Posted on: 17-02-09 15:50:29
Hello CDs
I have some savings around 10 k . Actually I saved this money to buy a new car as down payment . Due job market situation I am thinking to invest this money in stock market as 5 k long term and 5 k as day to day online trading through amritrade to make 100 every day and an average of $1000 to 1500 per month . I don't know whether this is possible . Can you through some lights selecting some hot stocks. My knowledge in stock market is "5" between 1 to 10.
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Clinton
Quote:Are you referring to day trading?
Originally posted by clinton
I have some savings around 10 k . Actually I saved this money to buy a new car as down payment . Due job market situation I am thinking to invest this money in stock market as 5 k long term and 5 k as day to day online trading through amritrade to make 100 every day and an average of $1000 to 1500 per month . I don't know whether this is possible . Can you through some lights selecting some hot stocks. My knowledge in stock market is "5" between 1 to 10.
If not, how else can you make $1500 with $10,000 investment in one month?
That would be like 15% return every month, not including compounding.
That is hard to achieve even in the best of times, not to mention present circumstances.
With day trading, it may be possible especially if you are a sophisticated investor and can pick plays that most other people are not considering or have overlooked.
Often it will involve betting against the market direction.
I'm sure you know that with promise of great returns comes great risk too.
Risk in this sense is losing everything that you have invested.
And if you are shorting, you can lose more than what you are investing.
Based on what you are saying, it doesn't look like this $10K is "play money".
Unless it is play money and/or you are a very sophisticated investor with previous knowledge of day trading, I would suggest a more conservative approach.
You don't necessarily need to invest in the stock market - there are other options too.
A high interest savings account, a high interest GIC, government bonds, etc. are all good options.
If you want to be in the stock market, you can always invest part of your $10K in an index fund or ETF.
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"Mah deah, there is much more money to be made in the destruction of civilization than in building it up."
-- Rhett Butler in "Gone with the Wind"
This is not the right time to invest in Stocks even if it is going to be for long terms.
One, no one knows the bottom and secondly recovery may not be there for a long time to come and may not bring back even the currrent price levels. Not many people will see DOW or TSX at 15K level in the rest of their life again.
Hope this clarifies everything where markets are heading ...
Keep well by investing in high interest savings account as suggested by pratickm.
Cheer!
Thanks guys . After consulting my financial adviser Yesterday I bought 100 Rim shares
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Clinton
Hello CD's
As I said I bought RIM shares . I bought bombarider shares and sold and made some profit.
I am thinking in investing in suncor ( SU-T) . based on news about suncor is buying petro canada .Any valuable comments appreciated.
Now I learned some knowledge about stock trading.
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Clinton
Quote:That news has already been priced in - knowing that piece of information gives you no advantage.
Originally posted by clinton
I am thinking in investing in suncor ( SU-T) . based on news about suncor is buying petro canada .Any valuable comments appreciated.
You need to decide whether the current price of Suncor is acceptable to you or not - don't base your decision on the merger news.
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"Mah deah, there is much more money to be made in the destruction of civilization than in building it up."
-- Rhett Butler in "Gone with the Wind"
with current price of OIL at $54/barrel, I don't think any oil company shares is a good buy right now, not at least there is one session of price dip of oil....
Once it goes below $50 for couple of days & then again if it starts lifting then I would think that it's gonna stay above $50 for some time...
If you are sure of oil prices going into what direction, I think you should try HOU & HOD..... this are funds which go like 2x to 3x times of percentage of oil price change. HOU is for oil bull (price going up) & HOD is for bear (price going down).
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i..........rock........!!!!!
