I post a lot here, mostly for entertainment, in order to get a few laughs out of the plebeian hordes. Every so often, I will post something that should be saved, not because I wrote it and I am awesome and amazing (extra Mrs. Fly). I am merely a cog in the giant wheel of speculation. I am not the best investor, or the worst. However, I am keenly aware of my surroundings and have enjoyed a modicum of success, greater than most market mavens.
I wrote this on October 10th, into the teeth of the recent sell off. It will always be relevant.
Bear in mind, the day to day operations of this market are hard to wade through. Nevertheless, if you’d simply avoid the classic pitfalls that have ruined men for the past 200 years, investing can be very rewarding.
Here are a few.
1. Invest in companies with market caps greater than 2 billion. And, if you’re gonna invest in small caps, make it a minor portion of your portfolio.
2. Diversify amongst all principle industries and do not concentrate in any one sector, no matter how hot it is.
3. Avoid leverage.
4. Separate your trading money from investing money.
The last one is probably the most important. Get your foundation right and you can build a strong house that will last for decades.
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Copied, pasted, print and it now sits on the trading desk. Tips hat.
Were your tweets during this time purely for comedic relief?
Yes. Blow off some steam. Scare people into mass hysteria.
Ah, the old ‘twitter hedge’. I like it.
here here.
more…more…MORE!!!!
How about those $TRN earnings….is it still your largest position?
Still my largest. They were excellent.
Earlier this year the Fly had a great post on building a portfolio to outperform the S&P 500. Wish I could find that one. Anyone remember the month??
You write better than Ben Franklin, Doc. I am printing this up, Thanks. Yesterday a stranger fixed my golf game by placing his hand on my head as I swung through the ball. Two blessings:)
Goodbye Queer-E
Any of you homos coming to Vegas 11/8?
No one has been hotter than OA this year.
Will be in Cancun with my Dad, drinking tequila.
I just answered to “homo” and I am not gay, not even a little bit
Market (obviously) being on a leash
Was not (which I suspected) you
Good Bye… Queer-e
I fucked around on that NADEX site today. All I can say is run away from that shit as fast as you can. I feel like I just walked out of an old school casino smelling like cigarette smoke with less “fun” money than I went in with. I have never been a good day trader and I’m an even worse gambler.
This post was promptly entered into my Evernote binder called “Le Fly”
TRN was excellent. Bot back in in this aftermarket pullback after selling my last part during today’s rip. Another fine Fly Buy.
“I am keenly aware of my surroundings” This is key. Perhaps one of the main reason so many fail at this game. I could use some work in the area of not losing the forest for the tree.
WHERE IS SETHSTER NOW? Him and his cabal of VIX instrument products rookies. Punk, kids, playing about the market when they should be at home, doing homework.
UVXY-RIP
I created a collage of his comments to blog about during upside market milestones.
my ignorance of when facebook reports earnings saved me about 3k. I was gonna sell some puts but I thought they always reported on wed., not tues
Actually I think this could be the real long term top of the market right here right now.
There are so many arguments for it, and you dumb rookies can’t see any of them. It’s hilarious. You’ll panic at much lower levels and i’ll laugh. give it 50% chance.
really great stuff around here. I think the overall messages are like a military campaign, watch that bridge, we’re extended and if the enemy appears on that flank you need to move. But some people mistake the campaign talk for black and white thinking and start shooting at shadows or sitting wide open, or just bitching from their holes. While taking some hits on that last downturn I have taken back plenty of ground on $BLOX, $SPLK, $BABA, $GMED. But again, half the battle is not the calls, but how you campaign.
And where does the money rotate to?…Bonds? There’s a bigger bubble in rates than stocks!…Commodities?…All I know are the oil stocks are basically trading like oil is going to $35/barrel.No bubble there, in fact complete desolation of the whole sector.
Traders only one want to hear one word from me-maw tomorrow…”But”….as in “The economy is showing modest improvements and we’re ending QE3 BUT will stand ready if we need QE4 going forward.