Making big and quick money on stocks and shares.

adindas

What I understand is that

- It is a zero sum gain.
- People win at the expense of other people lost
- There are many professionals out there who are doing this for a living. They have years of experience doing the same thing, and supported by sophisticated analytical tools (software) which is based on science (e.g statistics, and probability theory) to do technical analysis.

I am interested in doing this if I am competing on the same ground:
- I have time to learn technical analysis and I have mastered the technical analysis.
- I have technical analysis tools to run
- I could do this as a full time job.

My analogy is like gambling in Las Vegas :
" tourists gamblers who wish to earn quick cash vs professional gamblers". People could easily predict who will be the winners who who will be the looser.

Apart from that I will be thinking twice to do this.
But I always open to a new idea and therefore will be seriously considering this, if there is statistical evidence that those who are not a professionals could make money by doing daily trading which I have not heard of.

Startup1985

Well I will update this thread on a monthly basis to let you all know how I am getting on.
Like I say this is spare cash to take a chance and play at making some high profits. No more money will be deposited if things should go wrong so this defiantly is not a road to bankruptcy/debt,

This is mainly just an experiment to see if with some heavy research, spare time and a little bit of luck a decent profit can be made.

Thanks for all the comments

wooder

Startup1985 wrote: »

Hey everyone :j

I just wondered if anyone here uses the strategy of holding shares for really short periods of time until a profit is made then sells up and moved onto the next one?

I started last week with a small pot that I am not to afraid to lose with the hope of building it up as quick as possible.

I know your supposed to invest in shares for the long game with the aim of 10 years quite adequate but I want something more hands on and well... Exciting I guess?

I am now spending all my spare time ( while she watches the soaps) researching and reading up on the markets and individual companies and sectors looking for anything that may be promising.

So basically I was just wondering if anyone else does this and have they had any luck or is it just a waste of time and resources?

So far I am up £120 from a starting pot of £1300 in a week, hopefully this will continue.

Thanks in advance for any comments

I recall a thread from a while back where someone claimed to have developed a low risk strategy for doing this and posted some remarkable results - I don't know if it was true or not but you can read the thread here

adindas

wooder wrote: »

I recall a thread from a while back where someone claimed to have developed a low risk strategy for doing this and posted some remarkable results - I don't know if it was true or not but you can read the thread here

This person has not been posting since 23-07-2014. So we do not know what happen now. Like Gambling you could win £X today but you could also loose £2X in another day. The consecus from the comment is that it is a high risk strategy.

Even the case is genuine and she is still making money, statisically wise, one person success is not a good indicator that if other people try they will have a good chance to success.

AnotherJoe

adindas wrote: »

What I understand is that

- It is a zero sum gain.
- People win at the expense of other people lost
- There are many professionals out there who are doing this for a living. They have years of experience doing the same thing, and supported by sophisticated analytical tools (software) which is based on science (e.g statistics, and probability theory) to do technical analysis.

I am interested in doing this if I am competing on the same ground:
- I have time to learn technical analysis and I have mastered the technical analysis.
- I have technical analysis tools to run
- I could do this as a full time job.

What you missed is, that many of the professionals doing this arent doing it with their own money, they are doing it with someone else's money. They then cream a percentage off the top just like a bookie who doesn't really care who wins the race.

And if you think the investment bankers are know-it-alls who cant go wrong, recall Lehman Brothers, Enron, and in particular LTCM whose founders won a Nobel prize for coming up with a scientific method of sure fire money making on the markets - and then lost several billion dollars in a few weeks

I sugegst you invest some money in a couple of DVDs.

"Margin Call", and "the Smartest Guys in the Room"

littld

Irrespective of whether it's gambling, I'd avoid a strategy which means selling out when you make a profit and keeping hold of stocks which fall in value. It might sound sensible but looked another way you're ditching the ones that have worked to keep the ones that haven't! I buy shares I think make sense to me and where I think I have an advantage in terms of knowledge and then keep them. I haven't found any I want to sell yet but if I needed the cash I'd more likely sell the losers.

Worth adding that in the last few years the ones I bought that I thought would do okay have done well and the ones I thought would perform really well haven't. Quick returns are attractive but rarely pay off.

Malthusian

adindas wrote:

wooder wrote:

I recall a thread from a while back where someone claimed to have developed a low risk strategy for doing this and posted some remarkable results - I don't know if it was true or not but you can read the thread here

This person has not been posting since 23-07-2014.

Either a) in 2014 the big hedge funds came across her thread at which point they started beating down her door to ask her to invest their money for them. Consequently she's now too busy (and probably bound by confidentiality agreements) to post on moneysupermarket.com.

Or b) she lost her shirt.

wooder

Maybe...

c ) She retired to the Bahamas... :rotfl:

Thrugelmir

grey_gym_sock wrote: »

bigadaj had the wrong examples, but you can certainly make lots of money with no effort: inherit it. this is becoming a more common source of wealth, as wealth becomes more concentrated, and as the super-wealthy opt out of paying tax via panama-style schemes.

History is littered with subsequent generations who lost the lot though. Or ended up in a hereditary dead end.

grey_gym_sock

Thrugelmir wrote: »

History is littered with subsequent generations who lost the lot though. Or ended up in a hereditary dead end.

yes, it may not work out well for the super-wealthy. and i have some sympathy with them. let's save them from their wealth by taxing them properly

however, i'm a bit more concerned that concentrated wealth is bad for the rest of us. the more wealth is made by zero-sum games, the less incentive there is to add real value. if you can get richer by dodging your taxes, or ripping off the public sector in disguised privatizations (academization, NHS "reforms", PFI, etc), or squeezing cash out of a business until it goes bust, or just raising profits by cutting wages, why bother trying to make real new investments, or to raise productivity and skills?

also, the more concentrated wealth becomes, the lower is aggregate demand (because, the richer you get, the smaller the proportion of your income you're likely to spend).