the Stock Market
The whole idea with the stock market is to "buy low, and
sell high". You purchase "shares" of a "company" and when those shares have
gone up high enough for you, you sell them for a profit.
Ah, but there is a risk! Companies CAN and DO go bankrupt,
although it is rare. If a company goes bankrupt, you lose all the neopoints
you have invested in that company. That is why the Stock Market is
considered to be a "high stakes" gambling game.
One last reality check before you begin...the Stock Market
is NOT a "get rich quick" type of game. If you don't have the neopoints or
patience to wait for weeks...yes, sometimes even months...before you see a
profit from your stocks, please play Meerca Chase or some other game. If,
however, you want to make really good neopoints with minimal effort and
a slight risk, and you do have the patience necessary, then this just may be
the perfect game for you!
Where is it?!
The first thing you have to know is where to go to play. Go
to the Games Room and scroll all the way to the bottom. See that cellphone
wielding Chia? That's Nigel. Click on him and a new page will open up. At
the top of this page are several links...here's where they go...
Home - This is the first Stock Market page.
Find Stocks - This is where you go to view all the latest stocks
that are currently for sale. You can find these stocks either by typing in
the abbreviation for the company of your choice in the box provided, or do
what everyone else does...just click the
News/Research - You can officially ignore this page unless you're
bored. It takes a random stock and gives you fake business information about
it. It has never made a difference in the rise and fall of any
stock, in fact it is rarely updated, so it's just for atmosphere.
Profile - You can officially ignore this page unless you're bored.
- This goes directly to the Stock Tips Chat Board
My Portfolio - This takes you to your personal portfolio page. This
is where you will be doing your checking for stock movement, and where you
will be selling your stocks.
Buy - Usually you won't need to use this link since you will
normally be choosing your stocks from the Find Stocks page and just clicking on the name of the one
you wish to buy. Here you can type in the ticker symbol of your stock
choice's name, and in the lower box the amount you wish to purchase in that
stock. (From 1 - 1000)
Help - Neopets' official (VERY general) FAQ page.
Page - All stocks below 20 nps a share are listed here in an easy to
read format. No more having to wade through all of them to know what's in
your price range! YAY!
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There are a few terms that you should familiarize yourself
with before you read on. Otherwise you may not have any idea what I am
talking about. These are just general terms used most often on the Chat
Board and in explaining about the market. For further information I would
suggest checking out the Neopian Times articles on the Stock Market I have
provided for you below.
Lot - A Lot is a group of 1000 shares. So if I said I
had "4 Lots of CHIA", that means I have 4,000 shares invested in the CHIA
company. It is the MAXIMUM amount you are allowed to buy a day.
Share - A share is one piece of a company. Neopets rules state that
you may not buy more than 1000 shares (1 Lot) of a company a day. Each share
you buy must cost at least 15 neopoints.
Portfolio - The current list of stocks you already own. So if someone
asks you about your portfolio, they are interested in how many shares you
have already purchased and that are listed on your "My
Ticker/Ticker Tape - The ticker tape is that scrolling list of stock
companies at the top of the stock market page and the Neodaq pages. It lists what stocks are
currently buying/selling for. Black numbers mean "no change", red numbers
mean "have dropped", and green numbers mean "have risen".
The Ticker is the abbreviation used to designate a company. Like ACFI
instead of Achyfi Enterprises.
Sell Point - The amount of neopoints a stock has to reach before you
plan to sell it.
Day Trading - A very expensive and high risk way to play stocks where you buy and sell
the same day (usually for very high priced stocks). Read more about this way to play the game below.
Stock Terms - Articles of Interest
to the Beginner Player
For further reading, and to better understand all those
terms the more advanced players are throwing at you, please see these
helpful Neopian Times articles!
The Guide to Stockmarket Jargon and Terms (PT
- by nyyankeesfan72 - A very simple list of most frequently used terms
and analogies for those who play the market. Includes tips for players.
The Guide to Stockmarket Jargon and Terms (PT
- by nyyankeesfan72 - A more in depth article of more advanced terms
and analogies for those who play the market. Includes tips and info for
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What You Need to
One of the most frequent and difficult questions to
answer is, "How many neopoints do I need to play the game?" In all honesty,
the answer to this varies from player to player. I will try to answer it as
best I can, but there will be those who disagree.
