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Old 05-13-2021, 07:24 AM
  #171  
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Originally Posted by notEnuf
ARKK is down to where it was in OCT-NOV. There's a real value argument for it now. Of course it has its place in a portfolio.
We'll revisit in 6 months

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Old 05-13-2021, 07:38 AM
  #172  
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Originally Posted by Trip7
We'll revisit in 6 months

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Gladly. I get that the remote work craze fueled the explosion but that tech has a large place in our future economy. Buy the dip.
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Old 05-13-2021, 01:18 PM
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ARKK is down about 37% since mid February and likely to go lower. It wouldn’t surprise me to see it down more than 50% from those Feb levels.

There is such thing as a “good entry” in investing. Blindly buying because of past performance can be very costly and take years to recover. Dollar cost averaging is a good protection against that risk.

I believe the market hype since March 2020 created a tech bubble. We are now witnessing that bubble pop. Perhaps ARKK will soon be at an attractive entry point.
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Old 05-13-2021, 01:47 PM
  #174  
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Originally Posted by panpanpan

There is such thing as a “good entry” in investing.
.
Perhaps ARKK will soon be at an attractive entry point.
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Old 05-13-2021, 05:34 PM
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Originally Posted by notEnuf
Gladly. I get that the remote work craze fueled the explosion but that tech has a large place in our future economy. Buy the dip.
Absolutely. Buy the dip in attractively valued Tech stocks. Facebook, Google, Amazon, and Alibaba all are strong, money printing businesses with strong growth trading at attractive valuations. ARKK is filled with a bunch of companies(especially tiny Biotechs with ZERO revenue) some pretty illiquid, trading at nosebleed valuations with little to no cashflow. We've seen this story before. It does not end well.

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Old 05-17-2021, 10:32 AM
  #176  
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Tesla, and ARKK along with it, are in for a STEEP descent

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Old 05-17-2021, 01:54 PM
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Originally Posted by Trip7
Tesla, and ARKK along with it, are in for a STEEP descent

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I'm sure he made some good returns. Tesla is trading at about 65% of the Q1 highs. I've sold calls against my position for the last two quarters and still hold it long.
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Old 05-17-2021, 04:43 PM
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Why are they in for a STEEP descent? Do you know how options work? He is long Tesla puts. He paid money for them and they expire at some point in the future. Let’s say he paid $65 per contract for the $565 puts. He makes money if the stock is below $500 ($565-$65) at expiration assuming he plans to take them to expiration. This is more of a hedge or quite possibly a stupid bet. Yes this man made money on the housing bubble, why does this mean Tesla and ARKK are in for a STEEP decline? You know what would be a true bearish move? Shorting the stock outright with no expiration. That’s a bearish move. Buying puts may harness some gains in the short term, or it might not.

Options have a finite expiration date. His are probably some time this year. Let’s again….wait for it….ZOOM OUT and think 5-10 years down the road. How will Tesla be as a company then? His puts will be long expired and as irrelevant as this thread.

I know this is a pointless conversation to get into because you know better since you read a book and are a master at valuation now, but it bothers me that people who are looking for sound advice and investing ideas (not reasons NOT to invest) have to read and hear fear mongering on a daily basis not only in the media but APC too.

Everyone reading this thread that wants to become an investor is better off just ignoring it.

Last edited by mispoken; 05-17-2021 at 05:05 PM.
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Old 05-17-2021, 06:33 PM
  #179  
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Originally Posted by mispoken
Why are they in for a STEEP descent? Do you know how options work? He is long Tesla puts. He paid money for them and they expire at some point in the future. Let’s say he paid $65 per contract for the $565 puts. He makes money if the stock is below $500 ($565-$65) at expiration assuming he plans to take them to expiration. This is more of a hedge or quite possibly a stupid bet. Yes this man made money on the housing bubble, why does this mean Tesla and ARKK are in for a STEEP decline? You know what would be a true bearish move? Shorting the stock outright with no expiration. That’s a bearish move. Buying puts may harness some gains in the short term, or it might not.

Options have a finite expiration date. His are probably some time this year. Let’s again….wait for it….ZOOM OUT and think 5-10 years down the road. How will Tesla be as a company then? His puts will be long expired and as irrelevant as this thread.

I know this is a pointless conversation to get into because you know better since you read a book and are a master at valuation now, but it bothers me that people who are looking for sound advice and investing ideas (not reasons NOT to invest) have to read and hear fear mongering on a daily basis not only in the media but APC too.

Everyone reading this thread that wants to become an investor is better off just ignoring it.

His puts are probably PRINTING right now and he is going to most likely take profits well before the expiration date.
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Old 05-17-2021, 06:52 PM
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Originally Posted by panpanpan
His puts are probably PRINTING right now and he is going to most likely take profits well before the expiration date.
He could be. But maybe he’s not. Maybe he will cash them out on the third Friday of next month. We have zero information other than he has long puts. To draw conclusions that TSLA and ARKK are going down because of this is absurd.
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