OFFICIAL STOCK MARKET AND ECONOMY THREAD VOL. A NEW CHAPTER

[lazyj10]

I can't wait to see what TSLA does post split. I feel that this new golden age of trading is just going to make that thing pop more since at $400 even more would purchase since it's 'affordable'.

Opened a couple calls in BBY as I expect a real solid qtr.

Watching WMT and looking to open a position. TGT's momentum probably helping keep WMT down a little..

 

[Upptempo]

How difficult is it to do stock trading on your own without someone guiding you? I wanna get into the game by reading books and stuff on the market and how to invest but don't wanna be a clown and end up losing all my money a week in lol.

 

[lazyj10]

There's a lot to cover; but remember a few things IMO
1) Don't risk a significant amount of your worth. Meaning if you have $10k in savings, don't put $10k to work in the market; risk what you're willing to lose and no more.
1a) There's no shame in doing a 'virtual portfolio' to test out ideas and thesis. If you feel convinced of something, put it to work virtually until you have enough capital you're willing to risk (and lose potentially).

2) There's a big difference between "trading" and "investing". Trading is generally shorter time frames/duration and investing is usually long term. What I post in here is mainly my spec portfolio, which still has "investments" within it. Meaning I have IWM so my uninvested cash is in something. Willing to sell shares of it for immediate liquidity if I have a convinction on something new.

I personally lack a ton of knowledge in technical and have been researching to shore that knowledge up. I do however feel I have a fundamental understanding of valuation/companies though through just years of trying (and failing) and my job (auditor).

 

[johnnyredstorm]

How difficult is it to do stock trading on your own without someone guiding you? I wanna get into the game by reading books and stuff on the market and how to invest but don't wanna be a clown and end up losing all my money a week in lol.

You won’t lose all your money if you keep your dollar amount stupid low. This is my recommendation if you want to day trade and you can’t afford to be in a chat room and learn from a great pro like Investor’s Underground, keep your dollar amount to basically one share for a month. And see if you can make $2+ consistently per trade. If you see yourself consistently making $2 and cutting off losses quickly and only risking let’s say .30 or whatever makes sense for you, you can slowly size up by gradually increasing dollar amount.

now if you want to invest or swing trade things are a little different.

 

[Upptempo]

Yeah I wouldn't invest more than I could afford but I also don't wanna make $20 here and there. I'm not expecting to invest $1000 and get back $1500 in two weeks but I do wanna see solid ROI

 

[2163O1baller90]

Tesla..wowww

 

[turbospartan]

I can't wait to see what TSLA does post split. I feel that this new golden age of trading is just going to make that thing pop more since at $400 even more would purchase since it's 'affordable'.

Opened a couple calls in BBY as I expect a real solid qtr.

Watching WMT and looking to open a position. TGT's momentum probably helping keep WMT down a little..

I'm kinda thinking the same thing. Not really rooted in logic, but when a bunch of people see Tesla at $400ish - that sounds a lot more reasonable than $2k+. Wondering the same for Apple, kind of think they'll keep cruising pre-split, because after they do split... people gonna start snapping up shares if they're only $100 each.

 

[noskey]

Yeah I wouldn't invest more than I could afford but I also don't wanna make $20 here and there. I'm not expecting to invest $1000 and get back $1500 in two weeks but I do wanna see solid ROI

アミーゴ jjs What do we say to the god of gains? TSLA TO THE MOON!

 

[アミーゴ]

アミーゴ jjs What do we say to the god of gains? TSLA TO THE MOON!

Upptempo if you don’t put all your cash in TSLA you might as well not even come in here

 

[jrod54life]

damn is AAPL really going to push to 500 ?

 

[Upptempo]

Upptempo if you don’t put all your cash in TSLA you might as well not even come in here

I was reading about jumping into the stock if they split So that's definitely on the table lol. But that's if it even happens before the stock price is more insane than it currently is

 

[lazyj10]

I'm kinda thinking the same thing. Not really rooted in logic, but when a bunch of people see Tesla at $400ish - that sounds a lot more reasonable than $2k+. Wondering the same for Apple, kind of think they'll keep cruising pre-split, because after they do split... people gonna start snapping up shares if they're only $100 each.

AAPL is more logical - I acutally believe in their products and approach plus they make money (consistnetly)...not to mention I was pleasantly surprised with the, albeit limited, programming of AppleTV+.

