Originally Posted by Klipper22

Not at all overlycautious, Orange. Relax and be confident in yourself. I had to work most of the day today and was pleasantly surprised as to how well my watchlist for this experiment did. I'm in and out of my first trade in this with a profit and already went after my second with loss limits set if they happen (right now I'm up 5%). I set aside enough from my gains on the first to cover any loss and still maintain my goal for gains on the second. So my second trade is automatically a success. This is how I look at it. I don't think that most people enter into a stock trying to get 10%. Everyone wants more. The whole idea of this is to discipline yourself to take what the market gives you and as you well know, getting 10% is possibe. If it's a loser, everyone needs to have limits that are tolerable and get out. Pennies are not investments for the most part. I don't expect to become a millionaire off this. I expect myself to get even better at being disciplined and picking stocks that are ready to move and taking profits when they are there. This experiment is about following entry and exit points without emotion in my opinion. It is a very valuable lesson that whether I make $20,000 or lose $1,000 I will learn from. You know me well enough to know that I don't do this primarily for the 10 bagger. Small gains will reap everyone big rewards. You're all about this. Give yourself the credit that you deserve and enjoy the green.

Originally Posted by orange

my plan is to compound this $500 at minimum 10% per week. so you can see that at that rate my max is just $71,021 . so obviously we need someone to roll for 20% per week with $1000 and they'd crack $1mil in wk #38, etc... the thing is, i don't have a daytrading acct, which would make it a lot easier to do- instead of compounding by weeks, i'd compound per play... you can see how that would work... note that it takes 81 weeks (not shown) with $500 @ 10% compounded per week to hit $1,024,200.11 , so with a daytrading acct and 8 10% trades per week i'd hit the mark in week 11...

Originally Posted by nana

From my calculation, if you can make 10% per month, you are going to have 4 trillion after 20 years, that's a big number.

Think about that. My suggestion is a smaller number is more lealistic and reachable.

Originally Posted by Black Monday

I'm a lurker on this board. I saw this plan and it's similar to a plan I was constructing. I understand where NaNa is coming from about the calculations over time. I see Orange plan sort of realistic to some degree. I think 10% is a high number but doable because with penny stocks you can get those types of returns but his problem come when he hits the 1 million mark. Like Nana said he would be on track to make 4 trillion dollars which is unrealistic.

Here is what I’m going to suggest. I think you should scale back your expected returns after you reach the 1 million mark. Instead of expecting a 10% return on a weekly basis, you should expect a less return over a monthly basis. Making 10% on a weekly basis after the 1 million mark puts too much pressure on you.

Here is my sample plan. I made $500 my starting point. I want to achieve 1 million in a 104 week period (2 years) at 7.59%. This strategy gives me less pressure and I can afford to lose some weeks.

I'm glad to see you start your plan though. I thought it was funny to see someone else doing what I'm trying to do.

Good luck

Originally Posted by scmfinance

I don't think this is a long-term experiment (more like 52 weeks), so I think a separate plan will be developed once more funds are acquired -- this is just sort of a strategy for people who know a little something about the markets but don't have a lot of funds. Your plan sounds good and good luck with it!

As an aside, here's a quote I just heard and I thought it was pretty funny (it kind of relates to stocks):

"A study done by a pair of Canadian psychologists (Knox & Inkster, 1968) uncovered something fascinating about people at the racetrack: just after placing bets they are much more confident of their horses' chances of winning than they are immediately before laying down the bets."

- Robert B. Cialdini, Influence: Science and Practice

Originally Posted by BruceCampbell

BruceMM500Play#1: 1/4/2007 SOLD TO CLOSE 3 CONTRACTS OF JAN PUT OPTION AT 1.95 PER CONTRACT (10.75 COMMISSION) (574.25 Total sale)

BruceMM500Play bank of $500 now $658.5.

Got lucky with a sector downgrade, real lucky.

Originally Posted by orange

LOL, scm!
glad to see this thing encouraging everybody. um, at $1mil could always hire a couple reliable people to screen and manage, pay them well, of course.

okay, i just got off the energizer bunny.... it's still rockin and may have miles to go yet if you're just getting in (check the thread) but i got off 'way early, in keeping with 10-20% gain horizon. (and great call again greencat! you da man!)
__________________________________________________ ____________
2007-01-04 10:47:55 xxxxxxxx Sell SCRA (Stk) 550 1.03 2.50 0.00 564.00
2007-01-04 10:05:04 xxxxxxxx Buy SCRA (Stk) 550 0.90 2.50 497.50 0.00

orange opening balance: $500.00
orange new balance: $566.50
gain: 13.3%

you'll notice my trades are at $2.50 not $5.00. as i said before mine are less because of my acct setup.

Originally Posted by scmfinance

WHAT?!?! Orange makes his first trade?!?! I'm falling behind here...

Good job

Originally Posted by orange

thanks, scm -- but this was defintely a play i should've trusted more, the kind to offset future losses. 3-min chart was beautiful when i left and still is. printing 1.30 as we speak LOL