Escaping Wage Slavery - Dont Psyche Yourself Out

[CreamCat]

@GeoLura What is your modus operandi of investments? How many hours a day do you spend on investments? I am curious. Perhaps, I should try it, too.

My father wants me to learn real estate auctions from him. Maybe, I should learn some investment because financial freedom is an obligation. I will be forced to make money if I don't.

Before life starts forcing me to make money in undesirable ways, I want to take control of the way I make money.

Edited December 29, 2018 by CreamCat

[GeoLura]

@7thLetter  No you didn't sound like an idiot I thought what you said was quite well put. My post was a general response to everyone in this thread.
 

On 29.12.2018 at 3:16 AM, 7thLetter said:

Literally was up $4k on NEO/Antshares and I thought I was the shit. Got super greedy, lost everything in December.

Yeap, same. Made 10x gains with NEO, then put all in some shitcoins and lost most of it. But i learned my lesson. I Started to be more systematic and learned to ignore all the Greed, FOMO and FUD

 

On 29.12.2018 at 3:16 AM, 7thLetter said:

And in my opinion I think a 2% stop loss is way too high. 1% is good enough.

Well it can be sometimes. Depends on what the potential gain is, the chart pattern at that moment, what assets are you trading etc. Like with crypto there's more stoploss hunting.

@CreamCat

On 29.12.2018 at 4:12 AM, CreamCat said:

What is your modus operandi of investments? How many hours a day do you spend on investments? I am curious. Perhaps, I should try it, too.

Well, at the moment my normal day is like 6 hours of reading news, going through charts trying to find something i like, then analysing the chart and reading all the fundamentals about the company, then if there's something that looks overall good, I'll setup alerts on my phone, go do something else and wait for a breakout.
But like a year ago, when i was trading crypto and stocks really trying to "make it", it was almost everything i did. 12 hours a day 7 days a week, because crypto markets are always open, it's its own kind of hell, when you can't ever really relax.
If you're just trying to invest your money in smart ways long term, then it's alot more relaxed. There's alot of good stuff about investing/trading on youtube, twitter, people on tradingview etc. just remember to ignore those videos where it the title sound too good, like "HOW I MADE 10K TRADING IN ONE DAY!" and like Leo always says, pull info from multiple different sources.

[CreamCat]

13 hours ago, GeoLura said:

Well, at the moment my normal day is like 6 hours of reading news, going through charts trying to find something i like, then analysing the chart and reading all the fundamentals about the company, then if there's something that looks overall good, I'll setup alerts on my phone, go do something else and wait for a breakout.

So, you became a full time investor. Spending 6 hours a day on investment makes you a full-time investor. If investment is not your life purpose, when do you plan to reduce or minimize the time you spend on investment each day?

Leo Gura closed his previous business and invested his money into actualized.org which paid off quite well.

Someday, you're going to have to make the decision to stop spending a lot of time on investment.

Edited January 5, 2019 by CreamCat

[7thLetter]

@GeoLura

14 hours ago, GeoLura said:

Yeap, same. Made 10x gains with NEO, then put all in some shitcoins and lost most of it. But i learned my lesson. I Started to be more systematic and learned to ignore all the Greed, FOMO and FUD

Yup same. When I considered myself to be "involved" in the cryptocurrency community, I was easily influenced by the optimism of other people. "BTC TO $25K!" "NEO TO $1K THIS YEAR!" "STRATIS TO THE MOON!" "BITCONNECTTTTTTT!" I really did not see the crash coming because I was too ignorant, all I did was listen to other people. It was like being involved in a pyramid scheme. A very unhealthy and manipulative orange environment.

Now I try not to rely on others or gurus for analysis and I do my own. One thing I've been looking into a lot these days is a possible recession. Go on Youtube and there's "Expert Analyst on CNBC Predicts Recession not here yet until 2025!" or "Recession just around the corner says 50-year Professional Market Analyst!" Shit like that. I just ignore it and form my own opinions.

Especially in real life outside of the markets, its good to distance yourself from other people who may have a negative influence on your life. Growing up I had a lot of good but toxic friends, and I think that lead to a lot of the wrong decisions that I made in my past. So now I honestly cut off a lot of them and just do my own thing without any external influences that might bring me down

[CreamCat]

@Shiva I think that fits into what Leo Gura has been saying in his videos. Love and accept, and you will improve.

