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Facebook is no less tangible than the Google search engine or a Microsoft Windows O.S. ...

 

Google produces a little more than a little search engine.

 

Microsoft also creat things like xbox's and they are using these tangible peripherals for many different applications as well.

Chris Miller

True...Facebook has nothing tangible and the founder just got married....I wonder what it said in that prenuptial agreement :Thinking:

 

The future may be Facebook becomes junk stock and the divorce is the most expensive in the history of the USA.....

Matthew Kane

I'm Dyslexic, what's an error to you is not to me 

  • Moderator

 

 

I got long at around $38.50, then dumped it at $41.25. Frankly I would feel more comfortable being short than being long this stock, but its hard to short since the shares are hard to borrow to short. Once options start trading for FB I will probably either sell naked calls or sell puts way below the strike and collect the premuim. Personally, I dont feel comfortable being long FB or many other stocks at this point unless I owned some protection, but would prefer to either be flat or short stocks or indexes via calls or ETF's.

 

Just my .02 cents though. If you decide to buy it just make sure to set a stop since you cant buy options yet for protection or keep a real close eye on it so you can get out.

 

I bet you wish you could have gotten short the way its performed since Friday? I wonder how many retail investors bought it at around $38 and are starting to get really nervous? Like you, I think the only way I would buy in is if options were trading and I could sell some calls to finance the purchase of puts. Even though my upside would be limited, I would be able to sleep a lot better knowing I had some protection on the downside.

Avsim Board of Directors | Avsim Forums Moderator

  • Moderator

I bet you wish you could have gotten short the way its performed since Friday?

 

Yeah really (-: If I could have started a short position of only 1000 shares at $42 I would already be up around $12,000 after only a few days with probably more downside to come. What a fiasco that IPO turned out to be. I feel bad for the retail folks that jumped in at $38 and are now holding the bag. Funny how I had a bad feeling that this would happen but have been unable to act on my gut feeling that it would take a dive. Oh well, that's the way it goes...

Avsim Board of Directors | Avsim Forums Moderator

Now the Shareholders are launching lawsuits against Facebook for it's poor IPO performance:

http://www.google.co...96cc5e5fcd59dac

 

That's kind of like suing a lottery because you didn't win in my POV.....Call it buyer beware

Matthew Kane

I'm Dyslexic, what's an error to you is not to me 

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