Yeah that's the hard part with investing for the longer term. You simply have to continue to contribute when things are down. Contributing more money when the volatility index is very high (like above 40) is the best, but it's hard to do. As for the fee part, they are charging you too much especially with getting you in those load mutual funds. The kind of stuff you are in you could do on your own by buying ETFs.
Oh and forget about all this after the offering today and the fact they announced they were bburning more cash than expected. Pretty crazy they couldn't hold the offering price. Avoid jcp.
I use a lot of resources to make my decisions.. Not just basing this on "oh there's news I should buy"
I just feel like now is a difficult time to invest in stocks. The Fed can't make up it's damn mind about economic and budget policy. My money is being held hostage by bureaucrats. So far my most reliable performer has been Facebook and Yahoo! stock, and I don't know how long that will last.
FB chart looks good and it closed at the top of the candlestick. It should move to new highs on Monday.
ganja selling options is the way to go, buying options is high risk Sell puts, you either buy the stock for a discount from current price or profit. That's where the large gains are, and if you're put the shares sell a weekly call on them. I've been doing this for 8 months or so and the profits are mind blowing.
who said naked? use cash secured puts. If you're gonna buy the shares today anyways, why not sell a put a week out and either profit or get the shares for a discount to today's price?
naked means with cash you don't have. What I'm saying is if you're gonna buy say $10,000 of HIMX today. That's great you'd land 1,100 shares at $9.70. If you sell the Oct 18 $10 put, you get 2 scenarios 1.Oct 18 comes and HIMX is over $10, well you sold 10 contract(10 x 100 shares) for .80 so you made $800 in premium and the option expired.....congrats you made 8% in 3 weeks 2.Oct 18 comes and HIMX is below $10, well you are assigned shares for $10 so your 10 contracts leave you with 1000 shares and because you keep the .80 premium you now reduce $800 off your cost basis and you're in on HIMX at $9.20 well below today's $9.70 price So if you're gonna buy at $9.70 why not have the option to buy for $9.20 in 3 weeks? You like the prospects today anyways right? In the event you're put the shares I like to the sell covered calls at say $11 to basically collect an extra dividend in the next month and then if the shares are over $11 well you paid so you have to sell for $11 + you keep the call premium. If the shares are under $11, awesome you just got another premium that was profit. I'm very conservatively aggressive using this method
http://en.wikipedia.org/wiki/Naked_put It means you don't have a hedge against your short put. If you had a hedge then it would be a covered trade like the covered call options you sold. Selling covered puts would mean you are short the stock and are selling puts against that short. I trade a good amount of options. Yes you need cash in your account to be able to purchase the stock if it is put to you. Yes I agree put selling is a good strategy at times. Start looking into spread, ratio, and fly trades.
I'm short it from Thursday and sold some 53 calls that expire next week. I wouldn't mind a gap up to short on Monday. Hopefully this isn't another ******* hero trade that I seem to keep getting myself into lately. How you feeling about the mkt overall? I think a pullback is coming myself and volatility actually moved up on Friday which I thought was interesting. It would be nice to see a push down to the 200 day ma on the SPY over the next couple months and flush out some froth. Wait and see how resistance develops if it ever does lol.
Wait - what was interesting about volatility going up? The market was down, and it was becoming clear that a government shutdown was coming tomorrow night. The market will drop and volatility will go up tomorrow and Tuesday again, most likely, when the government actually does shut down. Then it will all reverse if/when the shutdown ends, unless it takes a while - debt ceiling crisis is coming Oct 17th. Shutdown now just reinforces that our government is dysfunctional, and will likely cause an even bigger volatility spike then if there's any indication at all that we're stupid enough to fail on that one too.
the debt ceiling would be a true national disaster if that is not worked out. the government shutdown is not a big deal, other than to highlight the fact that our government is dysfunctional, which we already knew. (however, S&P downgraded the US largely due to this same dysfunctional nature)
