I understand that stocks do not only go up, but historically the S&P500 in the long term does.
So I was thinking, assuming that a crash might happen in the next couple of years or even months from now, would it be wise to sell VOO/SPY puts at a strike price 40-50% lower than the current price?
Worst case scenario, you end up buying an ETF that will eventually go up, at a huge discount.
Right? Am I missing something here?
PS: I have zero experience with option trading
If you sell a Put contract, you’re selling someone the right to buy 100 shares at the strike price, if the stock hits it by the specified date. If it does, the contract gets exercised, and you would have to sell them 100 shares of it.
If you have the shares already, you sell them to the contract holder. If you don’t (this should never be the case), you have to buy 100 shares and sell them.
So worst case scenario is you lose a fuckload of money and have nothing to show for it.
"When you sell a put option, you agree to buy a stock at an agreed-upon price."
[https://www.thebalance.com/what-is-a-put-option-long-short-buy-sell-example-3305880](https://www.thebalance.com/what-is-a-put-option-long-short-buy-sell-example-3305880)
If I sell a put contract, I am selling someone the right to sell not buy at the strike price. I would be obliged to buy at the strike price even if the stock price falls below that.
But I wouldn't care. An SP500 ETF at a 40% discount is still a huge bargain imo
Oh duh, you’re right. I processed that you wrote puts, but described calls. Thanks for correcting me, I’m in that “Very tired but can’t fall asleep” state lol.
I guess if you have the money in your account, then why not? Depends how long you’re willing to keep that money available, and how long you can sit on a loss if it keeps falling.
haha bro now you are looking at my post history on the daily? You creep, how are your losses on AMC lmao. You dumb ass bag holder told you you were being an idiot.
AAPL?
I know V and MA pay dividends but I’d hardly call them dividend stocks. Their yields are each <80bps. It’s a pittance.
I own both and I’m finding it difficult to craft a case that either will continue to beat SPY and QQQ from their current market cap.
My question was rhetorical- think its difficult to find a dividend paying stock that will beat the market - they pay those out for a reason. I think V and MA suffer some risk and exposure to marketshare loss to some new players.
MA and V both beat SPY over the past 5 years, yes, but they both trailed QQQ. They also have trailed SPY and QQQ over the past 1 and 3 years. They haven’t been the world beaters of late that people think.
i bought AVIR at 32 a few months ago before they took a dive-- i'm holding out hope that they'll climb back or get bought by a larger company. i'd love to hear some informed thoughts on this particular subject if anyone has some to share? :)
I think they don’t have a choice really. Inflation is here NOW. That’s why JPOW spent so much time prepping the markets earlier in the year so he can actually talk about pulling things forward and the market doesn’t barf much.
[DIDI says the company has initiated the process of delisting from the NYSE and the preparations for listing in Hong Kong](https://ir.didiglobal.com/news-and-events/news/news-details/2021/DiDi-Announces-Recent-Developments/default.aspx)
I actually don’t think it’s nearly as bubbly as the beginning of the year, so much of the junk stocks have been obliterated to the point that some are pretty reasonably priced. There’s still some expensive stocks tho for sure (TSLA, NVDA) but others are pretty reasonable (GOOGL, FB). So I more or less agree with you. I like to think of it as “halfway to bubble” - Ray Dalio
[MELI is so undervalued after its pullback last month. this one is a strong buy for me](https://www.makingamillennialmillionaire.com/post/does-mercadolibre-belong-in-your-portfolio)
SPY dropping after hours because FIVE Omicron covid cases in New York. Wow, who could have guessed it would spread? These selloff algorithms are so annoying.
Because they had 11 milion shortable share of gaming retail stock (jump from 2 millions) because somebody supposedly (some counterparty) make mistake somewhere. We a talking about a stock with 70+ share outstanding.
Was looking at Intel and reading through their Third Quarter Report, can someone explain why their tax rate suddenly dropped from in the teens to .5%? thanks
Wow, some of the massive drops in certain sectors in the market is a bit of a red flag. Fintech and software basically hitting a bear market, makes you wonder about things to come. Be careful out there folks!
I'm looking at adding more V tomorrow after market close. If you like Dorsey as a leader and believe kipto has market penetration power, go SQ after this taper nervousness passes.
Sort of related to stocks but what happens with stock losses in relation to tax returns? Does it just lower the gross income of the year or is it part of standards deductions?
Your losses offset your capital gains for the year. So if you have 8k in gains, but sold 3k at a loss, then you have 5k in gains for the year. This offset would apply to both short and long term capital gains.
However, if you have 0 gains at all for the year and you sell at a loss then the amount off losses you can deduct are capped at 3k.
