Stock Market Strategy
The Stock Market is probably the 2nd best way to make money besides having selling items at your shop. However, it�s so easy to lose money as well! And now as of February 5th, 2002 They've changed the system again!!!
ARGGH! Just when I decided to post this up! Oh well.. A lot of the times here though are guesswork now. (eg it might take 4 days instead of 2 for a stock to get to 20 np) Here a couple strategies to help you make money!
Terms:
Risk: The chance you will lose neopoints with this strategy. Ranges from None, to Practical Certainty.
Activity: How active or when you have to be active for this strategy to work. Ranges from very low to extremely active.
Overall Tips:
I. When you buy/sell, it�s best to buy in large quantites. Say you had some stock at 10np a share. Check this table out:
| Shares Sold | Neopoints | Nigel�s Fee | Net Neopoints | % lost |
| 1 | 10 | -20 | -10 | -200 % |
| 10 | 100 | -20 | 80 | -20 % |
| 25 | 250 | -20 | 230 | -8 % |
| 100 | 1000 | -20 | 980 | -2 % |
| 250 | 2500 | -20 | 2480 | -.8 % |
| 1000 | 10000 | -20 | 9980 | -.2 % |
| 2500 | 25000 | -20 | 24980 | -.08 % |
| 10000 | 100000 | -20 | 99980 | -.02 % |
Look how much more you save when you sell in big quantities! Also, for those who don�t know, you don�t have to sell only one type of stock at a time. You could sell 1000 shares of BB, another 1000 shares of BB, 500 of EEEEE, altogether if you had it.
II. Don�t invest a lot of money if you can�t afford to lose it, especially with the more risky strategies.
III. Don�t buy stocks which are currently going down, especially by more than 4 np/share.
Major Strategies
1. Buy at 15, sell at anything else!
The lowest price any stock on the Neopian market goes right now is 6 np/share. So, if you buy at 15 np, you reduce the maximum % of money you can lose. Also most people are used to buying at the lowest price possible, so many people are buying anything they can at 15 np (which makes them go up!)
There are several variations on this on when to sell.
a. sell when there is any profit at all. Profit usually comes faster this way, but is generally less. Activity: very low
b. sell whenever the stock reaches a set number from 15-20. The average time may range from 2 1/2 days (guess) to 2 weeks(12 np), especially the higher your set number is. This is the method I generally go with, at either 10, 15, or 20 np, depending on how conservative I�m feeling. Activity: low (lower for lower price)
c. sell at a set higher number eg. 20, 30, 40, 50. (This can take forever, like months, but pays off well!) Activity:(low � medium low)
d. sell as soon as it starts to go down! Profits vary on this. (medium)
e. sell as soon as it has passed a set mark and then just started to go down. eg. say your set mark is 24, but the stock keeps going to 28, then drops to 27. you sell then. (medium-medium high)
Rarely sell at less than 15 again, unless you need the neopoints. Also for rare cases, never sell at 0 np a share, there's no further loss and better chance for return if you just keep the shares. Risk for all: Low-Moderate
2. Buy when it�s going up fast!
Buy a stock in the 25+ np/share range that has gone up, (at least 2 if the stock is in the (17-20 np/share range). This is generally done in the middle of a day when stock is going up. You then sell the stock at the end of the day, or the next day after it has continued going up.
Risk: Medium Activity: Medium (higher activity reduces risk)
3. Buy and make it go up!
Buy a large quantity, (generally 1000, at least 800) share of an expensive stock (20+ np) which has not gone down during the day to make it go up. People generally like buying stocks that go up, which make them go up even more. This strategy could also be used with the last strategy: eg. use the last strategy, then at the very beginning of the next day buy 1000 shares so it continues to go up! This also works good if you have friends who will help you!
Risk: Medium Activity: Best right after Midnight!
My results in the market have varied (almost always gains), but quite recently (at the time I�m writing this,) I made about 300000np when I sold 6000 shares of TPP which I bought at 6 (a long time ago!!)and sold at 59. Not too shabby eh? It ended up going to about 73, but is down at
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