Can?t buy in Irvine? Take Advantage of the Pain !

NEW -> Contingent Buyer Assistance Program
S

Savinglots$$$Renting_IHB

New member
As we are in the very beginning ( my view) of the greatest depression since the Great Depression over 75 years ago. The Big questions should be ? How do I TAKE ADVANTAGE OF THE SITUATION !! If you go back in history?great fortunes ( and smaller ones) were made of the dire financial situation of the great depression. Yes I know I can?t buy a property in Irvine or anywhere else for that matter as the market will keep going lower and lower. But where Can I MAKE More then 3% a year on my Money? I know there is GREAT RISK in doing this? but Great Risk can equal even Greater profit opportunity!!



I am NO expert, but every day I read 4 newspapers (WSJ,USA Today,LA Times+OC Register) and all I read about is BAD ECONOMIC NEWS!! Unemployment is going up, Banks are going out of business, Housing is going down, Retail stores are going bust,etc etc. Just about everything I read about the economy is BAD NEWS ! Except while everything is going down.. one economic bellwether KEEPS GOING HIGHER !! Friday 2/19 the Dow Jones industrial Average gained 228.87 points to close at 12,849.36 which was the FOURTH STRAIGHT Winning day and has brought the dow to a 3 Month High !!! The Dow has risen 9% since March 10, although its still 9% from its high of Oct 9,2007.



Citibank reported only a 5.1 BILLION Dollar Loss and said they have written down 12 BILLION in Bad investments- Because of this WONDERFUL news the Dow was lifted up again- there was a growing optimism that the worst of the Credit crisis is the past !!



I believe ( and I could be wrong)?that we are just in the VERY TIP of all these credit problems, unemployment problems, State and National Budget problems,housing problems, companies going under problems ETC ETC? The ? EXPERTS? in the Stock Market I guess Disagree with me and all those former Bear Stearns Employees !!



THE QUESTION IS? How can I MAKE MONEY from this situation while I am drinking Diet Coke and I feel many others are drinking the KOOL-AID??? My Guess is that in a year the Stock Market will be closer to 11,000 then it is to 13,000. I would SHORT IRVINE Housing if I could EASILY do that too? but Its not that easy ? Isn?t there housing exchange in Chicago ? but it?s based on OC area and its already way down???



I don?t trade stocks for a living and I not to familiar on how this works so I am asking for Help for anyone out there who is an expert. I may not be one, but I am willing to bet my HARD EARNED $$$ that the DOW will go down? so what is the Best way to MAKE MONEY of this ?gut view?? What is the greatest reward option in this play?? Can I buy Options for the DOW to go down and if I am wrong I would lose every penny. But if I am Right I would make a Big Multiple of what I risked?



Example if I bet $10,000 for the Dow to go down to at least 12,000 in the next 6 months and it did would I may make Three Times,Five Times,Eight Times my money?? But of course if it doesn?t I may lose everything. I am not exactly sure how these odds work? but I think they are better then betting black on the Bellagio roulette table.



But this is just one simple idea on how to take ADVANTAGE OF THE PAIN?.I am sure there are many others, hopefully better ones. Please SHARE YOUR Ideas of how Smart IHB Can TAKE advantage of the current economic market. As many of us out there are VERY FRUSTRATED and can not buy real estate in Irvine or anywhere else and are looking for Better growth then 3%



***PLEASE NOTE- my idea mentioned above and I am sure many others that may be mentioned on this post are 100 % RISKY and many of them I am sure you can LOSE EVERY PENNY !!!!!!!!! Do not invest any money that you can not afford to lose. Also get help with a Financial EXPERT on any investment (Definitely DON NOT listen to me-)



Now let the Blasting Begin (and hopefully some good opinions too)
 
Your writing style DRIVES ME NUTS! I beg you to please TURN OFF THE CAPS lock and quit using SO MANY EXCLAMATION POINTS!!!! It's like reading an ad FOR REAL ESTATE INVESTMENTS where you are promised THE OPPORTUNITY OF A LIFETIME!!!!!!!111one!



Really, I can't take you seriously when you write that way.
 
