Moneysage:

I would have loved to advise newbies to study GOOD books about investment before they start trading, but the truth is that those books only build one's confidence and grasp of the market; they don't guarantee that ALL your investment decisions will be right.

Two pieces of advice I have for newbies, which have been said by other ogas on here, are these:

1. Don't invest money when you don't know ANYTHING about the stocks you want to buy. It's sad to see newbies say: "I have N200000, please advise me on what stocks to buy."

2. ONLY those who are in charge of ANY company have an idea of the potentials (profit or loss) of such company. You may read analyst reports, comments by experienced traders, financial sheets etc and think you're making the right choice...But still get your fingers burnt cos there's always MORE THAN YOU KNOW about any stock. You are only a COMMON/ORDINARY shareholder.
People wey Oando don show pepper go understand the 2nd point well.

Thank you my oga for this advice. In addition, don't risk money you can't afford to lose. Unfortunately, some of my ogas here do not agree with me on this but it remains the truth. If you can't afford to lose then the stock market is not for you. Try Treasury Bills or better still contact Feelamong.

myjoy08:
So which stocks are we selling tomorrow

We ain't buying anymore , na to sell now

Sarcasm (Joking...still a buyers market for now)

passwelle:
@ All I hail.
For the newbies (whom I assume are keen to trade and are not intent on long term investments), an earlier poster here mentioned DD using charts while the Sage gave very candid and invaluable advice above.
In my experience in the NSE, the more you see the less you understand. You can make money on almost every stock on our bourse (save for the deadwoods). Charts will mislead but may be accurate occasionally. Brokers/individuals that trade can make your chart show what they want you to see (both volume and price action e.g stdinsure, rtbriscoe, transexpr, costain etc) .... This game is one of fastest fingers first, either to enter or to exit. Don't gamble what you cant afford to lose. Dont over diversify. You dont have to be in every stock gaining. Cut your losses short and let your winners run (very vital so you know when to exit). Most importantly be observant, its unbelievable how much you can make from market making activities.

Gbam! The problem is most newbies don't want to invest for long term; they would rather JIJO. It is safer for newbies to go for long term with blue chip stocks while they relax and invest time reading investment books before they can go for JIJO.

myjoy08:
Sarcasm (Joking...still a buyers market for now)

I know buddy , only teasing

lancee:



I know buddy , only teasing

Iyen naa nice!

passwelle:
@ All I hail.
For the newbies (whom I assume are keen to trade and are not intent on long term investments), an earlier poster here mentioned DD using charts while the Sage gave very candid and invaluable advice above.
In my experience in the NSE, the more you see the less you understand. You can make money on almost every stock on our bourse (save for the deadwoods). Charts will mislead but may be accurate occasionally. Brokers/individuals that trade can make your chart show what they want you to see (both volume and price action e.g stdinsure, rtbriscoe, transexpr, costain etc) .... This game is one of fastest fingers first, either to enter or to exit. Don't gamble what you cant afford to lose. Dont over diversify. You dont have to be in every stock gaining. Cut your losses short and let your winners run (very vital so you know when to exit). Most importantly be observant, its unbelievable how much you can make from market making activities.

I was shocked when i saw someone mention this stock earlier today on NSEMPA as a form of subtle advertisment. I know alot of people will fall prey. You're absolutely spot on.

Elai147:


Thank you my oga for this advice. In addition, don't risk money you can't afford to lose. Unfortunately, some of my ogas here do not agree with me on this but it remains the truth. If you can't afford to lose then the stock market is not for you. Try Treasury Bills or better still contact Feelamong.

Thanks boss.
I remember the challenge on your famous saying. Perhaps the ogas understand your point, it's just the coinage and semantics that raises eye brows.

Your quote makes it seem like there are some funds one can afford to lose or those in the stock market stand a high risk of losing money frequently. That was the disagreement then.

I think the quote can be modified thus:
"Don't trade with money budgeted for other things" OR
"Don't trade with your life support " OR
"Don't venture into the stock market if you don't know how to manage risks and failures"

Hope one of these expressions captures your idea
cc: passwelle

duni04:

I was shocked when i saw someone mention this stock earlier today on NSEMPA as a form of subtle advertisment. I know alot of people will fall prey. You're absolutely spot on.

So because I noticed that there was heavy cross deals done on standard insurance you come tag me as advertiser? Diaaa is God ooooh.

I know you are still new if not you will know that there are some stocks that we have been waiting to offload since. Seeing the heavy money that was flowing in std ins yet my sell bid wasn't fulfilled got me wondering.

