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StellenboschStudent
06-05-2011, 12:17 PM
I found a way to make a lot of cash on the stock market. Each time I decide to buy new stocks, I list a couple of stocks that I am interested in.
I will read up about each company and narrow it down to two stocks I believe will make me some money.
Lets say I buy stock A, then everybody else should just buy stock B, because stock A will fall and stock B will raise, that is just the luck I am having! So, this method won't work for me, but maybe I can help someone else to make a lot of money! So, don't buy vodacom stock now, it is set to tumble because I just bought some.

SinghDude
06-05-2011, 12:27 PM
interesting analysis.





/ heads off to ATM to get cash for Student

jem
06-05-2011, 01:28 PM
buying vodacom stock was a mistake anyway - what was your choice B?

Wyzak
06-05-2011, 01:59 PM
Yep I know the feeling. Another sure fire way of making a killing is buying a stock directly after I've sold it. It's sure to skyrocket!

Ol' Mean Bastid
06-05-2011, 03:13 PM
I found a way to make a lot of cash on the stock market. Each time I decide to buy new stocks, I list a couple of stocks that I am interested in.
I will read up about each company and narrow it down to two stocks I believe will make me some money.
Lets say I buy stock A, then everybody else should just buy stock B, because stock A will fall and stock B will raise, that is just the luck I am having! So, this method won't work for me, but maybe I can help someone else to make a lot of money! So, don't buy vodacom stock now, it is set to tumble because I just bought some.

Cool, please list your recent purchases with the options you didn't take :twisted:

UnUnOctium
06-05-2011, 06:06 PM
1) You have to buy a metric ton of shares to influence the market (we're talking many millions of rands here)
2) ANY equity/commodity/future/etc has what's called a 'speculative value' and because of that, if suddenly a lot of people start buy shares in company A at price X, others will follow suit because of speculation that the first people know something you don't. Suddenly the price for company A's shares is 2X. The sellers therefore increase prices due to speculation that a lot of people are going to be buying.
3) The same works in reverse, if suddenly a large amount of shares are getting sold, their value starts decreasing soon after because of speculation that something's going wrong and people try to get rid of them ASAP.
4) If you get enough people and you somehow manage to affect the stock market with the intent you wish, you'll get caught for insider trading.

Markd
06-05-2011, 08:16 PM
sounds like you are paying your school fees :) Also are you trading or are you investing? If you expect to trade and profit, the fundamentals of said company probably arent going to matter to you as much as what happens in the news or on the line of a graph. To trade and profit something meaningful you need alot of money. ALOT of money. Otherwise it probably wont be worth it :P

If your investing, and the fundamentals check out, plus whatever else you factor in (DIV, PE etc.), and you spread the risk by getting into a number of different companies in different markets, you wont go wrong over the longer term. You'll beat the bank by a good margin, but you wont become a millionaire overnight.

This is very fun though :)

Tim182
09-05-2011, 10:19 AM
1) 4) If you get enough people and you somehow manage to affect the stock market with the intent you wish, you'll get caught for insider trading.

Insider trading is trading based on non-public information. What you describe is "disseminating false or misleading market information" which is also illegal but very different to insider trading...

Mercuriu§
09-05-2011, 05:54 PM
At least you didn't own Uranium One (http://www.sharenet.co.za/v3/chart.php?scode=UUU) before the Japanese earthquake hit, completely took out my Christmas dividend present they gave me.