Just kidding, 99.9999999% of you cannot. Because the guys Businessweek just featured HERE have banked thanks to the work of their teams of ANALysts who dug through all kinds of filings to find some business glitches (don’t even bother, too many others doing that and they’re a lot smarter than you), hugely leveraged positions (don’t even think about it…while it worked for Soros, it killed Livermore…you are neither) and those that don’t take hugely leveraged short-term bets are all making longer-term bets (even if you’re right, you don’t have the capital to last that long as yearly margin interest is a bitch!)
Understand when I say this, some of you might be able to profit like these guys, but just as when I say all penny stocks are frauds/schemes/incompetents, I’m talking about playing and writing about this game by the odds…stuff on which I’m right 9 times out of 10 or 950/1000…aka who knows exactly, but the odds are greatly in my favor. Because trading is hard enough, so why try to make it any harder?
The good news is that strategies like Pennystocking can be used to make you a lot of money on small sums of capital, without you having a team of researchers, without the use of leverage and it can be as short term as your impatience makes it out to be (although ideal trades can be held for days and weeks). After all, its gift and its curse is that its ideal for smaller investors and traders, irrelevant to anybody with more than a few million bucks.
So, use your small size to your advantage. Businessweek will probly never proclaim me to be a master short seller–I’ll never make enough $ to qualify–but they might just proclaim me a master short seller teacher, which will not only make me wealthy, it’s also waaaaay more fulfilling!
Tags: Basics, Cool Opportunities, Short Selling
