Sorry for me not mentioning RAD.
I guess I'm wrong to think everyone on this board doesn't know how strong I'am on RAD. I've owned it for years. My bad.
I guess your right that I just don't think about the readers on this board. I'm big on RAD and continue to be so.
Lets just call it a senior moment and let it go at that.
As far as my messages go, I don't usually post as much as I have the past few days.
I just felt that there were some important information to pass along.
This will be the last response for a while.
God bless. Have a great weekend
Thanks for the thumbs down.
Did you notice what the market did in the last 20 minutes? I guess you missed it. It followed Europe to the tee.
It only has a six in ten chance. I got lucky. I moved in on some of the stocks I follow and it worked to my advantage.
Let me tell you a little story. I started investing when I was 22 years old.
I relied on my financial advisor at MLPFS.
Every stock they advised me to buy lost money in a short period of time.
So after a year of this I came to the conclusion that they had already had their best investors already in the stock long before I was dragged in to buy.
I became a johnny come lately. In my opinion I was buying while the big boys were selling. They were trying to unload the stock, they told me to buy, so the big holders had others to unload upon. IMHO
After that I did my own DD on purchasing stock and never again used a financial advisor. It was a lot of trial and error. Lost some gained some.
I learned to be quick on selling stock that was under investigation by whomever. Be it the sec or lawyers calling foul and calling for a class action.
After the 1987 crash I learned to never hold too much of your companies stock. Diversify.
That lesson alone saved me most of my portfolio when the financials crashed and before that the nasdaq crash.
This is only my story. Not that you should sell your own company stock. Just my experience and how I was very lucky to be diversified.
I do not hold more than 8% of any particular stock in my portfolio. No matter how great it is.
If it goes over 8% i'll sell the profits. If I believe in it and it goes below 8% I'll buy more after a period of time.
The bottom line is I wan't to survive to play another day.
Now you can go hit the thumbs down.
Good luck to all. Have a good weekend!
Just interesting that's all.
Also I have never recommend a stock. But for the first time, a month or so ago I did to my investment club.
I do not recommend buying it now.
I'm curious if anyone took my suggestion to buy LXRX.
Like RAD a few years ago I saw a diamond in the rough with LXRX.
Right now I'm holding and not expecting to buy more shares yet.
P.S. Looking forward to seeing more thumbs down.
Tonight I will sleep well knowing I have 25% cash. Just waiting for my next purchases like I did last week in oil stocks.
Sleep tight, to my thumbs down guys.
For everyone else I hope your stocks are great and keep some cash on the side.
Remember I'm too old to not keep the 25%.
For some of you young folks that may be not be your style. And that's ok.
Just remember, in this casino it's what someone is willing to pay, not what you think it's worth.
dunky, you can look at my messages regarding margin calls affecting the market downturn. The talking heads didn't mention it until 2 days after I did.
Also, no one can time the market, myself included. It can be suicide for retail investors like ourselves to try to time markets. I held my stocks this week during the carnage. I also added to some of my holdings that got thrown out with the bath water with my extra cash.
I've also mentioned in the past to never buy on margin. I've also mentioned that putting your shares on stop loss orders are also a problem. My lessons were learned with both of these procedures many years ago. I lost 6K due to a stop loss I had many years ago and by the afternoon the stock was higher.
So if i'm afraid of a stock going lower I sell half or get out altogether.
This past week, in an investors club, many members were stopped out on some good shares and one was on margin, very sad.
As far as holding cash, cash is king in an uncertain market like we are in these past few months.
I wish you the best in your portfolio.
I'll wait now for all the thumbs down.
I don't need to lay low. I'm not sure what you or others are commenting about. Been in the market for over 40 years.
My only object of my posts have been to protect those on the RAD board from making bad decisions on other stocks.
My problem is I have a helping personality.
Yes I may ramble on but in the end I want to be sure investors know what can and cannot happen in a market like this.
We could be up to 18,000 by the end of the year, woopee.
Or as others have said down to 10,000.
Who is right? God only knows.
But for me and my believers I think you need to be vigilant.
Today's market was driven by oil.
Some experts are predicting in the 20's for oil. Forget about China.
If that happens we could be in a free fall.
I leave it up to you on your thoughts on where this market is heading and why.
I've explained myself now it's your turn.
P.S. I made the right call on margins and how it affected the downturn.
How did I make this call while the talking heads never mentioned it?
Lets just call it 40 years of experience.
Let the board know how long you have been in the market.
I'm talking about the market as a whole.
Since I believed in the market plunge over the last few days was partially due to margin calls, which by the way has been mentioned days after I said so, and now the market is stabilizing, w here it goes from here is anyones guess.
I have used my 25% cash to buy some great stocks in the last few days. But I'm back to 25% as I speak by selling some shares that have not performed as I expected.
Many people on this board misinterpret my 25% cash holdings.
It's for many reasons. Health needs, house needs, a wedding, an unplanned birth, school expenses, car expenses etc.
For me, I have emergency funds outside my investment accounts. If you do as well, as I have done in the past 7 days that 25% bought some super cheap stocks that have been beaten down.
But as I said above i"m back at 25%.
From an investment standpoint and being skeptical due to the markets recent trends I want to be ready to pounce on another down turn when and if it happens.
I already know what stocks I will add to. Just waiting it out.
Don't get me wrong, I will give it time if it happens. If I miss a few points to the upside, it doesn't matter.
I try to never catch a falling knife or a dead cat bounce.
Keep the faith and stay in RAD.
