Many ways to skin a cat. Really comes down to what you can handle emotionally and psychologically. For me, after blowing up 2 times many years ago, I know the triggers that can leave me vulnerable and too much risk in any one asset is one of them.
Over leveraging myself in any one stock gives me anxiety attacks. Sinking thousands into that NVDA call earlier this year, that I posted in here and made a $50 gain on, had me borderline panicking when they missed earnings that week
Solid reminder why I dont YOLO these days.
Totally feel you once again. Same reason I don't ever use leverage. If I can't cash cover I don't buy it. I haven't done an option in five years or so either but that's more of a red tape issue with my employer.
hennessy just let me do the investing for you man - I’ll give you the family and friends discount
I did make some money off DKNG last year though.
you’ll be better off in the long run for those experiences. They suck but they mold you. Blowing up two accounts plus round tripping a crypto bull run into a bear market taught and prepared me for 2020. Now hopefully I can maintain a solid cushion moving forward and when the fed starts tightening I’ll trim some positions, but overall the difference for me has come down to me understanding what to look for in a company. You want to own companies that the world depends on for survival, you want to own under hyped themes that the market hasn’t caught onto, and you want to delineate the weak from the elite. Two common mistakes people make, they go for the big guns already established and at their peak potential (tsla) or they go for the home run idea that won’t materialize logically (spacs, cheap momentum turds). You need to find the middle ground and that’s in companies with large total addressable markets, companies with legitimate sales growth north of 30%, companies with strong gross margins (preferably north of 30%), free cash flow growth, an expectation for ebidta and eps growth toward positivity in the next 2-3 years, and trading at least than 30 EV/S for the next year. This is how you find the real home runs that change your life and not the meme trends and fads. EV’s now will be dead in a year. I saw this with 3D printers and weed stocks. Genomics won’t. Reason being, EV’s will never have the scale or brand power to compete with the establishment, genomics on the other hand impact every single one of our lives daily and have an edge that no other life sciences or biotech company possesses. Weed stocks like CRLBF have real earnings and real growth potential, memes like the cheaper turds have a good PR team.In 2019 I fell prey to weed stocks and got off Robinhood. I put $30k across two weed stocks (CGC & ACB) and watched that turn to $15k in a few months. Then I went all in APHA and gained back to like $21k and cut my losses. -30% for the year.
2020 was my second year investing in stocks on my own. Opened a ROTH IRA with TD at the end of 2019 and contributed the max for 19 and 20 so I had 12k to work with. I told myself that was all I’d invest for the year because what got me in trouble with weed stocks was I kept averaging down like $5-10k at a time and kept losing. Honestly, if not for my weed stock mistakes I probably would have lost much more when the pandemic hit. I was completely on the sidelines late 2019 until May 2020 because I was so shook from those losses and the market crash from the pandemic.
I learned a lot this past year but still made some of the same mistakes. For example I put the entire thing into GAN and was stuck holding for months. I was down 40% at one point but actually ended up selling for a profit. Also sold the whole position in my favorite stock ROCK when I was up 20% and it’s now up 100% from where I bought in. +14% for the year though so I can’t complain
I already contributed max to the ROTH for 2021 and opened a TD brokerage account put $6k in there as well. Laying out my strategy going forward while I wait for a little dip here.
I think I will DCA into the bigger names I want to hold long term in the brokerage account. With the ROTH I will still try to do some active trading here and there.
I have way more capital to invest but I want to learn more first. Unfortunately the best lessons I’ve learned thus far were from making mistakes myself. I’m afraid to throw a few hundred thousand in all at once but also have FOMO with money just sitting in the bank. I honestly don’t trust myself as a novice investor
I just checked my TSP from when I worked for the gov and it had a 20% return for 2020
This is one of my fav threads on NT. Keeps me in check. Hope we can all flourish this year
Honestly that’s an amazing return, and borderline once in a lifetime perfect storm, but he’s also very lucky. MP is the only “legit” company out of the ones you mentioned. BLNK will probably be back there by the time this market comes back to reality and the EV dad wears off so don’t feel too bad. You want to own the best companies and you want to have the conviction to size into them, but it’s the best companies, not the best memes or the best vehicles to trade. You’ll create that way. My biggest winner is ROKU, and I had the conviction to size in what I could for my account size, and I had to build that position over time. Being confident to average up at 155, 220, 230, is being confident in my process and understanding which created my conviction. See the facts, build off of them.
Mostly all of my watchlist was up this week. RDFN, PYPL, TSLA, LMND, etc. were running. Kind of mad at myself for thinking a one-sided government would push all prices down. I had the candidates right, but not the reaction. I guess I underestimated the prospects of an early February stimulus of $1,400.
SoFi hype is bring spac’s back to lifePSTH breached 30
