Investment BS Thread - Stocks/Futures/Mutual Funds/Bonds/Commodities/Options/ETFs/401ks/Etc

Don't worry guys... no inflation

 

Almost everybody knows there is inflation just not according to the definition the govt uses.

 

I made $0.80 off of a $37 investment today, turned out to $0.10/share gain. Pretty cool to see how everything fluctuates and see how a small investment can make a small return in 24-48 hours.

 

Perhaps a new hobby. A gen2 fixer upper, of Gen 3 regear? Good to hear that proper planning and realistic expectations have paid off.

 

The fed says there is no inflation. But theyll also change how they measure inflation and ignore things that dont support the no inflation statement.

And this is just my though on boeing, but when they get the issues fixed on the 737 max planes, who wants to ride in one? Are airlines going to buy more of them when they've already had them grounded for months at a time due to current issues. If they have another issue it could be several more months of downtime.
Also after they fix the current issues and they go back in the air if another one crashed, theyll really be in deep shit

 

It’s interesting that the government would deny inflation while issuing TIPS at the same time.

 

Alright guys, I’m taking my first leap at getting into buying and managing my own stocks via the Robinhood app. I’m looking to start with some natural gas stocks. I’m unsure which ones to purchase right now though. Any thoughts and recommendations?

 

The trouble with recommendations is that nobody wants to be responsible for you losing money.
If someone told you to invest in XYZ and you did, and it tanked, you'd probably be a little sore at that person.

You're likely to hear DYOR (do your own research) a lot.
Apart from that, I have no idea about natural gas stocks anyway

 

I'm into UGAZ right now, but I'm weirdly waiting for it to touch $40 so I can load up on more and bring my avg cost down to about $61. I would wait until this bearish trend reverses before buying in IMO. Don't buy during a bull trap either.

Go make a tradingview.com account and look at NATGASUSD so that you can get a clearer picture of where UGAZ and its inverse (DGAZ) are heading.

Right now people are saying we are at a bear flag stage which means more pain ahead. People are talking about henry hub natgas prices getting all the way down to 1.60 per MMbtu.

Keep an eye on this:
https://www.eia.gov/naturalgas/data.php


Be aware that UGAZ and DGAZ both decay over time so these are NOT long term holds. UNG may be your best bet for that.
Read this to learn more:
https://seekingalpha.com/article/4107640-playing-fire-how-long-can-you-safely-hold-3x-leveraged-etf


Good luck. If you don't have the stomach for 30%+ losses in the blink of an eye, I would suggest staying very far from UGAZ or DGAZ, or at the very least do not invest more than you're willing to lose.

We have very mainstream news outlets talking about the natgas issue and drillers slowing production or going bankrupt, so I think that bodes well in the coming weeks or months, but right now I do not believe we are done with the pain yet.
https://www.bloomberg.com/news/arti...ollapse-has-shale-drillers-hitting-the-brakes

I forgot to mention BOIL and KOLD are also natgas ETFs but are 2x instead of 3x like UGAZ and DGAZ.

 

If you're new at stocks I would start here:

https://www.bogleheads.org/wiki/Getting_started

 

How do we like Exxon (XOM)? At 52 week lows and the dividend looks good.

 

I own it, and CVX. Don't plan to ever sell either of them. Add aggressively now if you can. As the world goes "green" I am sure both of these companies will adapt. Either way, gas isn't going anywhere for 50 years.

 

So the last couple of days have been pretty rough on the market, but I'm happy most of my low risk, monthly dividend stuff has only gone down .0035% so far. This week I have a couple of dividends paying out so it might break even if the market doesn't drop too much more. The stupid Coronavirus has rattled a lot of people though.

 

You pretty much read my mind.

All I drive is "fixers".

All my vehicles have been previous insurance "totals". Because of this fact I have been able to drive what I want as long as I'm not afraid to fix them 1st.

I've been without a car payment since 2009. This format has allowed me to put just about all money that would have been a car payment into saving/investing.

I choose to drive a 1st gen Tacoma as my everyday vehicle because I want to, not because I had to. My play vehicle is a 2nd gen Tundra. Both were wrecks when I got them.

We talk about taking a gamble on different investment avenues and worrying about losing money. I invested in vehicles that I could not drive, could not hear run or actually lay my hands on before i purchased them.

I invest in cars with the intention of holding onto them and driving every bit of equity out of them. It's not easy to flip these cars and make money.

I also took a pretty big risk and did worry about getting a car that I couldn't fix.

A Toyota with 300,000 miles and a clear title sells for exactly the same as a Toyota with 300,000 miles and a salvage title.

If you are not able to drive these types of vehicles for the long term, this format may not work.

Most wrecks have to be purchased with cash, since most banks won't loan money on a non running vehicle. Make sure you consider the fact that you will be laying out 10-20k in cash to get a nicely optioned newer vehicle with low miles.

We pay a "stupidity tax" for loving our Toyota's. They always sell for more money at the salvage auctions than similar vehicles of different brand.

Thanks for reading my midnight shift ramblings. I was bored and needed to kill some time between tasks at work.

 

What do you guys know about NYMT? Pays a 12% dividend. Seems like an absurdly good buy for a ROTH IRA to let those divs collect tax free. What am I missing?

 

I don't know the story behind this fund, but the risk (as with all securities) is principal loss. Normally, if you hold a good company (such as WMT, PG, etc.), you can ignore that risk if you just don't sell (believing that the price will go up in the long-term). This is the chart for NYMT, and dropping from over $100 a share to $6 a share is quite the risk. There may be a reason behind this, I'm not sure.

Another way to look at it is to calculate how long it would take to break even with just the dividend payment. Then ask yourself (through research), will that dividend be paid for that long? If so, you can essentially get a free position if it does. If not, you could lose a lot.

 

Got some mail...

 

Amazon up +$200 after hours!!!!!

 

Earnings report went well I take it?

Edit: Ha! That earnings report was worth several hundred dollars to my portfolio.
Guess we'll see tomorrow if it holds or if everyone takes profit.

 

Oil....fml...