[quote author="Nude" date=1208656579]Your writing style DRIVES ME NUTS! I beg you to please TURN OFF THE CAPS lock and quit using SO MANY EXCLAMATION POINTS!!!! It's like reading an ad FOR REAL ESTATE INVESTMENTS where you are promised THE OPPORTUNITY OF A LIFETIME!!!!!!!111one!



Really, I can't take you seriously when you write that way.</blockquote>


I can't take you seriously either when your name and your avitar are little offended so stop whining about "can't take people seriously".
 
To the newbies.



Nude is correct in mentioning proper posting "Etiquette".



Cap locks are taken as SCREAMING vocally.



The OP`s post is well written.

But shows his lack of experience.
 
Concur with Nude, but I will give props to Saving for breaking his message into paragraphs this time. Delivery is as important as content. For emphasis, I would suggest using the italics or underline coding, which is found above the box in which one types his or her message.



<blockquote>I don?t trade stocks for a living and I not to familiar on how this works so I am asking for Help for anyone out there who is an expert. </blockquote>


Have you tried the public library? This isn't the first downturn, and I'm sure there are many books available with advice. You may also find the search function (see upper right-hand corner) helpful to find other posters' thoughts on shorting, etc.



On another note, I learned today that it is possible for a nonsentient item to be offended. I did not know that before.
 
[quote author="EvaLSeraphim" date=1208669939]Concur with Nude, but I will give props to Saving for breaking his message into paragraphs this time. Delivery is as important as content. For emphasis, I would suggest using the italics or underline coding, which is found above the box in which one types his or her message.



<blockquote>I don?t trade stocks for a living and I not to familiar on how this works so I am asking for Help for anyone out there who is an expert. </blockquote>


Have you tried the public library? This isn't the first downturn, and I'm sure there are many books available with advice. You may also find the search function (see upper right-hand corner) helpful to find other posters' thoughts on shorting, etc.



On another note, I learned today that it is possible for a nonsentient item to be offended. I did not know that before.</blockquote>


people forget this is just a freaken internet forum. Not a PHD thesis.

When you are cool with "live nude", you should be ok with OP's paragraphs.
 
For those concerned with my screen name: I chose the word because it provides me anonymity on the internet; searching for "nude" on the internet in an attempt to discover my identity will prove a frustrating exercise at best. It leaves me free to post without worry of anyone trying to stalk me, out me, or quiet me. I could have chosen any number of words to accomplish the same end, but I have a history in California that I would prefer not be made public so I intentionally chose one of the most common, yet not lewd, words found in the metatags on the internet. My experience on the internet tells me this is the best course of action, and the fact that TIC is actively trying to establish the identity of IrvineRenter confirms my own strategy to conceal myself as wise. Not that TIC would want to find me, but you get the point.



My avatar advertises "Live Nude Socks", a tongue-in-cheek play on an inside joke about my choice of clothes and inspired by one of my many former occupations. If you find that offensive, you have larger problems than any explanation can provide. I won't apologize for protecting myself, nor will I change my avatar to appease someone else's sensitivity. Enjoy your weekend :)
 
I would not short the market, for one reason, inflation. Notice every time the DOW makes an attempt to go under 12,000 the fed steps in to prop it up with inflationary pressure. Sure if you could count on our currency maintaing its value from here on out, the DOW would certainly drop. Probably until the end of the year you'll see the same movements in the DOW, plenty of volitility and oscillation around the mid 12,000's with no long term direction. However, your gut feeling that the DOW wants to drop is certainly correct.



I'm only 24 and I recently had to get a new car cause my old one took a crap. So now I'm low on cash, but if I had some, it would go into PWE, CEF, NEM, GLD, and SLV. PWE is a canadian oil backed trust that will rise with rising oil prices (added bonus, you cringe less when gas costs go up) and it pays great dividends. CEF is another Canadian fund, but its backed by gold and silver (mostly gold), this was my biggest money maker while I was in the market last year. NEM is one of the bigger mining companies and has finally positioned itself to take advantage of how expensive gold is today. GLD and SLV are gold and silver ETFs. Silver gains will likely be two-fold with both inflation and supply becoming scarce.



I beleive the only steady gains made this year will be in commodities and possibly foreign stocks. Sure you could make great money shorting all sorts of different industries, but timing is more critical. And the longer the time frame you short anything the more infaltion eats your gains.



