TheRumpledOne
6,529 posts
msg #56227
- Ignore TheRumpledOne |
10/31/2007 11:15:12 AM
I answered a question in the General Discussion area but the title is NEW FORUM POST so... I thought these should be put here with a HEADING.
SF, please give us the ability to edit the heading OR... make it so we have to type something in the heading BEFORE we can post a message.
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SFMc01
358 posts
msg #56250
- Ignore SFMc01 |
10/31/2007 9:46:20 PM
A $2 movement on a $300 stock is a lot less meaningful than a $2 movement on a $50 stock. Instead of "Mover" being defined as a high-low difference of $2, could it be defined some way as a % of the close price? Thank you.
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TheRumpledOne
6,529 posts
msg #56251
- Ignore TheRumpledOne
modified |
10/31/2007 9:55:45 PM
A $2 move is a $2 move.
You still make the same amount.
Buy/sell 100 shares and gross $200.00.
Of course, the percent return is different but the money is the same!!
Check this out:
http://www.thinkingaboutmoney.com/wp-content/uploads/2006/05/bigmistakes.pdf
http://www.rediff.com/money/2007/aug/07spec.htm
http://www.news.cornell.edu/Chronicle/99/2.4.99/Gilovich.html
Thank you for bringing this up. It is very important and the sooner one conquers this, the faster they'll become profitable.
I'll buy 1,000 shares of a $5 stock or a $300 stock, and I'll dump for a dime and gross $100. My eye is on the $ not on the %.
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Feel free to change the filters I post to fit your needs.
I posted a percent move filter ealier this week.
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dbyrt
70 posts
msg #56294
- Ignore dbyrt |
11/1/2007 5:22:47 PM
"I'll buy 1,000 shares of a $5 stock or a $300 stock, and I'll dump for a dime and gross $100. My eye is on the $ not on the %. "
yea, but there's a lot of difference in having to put down $5,000 to make $100, than to put down $300,000 to make the same !!!
Percentages matter more in my mind.
Maybe you have that amount to trade.....lucky you.
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TheRumpledOne
6,529 posts
msg #56307
- Ignore TheRumpledOne |
11/2/2007 6:53:44 AM
"Maybe you have that amount to trade.....lucky you."
To daytrade you need a minimum of $25k.
At 4:1 margin, that gives you $100k of buying power.
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