25% is a lot and if focus on a few stocks, is far more impactful than 75% over all stocks. Not sure what activity means? Include leverage effect of calls?
Only very limited retails do fundamental research, buy and hold or buy low and sell high. Majority are tempted by price changes momentum…etc.
Big funds pay millions to software systems, research analysts, get deep knowledge on growth etc and do systematic investments. They will have protective covers (like insurance) for crashes.
Calls and Puts are retailer way to gain money (lose money too).
Calls and Puts are big funds way to cover losses, incase of market fluctuation.
We, retailers, trade on daily or weekly basis
Big funds have separate trade desk, where they pay 100k+ to their own employees and they trade 8 hours stressful way. Their operations are huge and goes to bureaucracy approvals…etc
Retailer forces are tiny and unorganized, while institutions are army and systematically organized!
Combined retailers can not match institutions.
It is like I am writing software to challenge Google algorithm !
I love following RH momentum stocks. Those have been most profitable for me last year TBH. Takes some work to follow though. Current RH momentum stocks I’ve been holding: TIGR, SKLZ, PLTR, NNDM.
Somehow I think Cathie is also following momentum. She newly added SKLZ, PLTR and NNDM. Didn’t notice TIGR.
What you say is true but doesn’t counter my view that retail investors/ traders can trump! big boys. You have too much faith in big boys and underestimate the power of retail investors. As I said many times, billions of ants can kill an elephant. There are many incidents reported publicly that retail investors/ traders run round the big boys e.g. the Japanese housewives - vaguely remember is something to do with forex, yes forex! supposedly big boys arena. Btw, AAPL was full of retail investors before the big boys caught on… big boys are late to the AAPL party. I believe TSLA is influenced heavily by retail investors/ traders (many of which are now multi-millionaires like Jason, @wuqijun, @Zeapelido, @pastora, …) Let’s not forget, index funds/ ETFs are bought by retail investors/ traders. The thinking behind TSLA is one-day so long Elon is not dead, will dominate the energy and transportation industry as all the incumbents are lemons and no challengers would be good enough. Unless this thinking is broken, TSLA would continue to go UP.
Churchill Capital Corp IV (CCIV) - Lucid Motors, a real competitor to Tesla, looks like it could merger with the SPAC, CCIV. CCIV stock is up over 30% yesterday and already up big premarket.
Another wild one!
Haha, we need a momentum stock / RH section.
I think it’s the other way around. Cathie created the hype that RHers follow.
Only RHers? Old dogs follow her2, no not stalking.
Big boys are strong by corporate
For example: You won. every one including WB, in investment appreciation. This has happened with AAPL.
It does not mean, you will have the same appreciation if you are given $100 billion fund. To handle such you need a company structure with sufficient infrastructure.
Big boys are strong like corporate landlord and we are like mom and pop landlords.
Can a big boy outbids me in buying a SFH in SV? I overpaid by 20%, beat it. I did it twice.
Yes my experience with TSLA has taught me that retail can beat institutions by 1) Having a deeper understanding of a company and 2) Simply being more nimble. Can digest and respond more quickly to new information.
I bought 4000 shares. If merger goes through, I am confident slow institutions will pump up Lucid to above a 10 billion dollar valuation. If only for a day or two!
Do not like to mix TSLA thread, moved here
As expected FDX bottomed at 243.5 and now reached 247.7, good sign turning point now
Here, my thought process is, fundamentals are strong for FDX and UPS, but FDX reached down heavily than UPS.
FDX RSI = 26.46, UPS RSI = 44.84
FDX P/E = 26.67, UPS P/E = 30.74
Earnings will also likely increase (with Covid online growth except amazon challenge)
That is the Magic of Finding the bottom of Good Stocks => Algorithm !!
I have four June calls like this or better than what I posted.
Then, why don’t invest in her ETF? No extra work to follow?
RHers are cashing in their new $600 stimulus checks to buy TSLA calls.