One thing I never actually understood about this whole trade bullshit

One thing I never actually understood about this whole trade bullshit.
How are people even losing money here? I mean just hodl and you're good. Are traders really this dumb or what?

are you like 15 or something?

Are traders really this dumb or what?

Yeah it's literally that. They treat it like it's gambling and so it becomes gambling.

they are, indeed, that dumb. most of them believe you can predict the future by drawing squiggles on a chart

no but ELI5

Always had that feeling

But if I was gambling I'd rather short, not? I mean shorting is the only way you can lose, if it goes green again before you expected it.

no one wants to wait 30 years to make 150% before inflation. trading is the only way out

Dude picrel is actually all that was lost in that situation. And that's making trade people shitting their pants?

buy high

sell low

It's really that shrimple.

A few reasons, mostly opportunity costs or options trading. Stocks are permanent, options have expiration dates, so if you bought 5000 calls for a stock that expires this week and the price goes down by 10%, well, you just lost that money in it's entirety.

Another reason is swing trading. You might have noticed that stocks even when they're in a really good moment never go straight up, it always goes up, down a bit, then up a bit higher, then down again, then up even higher. Part of the reason for that is swing trading, you buy something at $10, it goes up to $12, then you cash in the extra $2 instead of holding it for longer. This allows you to now use your $12 to repeat the process with another company that is at $10, and is much more likely to go to $12 than the first company going up to $14. This is riskier but, if done right, yields far higher returns.

What you seem to be assuming is that everyone buys and holds, as in, they don't really care about stocks much, just buy a fixed % of their salary each month and expect everything to work out after a few decades. If that's your case, you are correct and you should just wait it out, in fact buy in even more for a discounted price.

[spoiler]haven't posted on Anon Babble in over 10 years and i can see why post quality decreased. 900 secs to post is insane, the Anon Babble gold membership meme became a reality.[/spoiler]

Leverage + HFT + hookers + blow

You think it's that easy, right?

I'm down by 30%. It's actually a pain in the ass that the whole market is in this dumb situation. Not buying at this point. Will focus on more freebies, like farming on TG games like Boinker and a few others, to keep my fking mind off my PF.

to where?

So crazy right now. Things are more difficult now. No one is making money off the market. If we're not winning, then who are we losing to?

SIMPSONS DID IT
SIMPSONS DID IT

haven't posted on Anon Babble in over 10 years and i can see why post quality decreased. 900 secs to post is insane, the Anon Babble gold membership meme became a reality.

it doesnt apply to everyone
im using firefox on linux mint and it works the way its always worked
when I switch to my win7 partition and get on chrome, I have the 900 second delay thing
I dont know why

Why don't people just hold

1. Unironic insider trading (ie people close to Trump or who are close to people close to Trump will sell, then buy because they know Trump will make an announcement that will jack stocks prices up)
2. People who don't have inside knowledge, but think they can time the market to sell, then buy the dip (most of these people are wrong)
3. People who fear there may be a recession, or extended economic turmoil so they want to sell their stock and either keep it as cash or put it in a safer investment, because if there is an extended bear market and they need money at any point (for example, they get laid off), if they sell their stocks they will sell at a massive loss
4. People who just see red so they panic and sell (not all traders are smart investors)

Derivatives are an issue... you can't hodl those. Also, you may want to check in with people who owned shares of Bear Stearns. They didn't do so well by hodling.

Just hold through 15 year stagnations!

b-but if you aren't retiring anytime soon it doesn't matter!

I lost a lot of money because I thought Trump would at least try to keep up his charade for a couple of weeks instead of folding in 3 fucking days.

Fucking this

good post

Correct
These people are weak handed

Stocks in non-major companies are the absolutely worst degenerate casino gambling imaginable.
I am not against risky investing. I am doing that myself and am making 5+%/week.
But risk =/= gambling.Most stocks are pure gambling, no different than roulette.

this is why any non divvy paying stock is a scam. no idea why people invest in companies that don't share the profit with their investors but somehow they still have trillion dollar valuations

Don't dividend payouts reduce the share price though? For example, if a dividend of 10 dollars is distributed, the share price will also drop 10 usd...

babies 1st post in Anon Babble

Leverage
Margin calls
go back you utter cringe midwit faggot

Monet just transfer from people to people, so when the market dropped by 1trillinon or so that means a lot of people got richer.

yeah but it tends to recover quick and you wont have to be left a pure bagholder in bad times. basically would you rather be left with stocks at -20% that would suck to sell or would you have that but still get paid some divvies while waiting for it to recover

with stocks at -20%

I've always wondered, what tends to happen to a dividend payout when the share price tanks? For example, share price drops 20%, does the dividend payout per share also drop 205?

drop 205

Mean to say "drop 20%"

no. the yield % goes up then. you get the same divvy but now you can acquire more of the stock for less. the amount of divvy paid depends on company performance

my yields went from 3% to 4.4% during this 25% crash but it should probably have gone higher considering it's another currency.
it was an L move by me I'll move in the future

if everyone holds and there is no trading the price would never change

So the dividend payout is more resilient compared to share price in times of market crashes then?