7Figures
Member
Cash: $ 2.85
Posts: 13
Joined: 08 Apr 2016
Location: NYC
|
| A Question on $TWX |
 |
|
Just a quick question after the release of $TWX (Time Warner) reports many people decided to sell quickly due to time warner losing many of its subscribers. The stock went down to about $56 a share. I saw this as a great opportunity to buy in so I did.Bought myself 100 shares for about a lil above $5600, it is now at $75.45 I knew it would rise due to the insane hype off the superman vs batman movie and I was right. Just wondering if anyone thinks I should cash out. How do I know if it has peaked. If anyone owns or keeps track of TWX any advice would be helpful.
|
Fri Apr 22, 2016 12:16 pm |
|
|
littleroc02us
Moderator
Cash: $ 384.35
Posts: 1891
Joined: 09 Feb 2009
|
sorry, wish I could help, but I don't try and time the market.
Risk comes from not knowing what you're doing. (Warren Buffet)
|
|
Fri Apr 22, 2016 3:58 pm |
|
|
7Figures
Member
Cash: $ 2.85
Posts: 13
Joined: 08 Apr 2016
Location: NYC
|
quote:
Originally posted by littleroc02us
sorry, wish I could help, but I don't try and time the market.
Then you should've never wrote anything at all. 
|
|
Fri Apr 22, 2016 6:00 pm |
|
|
littleroc02us
Moderator
Cash: $ 384.35
Posts: 1891
Joined: 09 Feb 2009
|
|
|
|
quote:
Originally posted by 7Figures
quote:
Originally posted by littleroc02us
sorry, wish I could help, but I don't try and time the market.
Then you should've never wrote anything at all.
FYI, forums involve opinions from all different viewpoints, so please let me expand on my original comment. I personally don't believe based on statistics that investing in single stocks and timing the market works to grow your portfolio. Research has shown that only 15% of professional investors can beat the S&P 500 and it's never the same 15%. So based on that fact trying to time the market is a very risky proposition. The S&P 500 has average almost 11% historically. In 2000 Apple stock was in the tanks @ $7.00 a share. These days it's well over 400 a share. Now if I thought Apple could grow from here on out, it could dip very low any numbers of factors. Plus if ya think about it that's a terrible investment if I could have bought the same stock at $7.00 a share. Therefore I invest long term and with index stocks.
If I were you I'd sell and be glad you made some money. Next turn around and invest that money in the S&P 500 in a vanguard Roth IRA and let it sit for 30 years. Use a compound interest calculator to figure out what that amount invested at a return of 11% would be.
Risk comes from not knowing what you're doing. (Warren Buffet)
|
|
Fri Apr 22, 2016 6:24 pm |
|
|
littleroc02us
Moderator
Cash: $ 384.35
Posts: 1891
Joined: 09 Feb 2009
|
I just did the math. If you took your 100 shares and sold them $75.45, you'd have $7545. If you took that amount and left in a vanguard index fund for 30 years at the historical average return you'd have 172k. Not bad.
Risk comes from not knowing what you're doing. (Warren Buffet)
|
|
Fri Apr 22, 2016 6:29 pm |
|
|
7Figures
Member
Cash: $ 2.85
Posts: 13
Joined: 08 Apr 2016
Location: NYC
|
quote:
Originally posted by littleroc02us
quote:
Originally posted by 7Figures
quote:
Originally posted by littleroc02us
sorry, wish I could help, but I don't try and time the market.
Then you should've never wrote anything at all.
FYI, forums involve opinions from all different viewpoints, so please let me expand on my original comment. I personally don't believe based on statistics that investing in single stocks and timing .
Now thats what I wanted a nice full answer or opinion not just "sorry can't help" and thanks for the advice I have steady money going into a Roth IRA which I just started to do so Im 25 btw. Yea I might just cash out but this $5600 that I started with was just a separate dip and dab account I set aside to play with the market and make a few riskier decisions. Thank you for your advice I really appreciate it.
|
|
Fri Apr 22, 2016 6:34 pm |
|
|
littleroc02us
Moderator
Cash: $ 384.35
Posts: 1891
Joined: 09 Feb 2009
|
Thanks for calling me out on that, I gave a very condensed response without the info. 
Risk comes from not knowing what you're doing. (Warren Buffet)
|
|
Fri Apr 22, 2016 7:18 pm |
|
|
oldguy
Senior Member
Cash: $ 751.85
Posts: 3656
Joined: 21 May 2006
Location: arizona
|
quote:
If I were you I'd sell and be glad you made some money. Next turn around and invest that money in the S&P 500 in a vanguard Roth IRA and let it sit for 30 years. Use a compound interest calculator to figure out what that amount invested at a return of 11% would be.
What littleroc said!!
We've all had a home run experience when we were young - but the wealthy ones understood that it was good luck, not good stock picking.
BTW, it is enlightening to finally grasp that the market cannot be timed/predicted - that leaves you free to simply invest & make money w/o the burden of stock picking.
OTOH, if you insist on taking an occasional flyer, forget individual stocks, do something fun such as grain futures (corn is a personal favorite, lol)
|
|
Fri Apr 22, 2016 11:38 pm |
|
|
|