The rich are getting richer due to their constant work ethics since they were young.
I came from a poor family. I started shinning shoes at local bars at 8 years old since I already took the pennies from my mom's loafers.
I hung around with friends who were better off than me. I was influenced by them to get myself out of poverty. And I did big time.
I'm so sick of people saying the rich get richer. There's a darn good reason for it.
P.S. I've been in LXRX for many years And I hope in the future I become richer.
And I won't feel bad for those who have no drive or ambition to get out of poverty, since I was there.
Rad has been a big winner in my holdings.As well as LXRX.
Rad is a long term hold and will appreciate in value as time goes by.
LXRX is another story. It has a lot going for it but needs an investment from investors that can stomach major moves up and down.
Lets call it play money with the expectations that it provide high income but at the same time go under.
It is a rare Biotec. company that someone may be interested in as a partner in biotechnology.
The only reason I bring this up is GOOG is looking into these exact type of investments.
Before you invest in this company read everything you can do and understand how LXRX may fit the health care systems that GOOG is forming.
Be careful that you may lose your money on this investment. Only invest with money you are willing to lose.
For me I'm in. I think someone will see this opportunity including GOOG.
Every stock I own has massive volume at the close. All at the upside buy and not sell.
I may be wrong but this could be a turn around back to a bull market.
It's anyones guess.
Yes it has help up better than most stocks in the recent downfall.
But today it did not join in on the 600+ up side in the stock market.
So what do I feel about this action?
It may be continues to form a base.
For me I continue to buy more RAD during this market downturn at ever down side I see.
The big boys are after the internet stocks at this time. But will come back to RAD as a winner.
It may take time. But as always has been said in the past RAD is a long term hold.
Today for the first time CNBC reported that huge margin calls has been happening the last few minutes of trading.
Margin calls come in in the AM. They give you toward the end of day to cover. If not massive amount of trades are sold to cover their short fall.
You need to live and learn how the market moves under these crazy times.
If we hold up today to the end of trading it may mean margin calls have been settled for the time being.
Lets hope it is.
Dunky, with the whip lashes the market has given us the last few weeks I wouldn't call holding cash of only 25% hoarding. It's protection and opportunity if it comes along.
Since I believe in RAD I've been buying each time it takes a dive.
As far as getting back to my 25% I sell a couple shares of my holding to cover the RAD trade.
Why? Because I feel RAD has more upside than the small few shares I've sold.
Those couple of shares i've sold have more downside than upside compared to RAD.
Bottom line, when the crash of 87 and the financial crises in 2000 I picked up some great shares with my cash hoard, as you call it and did very, very good.
And as an answer to those that don't think margin calls were a small part of the stock collapse they are wrong. Lets just say a conservative number was 15% of the down fall.
Example: You have ETF'S, mutual fund houses, financial institutions, oversea's investors ( that love to buy on margin by the way) including many U.S.retail investors that have been talked into purchasing more stock on margin.
They have all been called to raise additional cash or by selling holdings in their portfolio.
So I'm waiting to see a report on this type of investment and who was hurt.
The qtly. report on ETF'S and many mutual funds will not look pretty in the third qtr.
P.S When I was younger my financial guy had me buy 50% more stock for only 50% total cash.
I paid high interest rates per month for that privilage. When at time, when the market went down he called me to put up another $5000 or lose my shares. Never again did I trade on margin.
The other problem was putting a stop loss on a stock. I did that once on a $10,000 investment.
Guess what it was stopped out and within one hour it was higher prior to the fall.
I feel for those who were stopped out on Monday and yesterday.
Good Luck and good and careful investing.
One of the things that the talking heads are not talking about is MARGIN CALLS.
If your a long term investor you know what that is.
Many financial organisations, as well as retail investors purchase shares on margin. No extra money. Just the requirement to raise more cash in a hurry if you have lost more than your allowed.
If not the financial institutions will sell them without your approval
Margin is the ability to purchase more shares without the additional cash.
The investors are hoping that the additional shares will increase in value over time.
When the market falls, like it has in the past 7 days, they are forced to cover.
That means they need to sell whatever they have to cover their shortfall.
I do think that some of the selling is do to this. Major Margin Calls.
It's a very difficult time as well as destruction of a portfolio. That's why you never purchase stocks on margin.
Bottom line is I feel a percentage of our drops in the last three days have been margin calls.
Keep the 25% cash in your portfolio and hang tight.
Watch out for the dead cat bounces and don't try to catch a falling knife.
As I've said these last few days, watch out for dead cat bounces. And it sure did. Catching everyone flat footed. Including myself. But I still hold 25% cash.
I hope you kept cash at 25%. It's fuel for another day. Every one is calling for the end of the world. This is the time when Mr. Buffet goes shopping, when there is blood in the streets. Although I do not advise buying anything at this time. Anything of what you may think as value may still be a falling knife.
I will sat that RAD, under the circumstances has done very, very well.
Do you buy more? NO. Wait until this awful market has a clear up trend and not before.
Please post the information.
No one should give speculation without proof.
We have investors here who should be informed about any positive news.
Lets hope that's true.
The only green I had today was LXRX.
I guess were on the same page.
The only thing that bothers me is the F board is so political.
So I'll go somewhere else.
No one on this board can appreciate what is going on and how bad it has become.
For the one who gave me a thumbs down please explain your position and why the thumbs down.
Or are you afraid to give an opinion.
I would truly like to hear your opinion.
It helps everyone on the board to hear differences of opinion including me.