Newfag here: I think I fundamentally misunderstand the purpose of puts. I've been investing for like two weeks and I made some money off of a VBIV call and I'm interested in doing puts cause that would mean betting against stocks but I don't get them, really. Since a call is a contract to buy a 100 shares at a certain price, it makes sense that people would want them if the stock goes up so that they can get a discount. But then, what are puts for? Who wants to buy a contract that lets them buy shares at a higher price than they are at after a stock's value has gone down? This obviously doesn't make sense, so I guess I'm being retarded about puts. Can someone explain this shit to me? (sorry I don't know how to link posts from other threads)
Aiden Hughes
Based. Second for getting audited by the IRS for being lazy.
Hudson Lopez
Repasting from last thread >>I've been investing for like two weeks >>I'm interested in doing puts >Omg bro, what makes you think you're ready for options? >I didn't touch that shit until I was at least 3-6 months in. I haven't touched them in at least a year as well since I've decided to stop using them.
Isaiah Brooks
>open account >check tech test portfolio of 100k invested >115k after just one month mentally ill dividend fags are seething. next thing i will do is 50% tqqq 50% tech/bluechip and post about here at end of year to fucking btfo you >he is a 20yo zoomer and buys worthless dividend stocks with his 4 figure account just lmaoing at you. what are you even thinking. buying a free burger with those worthless payouts every month?
Jack Williams
Colombanon following up
Yeah, but I kind of hate when girls play that card. It's so fucking stupid, just like when they say they don't suck dicks and half an hour later you're deep down their throats
David Green
We IBM now Finally a tech stock that isn’t completely overvalued
Camden Jones
NASDAQ is better optimized for long-term holding at 2X leverage. ddnum.com/articles/leveragedETFs.php If you do that, you can actually just hold onto it for decades.
>next thing i will do is 50% tqqq 50% tech/bluechip and post about here at end of year to fucking btfo you I kinda already beat you to the punch. I'm holding an SPXL/SSO/QLD mix till new ATH
James Carter
Most of my money is in stocks, this is just something I'm doing with a small part of my money. Also, I'd still like to understand puts even if I don't start buying a shitton of them right away
Hunter White
fucking based
what fucking card? Being "dominant" and riding you to orgasm? It's a good fucking card. And a little switch play is based as fuck.
Brody Rodriguez
with puts you have the right to sell unlike with calls where you have the right to buy. think of it like a coupon you benefit from a stocks price going down since you have the right to sell at that set price. hope that helps
John Watson
Biz anons should I just pull out of the stock market (MRO/SSL) and buy a bike and recreate the gif below? It feels weird being only 23 and seeing the US declining in global eminence, Europe acting like Europe, and the possible world ending stupidity of China. Is it normal to see no future for the world due to the current path dependency we are heading down?
Just hoard cash and wait for a correction or better.....wait for a crash ;).
Kayden Clark
Kek that's because you've located the fucking JCPenney of the tech industry.
>Most of my money is in stocks, this is just something I'm doing with a small part of my money. Okay. That's fair. Still seems a tad premature. >Also, I'd still like to understand puts even if I don't start buying a shitton of them right away Calls are paying for reserving the right to buy Puts are paying for reserving the right to sell.
With what puts are intended for, "insurance", let's say you have 100 shares of SPY, which are currently right around $300... But you're worried about seeing a 2nd dip to levels like the last one... You would expect to see such a dip by the time the current year is over. And you don't want to see those shares go below $270 again... So you buy ONE put with a strike price of 270 and an expiration of around January 1st, 2021
Jacob Evans
always depends where in bumfuck nowhere it's probably cheap near actual civilization would be pretty expensive
Ethan Foster
Well, I'm not really into femdom. I just think it is mostly a girl humiliating you and sticking things up in your ass, because you know, most of them would love to do that.
Adrian Barnes
>2x nasdaq switching to this once i'm at 1 mil then
Aiden Gutierrez
>girl humiliating you and sticking things up in your ass yeah no I'm not down for that either
Dodged the first crash and thought I was in the clear with OKE (avg 23). Got to 48 and then fucking collapsed back to 28. Went from a 110% gain to only an 18%.
Wait for intervention. Like when oil crashed, countries got together and agreed to cut production....perfect time to invest. Hell, I even made money with USO.....U....S.....Fucking......O.
Asher Powell
Ahh I see, that makes a lot more sense, thanks man >Still seems a tad premature. Kind of true but look at this way: I started with just a little on VBI calls, and then used the money I made off of that to get a WMT call. It's like I'm trying to keep the train going, you know? If it crashes, I'll probably stay away for a while till I get better at this shit. Gotta start somewhere, though
Adrian Gutierrez
What books should I read if I wanna learn more about stock markets?
Carter Green
>checks 2000 bubble to remind myself what a bubble actually is >remain calm NKLA is a good example of what a bubble like 2000 actually was. literally "pets.com" tier where people invested in literally a domain registry. this time they invested in photoshopped pictures of ford trucks.
Gavin Lewis
>Find an actual bubble >Buffet indicator at over 150% Are you retarded?
Gabriel Harris
But user I didn't pull out of OKE and now that DAL is down I might get double fucked because natural gas is dependent on shale oil in the Bakken. If oil producers cut production that impacts the midstream gas industry.
>Religious themed: Talmud or Bible KJV. >Old School: Wealth of Nations >Classic: The Intelligent Investor >Biz user: Wall St. Bets
Logan Cook
Explain to me in any rational way how the market is not severely overvalued rn? The economy is shit yet the market is booming. We're in a bubble and you're gonna eat shit when it pops.
Easton Russell
Why Because IBM revenue is a bit down Idgaf We cloud now
Juan Jackson
None. Google "the efficient markets hypothesis"
There's 2 branches: technical analysis and fundamental analysis.
For technical analysis, check out thepatternsite.com/ Notice how most patterns are around 55% accuracy and the best hit about 60% accuracy... For fundamental, the above applies about "efficient market hypothesis" and I think thepatternsite has stuff as well... Shkreli has some vids.
I'd recommend you just throw your money at stuff, embrace nihilism, and maybe pick up drinking like the rest of the big bois
Owen Cooper
>The economy is shit yet the market is booming. even though these don't relate, where is the economy shit? and what even is overvalued
Joshua Hall
>I can’t rationalize reality so please help me cuz I’m a retard