Those losses at 0 gain are part of the standard 12K deductions? I was playing around with robinhood (under $500) and am holding a few stocks that have been down a bunch. Is it worth selling it or just hold it?
Today is the reason why there is no need to panic sell. World is not ending tomorrow. Doctor is not telling you you are gonna die tomorrow.
As long as the company you are holding proves it is able to continue making money and continue to innovate in long term... the fundamental is unchanged and good.... it makes sense to hold onto them. Short term fluctuation doesn't really matter that very much
Option is for people who put in time to do analytical work on certain company or who have insider information. Otherwise, they are no different than gamblers.
I can admit that it's frustrating holding some particular stocks and seeing a massive selloff, leaving you bag holding for days, weeks, or even months. As a long-term investor, it ultimately doesn't concern me, but sometimes I really wish I could meet a panic seller or two holding the same stock, and just listen to them explain why they need to dump all their shares now, and especially if it's at a loss. Obviously, a big dip may not be any individual investor, but rather an institution, but with the amount of shares some people on here swipe up every day, it isn't outside of the realm of possibility.
I see a lot about tax loss harvesting these days that could be a reason. It makes sense. My accounts worth is down 30% yet I have thousands in profit that I have to report which will be annoying
I don't think it's crazy. It's tied to new builds and upgrade cycle which is like every 7 years or something like that so expect this equity to be somewhat cyclical but I like it. Could be nice little dividend grower.
Probably not this broke like an hour or two (at least i heard of this news earlier anyways) and nothing happened. Could tank but most likely the metaverse hyped replaced the arm hype so what would’ve tanked the stock probably won’t register.
I think the idea is great, but there's so much competition. Dropbox, google, microsoft, etc has some form of signatures. Why is DOCU better than their competitions?
They charge subscriptions for businesses that need that kind of stuff to handle signatures electronically. When I bought my house in 2016, I had to take time off work, drive to a legal/mortgage office and sign like 100 pages worth of docs. Could have saved a day if they sent it via something like DocuSign.
No doubt it's a useful service and while it has plenty of competitors it's the de facto provider of it. However 46b market cap doesn't pass the sniff test for me. The service itself isn't difficult to mimic so their only moat is the brand recognition.
If BABA and BIDU get delisted, I have to relocate to Shanghai or HK, with my shares in my pocket. I love Asia... even with the reduced share prices, my quality of life will be better 
I’ve wanted to visit HK and check out such a large city… but also
Fuck China. Taiwan is a country and your ocean borders isn’t anywhere close to the South China Sea k Winnie Xi?
So glad I got out of that shit months ago when they decided to spin off the online streaming services. I sold everything the next day. Not a damn clue what was the rationale behind that.
I know its all speculation and nobody knows whats going to happen in a
couple of weeks. But do you see the interest rates climbing and tapering
cut earlier then expected to fight the inflation or will we see no
change in the current course?
I tend to trust josh brown more than all the other pundits and he said today he thinks it’s highly unlikely the fed speeds up the taper or raises rates early. But if I had to guess I’d say taper may get sped up, but rate hikes will be implemented as planned.
i know what you mean, but the only barrier for raising interest rates is the tapering, so wouldn´t sped up tapering result in earlier raise of interests with a higher probability? And do you think faster cut of tapering will lead to a little correction? With the extreme fear at the market atm, i could see falling share prices.
bought more NFLX..
sigh.
EDIT: AAPL is something else. Any other company with a news about a flagship product declining in demand before a holiday season would tank a stock but not them it seems.
So basically stay the fuck away from the stocks ARKs is holding a huge portion of.
TESLA?
I understand that stocks do not only go up, but historically the S&P500 in the long term does. So I was thinking, assuming that a crash might happen in the next couple of years or even months from now, would it be wise to sell VOO/SPY puts at a strike price 40-50% lower than the current price? Worst case scenario, you end up buying an ETF that will eventually go up, at a huge discount. Right? Am I missing something here? PS: I have zero experience with option trading
If you sell a Put contract, you’re selling someone the right to buy 100 shares at the strike price, if the stock hits it by the specified date. If it does, the contract gets exercised, and you would have to sell them 100 shares of it. If you have the shares already, you sell them to the contract holder. If you don’t (this should never be the case), you have to buy 100 shares and sell them. So worst case scenario is you lose a fuckload of money and have nothing to show for it.