#idontmonkeyhunt. That's myjoy and Agba job.

For those that are scared of illiquid stocks, a good way to sell will be to place your order at lowest price. E.g, during pre market, you can minus 5% from the current price and make sure your order is the first on offer at that price (Ref price minus 5% @pre market). If the allowed price range adjusts after pre market, you may need to adjust your price as well so it remains the lowest offer price. This way, your order will be filled as long as the stock trades on that day (unless deals are cross trades). This does not apply to stocks on full offer since 1807 (e.g Unity bank). I usually exit Eterna and other illiquid stocks this way.

Born2berich:


So because I noticed that there was heavy cross deals done on standard insurance you come tag me as advertiser? Diaaa is God ooooh.

I know you are still new if not you will know that there are some stocks that we have been waiting to offload since. Seeing the heavy money that was flowing in std ins yet my sell bid wasn't fulfilled got me wondering.

#idontmonkeyhunt. That's myjoy and Agba job.

So me and my dear friend, Agba, are the monkey hunters, abi? Madam Patience must hear this. Diaris God ooooo. No gain in causing harm to my fellow humanity, I just wish and want the best for ALL

Elai147:
For those that are scared of illiquid stocks, a good way to sell will be to place your order at lowest price. E.g, during pre market, you can minus 5% from the current price and make sure your order is the first on offer at that price (Ref price minus 5% @pre market). If the allowed price range adjusts after pre market, you may need to adjust your price as well so it remains the lowest offer price. This way, your order will be filled as long as the stock trades on that day (unless deals are cross trades). This does not apply to stocks on full offer since 1807 (e.g Unity bank). I usually exit Eterna and other illiquid stocks this way.

What if someone else puts his sell order at minus 10% when market opens? Will you advise I put mine at minus 10% and watch my profits being wiped away?

myjoy08:


So me and my dear friend, Agba, are the monkey hunters, abi? Madam Patience must hear this. Diaris God ooooo. No gain in causing harm to my fellow humanity, I just wish and want the best for ALL

Born2berich:


So because I noticed that there was heavy cross deals done on standard insurance you come tag me as advertiser? Diaaa is God ooooh.

I know you are still new if not you will know that there are some stocks that we have been waiting to offload since. Seeing the heavy money that was flowing in std ins yet my sell bid wasn't fulfilled got me wondering.

#idontmonkeyhunt. That's myjoy and Agba job.

so na u sef
I just remember reading something about stdins here and watching it scroll on my morgan a few mins later.

Elai147:
For those that are scared of illiquid stocks, a good way to sell will be to place your order at lowest price. E.g, during pre market, you can minus 5% from the current price and make sure your order is the first on offer at that price (Ref price minus 5% @pre market). If the allowed price range adjusts after pre market, you may need to adjust your price as well so it remains the lowest offer price. This way, your order will be filled as long as the stock trades on that day (unless deals are cross trades). This does not apply to stocks on full offer since 1807 (e.g Unity bank). I usually exit Eterna and other illiquid stocks this way.

Interesting

Born2berich:


What if someone else puts his sell order at minus 10% when market opens? Will you advise I put mine at minus 10% and watch my profits being wiped away?

We're talking about illiquid stocks here, Sir. As in, ILLIQUID!

The decision is largely yours, based on investment circumstances. You could put your price at - 10% and exit at a faster rate or put at -5% or - 7% or - 3% and find it difficult to exit the ILLIQUID stock.

As for me o, I go even try - 15% sef I kukuma lose heavily and use the money sharperly in Transcorp or FBNH

So una no wan sleep again? Or Buhari declared public holiday 2mr?

@Born2Reach; I dey wait u for that corner

Moneysage:


Thanks boss.
I remember the challenge on your famous saying. Perhaps the ogas understand your point, it's just the coinage and semantics that raises eye brows.

Your quote makes it seem like there are some funds one can afford to lose or those in the stock market stand a high risk of losing money frequently. That was the disagreement then.

I think the quote can be modified thus:
"Don't trade with money budgeted for other things" OR
"Don't trade with your life support " OR
"Don't venture into the stock market if you don't know how to manage risks and failures"

Hope one of these expressions captures your idea
cc: passwelle

The expressions make sense but the argument was more like 'no one has money he/she is ready to lose'. There are no intermidiaries in the clause that led to the argument. It is either you can afford to lose (part or all) or you cannot afford to lose. If one cannot afford to lose- and knows what he is doing- why not invest 100% of his savings in a risky venture like the stock market. What I'm trying to say is that as long as you refused to invest 100% of your life savings in a risky trade, it means you are aware it's a risky investment and you may lose your money. If this statement is true then the clause remains valid.

