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titan22 · 04-13-2010, 01:27 PM

bought and sold this puppy a couple times. i sold 1200 shares at 13.99 when it hit resistance. bought back 400 at 14.45. i'm a dumbass, i should have just held 1200 shares. unfortunately, a large part was on margin. i don't like paying interest while something is relatively flat.

cost me about $1000 by not holding another week. piss.

briansol · 04-13-2010, 01:29 PM

what is "on margin" ?

titan22 · 04-13-2010, 02:00 PM

margin is a basically a loan using your stocks as collateral. if you have $5000 cash in your account, and you have margin, your buying power is about $15000. you can buy more stocks, but you pay interest on the $10,000.

it increases your exposure, but if you want to buy more stock than you have cash, it's a way to leverage your assets. there is interest rate associated with it though. so you have to balance that against your gains.

briansol · 04-13-2010, 03:12 PM

ah, i don't think i even have that available to me.

titan22 · 04-13-2010, 03:46 PM

you can check online. it's something you have to sign for. it's not a loan, you just have to sign the disclaimers.

also, if you get a killer margin rate (>7%) it's better than using a credit card. well, cheaper anyway.

04-13-2010, 01:27 PM	#1
titan22 Super Moderator Join Date: Aug 2006 Location: West Coast Posts: 773 Rep Power: 7	Dpz bought and sold this puppy a couple times. i sold 1200 shares at 13.99 when it hit resistance. bought back 400 at 14.45. i'm a dumbass, i should have just held 1200 shares. unfortunately, a large part was on margin. i don't like paying interest while something is relatively flat. cost me about $1000 by not holding another week. piss. __________________ This post does not express the opinions of the website, it's members, or its owner. Always invest with caution and do proper research. If you have questions, consult a paid, investment professional.

04-13-2010, 01:29 PM	#2
briansol Savings Advisor Join Date: Aug 2006 Location: Central CT Age: 32 Posts: 761 Rep Power: 7	what is "on margin" ? __________________ Any thoughts or opinions are that of my own. Research your buys and sales on your own. I am not a stock broker.

04-13-2010, 02:00 PM	#3
titan22 Super Moderator Join Date: Aug 2006 Location: West Coast Posts: 773 Rep Power: 7	margin is a basically a loan using your stocks as collateral. if you have $5000 cash in your account, and you have margin, your buying power is about $15000. you can buy more stocks, but you pay interest on the $10,000. it increases your exposure, but if you want to buy more stock than you have cash, it's a way to leverage your assets. there is interest rate associated with it though. so you have to balance that against your gains. __________________ This post does not express the opinions of the website, it's members, or its owner. Always invest with caution and do proper research. If you have questions, consult a paid, investment professional.

04-13-2010, 03:12 PM	#4
briansol Savings Advisor Join Date: Aug 2006 Location: Central CT Age: 32 Posts: 761 Rep Power: 7	ah, i don't think i even have that available to me. __________________ Any thoughts or opinions are that of my own. Research your buys and sales on your own. I am not a stock broker.

04-13-2010, 03:46 PM	#5
titan22 Super Moderator Join Date: Aug 2006 Location: West Coast Posts: 773 Rep Power: 7	you can check online. it's something you have to sign for. it's not a loan, you just have to sign the disclaimers. also, if you get a killer margin rate (>7%) it's better than using a credit card. well, cheaper anyway. __________________ This post does not express the opinions of the website, it's members, or its owner. Always invest with caution and do proper research. If you have questions, consult a paid, investment professional.

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