If you continue to read this page, you will see lots of
"0's" behind lots of numbers. This means that there is often a substantial
investment that you have to make to play the Market.
* If you were to buy the
MAXIMUM amount of shares a day, that would be 1000 shares.
* If you were to pay the
MINIMUM for those shares, that would cost you 15 neopoints a share.
That would mean
that you would be paying 15,000 neopoints just to buy your maximum shares
for the day. After 7 days, you will have invested 105,000 nps! As the
purchase price for each share goes up, so does the amount you have to pay.
There are several ways you can prepare:
1 - Have a nice nest egg already sitting in your bank
account. - If you take this route, you will usually have some neopoints
still available for buying those little things, or keeping your shop
stocked, or whatever you do with your neopoints. Although, if you are not
adding to that account on a regular basis you will find yourself quickly
depleting it, and eventually running out of ready neopoints to continue
buying. Many smart beginners to the Market keep their shops running just to
ensure a ready amount of nps available to buy their stocks...at least at
How much should you have in the bank then? To start a
portfolio I usually recommend at least 250,000 nps. Why so much? Because it
can take days, months, even years (depending on how many stocks you buy a
day) to make a really good profit on stocks. You might have to wait weeks
just to sell one stock, let alone the rest of your portfolio. This game IS a
waiting game, and you don't want to be broke while you're waiting. If the nps are in your account,
you're covered! If they aren't, you are going to have a hard time making the
original buys so that you can make a profit later. Is it worth the wait?
Yes. That's why so many people play this game!
2 - Play games daily for your "buy" money. - I know
many players who play a few games every day to earn themselves the 15,000
nps to buy their shares. It doesn't deplete your bank account, you don't
need any neopoints in the bank to start playing (you can begin today if you
want), and you could
even try for those trophies and avatars while you're at it. The downside is that if you
aren't good at games, or really don't care to play any, you may fall far
short of your 15k goal.
My only advice, should you choose this way, is to try not to
use anything but "game-made" neopoints for your buys. This will ensure that
your bank account fills up in a fairly consistent manner both through games
and sales. It won't take long to see how much you have made just by visiting
the bank! Since you aren't withdrawing nps, all you are doing is making
3 - Combine the two above. - This is the best way to
start out. Having some neopoints in the bank AND playing a few games
shouldn't be hard for anyone no matter what their level of gaming skill.
Then, on the days you don't feel like playing you won't have to because you
can use your saved neopoints. If your bank account gets depleted...you
can use your game nps to buy. It is a nice balance that won't completely deplete your account,
can add to your gaming skills, and keep you from spending too much when you
don't have to.
Keep this in mind - The above ways are just to get
After a while the stock sales you make will allow you to buy your stocks
solely on the sales alone. Then you won't
have to worry about where the cash is going to come from unless there is a
BIG lull in the market. You have been warned. ;)
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Buyers Information Page
Let's take a look at the FIND STOCKS page...
As you can see, there looks like there is a lot going on!
Fortunately, there really isn't. All you have to worry about when looking at
this page is the two yellow areas above.
TICKER - The first is the company name abbreviation.
This is used almost exclusively when talking about a company. It is used on
the Stock Tips Chat, on the tickers, and is even what you are supposed to
type in when you decide to buy. You'll become very familiar with these
abbreviations before you're done.
CURR - The second yellowed area lists how much it
costs to buy from that particular company right now. When you are looking to
buy your shares for the day, this is the number you really need to
concentrate on. Keep in mind that...
1) You cannot purchase a stock for LESS
than 15 nps a share. This means that the two stocks in the above sample
CANNOT be purchased at this time. All stock purchases must be at least 15
nps a share, but are sometimes more.
2) You can only buy up to 1000 shares (1 Lot) a
day. You may mix them up anyway you like, (250 shares each of 4 companies, 500 shares
per 2 companies, etc.) as long as it doesn't go over a Lot. What you want to
watch for in this area is for shares that cost between 15 nps each and 17
nps each. (This is for maximum profit...you don't have to buy in that range,
it is just highly recommended for the best return.)
So what about the rest of the stuff on this page?
Honestly...there is nothing of any great value anywhere else
on the page. If you're curious though, feel free to read on.
LOGO - Well, the logo just has pictures that help you
keep track of what companies are competing with who. So all the companies
with a Nerkmid logo are in the same business. What does this mean to you?
