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#1
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Bought 250,000 shares did I screw myself?
Bought 250,000 shares of HTAC its cheap and looks like with new Healthcare bills that it could be back at its .50 cent range some day, am I nuts? Better question average daily market isnt even 250k did I kill myself here?
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#2
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Re: Bought 250,000 shares did I screw myself?
Yes you screwed yourself, don't buy .01 stocks.
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#3
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Re: Bought 250,000 shares did I screw myself?
[ QUOTE ]
Yes you screwed yourself, don't buy .01 stocks. [/ QUOTE ] Your advice is exactly right, and that's coming from a guy who's made most of his wealth from penny stocks. I make money because I carefully research each company, understand it's fundamental value and stay away from questionable companies (i.e. press and internet touted likely frauds). If I spent every waking moment for months teaching someone how to do what I do, I'd likely fail. It's not complicated, most people can understand how to do it. But they like to gamble, they get bored being patient and doing research. They want action, they want to trade. So when someone asks for advice I tell them, avoid penny stocks, stick with index funds. |
#4
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Re: Bought 250,000 shares did I screw myself?
[ QUOTE ]
So when someone asks for advice I tell them, avoid penny stocks, stick with index funds. [/ QUOTE ] I've been investing in listed stocks, but I'm curious about pennystocks. There appears to be a lot more cruft out there when it comes to pennystocks (i.e. a lot more 'buy my easymoney in pennystocks guide' shtick). How did you get started, and do you have any recommended reading/websites? |
#5
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Re: Bought 250,000 shares did I screw myself?
[ QUOTE ]
How did you get started, and do you have any recommended reading/websites? [/ QUOTE ] Read Ben Graham and books on Warren Buffett. Read Buffett's shareholder letters (available on berkshirehathaway.com). Basically I'm looking for value, stocks trading well below their actual intrinsic value. I find many more in the microcrap area than in bigger caps. Sometimes they trade at less than the actual net cash on their balance sheet, sometimes they are good companies, only trading at a 5 or 7 PE ratio. But there is also many that are worthless, hyped, frauds. I spend a great deal of time reading SEC filings and calibrating my BS meter. My experience is the usual internet specialists in microcap stocks are typically untrustworthy stock promoters. |
#6
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Re: Bought 250,000 shares did I screw myself?
Whats your initial thoughts on rnke.ob? I actually thought, based on the CEO's own statements, that it would climb at least slightly out of the gutter. I was wrong for now(fortunately wrong in penny stocks only costs a couple hundred bucks)
-Matt |
#7
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Re: Bought 250,000 shares did I screw myself?
Almost afraid to ask, but WHO convinced you to buy shares in a stock on the pink sheets selling for less than 1 cent/share?
FWIW, these shares have an effective value of 0 once the pump and dump brokers are done with it. |
#8
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Re: Bought 250,000 shares did I screw myself?
sorry bud...first rule in investing in the stock market....dont buy stocks under $7 a share.
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#9
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Re: Bought 250,000 shares did I screw myself?
[ QUOTE ]
sorry bud...first rule in investing in the stock market....dont buy stocks under $7 a share. [/ QUOTE ] that's a pretty bad rule. but yes, buying penny stocks without having a clue is very bad. |
#10
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Re: Bought 250,000 shares did I screw myself?
Buying stocks under a $1 is usually a better rule. There are some good stocks under $7, like PartyGaming, but I can't think of any under $1.
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