Wage slavery is counter-intuitive. You improve your odds of escaping wage slavery by loving it.

Edited January 5, 2019 by CreamCat

[GeoLura]

@CreamCat

On 5.1.2019 at 2:45 AM, CreamCat said:

If investment is not your life purpose, when do you plan to reduce or minimize the time you spend on investment each day?

 

Yeah, it isn't my life purpose. I still have to figure that out, i'm slowly experimenting with different things to see what i like. Six hours a day on investements isn't that much, because i enjoy it and still have plenty of time to do other stuff.

 

@7thLetter

On 5.1.2019 at 6:35 AM, 7thLetter said:

Now I try not to rely on others or gurus for analysis and I do my own. One thing I've been looking into a lot these days is a possible recession. Go on Youtube and there's "Expert Analyst on CNBC Predicts Recession not here yet until 2025!" or "Recession just around the corner says 50-year Professional Market Analyst!" Shit like that. I just ignore it and form my own opinions.

yup, no one really knows what's going to happen and the mainsteam news are often manipulation. Like when crypto started to crash they pumped all the negative news out and many of them were blatant lies. You kind of have to read between the lines.
I don't know about recession, ofc it's a possibility. I don't have any long term investments atm, sold everything when this correction started.
 

[7thLetter]

@GeoLura 100%. They don’t really care about other people making money but themselves.

Couple reasons I’ve looked into which may cause a recession, and which I agree with are:

- Rising interest rates

- 2020 Presidential Election

- $1.5 Trillion+ in Student loan debt in the US alone. (Pretty sure it is at an all time high)

- US-China Tradewars

And based on looking at previous market cycles, these market-cycles happen every 6-8 or even 10 years. Currently the economy has been in an upward growth for 9 years now. Also, I think Europe has already entered a recession, so its about time for the rest of the world.

Based on my analysis on the SP500 it hasn’t officially broken the uptrend yet. But we probably will see a bear market pretty soon if it does break. Also if you compare this correction with what happened in 2008, it looks pretty similiar. In 2008 the SP500 reached an all time high, then it dipped 20% and bounced back up like what is happening at the moment.

[kieranperez]

Rule #1: you’re never going to time the market nor is anyone. 

Rule #2: you’re playing a rigged game. You’re not going to outsmart it.

 

[CreamCat]

14 hours ago, GeoLura said:

Yeah, it isn't my life purpose. I still have to figure that out, i'm slowly experimenting with different things to see what i like. Six hours a day on investements isn't that much, because i enjoy it and still have plenty of time to do other stuff.

Did you buy Leo's life purpose course?

[GeoLura]

@7thLetter

On 13.1.2019 at 6:07 AM, 7thLetter said:

100%. They don’t really care about other people making money but themselves.

Western world is mostly stage orange, so that is to be expected.
If a market is news driven, it's usually very risky to trade. Assets that rely on speculation are very news driven, high risk high reward. Cannabis stocks and crypto are a good example.

 

On 13.1.2019 at 6:07 AM, 7thLetter said:

Couple reasons I’ve looked into which may cause a recession, and which I agree with are:

- Rising interest rates

- 2020 Presidential Election

- $1.5 Trillion+ in Student loan debt in the US alone. (Pretty sure it is at an all time high)

- US-China Tradewars

My knowledge lies mostly in TA, in these macro things i'm embarassed to say i mostly rely on handful of good analysts that are pretty lowkey on youtube and twitter. (and the terms, words etc. i'm using might be wrong, because english is my second language and i speak about this stuff mostly in Finnish.)

But these are valid points. Stock buybacks have been insane in many major companies creating an illusion of growth and now that's decreasing because of rising interests.

Other thing is Central banks offloading all these assets they've been buying: https://europe.pimco.com/en-eu/resources/smartcharts/?chart=Global-Central-Bank-Balance-Sheets20171016171558&l=Europe&s=true&lang=en-eu


 
Then there's the housing bubble, there's alot of news lately here in Finland that young people don't want to buy a house and rather rent, because the prices are too high in Helsinki. People who have alot of debt, won't be able to pay off the interests if the rates keep rising + alot of companies are laying off workers for multiple reasons. 

 So yes, all these macro points are useful. but when it comes to quick trades and for someone like me who hawks the charts everyday, analysing the charts can be enough. I saw the correction coming in october only by analysing different indexes and major stocks like apple, amazon etc.

