As we were discussing buying Citigroup stock, and I like many other have taken ollage advantage of the extraordinary low prices and bought stocks for the first time in my life, I have been watching Mad Money every night to try to understand the market. I find that he is the only TV market analyst who actually explains the subject, sort of like taking a free TV collage course on the subject. Anyone else watching him?
Do you watch Jim Cramer's "Mad Money"
- Thread starter elmo16
- Start date
As we were discussing buying Citigroup stock, and I like many other have taken ollage advantage of the extraordinary low prices and bought stocks for the first time in my life, I have been watching Mad Money every night to try to understand the market. I find that he is the only TV market analyst who actually explains the subject, sort of like taking a free TV collage course on the subject. Anyone else watching him?
He is guessing like the rest of us. The run up in this market is created by professional traders with no fundamentals behind it. Since he, nor you nor I are psychic, and do not know how far before they run it up before they switch directions, it is best not to look for false idols.
Remember, the market can only go two directions and with those limited possibilities, it is amazing how often most people are.
Remember, the market can only go two directions and with those limited possibilities, it is amazing how often most people are.
I was never that impressed with the performance of the few charity stock funds he manages. He told everyone to get out of the market if they needed their money within 5 years. That was ballsy but there's still 4+ years to go on that prediction. Jon Steward raked him over the coals but that was more directed at CNBC. I just take the show as cheap entertainment.
elmo16 said:
... Anyone else watching him?
Here are his 3 greatest performances (study and learn):
http://www.thedailyshow.com/video/index.jhtml?videoId=220536&title=Jim-Cramer-Pt.-1
http://www.thedailyshow.com/video/index.jhtml?videoId=220538&title=Jim-Cramer-Pt.-2
http://www.thedailyshow.com/video/index.jhtml?videoId=220539&title=Jim-Cramer-Pt.-3
And here's what they were talking about in those 3 parts:
First:
http://www.thedailyshow.com/video/index.jhtml?videoId=220252&title=CNBC-Financial-Advice
And then:
http://www.thedailyshow.com/video/index.jhtml?videoId=220288&title=In-Cramer-We-Trust
First:
http://www.thedailyshow.com/video/index.jhtml?videoId=220252&title=CNBC-Financial-Advice
And then:
http://www.thedailyshow.com/video/index.jhtml?videoId=220288&title=In-Cramer-We-Trust
I don't think any of you understand Cramer, unlike other stock trade show, his is not about giving you stock tips, but teaching you how good traders think and how you should approach buying and selling stocks. I watch him to learn how he thinks, not to get stock tips.
Here's one his gems: "Don't trade investments, and don't invest in trades".
Here's another "how do you know when you've reached a top?, when there are no buyers, when everyone whose going to buy the stock has already bought the stock. Then you know it's time to sell."
Here's one his gems: "Don't trade investments, and don't invest in trades".
Here's another "how do you know when you've reached a top?, when there are no buyers, when everyone whose going to buy the stock has already bought the stock. Then you know it's time to sell."
You're better off doing your own research, doing a shitload of reading, understanding trends, studying charts looking for recognizable patterns, etc. If you want to buy and hold you can pretty much pick any name brand stock and you'll make money down the road. If you're looking to make quick money, it's a lot harder to call it right. I'm 100% self-taught about the stock market and I'm doing pretty well, but it's taken some time to get it right. If you're new to the market and looking for quick profits, I suggest playing a fantasy stock market for a while to test your strategies and hunches without the risk of losing any money.
I recently started putting CNBC on in the background when I'm home during the day, just to keep abreast of any breaking news, to listen to any knowledgeable guests that might be on, get some clues as to the psychology that's moving the markets, etc. I look into some of the tips I hear about, use them as a jumping off point to do my own research, but never take the advice I hear blindly.
That said, Cramer has an extremely poor track record and subscribes to the "dartboard" theory of picking stocks IMO. I change the channel whenever he's on. He does offer up a lot of stock tips, and as DQ's links point out, he's notorious for giving bad advice. John Stewart's famous line: "If I followed Cramer's advice I'd have $1,000,000........providing I started out with $100,000,000."
I recently started putting CNBC on in the background when I'm home during the day, just to keep abreast of any breaking news, to listen to any knowledgeable guests that might be on, get some clues as to the psychology that's moving the markets, etc. I look into some of the tips I hear about, use them as a jumping off point to do my own research, but never take the advice I hear blindly.
That said, Cramer has an extremely poor track record and subscribes to the "dartboard" theory of picking stocks IMO. I change the channel whenever he's on. He does offer up a lot of stock tips, and as DQ's links point out, he's notorious for giving bad advice. John Stewart's famous line: "If I followed Cramer's advice I'd have $1,000,000........providing I started out with $100,000,000."
The run up in this market is created by professional traders with no fundamentals behind it.
You're better off doing your own research, doing a shitload of reading, understanding trends, studying charts looking for recognizable patterns, etc. If you want to buy and hold you can pretty much pick any name brand stock and you'll make money down the road. If you're looking to make quick money, it's a lot harder to call it right. I'm 100% self-taught about the stock market and I'm doing pretty well, but it's taken some time to get it right. If you're new to the market and looking for quick profits, I suggest playing a fantasy stock market for a while to test your strategies and hunches without the risk of losing any money.
