Rule #1 Investing by Phil Town

Rule #1 Investing by Phil Town

I picked this book to write about as the initial reviewed book only due to its title (#1 - get it?). I already regret it. Why? Simple. The book is horrible. I mean the whole damn book is nothing but a big waste of time. I am so glad that I did not buy this book but borrowed it from the library.

O.K. enough ranting and raving. Most of the book tells you how great this guy is and how he was so lucky to obtain "stock market trading guru status" when he helped some rich guy take a raft down a river. Then he proceeds to inform you that the best way to become rich is by trading in and out of a stock using "signals." How do you pick the stock? By looking at the traditional moat idea of Buffet, and only buying stocks with great growth. Here is the rub. He has no proof. Zippo. All simple opinion and no facts. Garbage.

He pretends to know the answer by combining value ideas with trading ideas, such as MACD to time in and out of a great company, ignoring facts of costs due to trading.

But, I will put my money where my mouth is and invest in one of his ideas. Man, I feel like I can already kiss that money goodbye.

His latest advice is on Walgreens (WAG), stating that you should buy it at $38. Ignoring the BS, I will buy 10 shares at the open, and see what happens.

shoot at the stock market

I will now begin to analyze exactly how to make millions and millions of dollars utilizing combinations of neuroeconomics, sound market strategy, and technical analysis bulls**t to pull in dough above and beyond the benchmark of the S&P. Additionally, I will do it using only my brains, current trashy stock market books, and spare free time. To make things even more interesting, I will assume people do not have time or the ability to trade stocks at work, given firewalls etc. Therefore, all trading, investing, and research will be done only in the wee hours when the brain is digesting the news fromthe day.

Let me assure you, I have ABSOLUTELY NO EXPERIENCE, CREDENTIALS, OR KNOWLEDGE of the market, so follow this at you own risk. But, if I can do it, anyone can. Things will be a bit chaotic to begin, but I hope to find a path to riches. Hopefully, anyone who joins me in this quest can do the same (or at least not fall into the "trading trap" as I like to call it).

The first step, start with a few books, analyze them in turn, put in some opionions etc..., and perhaps use their advice.

The second step will be to start with $5,000, and begin to invest. I plan to report on how I am doing, and each step of the way will post the current amount of my holdings. That way, you can see if I make money, or lose it all. :(

The third step is of course, early retirement.

-The Shotgun Investor