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in0v8r | 14 years ago

I have invested in the stock market for about 1 year. Initially, I used options to leverage what little money I had and blew up my account. I learned three important lessons, of which I had read more than once prior to, but they are as follows: 1. Do not try to predict the market. Follow it. To be more specific, and less "duh", invest in securities that show (from a speculative standpoint) the potential to continue to move in a direction, but with "smart" money behind it. This brings me to 2. 2. It takes money to make money. This is not to say that it is impossible to turn $1,000 into $1M, just a lot less probable. When you are following the "smart" money, you are playing the game and the game is based on probability. The more money you have to invest, the more potential candidates you can hold. By cutting losses short and riding out the winners, you can make a considerable amount of money. Discipline and money management are the key here. Being right or wrong is not the way to look at investing; I tend to say, "I held the stocks that made me a profit, and sold the ones that didn't." 3. You will lose money, you will be in the wrong security and the worst time, and you will 2nd guess a great investment. It will happen over and over. You have to be mentally prepared to look past this. You have to be objective and you have to discipline your mind to treat loses as a necessary part of the game.

Well, to actually answer the question, I am invested in BAC, PFE, GE, and VZ. All of which are for testing purposes for a new strategy that makes us of technical analysis over a long(er) term.

I realize my knowledge is minimal, but I hope it helps.

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