I blew up , feels so bad

c4ytan · Feb 17, 2009

To whoever it is who lost money trading... consider it a blessing you lost money trading and just charge it to tuition. The best lesson the market can ever give you is the knowledge that you're not invincible and to respect the market. Now go back, review your trades and examine why you lost the money you lost and start learning from them. If you need some inspiration, read Jesse Livermore's "Reminiscences of a Stock Operator" which is a must-read for any aspiring trader. He got bankrupt several times but he was able to make spectacular comebacks.

I lost waaayyyy more money than most of you young guys and the sad fact of it is I didn't even lose it trading so I learned nothing from it. I lost a big chunk of it investing in a disaster of a mutual fund i.e. Dodge & Cox, who turns out loaded up on stocks like Fannie Mae, AIG, Wachovia, etc. The one lesson I got from this is that I should start trading and not investing in mutual funds even if that fund has a long history of outperformance. Gee whiz, I didn't need to lose hundreds of thousand of dollars to learn that lesson. So consider yourself lucky to lose a couple of thousand on trades you can actually learn from.

firscall · Feb 18, 2009

Quote from tickmagnet:

I tell you why it's rigged , DRYS goes down to 3 (say for a reason)
then it starts bouncing back , oversold stock starts bouncing back(company with a book value 30 dollars) , after trading around13 15 , a bad news after close , in few days more bad news ,
and shorts bring it down to 4 , and not only shorts lot of new longs get scared and sell it.

Which trading method are you using?

kandlekid · Feb 18, 2009

Quote from YTEurope:

... rookie traders need to trade papermoney or lose 80% of their value to get that god moment and actually work on capital preservation rather than MAKING BIG BUCKS IN A FEW DAYS.

well said. in fact we all need to work more on capital preservation.

drcha · Feb 18, 2009

Quote from c4ytan:

I lost a big chunk of it investing in a disaster of a mutual fund

LOL! (with you, not at you). I took an 80K bath in the early 2000's on the Janus Worldwide fund. Sometime in around 2004, they sent me a very nice letter saying that shareholders would ultimately recover "at least one cent per share." After a long wait, just a few months ago, I received a check for eighteen dollars! I suppose I can buy a couple of burgers, with extra cheese and a Becks, too. Presumably the lawyers are getting the Kobe filets with lobster tails and Chateau Margaux.

And, good post, c4ytan. The best thing that can happen to anyone is to get burned, if it causes you to analyze your approach and change it for the better.

Someone please tell me, who said this (Ben Franklin?): "Those things which hurt, instruct."

Mary

Mr J · Feb 18, 2009

Quote from makloda:

Tons of business start-ups fail every day and so do many traders. I'd bet the two biggest reasons for both are

a) severe under-capitalization
b) unrealistic (=overly optimistic) expectations

I'd think a poor business plan is the most likely reason for a failure.

fluideq · Feb 19, 2009

putz
1.all good traders have blown up

2.paying low rates is smart

3.theirs enough vol in the mkt you can turn this around you didnt go negative treade 1000 shares of high volume cheap stocks
and put all those nickels dimes and quarters in your pocket

4.you like the fact that the game is rigged thats why the mkt we have all seen stocks do crazy things rmbs over and over market makers triggering stops to get long and vice versa

p/e of 500 its all nuts

grind some cash close flat make 200 a day and 400 a day and multiply tradding days your ok just dazed

ive seen people take hits the only problem here is that you only lost 20k ive seen millions evaporate and years later those guys are back stronger just remeber how you made money and do it again

elitejets · Feb 19, 2009

Sorry not good news for Drys.
Asian container traffic tanked in January, story here:

http://www.lloydslist.com/ll/news/viewArticle.htm?articleId=20017618892

Nicola

buybig · Feb 19, 2009

Quote from elitejets:

Sorry not good news for Drys.
Asian container traffic tanked in January, story here:

http://www.lloydslist.com/ll/news/viewArticle.htm?articleId=20017618892

Nicola

thanks for the info,

i suspect this is already built into the stock price but whose to say

elitejets · Feb 19, 2009

Yes, surprisingly prices have had a bit of a rally.

Quote from snugglepuppy666:

thanks for the info,

i suspect this is already built into the stock price but whose to say

murray t turtle · Feb 20, 2009

Quote from tickmagnet:

I don't know what happened ,but happened it fast.
I switched my account from OX to just2trade , cause for
very cheap commissions. from 20K I went to 27K in few days ,
than i started ....MELI ,(both came back after I sold them at loss) and kept DRYS , now I'm down to 3.5K .

few HARD LESSONS

1.Nver get into crowded trades
2.position size kills
3.cheap commisssions make you to trade more.
4 this games is rigged.

how can I make it back ( I had some big hits in the past , but now i"m scared)

=========================
TM;
Good nickname i like Toyota trucks, dont know that stock.

1] More than one way to work it-i like crowded trades .
2]Exactly, thats wisdom.
3]Party could true , but you just blame gamed your broker=wrong.
4]I assume you were shorting DRYS??? If you were long;
simply wrong in probability %%, DIA, SPY are also bear[50 dma/200dma] trend as DRYS.
For uptrend/bull market see SLV.......