Get Rich Quick With Stocks

Get Rich Quick: Holy CRAP!  You clicked on this title.  First, let me give you some advice:

If ANYONE promises you can get rich quick in ANYTHING, especially stocks, run screaming.

Now I’ll admit, I’ve done well investing and trading in stocks.  In 2013, I inherited $35K (K=thousands) when my mother passed away.  From 2014 until 2021 (eight scrabbling, sweat-soaked years), I managed to turn that into $229K trading stocks in my spare time.  That success led a lot of people to ask me how I did it.

When I tried to teach them how to be successful in the stock market, their eyes would glaze over.

I eventually realized that what they really wanted me to tell them was:

“What stock do I buy to get rich quick?

Heck, if I knew that, it wouldn’t have taken me eight years to reach $229K and I certainly wouldn’t be working my butt off writing this blog.

I’d be sipping cocktails at a casino in Monaco!

A Dose Of Reality:

There is no shortcut to get rich quick in stocks or anything else.  Unless you create the next Facebook 0r PayPal.  And what are the odds of that? One in five billion?

If you are willing to be patient, I have a post on:

or if you already have a good retirement account, check out:

Then came 2022.

I was completely wrapped up working in a startup, completely ignoring my IRAs, which were all in tech stocks like Nvidia (NVDA) and Amazon (AMZN).  By the time I came up for air and realized just how bad the crash was, I was back down to $90K.  (You may not be able to get rich quick but you can sure as heck get poor quick!!!)

Talk about an OMG moment.  I’d forgotten to follow one of my own sacred rules:

Use protection!

I always set an 8% trailing stop immediately after I buy a stock.  (Only this time I got distracted and forgot.  Hoo Boy!!!)

A trailing stop is a type of sell order you place with your broker.  It tells them that the sell order is to follow the stock up, staying 8% (or whatever percent or dollar amount you set) below the highest price the stock reaches.  And if at any time, the stock drops 8% below the highest price achieved, sell the stock.

Why 8%?  Why not 2% or even 1%?  I don’t want to lose 8% of my profits!

I asked the same question.  I thought the person who suggested 8% to me was an idiot.

Here’s why you should always use 8% trailing stops:

Because any stock worth trading is going to be volatile.  Stocks never go straight up or straight down.  It’s always a sawtooth pattern and a 3% to 6% move in a day or over a couple of days is very common.

I tried a 2% trailing stop and never made any money because the stocks always sold before they could make any real moves up.

GorillaTrades will tell you when to sell 75% of your stock to guarantee profits, and when to sell the other 25% of your stock if the stock price keeps going up.  And they will tell you where to set the sell price if the trade goes against you.

However, I prefer the trailing stop as insurance.  But I see no problem following GorillaTrades’ advice until you gain some confidence.

And under normal trading situations, my trailing stop protects you from losing more than 8% of your profits (if there are any).

Caveat on the Trailing Sell…

However, just because you have a trailing stop, doesn’t mean the stock will sell at 8% below the highest price when it goes down.  If your stock goes into a free-fall because the CFO just got arrested on embezzlement charges, the stock may drop past your trailing stop price before your broker can execute your trade.

Or the SEC may stop trading in the stock before it can sell if the rapid drop trips a breaker.

But let’s face it.  Stocks don’t often blow up in your face like that.

The point I’m trying to make is if you’re going to be successful in trading stocks, you must have a system based on rules and you must follow them to the letter.

When you stray from your system, you lose (see idiot move: Then came 2022 – above).

I’m not going to tell you my system is any better than anyone else’s.  But it works for me and knowing a successful system is the first step to creating your own.

Or for that matter, there’s nothing wrong with copying someone else’s system.  That’s what I did.  And it works.

My stock trading system is actually pretty simple:

1) I subscribe to two online trading information services:

a) Investor’s Business Daily (IBD) – $$420/year (however, they always have introductory deals like five weeks for twenty bucks).

b) GorillaTrades – $500/year

2) GorillaTrades texts me when a stock meets its buy parameters; its trigger price.

GorillaTrades texts 26Aug22

GorillaTrades texts you when to buy or sell.

a) I go online to IBD and check to see if the stock is in IBDs top 50 stocks (I highly suggest you read all about IBD’s very exacting CANSLIM stock picking system for their IBD 50 stock ranking on IBD’s website).

IBD 50 Partial Stock List - IBD isn't get rich quck material.

IBD 50 Partial Stock List

b) Any GorillaTrades stock pick that is also in the IBD 50, goes on my waitlist.

c) As soon as GorillaTrades sends me a confirmation (trade volume reaches a certain level) on any of those stocks, I go to my broker Charles Schwab and buy them.

3) Forget the whole ‘get rich quick’ thing and stick to your program!

If you already have IRAs…

By the way, if you have IRAs already, and they are in a stock brokerage, don’t bother switching to Schwab.  Just use your own.  However, if you don’t have an IRA or it is not in a stock brokerage, either switch your IRA to Schwab or move it to some other stock broker so you can buy and sell stocks within your IRA.  There is no fee to keep your IRA at Schwab.  And probably not at any other online broker.

d) Then I set my 75% sell order according to Gorilla Trades T1 sell price and my 8% trailing sell order.

e) As far as the T2 sell price, sometimes Gorilla Trades will tell you to just ride the stock up if it’s really on a tear.  They recently sold the final 25% of a stock for an 80% profit by letting it run past the T2 sell price. (But that is super-rare.)

f) Usually the profit on the first 75% of your stock order is around 8-9%.  That may not sound like much but if you make that profit in a few weeks, and keep making those 8-9% profits a couple of times a month, that can add up to a lot of moola in 52 weeks.)

This system isn’t always right (about 60%) but it’s right enough to make me very good money in the stock market.  The few losers get cut off by my 8% trailing sell rule (review Trailing Sell rule above…please).

Best online stockbroker

As far as stockbrokers go, I’ve tried Scottrade (which was bought out by TD Ameritrade). And then TD Ameritrade (which is very good but their website is a bit clunky), and then Charles Schwab (when they bought out TD Ameritrade).

I know, it’s like watching falling dominoes.  But that’s the stock market.

I really like Schwab.  I don’t care if you’re a beginner or an expert, they have real people you can talk to by email, text, chat or phone for trading or investment advice or you can take their excellent online courses.  Or both.  Y0u can set up IRAs for free.  No membership or service fees.  And normal stock trades cost $0.00 dollars.  Gotta love that.

From here, it’s all up to you.

And just like any get ‘rich quick’ schemes you read about, if someone gives you a hot stock tip, whether it’s your cousin or your boss:


Bob recommends:  IBD      Gorilla Trades     Charles Schwab

PS Just remember, with the guys that say they are going to teach you how to get rich by using their formula, ask yourself why they are making a living off of your membership fee rather than just doing it themselves?

If you feel the need to raise some quick cash to invest in IBD, Gorilla Trades or Schwab (well, Schwab costs you nothing but you still need seed cash for your IRAs or investing account), check out this list of quick ways to make cash. 80+ Best Side Job Ideas To Make Extra Money in 2022

0 0 votes
Article Rating
Notify of
Inline Feedbacks
View all comments
Would love your thoughts, please comment.x
Skip to content