I had promised that I was going to start my own thread regarding stock investments and the markets. So many things have happened since last time I was here and I really do not feel like sharing my knowledge. But a promise is a promise and there have been few people that have emailed me and supported me.

This thread will deal with investing in the stock markets. I will not discuss individual stocks but discuss ETFs like SPY, DIA, IWM and QQQQ. The one good thing about trading ETFs compared to individual stocks is the the ETFs provide instant diversification among similar companies within the same sector.

I will post more as we go along, regarding entry-price, profit-target and stop-losses. I do not think that any ETF is good or bad. It is good only if I'm making money and bad if I'm losig money.

If you have not been in the market so far, please read this as an information piece only rather than my recommendations. There is risk involved and you should know how much risk to take on any position.

Any suggestations, comments and criticisms are welcome as long as it is market related. If this thread gets out of hand and we start discussing off-topics, I'll stop posting.

Have a happy new year!!!! May 2007 bring you and your family lots of joys and riches.

Oh, and based on the numbr of views, we're one of the busiest threads. SO KUDOS TO US ALL WHO ARE INVOLVED...and ESPECIALLY EMINITRADER for starting out an awesome thread.

7532 views as of now and growing.

emini, myself and cpl others were involved in another discussion before this thread and he got the idea of this thread. And this one...

It all started on New years eve!!!!! COINCIDENCE? yep- and a good one at that!!!

CONGRATS!!! It's been 4 months of invaluable discussion!!!

..ok...back to stocks...

TT welcome back!

Emini, you are bang right with single digit stocks with high beta, something I learned form my JDO experience. That sucker is still hanging around being played with day-traders.

I shall look into your other picks from today.

I got into RADS mid-day around 13.40s... I also got into SUNW.. you mite say , are you crazy, I am like yeah a lil bit. *smile*

Neways, happy trading day to ya all.

Ani TT ji thanks for your kind words. Please feel free to spend your down time on this thread, or up time, if you will.

Best~!

-B

ps TT please point me to the URL with free on Dravas. In fact I bought all four books from Emini's reco. Those are treasures. For or not for Stocks. hahhaa

Bri:
http://www.nicolasdarvas.org/

Go there. Enter some crap name and email address and copy paste all the text from each chapoter into your word file or whatever you choose to red stuff on. (make it pdf???)...and enjoy!!!

Pretty good read i must say. Out of all the book reccomendations by various taders, this one consistently keeps coming back up and I saw why.

Happy reding.

Picks: TASR and FDRY

and lol....dont call me "ji"....I'm prolly one of the youngest here...:D.

TT, dhanyabad hai!

In fact I wasted my monies on buying a hard copy. But on second thoughts it is well worth it. Hai na?

Both your picks from today fared well. I see TASR being a good wholesome bet. FDRY is again a great company. They have enough room to make things better and pull the stocks into 20s.

Best~!

-B

Yeah, quite the thrill.

Are you working fulltime or you a student Bri? Glad to see an ibanker post his ideas and thoughts too. Looks like the Nepali community has some briliant minds at work. :D

I'm wondering if there are any Nepalis at Goldman. That'd be awesome to brag about:D

and I suspect FDRY will go up to 18.00 on an intermediate time horizon. Beyond that fundamentals will take over I think. A high PE of about 40 isnt uncommon in the tech sector although we pay see some pullback (you never know). If I were an investor, my stop would be 13.00 and entry would be tomorrow if it makes another high.

Oh, and I also read that link Emini posted about the top 3 fund managers. Im glad the richest hedge fund manager is a mathematician!!!:D WAY TO GO!!!!!

happy trading.

TT,
not in school anymore, been here done that! Ani, thanks much again for holding your fellow Nepalese in high esteem.

I do have a very high opinion about Emini ji, who too the leadership role here on this thread to share his priceless inputs coming out of years of experience and research. I learn a lot out of realt-time conversations with em than the books and my own readings over the internet, and little bit of TV here and there.

So back on topic:

I am going to see how FDRY fares today. Remember today is Friday, so price action on most of the stocks would look little deviated. The guys gotta hit golf club over the week-end, and they don't want to think too much on market in that time. Hai na?

