used a split to represent the piss off factor when one sells before that happens.
Good segway. Does anyone know a Restaurant with a great dinner buffet? I will take stock in good food advice from delectable intelligent escorts while others gobble up advice from wannabe stock brokers.
Guaranteed I will enjoy losing my money on Gorgeous professional women more so than they will enjoy losing their money on the advice of amateurs.
I am no expert. Obviously. In the last week or so, mastercard and apple were on a run up. I got in and made some money. Friday seems to be a dumpster day. I hit the kill switch and got out and took profits. Instead of watching my gains go back down the drain. which is what I used to do. I will buy back in next week if it looks like there is going to be another run up and then set a price which will execute a sell off after I have made my target gain. Last march I got killed. bought high just before the crash. A stop loss order would have saved my major disaster.
I'm not disputing your point about emotions getting in the way of making sound decisions. But again, your "piss off factor" comment about splits above, is showing AGAIN, that you fundamentally misunderstand the concept of a stock-split. All things being equal, selling a stock just prior to or just after a stock split, generally, has no impact on ones return on that stock. And the assertion from your original post that having sold off a stock prior to a 4 to 1 split and missing out on an 80% return as opposed to your 20% return - all things being equal that is not what you missed out on, so why to you keep doubling down about a "piss off factor." There literally is no reason to have a "piss off factor" because all things being equal you did not actually leave money on the table! So take comfort in the fact that in all actuality and all things being equal, you did not miss out on anything from selling a stock prior to a split.
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i tend to agree with the Griz here. Haven’t used stop loss orders for years, even though tempted. They are kind of like communism—sounds like a good idea on paper, doesn’t work so well in practice.
I could see an “invest it and forget it” investor (bad idea) using an SLO, or perhaps someone playing with high risk / silly stocks or recent IPO’s. But for a mature stock, a big drop is often preceeded by a clear declining trend, and that’s the time I want to get out. Watch it every day, and don’t ride it down for too long. And if a big drop happens, understand it quickly because too many investors miss the rebound++. The spikes back up often happed more suddenly and dramatically, and if you miss them, you just blew the decision.
Ya, I want to buy in after a big drop from a high, and get out after a big rise stabilizes and just starts to turn. And don’t beat myself up if I miss it buy a bit.
Start by reading . Join Stocktwits . Its a site where you get tips. Make a watch list and just start doing your DD. Then start with paper trading to practice . I am girl so I get a lot of people wanting to help me 
I am a swing trader
I am a swing trader
I have played in the markets since 1985. It pays for my pooning hobby and I actually make money. However a couple of points. You have to constantly pay attention, attention and attention. Many times, it is not analysis but market momentum, etc. which drives prices. I do oil, mining, tech & pharma. Never do retail as I don't know what is fashionable. Second important point is that you need to start with a decent stake, say $40K in order to even have a chance to start making money. Finally stay away from margin. I was on margin in 87 and got crucified! I have money in the market and am doing better than my broker at Odlum Brown for the last two years!
Watching a few stocks like Tesla, Zoom, Google, Microsoft. Waiting for a good enough drop to get in again, but still thinking the big runners are over capitalized and exposed to correction.
So now looking out for some underpriced stocks like mining (Teck is running up), energy/infrastructure stocks, or Boeing , Air Canada / other airline stocks poised for some 2021 recovery after lockdown comes off with eventual covid vaccine. Not sure I have a good enough read on pharma or retail stocks to guess the winners.
What’s on your watchlist?
So now looking out for some underpriced stocks like mining (Teck is running up), energy/infrastructure stocks, or Boeing , Air Canada / other airline stocks poised for some 2021 recovery after lockdown comes off with eventual covid vaccine. Not sure I have a good enough read on pharma or retail stocks to guess the winners.
What’s on your watchlist?
Day trading is Gambling,
If you want to invest then buy a broad market ETF like ZWC and look at that dividend, almost 8 percent paid monthly. Plus any capital gains. Make a goal.
If you want to gamble watch Ballard Power this puppy moves sometimes two dollars a day. Both ways!!!
Not sure why this stock is so heavily traded. Rarely goes below $20 and rarely above $30 today up. 1.23 at writing so you could have made 123 bucks less 10 dollar commission each way.
My advice is if you can sleep at night then do it. Ask yourself this would you have bought March 23 while the sky was falling?
If you want to invest then buy a broad market ETF like ZWC and look at that dividend, almost 8 percent paid monthly. Plus any capital gains. Make a goal.
If you want to gamble watch Ballard Power this puppy moves sometimes two dollars a day. Both ways!!!
Not sure why this stock is so heavily traded. Rarely goes below $20 and rarely above $30 today up. 1.23 at writing so you could have made 123 bucks less 10 dollar commission each way.
My advice is if you can sleep at night then do it. Ask yourself this would you have bought March 23 while the sky was falling?
Thanks for the tips. I will have to check out the dividend situation on ETF’s—didn’t show up on the basic stock listings.
I’ve avoided ETF’s so far because their capital performance seems low compared to mainstream mutual funds. Most of the ETF’s I was tracking got creamed in March and still haven’t recovered fully, whereas the managed funds I hold have fully rebounded and grown nicely since Sept. But if the dividend opportunities may change my perception.
onward and upward!
Just curious, on what platforms are you guys daytrading? Total noob here so forgive my questions. Are you using platforms like QuestTrade and use trading software or the lazy route and using something like TD Webbroker or other Banks and just paying the $9.99 commission. I hear about a platform called MT5. Is that good or even necessary for the casual "week trader" ?