Nothing...that's why it isn't in yellow. :)
COMPANY NAME - Just what it says. These are rarely
VOLUME - In the "ancient days" of the stock market,
volume was used to increase profits. The more shares that were bought of a
certain company, the better the company did. This is no longer a fact.
People abused this by grouping together and buying in huge quantities, which
caused serious trouble on the market. Now, it is just a fun fact and means
nothing in the game. If anyone tells you to "buy this" or "buy that" so that
the company will go up, they're wrong. Buying shares no longer causes them
to do anything but be added to your portfolio. Also, when a share dips below
15, the volume will show the number "0". That doesn't mean that no one owns
that stock, it just won't show a number here until it is buyable because it
shows how much of that stock was purchased that day. If no one can buy it,
it can't list how many bought it, can it?
OPEN - At 12 am (Midnight) Neopian Time, when a new Neopian day
starts, the market "re-opens". (It never really closes, but this is how
things are tracked.) When it re-opens, whatever the current price listed for
each company is becomes its "open price". So looking at our example, ACFI
"opened" at 10...which means at 12 am NST it was selling for 10 nps a share.
It is now at 11, so it has gone up 1 np since then.
CHANGE - Here you can just look at the colors to see
what's going on. (On the buying page, this really isn't important. It becomes far more
important on your portfolio page.)
Black = "No Change"
Red = "Loss"
Green = "Gain"
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Ok, now you know what the stuff means, how do you know what
to buy? Well, the whole point of the stock market is to "buy low, and sell
high". Think of your shop. When you buy a product for it, you want to get it
for the lowest price you can...then sell it for higher than you paid so that
you can make neopoints...right? This is the same thing, only on a larger
scale. Here are two tips to help make you a great profit!
1 - Choose a price you are willing to pay, and try to stick
to it. - The usual price investors look for is between 15 and 17 neopoints a
share. Since Neopets only allows you to buy stocks from 15 nps and up, you
should realize that buying a stock at that price (THE lowest allowed) is
your best bet for a maximum return on your investment. This does NOT mean
that you HAVE to buy in this range...it is just a safer way to make the most
of your neopoints. I did say "try to stick to it", not "this is the only
way, so you'd better stick to it". I know people who make a fine profit buying some stocks
at 18 - 25 nps or more. It is just better profit wise to try to buy as low
as you can.
When you're just starting out, deciding what to pay only becomes a
true dilemma when you are diversifying your
portfolio. For example, let's say that the only stocks in the 15 - 17 nps
range are ACFI, FAER, and SMUG. Now, if I look at my imaginary new portfolio
I see that I already have 5 Lots of each of those stocks, but not of any of
the others. Hmmm...perhaps I should go outside my price range and buy a stock
that's CLOSE to a low price to better diversify my portfolio. At this point
I might decide to buy HUW at 19 nps a share because it's the next lowest AND I don't have that stock
yet. See what I mean? Don't be afraid to go outside the 15 - 17 np range.
There will be people who tell you that you are only a "good player" if you
buy at 15 nps a share. These people are missing out on a LOT of profits, and
not taking full advantage of the choices and diversification available to
To sum up...TRY to buy your stocks at around 15 - 17 nps,
but don't be afraid to go outside that amount if it helps your portfolio be
all that it can be.
2 - Diversify - Don't just invest in only one company, or
you could end up getting burned!
I know a friend who invested over 1 million
neopoints in the company BOOM. It was the only company he would buy
from. Well, when BOOM went bankrupt, so
did he! All those neopoints were just gone. Don't be like my friend. Buy a
variety of different stocks so that you can not only be guaranteed NOT
to lose your entire nest egg, but also so that if one stock is down,
something else may be reaching upwards into selling range. The best
portfolios are the ones that have some stocks within selling range, some
stocks on their way up, and some stocks just purchased that are sitting near
the buy range. This way you are balancing your portfolio and almost always
will have something to buy and something you can sell if you need to.
Diversifying can be taken too far, however. If you stretch
yourself too thin you'll only be selling 2 or 3 Lots of a stock and not
making the big neopoints! Also, if you own too many companies, you will
often be stuck holding onto stocks that just sit there...and sit there.