Best~!
-B

MSFT rumoured to buy YHOO. There are too many mergers going on right now. If you find some company being bought by Private Equity or another company, start looking for its competitiors too. Case in point, NNI that I had mentioned sometime ago.

Other one was DoubleClick, when it got bought out 24/7 (TFSM) went up too.

For testing purpose. Assume we bought CMGI at the very high at 2.28. So far the positions are:

RADS @ 13.49 and
CMGI @ 2.29.

When you guys post your picks, can you please post the reasons too so that we can evaluate the strategy than the picks. It could be because technical indicators or fundamental reasons.

I'm in Omaha this week and going to San Diego next week. I have friends in Omaha but don't know anyone in San Diego. My wife had to work so can't go to San Diego. If there is anyone from San Diego that would like to meet and talk markets, let me know. I'm staying at the US Grant ( I think that is the right name).

Anyway, welcome back TT.

Don't trade on airlines!!! PERIOD!

Bored,

going cyclical means buy LUV.... at least for the summer coz it is the only that can bring some good returns based on their hedging over oil at the cheapest price possible. It is trading at its lowest at 14 and a half... watch out for AAL and MEH merger possibility, which is slated for end of May.

Emini,
have a great time at Oracle's place... ani I too wanted to fly West Coast.. never find tame for that.. hahaha...

if you plan to head to the Capitol, you gotta place to stay and a guy to talk and learn on market.

Best~!

-B

Emini,

I wrote couple or emails to my Wharton Contacts to find out what is this crazy thing going on in the LBO side of stuff.

Will let you know if he finds time to reply.

Best~!

-B

Hmm, we have a Wharton guy here, eh Bri?

anyways, I'm bullsih on FDRY. Above say 16 ish we have a big winner here. My target is 18.00.

I have GNTX now. It's been shaking me this morning but starting to look more stable. My target is 20.00 but I might get out at 19.50 (simply cuz there may be better opportunities elsewhere)

I still need to recovert from the dumbest trade ever made (I bet that couldenter into the guinness book of worl records as the stupidest trade o the year). Maybe I'll talk about it if and when things go tense in here to lighten up the mood.

hehe.

another pick:

GTI. I missed on this sucker. I'd wait till a pullback and buy on strong volume.

Recent poll of individual investors in the US ( small adnd large) showed a strikingly high percentage of them being ebarish on the current market. It desnt come as much surprise to me that people are expecting a recession but whats more shocking is that the market has been going uo despite lower numbers on everythin:- housing starts,, GDP, employment, etc etc...

Back in 2001, I was in Nepal and I; heard something about the NASDAQ bubble bust and the economy being in recession. Of course I didnt understand what all that meant since all I was concerened with was my faourite cricketer's standings and aishwarya Rai's hips.
Back in 2001, the market went up deep into the recession and then burst.

Do we have a similar situaion here? I read somewhere that short interest has been on the move north. Signs of a crash? or to extend it futher- a recession? If it is, I think we're being foold by the markets here. I'd be extremely cautious heading into mid-summer.

For the all the new traders I'd say look for CDs if you have 10,000-20,000. 5-10% interest in your local banks for CDs shouldn't be uncommon. the only downsde is youll have a restricted amount t0 capital.

For long term holdings I'd be extremely cautious. I wouldnt wanna wipe all of this year's gains.

I mentioned CDs in case you're not sure what to do but still want to make some buck.

Hey bored, you Canadian?

TT,

I would stay away from FDRY for a bit. If you are in, HOLD it only. But my take is "long" on this.

Best~!

-B

ps yes, we sud have some light-hearted moments when the stock-barometer hits its mental high.

no im not in hehe. waitin till it crosses 16.00 and perhaps some upbeat report.

Enough trading talk. Oe of my fav songs!!!!Enjoy!!!!!

My recos for read/watch this week;

Blink by Malcolm Gladwell (book)

The Endurance ( a movie/documentary) reco by Ted Hastings/Netflix

The last king of Scotland ( A movie)


If any of you have seen or read the above mentioned, we can discuss, but before that, let me ask Emini ji if it is wokkay to do all these away-from-the-topic stuff here. Lemme know!

Best~!

-B

Today being Friday, I am on chill pill @ work. Gotta big cricket game to play over the weekend. The first of the league season.