OFFICIAL Facebook IPO Thread
- Thread starter guerilla
- Start date
This is how the rest of my portfolio looks like:
So currently I'm only trading 2 stocks. I am moving over to eTrade and am currently waiting for my first deposit to clear. Once that clears, I will be shorting Facebook and Sony. I'll keep you guys in the loop as to how my portfolio looks overtime.
Other than a 10 second glance at a chart I would ask why would you short a stock thats at its lowest price in 15 years? And the other is a stock thats already dropped like a rock. The Shorters already took the huge gains out of FB. I know you said your kinda new at this but its usually not a good idea to try to learn another investing technique while still learning the last one. Its your money bro but it may be a good idea to think about it. Or if you insist on doing it just stick your toes in a little bit
I don't see $28.04 the bottom for Facebook and $13.02 the bottom for Sony.
I am planning to do put options for both though, so that will minimize my losses if anything.
That's not the worst idea. When ur gettin started and practicing try to play as close to the money as you can dont get to exotic till you start to figure it out
Ouch... dipped below the original IPO range of $28... first lockout period for insiders isn't till August 20th... more lawsuits disclosed... market cap still at a lofty $70B+.... mobile growing at a rapid rate... going to get real interesting now, lol.
Facebook Mobile Growth
Google Mobile Growth
ARPU
Facebook Mobile Growth
Google Mobile Growth
ARPU
Yea the guy that said fb will reach $200+ and who bought in at [near] ipo price should really be giving out advice.
Master trader, cuzz
Few more interesting facts from SecondMarket-
78% of all transactions (buying and selling) took place during 2011 and this year ($27 - $35 per share) Only those who purchased before 2011 are above water.
The buyers cannot sell until August 20th BUT they are allowed to either short the stock or buy puts to protect their downside... history in the making here.
That equals a shit ton of locked up $$$... the $28 level is going to be crucial for many.
78% of all transactions (buying and selling) took place during 2011 and this year ($27 - $35 per share) Only those who purchased before 2011 are above water.
The buyers cannot sell until August 20th BUT they are allowed to either short the stock or buy puts to protect their downside... history in the making here.
That equals a shit ton of locked up $$$... the $28 level is going to be crucial for many.
mGrunin, be careful with shorting FB at these levels... still overvalued IMO, but there is a lot of incentive by huge funds to keep this from dipping much further.
I never said it would. And I certainly never said it would be there today. Or next week for that matter. I said it could not that it will. As to buying at ipo price who the hell didnt? And I am also probably the only person on this site that has continued to buy as the price has slid down. Do you want to know why? Because years of experience managing millions of dollars of client money as well as my own has proven to me that is how you make money in the stock market. When was the last time you invested in anything other than "herbs"?
I plan to spend about $12,000 in put options for Facebook. At the same time, I'll also "insure" myself a bit by buying a call options that are out of the money.
To put, I'm looking at this strike price:
FB Options | Facebook, Inc. Stock - Yahoo! Finance
With the option price ($2.75), my break even point would be $27.25.
To "insure" my put options, I plan to buy call options of the following:
FB Options | Facebook, Inc. Stock - Yahoo! Finance
So, the same strike price, but for the call options, the fee for each share is 80c. This is incase some big news comes along and sends the stock back to the $30's. With my call options, I'd be able to negate my loss from my puts. This would lower my overall gain if it does end up going down like I hope it will, but at the same time it will make the trade safer for me.
This is how the rest of my portfolio looks like:
So currently I'm only trading 2 stocks. I am moving over to eTrade and am currently waiting for my first deposit to clear. Once that clears, I will be shorting Facebook and Sony. I'll keep you guys in the loop as to how my portfolio looks overtime.
Not sure what you see in S but they are definitely a crap stock, not sure if you are looking for a turn around to it's glory days, but they are not worth keeping, they have been bleeding customers for a while now, sold off their own towers to help pay the bills and verizon and att keep picking up market share. AAPL will be interesting in the post Steve Jobs era once the new CEO gets settled in and starts making changes.
I would be looking at companies like NFLX CMG YUM BIDU PCLN AZO DLTR
I'd show you my portfolio but I no longer have one because I'm not as good at AM as I am at stocks so I lost most of it lol
Also, you are moving to etrade yet want to trade options?
look for a better platform dude, thinkorswim FTW or maybe optionsexpress I haven't used them but definitely not etrade.
Yes, I know. I'm trying to keep my posts as a learning experience for some folks, so going into detail as to how exactly I could offset my losses would be more useful than just saying I'm hedging my trade.
I'm currently using Merrill Lynch. To trade options or even short I need to print out an additional agreement and physically mail it.
I've taken a closer look at etrade, and I don't see anything wrong with it. Not sure what sort of advantages other trading platforms can provide that etrade cannot.
tools, trading platform vs web based browser
think or swim is designed for options. . . .
oh and cooler name
First of all, increasing your exposure with a tanking stock is an awful plan to make money. If FB has been trading for years and you knew its patterns well, then you can identify support levels and buy the dips - but Facebook is two weeks old and going over like a fart in church, and you want to buy more on the way down? Ever hear of trading out of a bad position?
I won't tell you what to do, but a market pro might have a very simple suggestion and say "cut your losses".