As my multitude of regular readers know, (yes, that's both of you) on Sunday's I sometimes like to write about those things that daze and amaze, astound and confound, the games that both amuse and confuse retail players in the equity markets.
On occasion I also write about my Christian faith and my Church. You can relax, I'm not an evangelical, nor am I one who takes every word of the Bible literally. I don't knock on doors and I don't give my testimony on street corners.
My Christian faith is pretty simple, and it centres on the Golden Rule that pretty much all religions proclaim in one form or another: "Do unto others as you would have them do unto you". Its a rule that isn't even exclusive to those of faith, many atheists and agnostics follow this maxim as well.
The market however does not ascribe to this principle. In the capital markets the axiom is more one of: "Do unto others BEFORE they do unto you". The market is a zero sum game. In simple terms that means you have to decide between one of two options, cash or shares. When a trade takes place one party gets shares and the other gets money, you can't have both.
And with so many hyped up plays out there, stocks trading on promise and hot air, there will be a lot of people who end up heavy on shares and light on cash. My goal with this blog is to help retail investors better understand the game and to make better decisions so that they can win more often. But winning in the market game means others are losing.
I wrote recently about a marijuana stock that was being pumped and promoted, one that went from about 2 cents to up around 36 pennies. Its now trading somewhere around 15, and in my, (not always so) humble opinion it will eventually find its way back to 2 cents because it is fundamentally worthless with no financial foundation to support any valuation.
If you manage to make money on a penny stock, (or any stock for that matter) I simply ask you to consider paying some of the money you made forward. My church is pretty awesome, we sponsor refugee families and migrant workers who come to our area. We have a free community dinner once a week, support the local food bank and the Church has its own clothing depot.
This blog earns some money, not a lot but some. The ads on here have generated some cash which finds its way to my Church, as do some of my trading profits. When I am winning with my trades I know that there are others who are buying into the forward looking pumps. And I also know that many will never sell. Overcome with greed many players are too afraid of leaving profits on the table, and then too proud to admit a mistake and take a loss.
Buy yourself some Karma and consider paying some of it forward. And keep an eye here on Monday, I'll be writing about a new Marijuana IPO, Emblem Corp.
Happy Sunday everyone, and Merry Christmas.
great post
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