how to invest $1000

Apple Inc back at $228 and climbing – Obama Healthcare Bill signed into law – YES! Now I predict stocks can continue their uptrends without the “unknown”.

Ok Apple (AAPL @ $228) it’s about time. I’ve been in April 10′ 220 call options and have been watching this stock play around the 220’s driving me nuts because if I could commit to trading it full-time I could of been in and out many times for small profits. I suppose my option is probably still negative right now until it movies over $230’s in which it will likely run fast into the new iPad launch the first week of April 2010 in which I’ll sell my options at around a 25% profit (2 weeks, a bad trade). I’m psyched about the iPad. Many Apple geeks say “screw it” just because you can do everything on an iTouch or iPhone and put it in your pocket. For me though I’ve held out. I might even have to wait until the iPad 2.0 with a video camera built in so you can walk about doing skype/video conferencing anywhere. I like the touch screen and will likely just use it to show off my portfolio and use the Hitchcock application to practice creating a film.

I don’t even have my 2009 iMac anymore. I offered it towards collatoral + all my HD video gear to be a co-owner in www.icanhandlethat.com (not live till June 2010) in which I’ll be doing media full-time and be an owner. I’m really stoked for the development of the company and it’s purpose because it is what I love doing right now which is helping small businesses in media and promotion. So even if I had an iPad I’d have to use my Art Institute school computers just to download the apps on it. I would definitely bypass the iTouch to get a larger more versatile iPad.

President Obama signing 2010 healthcare bill into law

As for President Obama’s healthcare bill finally signed into law I’m kind of glad the fighting is over and now we can focus on the economy (even though the $1 trillion cost will have a real affect if we don’t tax citizens (the rich) more to pay for it).
The new healthcare focuses on “preventive health” and that DOES MAKE SENSE. I’m just hoping as a person that doesn’t have healthcare that I’ll be able to get it affordably and be able to get the “preventive” things that keep us truly healthy and vibrant such as chiropractic care, acupuncture, yoga, green foods, and massage. If it won’t cover any of these “true preventitive” healthy living precautions then, well, that will just suck. If I’m going to have to pay high taxes as a broke student that is unemployed currently then at least give me some massage and acupuncture to take away some stress!
I’m glad Obama is the first black President (or should I say half black half white, does it even matter?) and made it his legacy to get healthcare for once and all changed. I thought the great former President Bill Clinton would get to do it. He’s my favorite. A man of the ladies while also being a great peacemaker. President Obama took a big risk in his presidency and I like risky people. He didn’t give up and now it’s a law passed, a super huge one. I suppose everyone better start investing in healthcare NOW because a lot of money will be funneled into healthcare from the government and then people working for the business. Just think about all the businesses that will get paid “no matter what”. This will create a lot of niche sectors currently profiting become likely gold mines in the stock market.

-pm


how to become a millionaire billionaire by a finance ninja

As referred in “how to become a billion” post #1 here and also in post #2 “how to become a billionaire in 20 months” my site statistics show that the number one thing financial internet searchers are seeking is how to become a billionaire or millionaire.

Now I admit I did work my search engine SEO skills to find an audience like me interested in growing their wealth and becoming a millionaire at some time in their lifetimes. I didn’t expect such a huge amount of visitors just seeking how to become a billionaire, but not really “how to obtain” it. I guess once you tell them the truth and how and what you forcefully need to do yourself they kind of turn the cheek. If you do want to become a millionaire then start paper trading options now. It isn’t hard to do, but it is hard to master it so you can earn money hand over fist. I’ve been working at it over 5 years. I’ve gotten really close. I’m writing this 3rd post now because although I’m 100% practice paper trading options at the moment I think I’m the closest I will ever be and certain to hit my goal into the year 2010 after more than a full year of just paper trading NOTHING ELSE. Yes, sometimes I do want to trade an option really really bad but I have to force myself not to if I want to gain the confidence that I won’t trade when I really don’t need to and in my case I’m not ready. I’m no expert although I know a lot and understand much about the markets. If I want to become an expert then I need to stick to my guns and keep paper trading like many other truly successful traders before me.

So before you comment and tell me you are a teenager with a high IQ and you want to live on billions before you are 18 I suggest you start paper trading to meet that goal. Plus no matter how smart your IQ is that doesn’t reflect anything when it comes to trader unless you have a high emotional IQ and a high discipline IQ. Without those two you are shit out of luck no matter how big and brainy you are!

-fn


Starting again with $1000 to trade options with…

I begin again on my big school tuition journey funding my OptionsXpress account with $1000 to trade options with. The real question I ask myself is am I learning from my mistakes? Will I prevent myself from getting into bad trades? Will I wait for when everything is “right” and all “probabilities” are in my favor to trade a Call or Put option? I guess I’ll find out after trading over 20 $1000-2000 funded start trades. Actually more like less than 10 that I can think of.

My trading plan:

First I’m just going to let the money sit in there until I’m 100% certain a trade will work because the story of the market and stock should show and tell me when and how to trade a stock. Just waiting and not overtrading should help me, not that I over trade, but sometimes even only doing 1-3 trades a month feels like over trading.

Secondly I only deposited $1000 so I couldn’t trade a bigger trade then $1000. If I can’t double or triple my $1000 then I shouldn’t be trading anything larger such as a $5000 or $10000 trade.

Any profits larger than $1000 off the $1000 trade I’m going to withdraw them back into my bank account. Why? This will prevent me from trading more than a $1000 trade because knowing thyself I will trade bigger trades with my profits and likely blow them off. Keeping myself on a $1000 trades will in some way discipline myself (which taught) until I can master just trading $1000 constantly. I may only be able to by two contracts at a time. This is OKAY. I’m use to being cheap trying to make it rich and buying tons of contracts just to run out of time and lose all my money on one trade, which happens commonly.

If and that is a BIG if I can manage not to lose my $1000 on any trade I’ll just get good at trading small number of contracts until I know I’ve fixed many of my previous and ongoing mistakes.

Losses – If I’m only trading with $1000 I’ll have to cut my losses quickly or else I’ll have to fund my account again which I don’t ever want to have to do again. I want this $1000 to go and work very hard for a very long time. Since I’m still working it will be hard to sell out of the market so I will be using limit stops more often or not trade at all until I have a clear view of what thet market is doing and react to it.

I’ve traded $1000 into $10,000 and up to $40,000 within months so I believe I can do it again, except I will be keeping trades exactly at $1000 so I will only be able to see profits in my savings account which will go towards paying off debt. It would be really nice to see my account over $40,000 again, but that can wait. My goal is to just be able to not lose money and stay profitable trading in the money with at least 2 months of time like I know I should be doing, but haven’t been doing.