Diversifying is good, but like medicine, it should be utilized properly lest
you end up overdosing and killing your portfolio...at least in the
beginning. More advanced players might consider using a strategy or simply
diversifying until they have something in just about everything.
Using a Strategy to build your portfolio is a good idea! You
can focus on a wide variety of stocks, but they will be stocks that actually
DO something for you, and you will have a fair idea of what that is going to
be. Those who use strategies when building their ports make the most profit,
and since you have goals, you can actually have more fun as well! Think of
it like this: Stocking your shop is not a whole lot of fun because it's
mostly random stuff you bought while RSing or Sniping. However, stocking
your gallery is fun because you are focused on a particular goal, and when
you're done...you can always sell them for a decent profit and start a new
one! I suggest you take a look at the various strategies
available to help you make the most of your port!
Remember that the market refreshes every 30 minutes. -
It is extremely rare to have a day without something being within the 15 -
17 np buying range, but it can happen. If you don't see something in your price range when you look the first time,
but there are one or two that are sitting at 14 nps a share, or have fallen
a few points and are almost within your range, that's ok! Try back in 30
minutes and see if one of the companies is now within your price range. You
can do this for the entire day.
You will drive yourself absolutely mad if you constantly
check your portfolio every 30 minutes. I did tell you it might take
days/weeks/months to see profits, so relax. Let the game do the work for
you! If it makes you feel better, check every 2 - 4 hours or so and see how
it's doing. When your stock gets high enough that you are almost ready to
sell, then keep a closer eye on it. Otherwise, just use the 30 minute check
when you're looking to buy and waiting for that perfect price.
How many shares should you buy? - That is totally up to you! I
would, however, recommend that you try to buy in even amounts so that you
can keep track of things later...when your portfolio is bursting at the
seams! Here is a daily price list so that you know how much you will need to
buy your shares, and how much you'll get back. (I have used increments of
10, as this is easier for all to understand.)
(When bought at 15 nps a share...)
Cost to Buy
Sold at 30 nps
Sold at 60 nps
Sold at 90 nps
As you can see, the more stock shares you buy, the more
profit you will make. That is why most players buy one full Lot a day. It
maximizes their profit, while their risk stays fairly minimal. Buy what you
can at first, or just jump in with both feet and buy one Lot a day. Either
way isn't wrong, but not buying a full Lot every day will make the wait on
your profits that much longer.
Buying a Stock - To actually buy a stock, go to the
Find Stocks page and click on the abbreviation for the
company you want to purchase. So, if you want to buy FAER, just click on the
abbreviation that says FAER. This will take you to the company info page.
Just click the company name, and you will be at the "buy" page. Type in how
many shares you want to buy, and click "Buy Shares".
BONUS!!!: If you'd like an easy to read list
of stocks that are all on sale for less than 20 nps each, then this is the
link you need! It's the latest addition to Neopets' Stock Market, known to
regular players as
Bargain Stocks page.
Keep in mind - You can not buy MORE than 1000 shares a
day of ANYTHING. So you can't buy 1000 shares of CHIA as well as 1000 shares
of BOTT. You can only buy 1000 TOTAL shares. 500 CHIA and 500 BOTT would be
ok, but it would also be your limit.
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Ok, you've decided on a stock, now where do you go and what
do you do? Let's take a look at your portfolio, and see if we can explain it
all to you...
The first two sections have already been explained, so let's
TODAY - This area shows
what your stocks have been up to all day.
Open - How much the stock was worth at 12 am (Midnight) Neopian Time.
Current Price - How much it is worth now.
Change - How many points it has gone up or down since Open.
HOLDINGS - This area
shows how many shares you have, and how many neopoints TOTALLED that you
have invested in that company.
Qty - How many shares you currently own.
Paid - How much you have paid to invest in this company.
OVERALL - This area is
where things heat up! It is what your stock is doing FOR or AGAINST you.
Mkt Value - How much your stocks are currently worth.
% Change - Again, look for Black, Red, Green. If a stock is in the green, it
can be sold at a profit. If it is black, you will just get your neopoints
back. If it is red, DON'T SELL! NEVER sell for less than you
paid...otherwise you have lost.
