Boiler Room: The Official Stock Market Discussion

[FreshFromATL]

If I have to hear "a stock split doesn't change the value" one more time... these pundits are fukking idiots. Nobody thinks the value has changed.

This opens up the door for more retailers to get involved which in turn would drive up the price. It also opens the door for DOW inclusion and a better possibility of S&P inclusion..

And they are wondering why the stock price is shooting up?

People are idiots bruh

I bought 1 share of tesla at 1459 and 11 shares of apple at 451...good move ?

You bought both at all-times highs. So don't get spooked at the inevitable pullbacks in the short term, but over time (5-10 years out) you'll be golden.

 

[mr. smoke weed]

if you hold it's a great move. don't stress over it daily....

CHECK IT IN 30 YEARS!!!!!!!!!!!!!!!!!!!!!!!!!

 

[mr. smoke weed]

chipotle

I had NO idea they was caking like that especially after all those e. coli scares

Man you cant go 5 blocks without a chipotle in denver

 

[old pig]

Man you cant go 5 blocks without a chipotle in denver

ya I used to eat there a lot

but I stopped after the first major scare

I remember how long those lines used to be

didn’t think it was this huge tho...wow

 

[KalKal]

I got $100 available and apparently options trading too. But I'm not too sure on that. I think thats when like you gotta predict the future stock price right? I see it for Apple. Be like ok Apple gonna reach $500 by this day, and with my luck it ends at $499. Or am I misunderstanding? Maybe I should just stay away from that..

When I first got started with Options years ago, this is the page that I thought gave me the best simple explanation:
Call Option

Bruh, this is excellent. I tell anybody starting out to pick 4-5 companies you absolutely love and load up on those. It makes no sense to have 10-15 stocks in your portfolio and only having 2-5 shares of each. You won't see real gains that way because you're spread too thin.

Most young bruhs should simply pick 4 companies and 1 ETF from this list and continue to dump money into them (until you have at least 25-30 of each and then you can add another stock into your rotation) and hold for the next 10 years. I GUARANTEE a nikka will be thanking me (if I'm still on the coli 10 years from now)

Amazon
Tesla
Apple
Microsoft
Facebook
AMD
NVDA
Square
Paypal
ARKK
ARKW
XLK
XLY
FDIS
SPY
VOO
QQQ

What I'm doing now is loading up on long term ETF call options, especially this one:
XLK Jan 21 '22 $130 Call

XLK is $113.91 right now, so what I'm basically doing is betting that the total Tech Stock market will be able to go over 20% in the next year and a half. Each call costs $700, and I'm trying to accumulate a bunch of them over time.

At the rate we're going, if there's no giant market crash I think its a pretty safe bet with potential to pay back a lot more than I put into it.
I "break even" if XLK is at $137.00 on January 21 in the year 2022, and I expect that to happen.

But it is risky since even a "flat" market means my money will slowly bleed away over time, so you can't put EVERYTHING into options like that.

 

[mannyrs13]

When I first got started with Options years ago, this is the page that I thought gave me the best simple explanation:
Call Option

But basically you gotta have the money up front right? Its not something like they loaning you the shares and you having to pay it off when the date you picked comes right?

 

[KalKal]

But basically you gotta have the money up front right? Its not something like they loaning you the shares and you having to pay it off when the date you picked comes right?

I'm paying $700 now, for the option to buy 100 shares later. But its just the "option" to buy, not an obligation. Plus, there's no need to actually hold on to the option the whole time. You can (and SHOULD) sell it long before the expiration date if its profitable.

 

[VFib]

If it expires or you haven’t sold it before the exp date, then do you basically own those 100 shares for $700 (the discounted price)?

I'm paying $700 now, for the option to buy 100 shares later. But its just the "option" to buy, not an obligation. Plus, there's no need to actually hold on to the option the whole time. You can (and SHOULD) sell it long before the expiration date if its profitable.

 

[Chrishaune]

But basically you gotta have the money up front right? Its not something like they loaning you the shares and you having to pay it off when the date you picked comes right?

A good book on options

"The Options Edge"

It gives an in depth explanation of options and strategies on how to use them......

Even gives equations to explain how certain things are calculated when dealing with options.....Gives in depth explanations of the Greek meanings also.

 

[KalKal]

If it expires or you haven’t sold it before the exp date, then do you basically own those 100 shares for $700 (the discounted price)?

If its below the strike price on the expiration date, the value goes to 0 and you just lost your $700.
If its above the strike price, then you own those share for 100x the strike price (e.g. $13,000)
If you can't afford that, they'll probably just cancel the order and you get nothing.

So, basically, its not worth holding until the last day (unless you really intend to buy 100 shares). Luckily, you don't have to.

 

[Saysumthinfunnymike]

If its below the strike price on the expiration date, the value goes to 0 and you just lost your $700.
If its above the strike price, then you own those share for 100x the strike price (e.g. $13,000)
If you can't afford that, they'll probably just cancel the order and you get nothing.

So, basically, its not worth holding until the last day (unless you really intend to buy 100 shares). Luckily, you don't have to.

what's the break even point on your call? the $700 one

 

[Serious]

Crazy all my tech is up, yet most of my value stocks are down. This market is crazy.

well about to throw the bag at the value stocks tomorrow.

 

[Rickdogg44]

Went from calling people foolish investors that are hurting the market, to trying to help them out.


Jim Cramer calls on 10 companies, including Amazon and Alphabet, to issue stock splits

Oochie Wally One Mic

 

[mannyrs13]

I wish Apple can just drop $50 tomorrow and then go back up on Friday, although the odds of that happening are slim to none.

I got $406 cash available in my TDA account and would've gotten a share. Maybe I'll throw in 50 to meet the current price or just use that money elsewhere.

 

[KalKal]

what's the break even point on your call? the $700 one

The strike price is $130. I've paid an average of 5.33 so far, so in January 2022 the break even point would be $135.33.
But I'm already up 30% because the current value of the option is 7.
(I started buying these two weeks ago).