TSLA defies all logic; but shoot, if it drops below $2k before 8/31, I'll probably buy 1 as pure spec for post split.

 

[Betonblck]

Tsla continues to defy all logic. No legit reason for Tesla to be worth more than Walmart, and at this pace, both Walmart and Target combined in a week or so.

 

[nachobroadweezy]

Can anyone share their average yearly tax implications with selling stock?

Especially the short-term (under 1 year) traders. Any tips to reduce tax-burden?

 

[iheartboost]

My mom opened my eyes to the stock market when about 13 or 14. She had this PC game called wall street trader, or something like that, it was on Win 98, lol.

Fast forward to now, took some of that savings, and decided to get my feet wet. I've always been about risk, and what greater than this?

 

[アミーゴ]

Can anyone share their average yearly tax implications with selling stock?

Especially the short-term (under 1 year) traders. Any tips to reduce tax-burden?

Short term cap gains tax brackets is what you want to look at - if you can move it into IRA/401k you are good

nachobroadweezy making sure you saw this

 

[unkn0wn]

Just started investing in stocks 2 weeks ago and I’m already $12k deep lol. Bought safe stocks for long term though

 

[noskey]

hit it couple times. Looks strong enough to bust thru

We did it! $2K closing

 

[coolcool]

AAPL is more logical - I acutally believe in their products and approach plus they make money (consistnetly)...not to mention I was pleasantly surprised with the, albeit limited, programming of AppleTV+.

TSLA defies all logic; but shoot, if it drops below $2k before 8/31, I'll probably buy 1 as pure spec for post split.

if you want the additional shares after split, you have to buy by tomorrow. otherwise you have to buy in market when it opens post split.

We did it! $2K closing

strong. it seems the sp inclusion announcement imminent, per twitter.

 

[coolcool]

Upptempo if you don’t put all your cash in TSLA you might as well not even come in here

i second this. but how long we been saying it for? haha

 

[johnnyredstorm]

Upptempo if you don’t put all your cash in TSLA you might as well not even come in here

honestly mutual funds is the easiest way to go if you ain’t gonna yolo it on Tesla

Can anyone share their average yearly tax implications with selling stock?

Especially the short-term (under 1 year) traders. Any tips to reduce tax-burden?

roth ira if you don’t need the money

 

[hennessy]

Got wrecked with GAN earnings after hours. Had a feeling I should sell today smh. It’ll bounce back though.

 

[bronconation24]

Felt so dirty selling my 1 share of Tesla today. Hoping to buy back in tommorow if there’s a pullback

 

[noskey]

Feel so conflicted with Cramer pamping NVDA right now. Come on robinhood users, do me a solid and buy the hype tomorrow.

 

[lazyj10]

Tax is definitely a consideration.

Things you should be thinking about / checking / doing (I am a CPA but tax is not what I do on a daily basis, so I am not the end all be all on this topic:
If you're investing personally (i.e. non Roth account) --

1) Know how your basis relief is set up - default for most is "FiFo" which simply means, first in first out. So if you don't completely exit a position, then your tax basis for reporting purposes could result in different gains/losses. This can be changed, but you have to request it.

2) If you're not holding these positions over a year ("long term") then you're subject to different tax rates. Those tax rates changed recently and if you're trading positions in under a year ("short term") then the rates are higher and considered 'ordinary'. Ordinary rates are based on your tax filing status and income bracket.

3) IF you're truly "trading" and in and out of the same names, the concept of "wash sales" becomes relevant - think a buy/sell then repurchase/sale of the same security (substantially the same) within 30 days.

4) If you have losses, you can offset gains with those losses but there are limitations. Note - you can't deduct investment losses against unrelated income (i.e. your wages).

You will get a 1099 from your brokerage account (again, non IRA/Roth IRA) and keeping good records is key. I set up a Google Doc to supplement my trade confirmations/broker confirms too so I'm up to date and can identify any issue. This becomes very important for a tax deferred retirement account (i.e. not a Roth) because you'll want to maintain long-term status but know your lots, etc.

Tax Basics for Investors

Understand why taxes are lower on "qualified dividends," and how asset placement and tax-loss harvesting can reduce your tax burden.

www.investopedia.com

I'm sure there's more that's not on the top of my mind...feel free to ask away and I can answer best I can.