That makes me remember hearing that at some brokers you can buy partial shares. How else could a smaller investor buy Amazon at over 3 thousand dollars a share? 
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I feel pretty good about my choices. I am also buying for the long haul. I chose companies that are researching things that I care about.
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Disney stock is up huge today. It hit $171 and has dropped back down to $169 now. Congrats to the longs.
Good for him. My mom always said, when you win you should go buy yourself a sweater. She didnāt mean it literally, just go treat yourself to something right.
I would advise when it doubles to cut your position in half to take the profits, then let the rest ride. Buying all in at one price and selling at one price is not a good strategy. When it goes down, buy a little more. When it goes up, trim your position a little.
Congrats to him though. Good trade.
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$175 and counting!
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He already ducked out a few days ago, but I will make sure when or if we experiment again to use this strategy. It was a fun experiment. I think it would be interesting for each of us to find another stock of interest and utilize your strategy in the new year. It is a far more fun new years resolution than the ones I usually make!
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I forgot to mention that his stock ultimately quadrupled for him.
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Thatās why I think when you have it on the houseās money, just let it ride. Selling out all the way means he would have lost on all of that extra gain.
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So my son learned a very good (and painful) lesson today. The stock that he bought at $4 a share and sold for $16 a share is at $340 a share. He had 10 shares. DH and I sat him down and discussed how he can do it differently in the future. So we are looking into a couple of other stocks now and are going to try it again and implement your momās ābuy a sweaterā strategy 
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Thatās tough to teach. Once youāve quadrupled your money, itās so easy to think it could go back down and you are left with no gain. Seeing what he could have made though has to be heartbreaking for him.
My biggest heartbreak was when I bought Mastercard right after the IPO. It was around 45 when I bought it. It closed today right at $315 a share. That sounds like itās not THAT big of a gain, but when you factor in that it has split 10:1, it could have paid for my house. I wish I had kept half.
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Ouch! That is tough! He is 15, so I hope this is a lesson he takes with him into adulthood. We are not big investors, but now as a family, we have started to explore it together. It is kind of a cool project to do together.
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Be sure to teach him that not every investment will make money and some can lose and in fact lose everything.
Personally, I feel like the market is getting a little bit frothy and have cut some of my positions in case it comes back down.
Was his stock GameStop?
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We selected 3 stocks together and invested a combined total of $250. We are trying to instill a ādonāt invest more than you are willing to loseā approach. Yes it was GameStop.
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That is a good philosophy on not investing more than you can afford to lose. And never ever ever never trade on margin. Thatās a sure fire way to lose. Also, I never short precisely because of what happened with Gamestop. You can theoretically lose an infinite number of dollars going short.
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I was curious and immediately found several articles that said a group on Reddit was responsible for artificially inflating the Gamestop stock price. So, extremely unusual situation. If things were normal, a 4x increase would have been a time that selling Gamestop would have made sense (to me). I understand the lesson though. Most of the financial people Iāve paid attention to have talked about āthe one that got awayā and they encourage keeping investments like that. Back to the original topic, I do wish Iād bought Disney stock when I thought about it, b/c it was about $125.
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I agree. When he came to me to sell, I suggested that he keep some and sell the rest. But ultimately he decided to sell. We are trying to let them make these types of choices for them selves, but man it is hard! Hopefully this was a lesson that he will keep in his back pocket.
I too wish I had purchased Disney stock earlier this past year. Part investment, part owning a piece of āhome.ā
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Youāre son made the wise choice and sold when he was happy with the profit. This short squeeze is unprecedented. I sold my GME for 8k, but could have made 20k. Iām not mad at myself. I made the smart decision to sellā¦ knowing the stock was wayyyy overvalued. And this was stock I purchased last year. People who trade GME right now are gambling, not investing.
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May I suggest you all go to Motleyfool.com It will teach you all what to look for if you plan on playing the stock market. The main thing is plan to hold any stock long term and do your homework before buying.
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Reddit is also loiking at Bed Bath and Beyond, AMC, and even Tootsie Roll. Tootsie roll hasnāt taken off yet, but I am buying some call options today to get in on this price increase. Itās closed at $42.85 yesterday but is up about $8 a share so it is up to around $51 a share in the pre market. The ticker symbol is TR. If you are looking at a stock, you might want to look at that one, but whatever you do, donāt be left holding the bag on any of these. Some of these will become very over priced based on the fundamentals.
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He would hate you if you told him itās up around another $100 in the premarket. Itās going up like crazy.
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