Sapiently put!

Agbalowomeri:
So una no wan sleep again? Or Buhari declared public holiday 2mr?

@Born2Reach; I dey wait u for that corner

In the voice of Sir Passwelle: MONEY NEVER SLEEP . To become rich in life, no be one night stand

Born2berich:


What if someone else puts his sell order at minus 10% when market opens? Will you advise I put mine at minus 10% and watch my profits being wiped away?

That is the point oga B2BR. It requires some level of descipline and sacrifice. Sacrificing 10% from already made profit or loss is not bad as long as you are able to get out of the stock and move on, except you're converting to long term. Remember the more you wait the more the stock may likely drop in price and will eventually lose more than that 10% you were not willing to let go.

Elai147:


The expressions make sense but the argument was more like 'no one has money he/she is ready to lose'. There are no intermidiaries in the clause that led to the argument. It is either you can afford to lose (part or all) or you cannot afford to lose. If one cannot afford to lose- and knows what he is doing- why not invest 100% of his savings in a risky venture like the stock market. What I'm trying to say is that as long as you refused to invest 100% of your life savings in a risky trade, it means you are aware it's a risky investment and you may lose your money. If this statement is true then the clause remains valid.

Bros 100% of my saving is in the stock market

#Don't try this at home

Agbalowomeri:


Bros 100% of my saving is in the stock market

I thought it is 120% . Lobatan!!!

Moneysage:




We're talking about illiquid stocks here, Sir. As in, ILLIQUID!

The decision is largely yours, based on investment circumstances. You could put your price at - 10% and exit at a faster rate or put at -5% or - 7% or - 3% and find it difficult to exit the ILLIQUID stock.

As for me o, I go even try - 15% sef I kukuma lose heavily and use the money sharperly in Transcorp or FBNH

If to say I see who wan buy my Universal insurance (the only bad stock in my portifolio ) I for no mind losing 50% self

Agbalowomeri:


Bros 100% of my saving is in the stock market

#Don't try this at home

Oga Agba u can lie oooo.

Agbalowomeri:

#Don't try this at home

Elai147:


Oga Agba u can lie oooo.

Bros how much be the savings (if not for stock market) wey I go put some in TB, bonds, 10 stocks etc. For ur information, I have never own more than 3 stocks at any time. I usually have one ('fool proof') for the year. That way, my profit comes in bulk.

#When 'maga don pay' wella, I will consult u on how to diversify my portfolio

Agbalowomeri:


Bros how much be the savings (if not for stock market) wey I go put some in TB, bonds, 10 stocks etc. For ur information, I have never own more than 3 stocks at any time. I usually have one ('fool proof') for the year. That way, my profit comes in bulk.

#When 'maga don pay' wella, I will consult u on how to diversify my portfolio

Na so the loss go come in bulk ni. Fear no let me try am

Newbies pls don't try the bold ooo, diversify biko, but don't over diversify so that your portfolio will not lose bearing

Gud nite @all

myjoy08:


In the voice of Sir Passwelle: MONEY NEVER SLEEP . To become rich in life, no be one night stand

Good to keep hoping that one day 'we will all be rich'. In the words of the wise one "I have seen something else under the sun: The race is not to the swift or the battle to the strong, nor does food come to the wise or wealth to the brilliant or favor to the learned; but time and chance happen to them all".

Agbalowomeri:


Good to keep hoping that one day 'we will all be rich'. In the words of the wise one "I have seen something else under the sun: The race is not to the swift or the battle to the strong, nor does food come to the wise or wealth to the brilliant or favor to the learned; but time and chance happen to them all".

Wise word. I called it TIME AND OPPORTUNITY! Meaning, if one failed to take a very good opportunity that can change ones life forever on time, such opportunity may never come again!

Agbalowomeri:


, I have never own more than 3 stocks at any time. I usually have one ('fool proof') for the year. That way, my profit comes in bulk.

#When 'maga don pay' wella, I will consult u on how to diversify my portfolio

Easier to monitor.

immanuello:
Hmmm, feeling cool breeze from my domain, OK.
Let me choose my best smartest friends here
passwelle. feelamong. natruetalk.nitrogen::::::::::::You are too much,i like ur "trading instinct " by always getting onboard faster if an opportunity is spotted and stick to it till it's well valued.

seconded!