 

On 13.1.2019 at 6:07 AM, 7thLetter said:

And based on looking at previous market cycles, these market-cycles happen every 6-8 or even 10 years. Currently the economy has been in an upward growth for 9 years now. Also, I think Europe has already entered a recession, so its about time for the rest of the world.

Depends on who you ask. I don't think this qualifies as a recession yet, correction for sure, bear market if we fall back down from here. Then if the dominoes start falling we might enter a recession. S&P does look similiar to 2008, maybe we should start buying some gold and stacking it in our matresses?
 

[7thLetter]

On 1/16/2019 at 6:17 AM, GeoLura said:

My knowledge lies mostly in TA, in these macro things i'm embarassed to say i mostly rely on handful of good analysts that are pretty lowkey on youtube and twitter. (and the terms, words etc. i'm using might be wrong, because english is my second language and i speak about this stuff mostly in Finnish.)

@GeoLura Honestly this stuff is pretty new to me as well. I'm just starting to get into learning more about this stuff and taking it more seriously this year.

On 1/16/2019 at 6:17 AM, GeoLura said:

Then there's the housing bubble, there's alot of news lately here in Finland that young people don't want to buy a house and rather rent, because the prices are too high in Helsinki. People who have alot of debt, won't be able to pay off the interests if the rates keep rising + alot of companies are laying off workers for multiple reasons.

Definitely, we pretty much have the same issue here in Vancouver Canada. I can't even find a house in my area for under $300K. An average house goes for around or over $1M. Condos are going for around $500K+. Which sucks because I want to buy a place and maybe rent out the rooms to make some extra $$$. But with prices like those I'd probably require a lot more for a down payment.

Although from a couple sources I've looked at, they mention that the next recession might not be like 2008. So we might not even see a HUGE crash in the housing market but I'm not sure if that's true, maybe a bit of a decline, but I guess we'll have to wait and see.

On 1/16/2019 at 6:17 AM, GeoLura said:

Depends on who you ask. I don't think this qualifies as a recession yet, correction for sure, bear market if we fall back down from here. Then if the dominoes start falling we might enter a recession. S&P does look similiar to 2008, maybe we should start buying some gold and stacking it in our matresses?

Lol I'm definitely more of a TA person as well, and gold and silver doesn't look too bad at the moment. Although I'm not too sure how well precious metals perform during a recession. Looking at the Gold/USD chart right now, in 2008 gold had a 33% drop so I'm not too sure about that. I've got a bit of silver and gold by my bed at the moment but probably not going to add onto that collection any time soon. Personally I'm just saving up my cash and holding off on any investments until after the possible bear market or recession. 2019 or 2020, who knows, but I'm not going to make a stupid decision again and lose my money like what happened with BTC lol. But it is a good idea to grow your money elsewhere like in an online business, and flipping various items like what I'm starting to do

[7thLetter]

On 1/12/2019 at 9:59 PM, kieranperez said:

Rule #1: you’re never going to time the market nor is anyone. 

Rule #2: you’re playing a rigged game. You’re not going to outsmart it.

No one said they're going to to time the market, but being a good trader is about understanding crowd psychology and your own psychology. You can develop your skills to win at best 70-80% of trades.

Something I truly believe in is that no one has a valid opinion about something or someone unless they experience it or that person for themselves. Unless you are someone who has studied the markets and traded for years then maybe you have a valid opinion, if not then we got no business here. That is the same opinion Leo has, maybe you got that idea from him, but he mentioned he hasn't traded the markets so that opinion is invalid. He said he just watched his Dad day trade and probably formed an opinion about it that way.

I don't know you, I haven't experienced who you are, so any opinions I have about you are invalid.

[CreamCat]

Although Leo said investment doesn't create value, investment creates value. Finance is how we organize and direct resources.

In the past, people pooled resources through church and by talking about god.

Finance is a better way to pool and redirect resources than doing it through church.

Companies get funded, thanks to investors.

Currency trading also has value because people want to exchange currencies for various reasons. There have to be some people who dedicate their lives to currency trading and various investment vehicles so that others can convert assets when they need to.

Day trading can also help with fluidity of the markets. Without day traders, you are less able to convert your assets to cash when you need to. Why would fund managers make a lot of money? Because they somehow create a lot of value for a lot of people.

Edited January 19, 2019 by CreamCat