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The Fastest Way to Lose All of Your Money With Stock Picking

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Written by Β Β 183
3 months ago

@tired_momma has recently published an ingenious article on how to lose your hard-earned cash with crypto trading. Her article is linked below and definitely worth a read. It inspired me to write an article of my own. In this article I will complete the topic of losing money by giving you tips on how to stock pick for a total loss. 😜

As @tired_momma did, I also tested all my advice before publishing it. πŸ™ˆ It's always important that we become experts in what we write about. After all, we want our readers to stay just as poor as we are. πŸ˜‰

Stock selection

Go to any stock monitoring website and look for the stocks in the red. These stocks are on sale. The more red, the hotter the fire sale. Shortlist the stocks, because they are cheaper than they were yesterday. Are there reasons for that? Probably not... The other investors probably just want you to have a great deal. So don't worry about that.

Buy low, sell high

We don't want to pay too much for our stocks which are on sale. That's why we should additionally look at the fundamentals.

After all, the lower we buy, the more profit we make if we sell high.

Fundamentals

If the book value is higher than the market capitalization, we definitely have a bargain at our hands. The other investors are just too stupid to look at this number. That's why we get this bargain and others don't take advantage of it.

Again, there are probably no problems with the company that could possibly explain the evaluation. The cheaper the fundamentals are, the better for us.

Dividend rate

Alternatively to the above metric, we can just look at the dividend rate. Just buy the stock which has the highest dividend rate. The company will probably continue paying the dividend forever -- no matter what happens.

Why are the dividends so high? Probably because other investors are too stupid to look at that number, too.

Time in the market beats timing the market

You have heard it before: The longer your money is in the stock market, the better. Don't wait for a correction. Don't look at any charts. Trendlines? Who needs those anyways? After all, we're not trying to follow any trends, we're trying to get the stock as cheap as possible. Don't look at indicators, either. And don't pay attention to news. Don't try to choose good companies with solid balance sheets. Just take your lifetime savings and put them in the first best stocks which appear cheap.

Diversification

You have heard that you should diversify your portfolio. So don't just buy the stocks themselves, add some call options on the same stocks, too. Choose different expiration dates for your call options to increase the diversification.

There you go, diversification done.

Dollar cost average

After we bought our lump sum investment with all the money we have saved up, our picked stocks may go down further.

Dollar cost averaging means we buy multiple times when the stock becomes cheaper after we bought the first time. Whenever it gets cheaper, we buy more of it. Are there reasons for the stock price to continue its decline? Don't overcomplicate things by asking so many questions. Just keep dollar cost averaging.

Buy the dip

You heard it frequently before: Buy the dip.

Is the company possibly going bankrupt?

- It doesn't matter. The stock dips, so buy it!

Buy the dip of the dip

What if the dip dips again?

- Just buy more.

Buy the dip of the dip of the dip

So the dipped dip dips again?

- No problem. We buy it again.

Money management

As we started with a lump sum investment of all our savings, you might wonder how we can buy more?

- Money management is the key.

Get as many credit cards as possible and max them out. Maybe you can sell things you don't need, too. Not having a car is more eco friendly. Drinking water is more healthy than drinking soda and most people eat too much anyway.

And who uses more than one plate and one cup at the same? A knife can easily do the job of a fork, so sell them, too. One spoon should also suffice. And when was the last time you mortgaged your house?

Hodl

Hodl means "Hold On for Dear Life" or it is just a typo of "hold" -- that depends on who you ask. But hodl means: Always hold your assets. Never sell.

The company reduced its dividend?

- Just hodl.

There are allegations of balance sheet fraud?

- Keep hodling

The company declared bankruptcy?

- You know what to do: Hodl.

Congratulations

You mastered the course on how to lose more money than you own with stock picking. πŸ‘

My qualification and experience

I have lost quite a lot of money with stocks by buying bargains. Bargains that were bargains for very good reasons and became cheaper and cheaper until the stocks were worthless and my broker was so kind to discard them for me...

Buy once with too much money, keep adding to the position the cheaper the stock becomes, hodl until bankrupt and then still don't sell... That's a proven way to lose all of your money.

Thank you for reading.

Make sure to visit @tired_momma's article on how to lose money with crypto trading. She has some great advice ready for you as well.

If you want to lose all of your money, you should definitely not join our #Club1BCH where each member tries to accumulate and hodl at least 1 BCH. That would not help you to achieve your goal of losing your life savings.

Disclaimer

Obviously, this is not financial or investing advice. It is written for entertainment purposes only.

I want to highlight how sound investment advice can be misunderstood and can lead to very negative results.

Personally, I fell victim to that myself in the beginning of my investment "career" -- which is actually more of a hobby than anything -- and these were very, very costly lessons to learn. Despite having made lots of good decisions afterwards, I'm still in the red overall after spending more than two years with stock picking and opportunistic trading, because I made these costly mistakes early on.

So, learn from my mistakes, instead of having to pay for your own.

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Written by Β Β 183
3 months ago
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Comments

I think I should follow these tips... You're a good financial adviser 🀣🀣

$ 0.00
3 months ago

My tips will bring you straight into the poorhouse. I have no doubt about that. I even give you a guarantee: If -- against all odds -- my tips don't work, I will personally make sure to take all your money. 😜

$ 0.00
3 months ago

πŸ€£πŸ€£πŸ€£πŸ˜›πŸ˜›πŸ˜› don't dare to... I know how to Kung Fu panda 🀣🀣🀣

$ 0.00
3 months ago

I also want to have some 5tips pls....

