Can investing in stocks be fool proof?

Hi everyone,
So here’s my hypothesis. I set my online stock broker account to automatically buy a stock at a certain price, and then always sell at a certain price and allow it to continuously make money. For instance, I’ll pick US Oil which normally fluctuates between -40. If i set a trigger to always buy at and always sell at , wouldn’t I essentially always be making a constant return?


May 22nd, 2010 at 1:02 pm
Yes if the stock always performed in that manner. I wish it were that easy.
Let us assume you buy at $30 and it goes to $20, what are you going to do then?
No doubt, equities trade in ranges but they are not always predictable.
I don’t think your hypothesis will work 100% of the time as you suggest.
May 22nd, 2010 at 1:02 pm
If only.
Three years of USO … not at 30 many times.
May 22nd, 2010 at 1:02 pm
So you think you’ve outsmarted all the automatic trading programs used by hedge funds, etc?
May 22nd, 2010 at 1:02 pm
NO. There is no way to fool proof any investment. Like all investments, stocks are variable to changes in the economy and analyst opinion. You can make money in the stock market but in order to really make a profit you will need at least $5000 to invest. If you don’t have that much I would highly recommend HYIPs (high yield investment program). These are high rick high yield investment but you only need about $500 to start making really high returns.
Check out: hyipindex.net
May 22nd, 2010 at 1:02 pm
The odd thing with my brokerage is that I can’t set a buy at here order and a sell at here order at the same time. I must own the security before i can place the sell order.
I have been wqatching uso this past week after the huge dump it took. I may be looking to add some long. I would look to average down for sure. i think oil still has a ways to fall, especially with this pr mess on tv everyday.
I highly doubt you will see uso hit a round 30. There would be way too much activity on round numbers with the hedge funds and their huge number buys, sells, or shorts. I say no way you get in at a pure 30, possibly a 30.15 order? But I don’t think uso hits under 32 this yesr. I also doubt we would rise to 40 in these tough economic times. Especially since the dow took that huge plunge from the low 11’s.
There is no constant return in this stock market.