I recently started putting CNBC on in the background when I'm home during the day, just to keep abreast of any breaking news, to listen to any knowledgeable guests that might be on, get some clues as to the psychology that's moving the markets, etc. I look into some of the tips I hear about, use them as a jumping off point to do my own research, but never take the advice I hear blindly.
That said, Cramer has an extremely poor track record and subscribes to the "dartboard" theory of picking stocks IMO. I change the channel whenever he's on. He does offer up a lot of stock tips, and as DQ's links point out, he's notorious for giving bad advice. John Stewart's famous line: "If I followed Cramer's advice I'd have $1,000,000........providing I started out with $100,000,000."
I recently started putting CNBC on in the background when I'm home during the day, just to keep abreast of any breaking news, to listen to any knowledgeable guests that might be on, get some clues as to the psychology that's moving the markets, etc. I look into some of the tips I hear about, use them as a jumping off point to do my own research, but never take the advice I hear blindly.
That said, Cramer has an extremely poor track record and subscribes to the "dartboard" theory of picking stocks IMO. I change the channel whenever he's on. He does offer up a lot of stock tips, and as DQ's links point out, he's notorious for giving bad advice. John Stewart's famous line: "If I followed Cramer's advice I'd have $1,000,000........providing I started out with $100,000,000."
Dave, when you buy a stock do you buy all the shares that you intend to buy all at one time, or do you buy a fraction of the shares and wait to see if the stock goes down and buy a little more, wait to see if the price goes down again and buy a little more, etc. This is a technique Cramer said we should use when we buy stocks. Do you agree with this method?
Dave, when you buy a stock do you buy all the shares that you intend to buy all at one time, or do you buy a fraction of the shares and wait to see if the stock goes down and buy a little more, wait to see if the price goes down again and buy a little more, etc. This is a technique Cramer said we should use when we buy stocks. Do you agree with this method?
Every thing you said above, Cramer said on his show over and over. He has said over and over that you have to do your home work, read as much as you can and not listen to other people, so I guess he agrees with you.
Best of luck to you. By the way, if you want my opinion, make sure to keep enough free cash until the next big selloff happens, so you can get in at the bottom. I'm not saying don't buy anything now, just do it cautiously and keep in mind we're bound to retest the lows at some point. One of the most frustrating things can be buying into the top of a rally, it'll really test your patience.
Dave, when you buy a stock do you buy all the shares that you intend to buy all at one time, or do you buy a fraction of the shares and wait to see if the stock goes down and buy a little more, wait to see if the price goes down again and buy a little more, etc. This is a technique Cramer said we should use when we buy stocks. Do you agree with this method?
That's not entirely true. There have been a few earnings reports out in the last few days that have been surprising on the upside. Considering how beaten down most stocks are, if a company is posting profits or narrowing their losses, the stock should go up. Granted, sometimes they go up more than the fundamentals justify, but I'll never complain about that, as I'm more than happy to take as much profit as I can.
Since you're new to the stock market, I can see why you'd appreciate his show, as he is openly talking about investment strategies, concepts, etc. On that level, I can understand why you'd watch him and get something out of his show. As long as you're aware of his piss poor track record as far as making good recommendations, I guess he can't do you any harm.
Best of luck to you. By the way, if you want my opinion, make sure to keep enough free cash until the next big selloff happens, so you can get in at the bottom. I'm not saying don't buy anything now, just do it cautiously and keep in mind we're bound to retest the lows at some point. One of the most frustrating things can be buying into the top of a rally, it'll really test your patience.
Best of luck to you. By the way, if you want my opinion, make sure to keep enough free cash until the next big selloff happens, so you can get in at the bottom. I'm not saying don't buy anything now, just do it cautiously and keep in mind we're bound to retest the lows at some point. One of the most frustrating things can be buying into the top of a rally, it'll really test your patience.
elmo16 said:
... "how do you know when you've reached a top?, when there are no buyers, when everyone whose going to buy the stock has already bought the stock. Then you know it's time to sell."
Cramer often starts his lectures with "This is some thing I've learned the hard way", or "This is a mistake I've made over and over" or "This has burned me on many occasions". Unlike many other self-proclaimed TV experts, he has never pretended to be perfect or know everything or bull-shit the public and this is why I love to watch him along with his knowledge.
Have you ever read the book "The Perfect Speculator”?
It’s a great book by Brad Koteshwar. In my opinion it is one of the best stock market books that you should own!
The Perfect Speculator is about a speculator who works silently, unlike self-promoting "pundits" of the stock market. He has amassed immense wealth, and now he wants to decide on a suitable heir who can carry on his work of speculation, and preach his strategies to his select clients. He selects Brad Koteshwar as his heir. (Brad Koteshawar writes his books on a first-person basis.) Although the book itself is a piece of fiction, the knowledge and wisdom gained from the book is very real, immensely valuable and an eye-opener for any stock-market enthusiast. Brad, besides writing about the selection process for new potential buys. He discusses a daily routine, which he summarized into "20 Rules of Speculation." I found these to be very valuable.
This book helped me re-learn what William J. O'Neill discussed in "How To Make Money In Stocks." O'Neill talked about a prior run up, but I couldn't fully grasp it until I read Brad's book. Definitely NOT a fluffer!
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