On the other hand, it is a strong possiblilty that our current economic situation will require a Volcker type solution (eventually, won't come this year). I imagine those in charge right now (Heli Ben) will put this off as long as possible and will only raise rates once the writing is on the wall, and in this case rates will raise quickly. If all the factors dragging the economy down today are still alive (good chance) when this rate hike comes, you can imagine the DOW will tank hard. Some might argue that the FED will simply wait it out and not raise rates, but since Japan has already written this page in history I doubt we'll go that route. Not to mention inflation will be screaming so loudly even the FED will have to listen. When you get the feeling like the FED is going to shift its stance from saving the economy to saving the dollar, find an etf shorting the market and dump money in.
 
[quote author="Nude" date=1208681940]For those concerned with my screen name: I chose the word because it provides me anonymity on the internet; searching for "nude" on the internet in an attempt to discover my identity will prove a frustrating exercise at best. It leaves me free to post without worry of anyone trying to stalk me, out me, or quiet me. I could have chosen any number of words to accomplish the same end, but I have a history in California that I would prefer not be made public so I intentionally chose one of the most common, yet not lewd, words found in the metatags on the internet. My experience on the internet tells me this is the best course of action, and the fact that TIC is actively trying to establish the identity of IrvineRenter confirms my own strategy to conceal myself as wise. Not that TIC would want to find me, but you get the point.



My avatar advertises "Live Nude Socks", a tongue-in-cheek play on an inside joke about my choice of clothes and inspired by one of my many former occupations. If you find that offensive, you have larger problems than any explanation can provide. I won't apologize for protecting myself, nor will I change my avatar to appease someone else's sensitivity. Enjoy your weekend :)</blockquote>


Uh huh... I know you are really Donald Bren! You are just trying to protect TIC, and you can't hide behind a sock!
 
[quote author="Nude" date=1208681940]For those concerned with my screen name: I chose the word because it provides me anonymity on the internet; searching for "nude" on the internet in an attempt to discover my identity will prove a frustrating exercise at best. It leaves me free to post without worry of anyone trying to stalk me, out me, or quiet me. </blockquote>


Umm . . . this is still just a housing blog, right? . . . I am thinking this sounds a little paranoid . . . :lol:
 
[quote author="jayne" date=1208734091][quote author="Nude" date=1208681940]For those concerned with my screen name: I chose the word because it provides me anonymity on the internet; searching for "nude" on the internet in an attempt to discover my identity will prove a frustrating exercise at best. It leaves me free to post without worry of anyone trying to stalk me, out me, or quiet me. </blockquote>


Umm . . . this is still just a housing blog, right? . . . I am thinking this sounds a little paranoid . . . :lol:</blockquote>
I never said I wasn't crazy.
 
regardless of the nudes :) and the caps :) I think this is a great question that I always love to hear people's responses to. Based on what I have read I am personally looking at foreign stocks and possibly foreign currencies...I don't know anything at all about shorting but would love to hear other's opinions...
 
[quote author="irvinehomeowner" date=1208657204][quote author="Nude" date=1208656579]Your writing style DRIVES ME NUTS! I beg you to please TURN OFF THE CAPS lock and quit using SO MANY EXCLAMATION POINTS!!!! It's like reading an ad FOR REAL ESTATE INVESTMENTS where you are promised THE OPPORTUNITY OF A LIFETIME!!!!!!!111one!



Really, I can't take you seriously when you write that way.</blockquote>


I can't take you seriously either when your name and your avitar are little offended so stop whining about "can't take people seriously".</blockquote>


I would take him seriously. He is quite knowledgable.
 
But, back to the original question:




We are five years into a twenty year commodities bull market.




Learn about fiat curency and what causes both monetary and price inflation. They are two differnet animals.




Learn about what money is historically.




And after you have learned, buy gold on the dips.
 
concerning the original post, i didn't bother reading through all of it, but is his idea to make money in a down market is to buy a put option?



Sounds like a pretentious college freshman wrote that post instead of going to class.
 
[quote author="SoCalGal" date=1208768302]This is by far the most uptight board I've ever read. People get upset over the slightest thing. Caps indeed.</blockquote>
Is this better?

<img src="http://nastyhobbit.files.wordpress.com/2005/10/grammartime.gif" alt="" />
 
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