That Was a Close One !
Yesterday afternoon I sold my Google stock. I was dissappointed that I had lost a little money on it. I had bought the stock after everyone else had bought it and then the earlier buyers of the stock started selling. At 4:15 pm yesterday Google announced its earnings for the second quarter, which were below analysts’ estimates. The stock then went down 40 dollars a share in after hours trading. I said 40 dollars a share ! If I hadn’t sold my stock at 2pm, I would have suffered a devastating financial loss. At 1 pm today the market was down 200 points from yesterday’s close. This kind of volatility could bankrupt someone in just a few minutes. If you go to the Yahoo financial message board for the stock Baidu.com you can read an entry from a man who put a second mortgage on his house without telling his wife about it. He bought a huge amount of Baidu stock which went down about 5 dollars a share today. He is desperately asking for financial advice from any experienced trader out there about what he should do. ” Should I get out now or should I hope for a price increase on Monday ” he asks. His get rich quick scheme is not working out.
With relief,
I.C.