Yes it all depends what the ETF was. Bank ETFs got creamed and have not recovered yet, but get ready for them to go way up. Sounds like you had a balanced Mutual fund and that’s great. Look at the management fees Huge difference. Glad to hear your investing for your future! Ballard was up over two dollars yesterday and down two dollars today. Wild ride!
I am up 15 percent this year so use that as your benchmark.
You are correct dividends are the key
Enbridge is over eight percent, translatable renewables over five
ZWC might be your best ETF as it track the market.
As far as dividends check out the BmO web site for better etf distributions
https://www.bmo.com/gam/ca/advisor/products/etfs#--tabs-1607548066152-
Use this site
https://www.biopharmcatalyst.com/calendars/ipo-calendar to took out for new bio companies that have recently hit the market or are getting ready to ipo. Do your research on each company and work out a non bag holder plan. Get in and get out. Stay away from getting lost on fantasy dream potential earnings. Why take a 1000 to 1 chance of it flying to the moon when you can make returns on a higher consistent basis without all the mind screwing headaches. Seer Inc. ipo'd at $19 on December 4th and is now sitting at $66 on December 9th. = amazing return. The tricky part is when to get in and when to get out. It's better to be safe then sorry. If you truly believe a stock that you own can go higher take out enough to call it a win and let the rest ride.
https://www.biopharmcatalyst.com/calendars/ipo-calendar to took out for new bio companies that have recently hit the market or are getting ready to ipo. Do your research on each company and work out a non bag holder plan. Get in and get out. Stay away from getting lost on fantasy dream potential earnings. Why take a 1000 to 1 chance of it flying to the moon when you can make returns on a higher consistent basis without all the mind screwing headaches. Seer Inc. ipo'd at $19 on December 4th and is now sitting at $66 on December 9th. = amazing return. The tricky part is when to get in and when to get out. It's better to be safe then sorry. If you truly believe a stock that you own can go higher take out enough to call it a win and let the rest ride.
God, how clueless was appleomac's post up there?
The first/only references to a "4-to-1 stock split" in this thread, were those of appleomac. Yet he clearly tries, fruitlessly, to suggest that grizzly ever put forth such a thing !!!
And everybody knows that the fervor over a stock split often drives-up the (not immediate, but soon enough) post-split price such that the original example offered by grizzly was in the ballpark (particularly enough to underscore his own point, which had very little to do with a stock split).
The best part is, that people dug-up this old thread just so we could observe appleomac's clueless response again and again.
For added amusement, I just "searched" "4-to-1" on PERB.
Needless to say, the only posts from 2020 that came up, were those written by appleomac.
A truly classy move by appleomac... indisputably putting words in somebody else's post... (even though anyone can go and verify the actual content)
Seriously mate, how else would you interpret "when that stock you sold for a 20% gain splits a week later and all you can think about is you could've made an 80% gain"? Clearly it's an incorrect understanding of how splits work. I agree, Grizzly didn't mention "4 for 1", but everything else he/she said in response clearly indicates that Grizz does not understand how a split works. But if it makes you feel better, continue on with your personal insults/attacks on me!
^^^ Attack me too!
I totally agreed with Grizz’s comments about not getting out too early when a stock takes a little dip on an otherwise upward run. That is a good argument against stop loss orders, and can lead to premature sellers remorse.
But the split comment didn’t make sense to me either. Sure, I might get a little bump up post-split from hype or expectation, but I haven’t seen anything thing like an 80% run up right after a stock split, that happened because of the split itself.
And hit me with my shoddy math too, because I am under the arguably misguided belief that a 2-1 split, if the stock price didnt change, would be a 100% gain. But a zero % gain if the stock price halves (which it does). After the split, I might see a few additional % points from confidence gain. Mayve my 20% gain will go up to 25%, or with a little luck, maybe 30%. Woo hoo! Still a gain, but 80% seems way off base. Oh and I am probably also delusional in thinking that a 4-1 split, if the stock price didn’t change (which it does) would be an instant 300% gain.
But that’s just my rediculously stupid sense of market mechanics and arithmetic.
.
-P.
I totally agreed with Grizz’s comments about not getting out too early when a stock takes a little dip on an otherwise upward run. That is a good argument against stop loss orders, and can lead to premature sellers remorse.
But the split comment didn’t make sense to me either. Sure, I might get a little bump up post-split from hype or expectation, but I haven’t seen anything thing like an 80% run up right after a stock split, that happened because of the split itself.
And hit me with my shoddy math too, because I am under the arguably misguided belief that a 2-1 split, if the stock price didnt change, would be a 100% gain. But a zero % gain if the stock price halves (which it does). After the split, I might see a few additional % points from confidence gain. Mayve my 20% gain will go up to 25%, or with a little luck, maybe 30%. Woo hoo! Still a gain, but 80% seems way off base. Oh and I am probably also delusional in thinking that a 4-1 split, if the stock price didn’t change (which it does) would be an instant 300% gain.
But that’s just my rediculously stupid sense of market mechanics and arithmetic.
.
-P.
Agree the day after a stock split there is no change
You own 100 share @$10 or $1,000
After a split
You own 200 shares @ $5.00 or $1,000
And the same for any split.
The only thing is when large dollar stocks split, it creates more opportunity for investors to get in and hence the price rises.
Although Berkshire never split.
Now try and live through a reverse split, best way to loose money. Most companies who do reverse splits are on their way out.
You own 100 share @$10 or $1,000
After a split
You own 200 shares @ $5.00 or $1,000
And the same for any split.
The only thing is when large dollar stocks split, it creates more opportunity for investors to get in and hence the price rises.
Although Berkshire never split.
Now try and live through a reverse split, best way to loose money. Most companies who do reverse splits are on their way out.