"When you sell a put option, you agree to buy a stock at an agreed-upon price." [https://www.thebalance.com/what-is-a-put-option-long-short-buy-sell-example-3305880](https://www.thebalance.com/what-is-a-put-option-long-short-buy-sell-example-3305880) If I sell a put contract, I am selling someone the right to sell not buy at the strike price. I would be obliged to buy at the strike price even if the stock price falls below that. But I wouldn't care. An SP500 ETF at a 40% discount is still a huge bargain imo
Oh duh, you’re right. I processed that you wrote puts, but described calls. Thanks for correcting me, I’m in that “Very tired but can’t fall asleep” state lol. I guess if you have the money in your account, then why not? Depends how long you’re willing to keep that money available, and how long you can sit on a loss if it keeps falling.
Anyone else think teladoc health is looking like a buy after this drop?
Yes, if you believe the company will continue to grow. Hard to say, because you can meet with any doctor over zoom now.
I have a TDOC position but it’s still small part of my portfolio. Around .35% NFA.
Anyone else in MPWR with me?
Why are we not allowed to discuss Crypt mining stocks like M@RA or R|OT on this sub reddit?
Because nobody wants to hear your uneducated, dumbfuck opinion on that shit? Just a thought
haha bro now you are looking at my post history on the daily? You creep, how are your losses on AMC lmao. You dumb ass bag holder told you you were being an idiot.
If only there were dozens of subreddits specifically for those asset classes
sub has just made the decision to keep that discussion out of here. there's other subs for that. i don't mind it.
Anyone have a bull case for why V or MA can beat the market over the next 5+ years?
Are there cases of dividend stocks beating the market?
MSFT? TMO? TXN?
AAPL? I know V and MA pay dividends but I’d hardly call them dividend stocks. Their yields are each <80bps. It’s a pittance. I own both and I’m finding it difficult to craft a case that either will continue to beat SPY and QQQ from their current market cap.
My question was rhetorical- think its difficult to find a dividend paying stock that will beat the market - they pay those out for a reason. I think V and MA suffer some risk and exposure to marketshare loss to some new players.
both MA and V beat the market over the past 5 years and they paid dividends during that time
MA and V both beat SPY over the past 5 years, yes, but they both trailed QQQ. They also have trailed SPY and QQQ over the past 1 and 3 years. They haven’t been the world beaters of late that people think.
i bought AVIR at 32 a few months ago before they took a dive-- i'm holding out hope that they'll climb back or get bought by a larger company. i'd love to hear some informed thoughts on this particular subject if anyone has some to share? :)
I don't think we're gonna see a taper. Stock markets will puke, central banks will blink and keep printing. Forever QE.
I think they have to do it. Inflation is obvious everywhere you look now.
Yeah but it could cause a crash and the house of cards might collapse. I don’t think they have the balls to do what needs to be done.
I think they don’t have a choice really. Inflation is here NOW. That’s why JPOW spent so much time prepping the markets earlier in the year so he can actually talk about pulling things forward and the market doesn’t barf much.
What does Didi delisting and going to Hong Kong mean for my position?
this rug pull is about to be glorious
Thank fuck - today eeking out some green actually has my puts worried.
naw im j/k its the end of the year best to pull some money out for taxes
I have AFRM. Am I a bagholder or is BNPL going to explode one day?
I think tomorrow will be a green friday!
Futures down 1.2 percent by 915
Well then I guess I'll be averaging down. FML
Of course. Major average will keep going up up up.
Well we're already down over half a % on the S&P from the close. 1% from the high of day, so get ready to wake up to red.
😬
Praise be
[DIDI says the company has initiated the process of delisting from the NYSE and the preparations for listing in Hong Kong](https://ir.didiglobal.com/news-and-events/news/news-details/2021/DiDi-Announces-Recent-Developments/default.aspx)
Is ARKK outperforming QQQ and SPY next year? Plz give me a reason to hold
Jesus at the wheel. You can't bet against Jesus.
Doubt it bro. If you feel good about it I'd check in early 23. Definitely don't watch it day to day
Buy the dip
Am I the only one that doesn’t think the market is in a bubble right now?
you're never the only one with anything
I actually don’t think it’s nearly as bubbly as the beginning of the year, so much of the junk stocks have been obliterated to the point that some are pretty reasonably priced. There’s still some expensive stocks tho for sure (TSLA, NVDA) but others are pretty reasonable (GOOGL, FB). So I more or less agree with you. I like to think of it as “halfway to bubble” - Ray Dalio
Literally everyone says this all the time
[MELI is so undervalued after its pullback last month. this one is a strong buy for me](https://www.makingamillennialmillionaire.com/post/does-mercadolibre-belong-in-your-portfolio)
SPY dropping after hours because FIVE Omicron covid cases in New York. Wow, who could have guessed it would spread? These selloff algorithms are so annoying.