So let's take a look at BOTT in the example above. It opened
at 21 neopoints a share, and is now at 20 neopoints a share. This means it
has gone down 1 point since open today. I own 3 Lots of this stock, and have
paid 45,000 neopoints so far for those shares (totaled together). They are currently worth
60,000 neopoints if I sold them all. This gives me a profit of +33.33 %, for
a total of 15,000 neopoints MORE than I originally paid for them. Are you
starting to see what's going on? Good. Let's take a look at another
important area of your portfolio page...
At the VERY bottom of your page is a list of all your stocks
information added together.
In the above example, you see these four numbers:
81,000 - This means I own 81,000 shares of
stocks all together.
1,230,000 - This
tells me that I have PAID that much for all of these stocks.
1,273,000 - Is how much all of my stocks are currently worth.
+3.50% (in green) - Means that if I sold my entire portfolio I would make a
+3.50% profit. (Don't be upset if your % area is red or black instead of
green. Stocks go up and down all the time and this number represents ALL of
your stocks. You can have one stock that is sitting below 15 neopoints, and
another that is skyrocketing, and STILL show a red number here. This is just
a nice fun fact for you.)
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All About Selling!
Selling is the part most people have the worst trouble with.
After all, how do you know when to sell and where do you go to do it?
In my opinion, selling is a very personal thing. The one
rule to remember is...DON'T sell for less than you paid...no matter what!
Other than bankruptcy, this is the ONLY way you can lose neopoints in this
game. Here is a little list of questions to ask yourself before you decide
it is the right time to sell...
What is my sell point? - Since there is no real
way to tell if a stock is going to shoot up into galactic regions, it is
best to have a sell point. This is how much you want your stock to be worth
before you sell it.
When you are just starting out, having a sell point of
30 is a good start. So if you bought 1 Lot of (let's
say) BOTT at 15 nps a share, you spent 15,000 neopoints. If your sell point
is 30, then when your stock reaches a CURRENT price of 30 nps a share, you
will make an additional 15,000 neopoints...in other words, you will have
doubled your money. Now if you wait longer, you will get a bigger
profit...but ONLY if it continues to rise. That's the tricky part. Hehehe!
Researching the average highs and lows of your stocks will
help immensely! If you know, for example, that EEEEE regularly reaches at
least 60 nps, then you may want to hold onto it instead of selling at your
normal 30 points. To learn more about researching your stocks, and
developing a plan for setting your sell points, please read
the How to Use This Site area.
Build up your bankroll so that your stocks start to pay for
themselves, or your portfolio just plain stops growing, and then move on to
the next sell point of 40 - 50 nps a share. Later you can move to 60, then
90...or just stay at 60 and hold onto the stocks that tend to go higher
instead. This is a good strategy, and is for the long term.
(EXTRA TIP) - May I also recommend
that you don't sell ALL of your shares at once. Keep one or two Lots just in
case it does end up being a shooting star. Then you won't be disappointed if
it continues to rise.
Do I NEED the neopoints right now? - If you are desperate for
cash, and you can't seem to get it any other way, selling your stocks is a
quick way to build up your bank account.
Am I happy with the profit I have made? - You don't HAVE
to have a sell point, although it is nice. If your stock has made a profit,
and you just want to take your neopoints, go ahead! No one can tell you what
you should sell at, and since it is YOUR portfolio you should decide what
works best for you. :)
Keep in Mind - Selling all your stocks at 30
can quickly go from being a good thing, to feeling pretty silly if that stock
goes up to, say, 130! So, once you sell your stock...don't look back and
play the "I wish I hadn't" game. It will drive you insane! Be happy that you
have made your profit, and are now waiting on your next sale.
How do I sell?
So, you've decided to sell your stocks...but wait! There's
no "sell" button! Now what? Relax. TNT has cleverly disguised things with a
little arrow that is kind of hard to see if you aren't looking for it.
In this example, you can see the purple star around the
arrow next to AAVL. Click on the arrow next to the stock you want to sell. Now you will
see a drop down list like the one under ACFI. See how the arrow has changed
direction? This will list ALL of the shares you have bought of JUST that
company, how much you paid for them, how much they are worth, and what % of
change has occurred since you bought them. To the far right there is a box
under the SELL title. This is where you type in the amount of shares you
wish to sell. You do not HAVE to sell all of the shares that are listed. For
example, if I wanted to sell 500 shares rather than the 1000 I have listed,
I can just type that into the box.