$ 0.00
3 months ago

Hahahaha I like the buy the dip, a lot of dips and even if the company got bankrupt just hold and never sell πŸ˜‚πŸ˜‚πŸ˜‚ best way to lose your money

$ 0.00
3 months ago

That works perfectly every time. πŸ˜πŸ‘

I have tested it twice already. πŸ™ˆπŸ™ˆπŸ™ˆ

$ 0.00
3 months ago

Hahahaha I tested it on leverage, ah once in spot when I bought shitcoin πŸ˜‚

$ 0.00
3 months ago

Ah, you meant buying the dip. To be honest, I do that all the time. And most of the time it works out in the end if you wait long enough. But it's super important to buy stocks of good companies. If they go bankrupt, you lose everything. I have had that happen twice. So I learned: No more bargain hunting for me.

With crypto its probably similar. If you buy quality crypto when it dips and you wait long enough, you will most likely make a profit.

$ 0.00
3 months ago

Haha! Hooodl ;) When I first read that hodl I thought that it was just a misspelled word! And I was shock to read more into different people and post. Haha. But nice way of entertainment. Haha. I like the buy on dip without reading the news! I once did! Haha ;) And I say, best way to lose ur moneeey;)

$ 0.00
3 months ago

Thank you for reading and thank you for your comment. πŸ˜ŠπŸ‘

Haha, I do actually do most of these tips successfully now. I usually buy the dip and then hodl, but nowadays I know when NOT to do it: If there are rumours about fraud or bankruptcy, then it's definitely not a good idea to buy the dip. Because the dip is likely to dip again and again until the stock is valued at 0. For crypto it's also important to concentrate on quality, I would say. Therefore, when it comes to Bitcoin Cash, I see no problem with buying the dip and hodling. 😊

$ 0.00
3 months ago

How to earn bch?

$ 0.00
3 months ago

Exactly. This is why I don't want to spend a lot. It will highly take all your money. I have to hodl it till the end. Much better and you might use it in the future if you have achieve what you want.

$ 0.00
3 months ago

Lol its happening to me men. And the best advise here is the buy the dip of the dip of the dip then Hodl. πŸ‘Œ

$ 0.00
3 months ago

Haha. 😁 Yes, that's almost a guarantee to lose money. πŸ™ˆ

Thank you very much for reading and for your comment. I will send you a tip on noise.cash. πŸ˜ŠπŸ‘

$ 0.00
3 months ago

Oh, that's happening to two (2) of my stocks. One of which was my previous company I've worked for and because I believed in their mission and vision as well as their books, I kept holding on. And now, I can't sell them anymore because they are so below the minimum and I don't know when will their price go up again.

I am trying to not do the same mistake again with my BCH☺️

$ 0.00
3 months ago

Oh no. But that sounds like you have some info that their books are not as bad as the market believes. If they don't go bankrupt, there is a good chance that the stock will actually rise a lot again.

$ 0.00
3 months ago

I do and they were really doing great until new president came and the rest is historyπŸ˜•

$ 0.00
3 months ago

Hello there

$ 0.00
3 months ago

Oh no. πŸ™ˆ

$ 0.00
3 months ago

But as long as the company is still there then maybe I still have a chance maybe 5-10 years more..😁😁

$ 0.00
3 months ago

Yes. πŸ‘

I hope that they won't go bankrupt and that you can recover your investment or even make a profit. 😊

$ 0.00
3 months ago

I hope so too! But for now, I will focus on hodling😁

$ 0.00
3 months ago

Can I ask some tips in how to earn here

$ 0.00
3 months ago

Hi .... there

$ 0.00
3 months ago

Hello, just post an article regularly and interact with other users then wait for the randomrewarder to visit your post. Sometimes he's generous and sometimes it takes a while before our posts get noticed but most of the time we receive everyday

$ 0.00
3 months ago

they

Wow, I'm also interested in weaning bch, how

$ 0.00
3 months ago

Thanks For Sharing Such A Useful Article On Stock Exchanging........❀️ Till Yet I Have No Experience And Interest About Stock Marketing......,☹️ May Be These Guidelines Are Better For Me In The Future

$ 0.00
3 months ago

Wow 😍

$ 0.00
3 months ago

πŸ‘Wow.. Haha very entertaining yet informative way to represent the oppositeπŸ˜… Thanks, now I know how to lose "more".... haha

$ 0.00
3 months ago

You're very welcome. πŸ˜πŸ‘

Doing exactly the opposite is not optimal either. Maybe I should write an article about what one should really do. But that topic is more boring and not guaranteed to work. The tips in this article work for 100% and I can guarantee that you will lose all your money if you follow them. πŸ™ˆ

$ 0.00
3 months ago

Hahaha.. I think I will do good in Stocks too. My account is bloody again. Oh well. I think I just have to enjoy it. πŸ˜†

You will make profit hopefully in 5-10 years time. πŸ™ˆ

$ 0.00
3 months ago

Haha. πŸ‘

Yes, it's really straightforward to lose money with stocks. πŸ˜πŸ™ˆ

Crypto is looking pretty red, too. But I'm pretty sure the good ones will be much higher in the future. πŸ˜ŠπŸ‘

$ 0.00
3 months ago