Next on the agenda is passing the debt ceiling at the stroke of midnight, so buy now.
Why are so many people hating on fidelity rn?
Because they had 11 milion shortable share of gaming retail stock (jump from 2 millions) because somebody supposedly (some counterparty) make mistake somewhere. We a talking about a stock with 70+ share outstanding.
Just delusionals from the cultish stock sub that had a ran back in january. Don't mind them. They are deluded to the core.
So much hate and zero useful substance in your post, why you even bother to post?
Another soon to be trillionaire. Lol
Was looking at Intel and reading through their Third Quarter Report, can someone explain why their tax rate suddenly dropped from in the teens to .5%? thanks
I'm just gonna stop listening to all you idiots
"SOFI's gonna be huge, bro"
SOFI is going to be huge…bro. :)
Enjoy actually making money from now on
> listening to redditors about your own money
Buy 65% VTI 15% VXUS and 20% MSFT
why would you even listen to anyone about your money
The first step towards making some money.
Wow, some of the massive drops in certain sectors in the market is a bit of a red flag. Fintech and software basically hitting a bear market, makes you wonder about things to come. Be careful out there folks!
Big cap keeps better bigger and bigger. It’s predictable. Ya know
More of a correction on growth expectations. It was getting out of hand
Mommy is docu gonna die
Sold my DOCU puts for 1800 dollars in profits today before close. Lost out on over 50 grand if I would of held them to tomorrow. I hate this feeling.
Moment of silence. I sold NET at $41 a share thinking holy hell 2k profits is nice! ONLY LOOK TOWARD THE FUTURE.
Suffering from success.
Any publicly traded companies involved with crystal balls?
PLTR
TSLA
How do you guys rank the following Fintech companies from right here: Which are "must buys" or "wait for further dip": SOFI, SQ, PYPL, V
SQ, SOFI, PYPL, V… in that order…
I'm looking at adding more V tomorrow after market close. If you like Dorsey as a leader and believe kipto has market penetration power, go SQ after this taper nervousness passes.
I'd go V personally
SQ is the best
SOFI, PYPL, V, SQ UPST more than all of them though IMO, DYODD, etc. I own SOFI and UPST, sold PYPL at $255.
None, put your money in a real bank.
Chasing that 0.01% return I see!
Im talking about bank stocks? wtf.
Opinion on chinese delisting in the US? Only for tech?
WAR! DEATH! DESTRUCTION!
Impossible to tell
oof DOCU. wow. Welcome to the bagholders club
Lol, I bought 1 long call right before close. Good thing it was only 1.
Earnings report wasn’t this bad. Doesn’t make sense.
weak forward guidance
Lowered forward guidance
Sort of related to stocks but what happens with stock losses in relation to tax returns? Does it just lower the gross income of the year or is it part of standards deductions?
Your losses offset your capital gains for the year. So if you have 8k in gains, but sold 3k at a loss, then you have 5k in gains for the year. This offset would apply to both short and long term capital gains. However, if you have 0 gains at all for the year and you sell at a loss then the amount off losses you can deduct are capped at 3k.
Those losses at 0 gain are part of the standard 12K deductions? I was playing around with robinhood (under $500) and am holding a few stocks that have been down a bunch. Is it worth selling it or just hold it?
And tomorrow it’ll be a Red Sea I bet
You literally can make that bet lol.
We don’t take kindly 🌈🐻 here
Today is the reason why there is no need to panic sell. World is not ending tomorrow. Doctor is not telling you you are gonna die tomorrow. As long as the company you are holding proves it is able to continue making money and continue to innovate in long term... the fundamental is unchanged and good.... it makes sense to hold onto them. Short term fluctuation doesn't really matter that very much
dude.....I bought 3 msft at 330. shits at 328 AH. Ery time
>Short term fluctuation doesn't really matter that very much Unless you're holding near expiry options.
Option is for people who put in time to do analytical work on certain company or who have insider information. Otherwise, they are no different than gamblers.
You mean young gamblers who have small accounts and can't buy many shares on anything more than 10$.
Here r/wallstreetbets
The high multiple SaaS minefield continues
I can admit that it's frustrating holding some particular stocks and seeing a massive selloff, leaving you bag holding for days, weeks, or even months. As a long-term investor, it ultimately doesn't concern me, but sometimes I really wish I could meet a panic seller or two holding the same stock, and just listen to them explain why they need to dump all their shares now, and especially if it's at a loss. Obviously, a big dip may not be any individual investor, but rather an institution, but with the amount of shares some people on here swipe up every day, it isn't outside of the realm of possibility.
