Mikey,
I don't have any answers for you, as I am new to investing as well, but I will say that just about every word you wrote is the way I feel about the market.
I've done my little charts where if you started with $2,000 and doubled you'd have $4,000, then if you doubled that you'd have $8,000, etc. If you doubled every month, then sure enough you'd be a millionaire within a year.
Your last question is a great one, "What am I missing?" as in "Geez, this looks too simple." About the only thing I can say to that is that I did have a somewhat sobering experience recently. I use Ameritrade and started with an account balance of $2,000 (I think that's the minimum allowed to start an account with Ameritrade). At one point, I had turned it into about $4,400 (I bought NINE at 1.75/share and sold at 4.0625/share).
I was really on a high and thought I was a stock market guru like a young Mozart of wall street. Within the next five weeks, however, my $4,400 sunk to about $850! Some guru! Not only did I lose my profits from NINE, but I'd lost more than half of what I originally started with! As I say, it was a very sobering experience. Since then I've gotten back above $2,000 so I feel refreshed and ready for another run at success. But this time, however, I'm much more cautious about this Mozart of wall street delusion.
By the way, I got your post over at Tokyo Joe's cafe and as you can see, I'm responding to it here.
See you in the millionaire's hall-of-fame--ha ha. Here's hoping, anyway.
Chris
P.S. I recently bought 11,500 shares of GLCP at 0.17. Folks on that thread are saying that the stock may go to $2/share within a matter of weeks if there is good news next week on FCC approval. I don't know if they are right, because I've heard so many hype statements, but *IF* they are right, I would have turned $2,000 into over $20,000! It's like pinch me--am I in a dream? Then what if I were to find another five-bagger? $20,000 into $100,000--Could I really do it?
On the one hand, these are the dreams that keep me so fascinated in the stock market. On the other hand, maybe I need to get sobered up some more. |
