Tuesday, March 8, 2011

8:30 AM to 3 PM

I've begun investing in the stock market. In fact I invested more than half of my first two weeks pay the day I was paid it. The New York Stock Exchange is open from 9:30 AM to 4 PM Eastern time, which is 8:30 AM to 3 PM Central time. In other words, it opens an hour after I get to work and closes an hour before I leave. My iPhone has a stock tracker so when I am waiting for program to open or a simulation to run or a part to mesh I will take a look and see how my stocks are doing.

So far I haven't done awesome. At one point I was up 4% but now I'm down about 5%. That's part of the game though. On the plus side I am gaining experience. The first few days I would be ecstatic when I made $15 in one day doing nothing, then there was the day I lost more than $40 in one day. Experiencing that has helped me to view the hourly and daily ups and downs with a more level attitude. I will lose money on many days. I will also make money on many days. The hope is that when the time comes to sell the stock the value is higher than when I bought it.

What have I learned? If anything I have learned that stocks typically change values by about 1% per day with 3-4% changes in value being fairly common. There also seems to be somewhat little reason why stocks go up for down. A stock can make a huge 3% swing in a few minutes even though, to the best of my knowledge nothing about the company has changed. Only six and a half hours per day, five days a week, yet it is something that businesses in our country thrive on and rich people use to get really rich. 8:30 to 3, five days a week.

2 comments:

  1. Your very conservative Aunt!March 8, 2011 at 5:14 PM

    Talk to your Uncle Brad about investing in the stock market. You are better off paying your school loans (and saving on interest) than investing at this time. Just trying to help ...

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  2. You raise a good point. I am very focused on paying down my student loans, but I have trouble ignoring the low capital gains tax and in all likelihood in a year when I have the opportunity to take advantage of that I will hopefully have far less loan because of the payments that I am making with all of my more recent paychecks.

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