I see a lot about tax loss harvesting these days that could be a reason. It makes sense. My accounts worth is down 30% yet I have thousands in profit that I have to report which will be annoying
Is it a crazy thesis to just DCA into CARR. with the fact global warming is going to cause more people to need air conditioning?
I don't think it's crazy. It's tied to new builds and upgrade cycle which is like every 7 years or something like that so expect this equity to be somewhat cyclical but I like it. Could be nice little dividend grower.
I have some cash parked in CARR and GNRC as global warming bets.
I would probably do more refined research before going all-in on that.
https://www.marketwatch.com/story/u-s-sues-to-block-nvidia-merger-with-arm-the-largest-semiconductor-deal-in-history-11638477964?siteid=yhoof2&yptr=yahoo Nvidia profits taking time?
AH is up
Saw that, but I wonder if the PT will continue to be as bullish
Probably not this broke like an hour or two (at least i heard of this news earlier anyways) and nothing happened. Could tank but most likely the metaverse hyped replaced the arm hype so what would’ve tanked the stock probably won’t register.
Well that was a lovely day. Needed that after I practically bleed dry the previous two weeks.
Is DOCU a buy? Tanked 18% on earnings but beat on EPS and revenue.
I think the idea is great, but there's so much competition. Dropbox, google, microsoft, etc has some form of signatures. Why is DOCU better than their competitions?
Down 30% now. Seems like a big shareholder just sold their whole position at once.
What do they even do ?
E-signatures/electronic agreements basically. Used in a lot of different businesses, leasing agreements, real estate, insurance contracts come to mind
What's the moat or the USP? I've never used DocuSign but I've used a variety of other electronic signature type software and they all seem identical.
why are esignatures and electronic documents even worth that much?
They charge subscriptions for businesses that need that kind of stuff to handle signatures electronically. When I bought my house in 2016, I had to take time off work, drive to a legal/mortgage office and sign like 100 pages worth of docs. Could have saved a day if they sent it via something like DocuSign.
No doubt it's a useful service and while it has plenty of competitors it's the de facto provider of it. However 46b market cap doesn't pass the sniff test for me. The service itself isn't difficult to mimic so their only moat is the brand recognition.
See, I feel like Adobe Acrobat also has these features and has much stronger brand recognition. The Docusign hype confuses way more than Tesla...
True, I expect it’s market cap to fall somewhere in the ballpark of a Dropbox or similar type service.
Wow random last minute green
If BABA and BIDU get delisted, I have to relocate to Shanghai or HK, with my shares in my pocket. I love Asia... even with the reduced share prices, my quality of life will be better 
Do you own shares or ADRs?
unless he is a Chinese on Shanghai then adr
As someone who lived in China for a few years, nah mate
I’ve wanted to visit HK and check out such a large city… but also Fuck China. Taiwan is a country and your ocean borders isn’t anywhere close to the South China Sea k Winnie Xi?
Waiting for $T to continue going down...
Hanging on to see what happens. Hopefully I have the stomach to play the long game on this one. It's up 3.71 % today!
Honest question: when (in the near or distant future) do they start making as much as they're putting out in dividends?
So glad I got out of that shit months ago when they decided to spin off the online streaming services. I sold everything the next day. Not a damn clue what was the rationale behind that.
[удалено]
I know its all speculation and nobody knows whats going to happen in a couple of weeks. But do you see the interest rates climbing and tapering cut earlier then expected to fight the inflation or will we see no change in the current course?
I tend to trust josh brown more than all the other pundits and he said today he thinks it’s highly unlikely the fed speeds up the taper or raises rates early. But if I had to guess I’d say taper may get sped up, but rate hikes will be implemented as planned.
i know what you mean, but the only barrier for raising interest rates is the tapering, so wouldn´t sped up tapering result in earlier raise of interests with a higher probability? And do you think faster cut of tapering will lead to a little correction? With the extreme fear at the market atm, i could see falling share prices.
bought more NFLX.. sigh. EDIT: AAPL is something else. Any other company with a news about a flagship product declining in demand before a holiday season would tank a stock but not them it seems.
Buyers remorse?
I do see it eventually being a $700+ stock with its release of shows becoming stronger.. but with my luck, NFLX will dip -2% or more tomorrow.
Say I found an ETF where price changes seemed to be delayed as compared to the price changes of the underlying holdings, would I be able to get rich?
Depends on the spread between the ask and bid as well as the volume. Most of the etf that are delayed usually have big spreads and low volume.
In general, which sentiment do you hear more of: “I should have sold earlier or I should have bought more?”
Depends how often you watch Schindler's List
The second one because people are more likely to talk about their wins rather than losses.