trading

Citi Stock or McDonalds Double Cheeseburger

People keep asking are stocks cheap. Should I buy these “USED TO BE” great companies at these historical low levels! NO! Citigroup (Public, NYSE:C) closed at $1 dollar today. Many uneducated investors are licking their chops like “man, I get that now and it goes back up to $50 dollars, I’m rich! Even if it just goes back to $10 dollars I’ve made a lot.” If these past few months have been your first time looking at stocks, don’t make any company whose stock is less than $10 your first purchase. If you are a trader, then trade the pops and short squeezes but don’t invest in these companies. It is not time to invest in the stock market; only trade it. We need to see at least General Motors, Citigroup, AIG, and Bank of America fail first. Then we can start looking through the rubbish. Until then take your dollars and go to McDonalds, exotic dance bar, homeless person, or donate it to charity. Just don’t give it to Citigroup!

Side note for traders: There will be a massive short squeeze triggered rally within the next 7 days. Citi will probably quadruple in value. Buy it on the rise and sell on the rise. For others who haven’t set up any brokerage account, you probably just going to miss out.


Discussion

5 comments for “Citi Stock or McDonalds Double Cheeseburger”

  1. You make some great points here.

    I feel like too often people (young people) try to trade penny stocks only to find out that they can’t find out about the company and the stock price will not necessarily reflect news or the market.

    I’ll watch C, but I don’t know about quadrupling in value.

    Posted by Stephen | March 5, 2009, 5:30 pm
  2. “Until then take your dollars and go to McDonalds, exotic dance bar, homeless person, or donate it to charity. Just don’t give it to Citigroup!”

    When you purchase stock in a company you are in no way giving that company your money unless it is an IPO. The money only goes to another investor who is selling the stock.

    Posted by Shaun | March 5, 2009, 10:11 pm
  3. I wouldn’t suggest getting McDonalds… go with an apple and a PB&J… A lot cheaper and healtheri.

    Posted by Phillip | March 7, 2009, 11:52 pm
  4. Stephen, you still don’t think it will quadruple? I have this rally that started last week as I stated in the post going until at least mid-May. We will see some pullbacks though.

    Posted by TheMoneyMaven | March 16, 2009, 12:45 pm
  5. We are seeing a nice rally in the Markets. Citi hit it’s intraday high at 4.11 before going back down. I guess that is quadrupling 🙂

    Posted by TheMoneyMaven | April 20, 2009, 11:40 am

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