How do you handle someone asking you about trading stocks, etc?
- Thread starter PolymathMind
- Start date
hahaha. i'll try to remember this one. might say I don't give advice on politics or finance.
I used to tell people I was in construction and property mang, lately they started down the same old road, "isn't that risky" "it's a gamble" which happened to be the same responses that i'd get when i told someone I traded, so now I tell folks that I stare at a computer screen, because I'm a risk manger and it's a remote job, that ends the conversation dead in it's tracks, which is what it is intended to do.
A helpful hint never tell anyone that you trade, most people have no clue and they'll tell you how to do it anyways. Or ask like 100's of questions and not understand anything that u tell them, I used to give crazy answers to questions just to see their reaction, or really confuse them, with some made up crazy gibberish just so they realize they have no clue.
A helpful hint never tell anyone that you trade, most people have no clue and they'll tell you how to do it anyways. Or ask like 100's of questions and not understand anything that u tell them, I used to give crazy answers to questions just to see their reaction, or really confuse them, with some made up crazy gibberish just so they realize they have no clue.
You are lucky the situation went the way it did as opposed to the opposite. Most people don't do their homework and after receiving a tip they go full out and decide to go all in. If this happens and they lose a ton of money you are screwed, never offer stock advice to anyone, the only way the situation turns out is bad. If your tip works they expected it to work anyways so they will not offer you any thx, if it doesn't work, they no longer consider you a friend, and you could even get sued, there is absolutely no benefit to offering someone advice on stocks.
I get asked all the time, and i just tell them that I really dont know, and unless they are willing to sit side by side with me 24 hours a day, they will not know either, or else i simply say i win as much as I lose, or "Its a tough market" these are easy ways out of a difficult situation.
I was once asked by a step uncle of mine who has made millions in the oil industry whether or not he should invest in some penny oil stock which was supposed to have some new way of creating ethanol, it was all bullshit, anyways the guy is worth millions and all i said to him in early '07, or '06 was that i thought oil was going to get more expensive and the price of commodities were going up, and that i thought penny stocks were risky, and essentially worthless, this was an accurate description of what happened beyond that point, but apparently he bought the hell out of the oil stock, never took his profits, and a year later he came to me and was angry that i was wrong, even though he could have gotten out of the stock from the point i told him commodities were going up, for a huge profit.
There is absolutely nothing to be gained from giving people stock tips, especially relatives, and i now avoid it at all costs.
I get asked all the time, and i just tell them that I really dont know, and unless they are willing to sit side by side with me 24 hours a day, they will not know either, or else i simply say i win as much as I lose, or "Its a tough market" these are easy ways out of a difficult situation.
I was once asked by a step uncle of mine who has made millions in the oil industry whether or not he should invest in some penny oil stock which was supposed to have some new way of creating ethanol, it was all bullshit, anyways the guy is worth millions and all i said to him in early '07, or '06 was that i thought oil was going to get more expensive and the price of commodities were going up, and that i thought penny stocks were risky, and essentially worthless, this was an accurate description of what happened beyond that point, but apparently he bought the hell out of the oil stock, never took his profits, and a year later he came to me and was angry that i was wrong, even though he could have gotten out of the stock from the point i told him commodities were going up, for a huge profit.
There is absolutely nothing to be gained from giving people stock tips, especially relatives, and i now avoid it at all costs.
Quote from NoDoji:
On June 23, 2009 my friend called me and said that after being in cash for the longest time, she had 3 stocks she wanted to buy because she did business with these companies all the time and they were great companies and she just knew they were going to be great investments. The stocks were AMZN, COST and NFLX. She wanted my opinion on them.
I looked at the charts and, based on technical analysis and nothing else, told her that her stocks were all "buys" and told her where to place her stops.
Every one of those stocks had excellent gains, with COST gaining almost 40%, AMZN nearly doubling in value, and NFLX more than tripling in value.
I spoke to her recently and mentioned how solid her stock picks were. It turned out she did not buy a single one of them because the concept of "stops" scared her. She said she couldn't bear the thought of losing money on them.
Professional traders play a numbers game for a living, and most people do not understand that, even people who have made a ton of money, and are sound business people do not understand the fact that as a trader you are only right about 2/3rd's of the time, so they automatically assume when you throw out an opinion that it must automatically be right.
Is that you, Jack Hershey?
i often say "IT" or "ecommerce"
that usually ends the conversation
I explained day trading one time, too well apparently...I was explaining how you try to reduce risk, never more than 2% of capital on a trade...they seemed disappointed!! I later learned that person "loved to gamble"
If you say, "day trader" they assume they bailed you out, or some other annoying comment about "not believing in capitalism"
now I just say, "I buy and sell"
when they say, "what?" in my head I'm thinking, "none of your f***ing business" but I chicken out and say, "it could be anything, wheat, corn, porn..."
that usually ends the conversation
I explained day trading one time, too well apparently...I was explaining how you try to reduce risk, never more than 2% of capital on a trade...they seemed disappointed!! I later learned that person "loved to gamble"
If you say, "day trader" they assume they bailed you out, or some other annoying comment about "not believing in capitalism"
now I just say, "I buy and sell"
when they say, "what?" in my head I'm thinking, "none of your f***ing business" but I chicken out and say, "it could be anything, wheat, corn, porn..."
Early in my career I struggle to be profitable and I would tell people I'm a short term trader but they always classify me as a day trader.....they always want to know how I'm doing. Now that I have a strategy that works....I don't talk about trading, because thy typical person is just an investor, they just donât get itâ¦â¦
the reply "i lose money" only works to dissuade them if you look unsuccessful. if you have significant assets (house, nice cars), that answer would immediately be followed by, "then how did you afford your home and cars?"
instead, when they ask about stocks and trading, just don't give specific tips on specific stocks. i only give them my view of the economy, and leave it to them to act on it.
instead, when they ask about stocks and trading, just don't give specific tips on specific stocks. i only give them my view of the economy, and leave it to them to act on it.