Korean Job Discussion Forums

[Robot_Teacher]

My favorite is UYG Proshares that reliably follows the Dow in a predictable manner where if the Dow goes down you can get a bargain buy and when it goes up, you sell for a profit. This KISS, keep it simple and stupid idea, must be the holy grail to getting where I want to be in life if I keep at it for many years to come. While New York buzzes, we sleep with the market open from 10:30PM to 5:30AM Korea time. It doesn't require you to stay up late due to the fact you run limit orders which is common sense even if you live in America and monitoring the market with a crackberry phone linked to your Scottrade account. This is why so many Americans with money are constantly all about their Blackberry phone and pop it out 3 seconds before the wheels of a flight touch ground.

Once a week on average you can have a complete round trip of playing one stupid ETF since the market usually gyrates in varying bull and bear cycles each week due to mass investors emotional sentiments, market corrections, and supply vs. demand.

This is where I'm starting out small with $700 and it develops $20 to $40 each week by doing a round trip of a cheap ETF and as the account gets larger, more money can be made (and lost) while I sock more savings in small increments even if it's just $20 per week. I must be careful not do any more than 3 round trips in any 5 day period as that would trigger a call for me to deposit $25,000 or face a 90 day account freeze as defined by SEC rules on what a day trader is and it requiring you to have at least $25,000 to be a day trader like the way I dream to be. I wish I had $10,000 to $25,000 to start with as that can bloom in 1 year with 5 years being enough time to achieve financial independence so long as the market and capitalism doesn't crash altogether or a change occurs rendering your strategy obsolete with a nasty surprise. $25,000 or more could be played to endless fortunes if you're a savvy day trader guy or gal. The concept of inventing money is hard to wrap my brain around, but is what's going on in New York and Chicago in a big big way with the day traders who have lots of money going on.

Note: This is an attempt to elicit an intelligent discussion and is not investing advice as I'm not a licensed finance professional; just a little poor guy saddled with huge student loan debt wishing to achieve freedom by taking baby steps from a financial perspective. If starting out with a negative value like me, then you have to crawl before you can walk and run. I did study finance in college, but you can self educate on how to invest by reading the Internet such as investopedia.com. It's not worth it for a poor boy to take out $40,000 debt for a business education as you can learn all that online if you're inclined to study business and economics. Everything I studied in college is on investopedia.com and other sites allowing me to review any jargon at any time. Everything you could ever need to know is free for the reading online. Everything, except a crystal ball, is freely available online. I feel I would had done better if I could had taken $40,000 on margin with a brokerage, but don't since I don't have $40,000 cash to back it up should I bolo. Might attempt if I feel life has become an all or nothing situation from a personal financial

[Rusty Shackleford]

This is basically my investment strategy.

I have ETFs in the NZ stock exchange, which isn't exactly a hum dinger, but it does the trick. I don't expect to cash out for 20 years at the least. I put $50(200/month) a week into it, and am getting a very good price (imo), at the moment.

I am trying to get into the Korean stock exchange but they don't have any no fee funds that I can find. Btw, this strategy is called dollar cost averaging. I believe it to be the best strategy as almost no one beats the market, long term. Even Buffett is conceivably a fluke.

[Robot_Teacher]

Oh yes, you're right on that Rusty with one difference. The only difference in my strategy from dollar cost averaging is that I don't immediately buy the ETF as soon as depositing my savings each week or month. I put it in my savings account first which is linked to my brokerage account, transfer it to brokerage account, and wait a few days for a rally to simmer down if the market and ETF seems to be at a high point before making another ETF purchase rather than simply buying at current market price regardless of said price as dollar cost average states. I use limit orders to control my purchase and willing to wait a few days to a week. This is where it takes the discilpline of patience when you're wanting to buy something. It's like waiting for that new D5000 model of camera to come down in price to maybe 800,000 won in 3 to 6 months rather than purchasing it now for 1,400,000 won except you don't have to wait 3 to 6 months to buy in this volitile market; just days or mere hours. I'm not xferring money from Korea yet, but get a $350 a month pension I can now invest since I no longer depend on it to pay bills like I did at home.

[Rusty Shackleford]

Don't you get stung on brokerage fees, though?

[Robot_Teacher]

Just $5 per trade; $10 roundtrip. That's 1% of a $500 order. If said $500 order increases by at least 2%, then you've broke even, but you hope that it goes up well above that point before selling. Many people get emotional and sell when $500 becomes only $200, but I say wait it out if that happens.

[phoneboothface]

Careful with the more volatile ETFs, I've have a stop limit order in on more than one occasion but because it dropped so much day to day it missed and wasn't executed.

I haven't made any good trades recently so don't listen to me too much but...

Investing is funner than gambling and everyone should do it after reading up. If you make a mistake while you're young you have plenty of years to earn it back. If you hit it, then good for you. Those of us making under like $70,000 a year without kids don't have that much to risk anyways.

The 2X stuff provides some interesting action if you've got the stomach for it.

There, I tried to talk myself into blowing more money in the market this week. Haha.

[itaewonguy]

personally I am not a fan of ETF'S I like to pick my own stocks ..

there is no winning formula which you can use . what worked for someone else doesn't mean its going to work for you..

so many patterns which one could follow, end of the day do your homework and hope for the best... end of the day investing is no different than being down at the pub betting on the ponies or the hounds!
don't gamble what you can't afford to lose!
and if the stock is losing! know when to DUMP IT!!!