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L. Coyote Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 02:08 PM
Original message
Should I invest everything in Google today?
Some stocks are below 50% of their peak values in the last two years. How much could I make just in the next two days by putting every penny into Google? I'm betting it kicks up over 25% this week.
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Xipe Totec Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 02:10 PM
Response to Original message
1. Don't get fooled by the dead cat bounce.
wait until after all the 3rd quarter financial reports are in.

Then jump in.

Google, or whatever...
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anigbrowl Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 02:10 PM
Response to Original message
2. I wouldn't get stock advice from DU
On the other hand, I notice that WalMart continues to thrive, since their business model is built around consumer value. It's up to you whether you think low prices justify low pay, or whether you think better wages at WalMart would put the bite on their customers.
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OwnedByFerrets Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 02:15 PM
Response to Reply #2
8. Their business model is based on
amerikans being too poor to shop anywhere else. And thanks to Monkeyboy and his policies, its working.
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kick-ass-bob Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 02:23 PM
Response to Reply #2
11. Discount stores always do well when economic times are poor.
People have less income, they look for bargains. Higher end stores and luxury items take a hit, but the Wal-Mart/Target/etc type stores do fine.
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MercutioATC Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 02:10 PM
Response to Original message
3. AFTER today's runup???
It's up over 11% today. The time to buy was Friday.

Maybe there's still an upside, but I'd be careful...
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pitohui Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 02:13 PM
Response to Reply #3
4. three words: dead. cat. bounce.
Edited on Mon Oct-13-08 02:14 PM by pitohui
even tho nobel prize winners have published data showing that NO ONE can time the market, people still persist in thinking they are special and they can time the market but just in case they are wrong they ask their invisible friends at DU to give them advice on market timing

no, just no, my friend

if you have to ask about a stock on a public forum, you don't need to invest in it

not now

not tomorrow

not last friday

NEVER

if you want to "bet" on something go to vegas, the casinos aim to return 40% of your expected loss to you in the form of comps, way better than you'll get from your broker

not sure if i should have posted this under mercutio's cogent comment, but oh well, that's where it is now
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orwell Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 02:13 PM
Response to Original message
5. Why not just go to a roullete table...
...and put it all on black?
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pitohui Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 02:22 PM
Response to Reply #5
10. because he might have some chance of winning that bet and self destruction runs supreme
even tho the house has the edge (and a ridiculously large one) at american roulette, you do have to clear it with the house before you make a large bet at roulette (usually the top bet allowed
is $500, at some places it's $100 -- way less than what somebody is going to be putting into the stock market)

18 of the numbers on the wheel are black, 18 red, 2 green, so if you put all the money on black, you have an 18/38 chance of doubling your money (assuming you get your bet approved by the house in the first place)

plus because it's a ridiculous bet there is actually some chance you will then cash out and leave the casino and take your winnings

the market timers don't care about science, they don't care about the classic studies that have proven beyond any doubt that a monkey w. a dartboard picks stocks as well as the expert, they are convinced that their "gut" and their intuition is better than any scientific study darn it! so even if they do hit lucky the first time, they continue to time the market and play the game until the money is eroded away

i should have known this strictly from theory but like everybody else i also had to verify it thru my own hard experience

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Ian David Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 02:14 PM
Response to Original message
6. I'd invest my money in canned goods and hunting supplies. n/t
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Incitatus Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 02:14 PM
Response to Original message
7. You should not invest everything in one stock no matter how good of a deal it appears to be.
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smoogatz Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 02:16 PM
Response to Original message
9. You may have missed your bounce.
Dow's up over 600 already today. But even if it wasn't, would you bet your entire net worth on a coin toss?
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sandnsea Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 02:23 PM
Response to Original message
12. Ford is at $2.00 a share
There are a lot of stunningly good buys out there. And if DU is talking about buying, then the market is pretty near to its bottom.
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smoogatz Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 03:20 PM
Response to Reply #12
19. That's your indicator?
Lordy.
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sandnsea Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 03:43 PM
Response to Reply #19
23. Obviously not the only one
But these are real people on this site and they do reflect the feelings of a segment of the country. We're getting less panic posts. As long as there's no other catastrophe in the next week, this could well be the bottom. 8500 is about where the market should be anyway.
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lligrd Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 02:27 PM
Response to Original message
13. Debate Rages: Sucker’s Rally or Time to Buy?
http://finance.yahoo.com/tech-ticker/article/95114/Debate-Rages-Sucker%E2%80%99s-Rally-or-Time-to-Buy?tickers=MS,%5EDJI,%5EGSPC,%5EIXIC,SPY,DIA,XLF

<snip>

More importantly, I'm highly skeptical Friday marked anything more than a temporary bottom for stocks, for a variety of reasons:

The continued lack of a coordinated global policy response, and the U.S. continuing to lag other nations in taking the most dramatic steps like insuring all bank deposits and directly injecting capital into banks.

Accelerating weakness in the "real" economy; ISI's Ed Hyman dramatically reduced his GDP estimates through the second half of 2009 and predicts unemployment will hit 8.5% before the cycle turns.
Valuations tend to overshoot on the downside and bear markets historically don't end until P/E ratios hit single digits.

Even after devastating declines in recent weeks, "buy the dip" remains the conventional wisdom, meaning sentiment still remains overly optimistic.

"The past week has demonstrated that trying to buy 'close' to the bottom of a bear market can be a very dangerous strategy," Lowry's Reports commented this weekend. Last week's "series of 90% down days" - trading sessions where 90% or more of both price action and volume is to the downside - "is, at this point, solid evidence that the desire to sell has not been exhausted."

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smoogatz Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 03:23 PM
Response to Reply #13
21. That first thing.
Still too many underlying structural problems that haven't been dealt with. I could be wrong, of course--hell, I've been pretty much out of stocks since Bush took office. Have I missed anything?
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L. Coyote Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 02:31 PM
Response to Original message
14. WOW. Over $6,000 profit already. Up 13 %.
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smoogatz Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 03:17 PM
Response to Reply #14
18. It's only profit if you bought it low and sold it high.
I'm just sayin.'
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On the Road Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 03:05 PM
Response to Original message
15. Volume is Extremely Low
Part of that is because it's Columbus Day, but it means that most of the money is staying out.

Retracements on light volume are NOT to be trusted.
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KillCapitalism Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 03:10 PM
Response to Original message
16. Next stop, DOW 40,000!
Or at least the freeper in my office is telling everyone so. :rofl:
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lpbk2713 Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 03:26 PM
Response to Reply #16
22. If that ever happens, a loaf of bread wil be ten or twelve dollars.



And I'm not talking about the 'gourmet' brands either. :eyes:






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HiFructosePronSyrup Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 03:12 PM
Response to Original message
17. Go for it, dude.
Buy on margin.
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Dorian Gray Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Oct-13-08 03:20 PM
Response to Original message
20. No way
putting everything into anything, no matter what kind of rally it is, is stupid.

I put a little money in on friday, and I look like a genius now. But I was gambling, and anything can happen tomorrow, including post-rally sell off.


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