Once you have gone through all of your stocks and typed in
all the stocks you want to sell, scroll to the bottom of the page. There is
a button there that says, "Sell Shares". Click that, and you will have sold
all the shares you listed.
There is a fee for selling! - Keep in mind that Nigel the (jerk) Chia charges
you a fee to sell your stocks, so be sure you have at least 20 neopoints
ready to go for the sale. It will cost you 20 neopoints no matter how many
stocks you sell. This means that whether you sell 1 share or 100,000 shares
you will still only have to pay 20 nps total, NOT 20 nps per sale.
You can sell more than 1 company at a time, and the fee will
not change. However, every time you press the Sell button you do get
charged. For example: If I sell 2 Lots of ACFI and 4 Lots of HUW at the same
time, my fee will be 20 nps. If I go back later in the day and decide to
sell two more Lots of ACFI I will have to pay another 20 np fee. See how it
works? When you hit the SELL button, you have to pay the fee.
Selling Your Stock - Articles of Interest
to the Beginner Player
For a more detailed look at selling, and other ways to think
about it that might interest you more, please see this excellent article
from the Neopian Times!
Selling Strategies: The Science of Pressing
- by nyyankeesfan72 - A more advanced guide on selling.
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Ah, day trading. Quite possibly the riskiest way to play the market.
However, there are a great many players who use it and enjoy it! Can you
make neopoints with Day Trading? Yes you can. Can you do it with minimal risk to
your nps like the regular game? Not by a long shot.
Unlike playing the regular way, Day Trading is played like this:
1. Find a stock that is at a high price. Usually well over 100 - 150 nps
a share. (See LUPE below.)
RED BOX -
Remember from before that this is the price that LUPE started with today. So
at midnight (Neopian Time) it was selling for 273 nps a share. In Day
Trading, this would be the usual time to purchase this stock.
GREEN BOX - This is how many
neopoints it is worth now. Had you bought it at the opening price, you would
have already seen a 10 point increase in profits.
YELLOW BOX - Although this is
important in the regular game, it means practically nothing in Day Trading.
Because of the higher numbers you will be dealing with, the percentages can
be misleading. You may officially ignore this area.
2. Buy how ever many shares of that stock you can afford.
3. Watch it carefully every 1/2 hour to see how high it has
risen, and when it gets to the point that you can't stand risking it
So here's how it would work: Let's pretend I bought
100 shares of it at 273 nps a share when the Market first opened. That cost
me 27,300 neopoints. After waiting for about 6 hours, and checking every 30
minutes when the Market refreshes, I see that it has now gained 40 points
and is selling for 313 nps a share! I decide to
go ahead and sell. I am now walking away with 31300 nps. That's a profit
of 4000 neopoints in just 1 day...in fact, less than 6 hours! Now what if it
actually had jumped 80 points? 100 points? Remember that the stocks that are
running over 200 nps tend to make bigger jumps than your average stocks...in
For those looking for a fast neopoint, it's tempting to use. However, in the Stock Market game the one constant is that what goes up also
comes down...eventually. When a stock skyrockets into unknown territory the
chance that it will crash at an alarming rate rises with each day that it
stays up there. This means that you run the risk of losing everything you
bought every time you play it! In the regular game the risk is VERY
minimal, and you only run the chance of losing your nps in a bankruptcy.
For example: A while back there was a famous stock called BOOM. BOOM had a
habit of dropping low and then bouncing way up and staying there for a short
time. It was the ultimate Yo-Yo stock. Normally, it would be considered a
stock buyers dream! Well, one day BOOM shot WAY up again, and naturally all
the Day Traders flocked to buy their profit-making shares. I know people who
bought their limit of 1000 shares at the unheard of rate of 500 nps and
more! Well folks, as we all know, BOOM went belly up. All those Day Traders
had faithfully hung on to it praying it would rise again. Instead, it went
bankrupt, and many Day Traders lost their shirts!
At prices this steep, Day Trading becomes a risk of enormous proportions!
Instead of only losing 15,000 nps should a stock bankrupt, you could lose
hundreds of thousands depending on how many you buy! Yes, the fast neopoints are
VERY tempting, but in my opinion this way to play is definitely NOT worth
the chance of losing it all.
to the Top
There are a lot of players out there who will tell you things that aren't
true. Here are a few to remember when you are playing stocks:
1 - If everyone buys a particular stock, that will make it rise! -
No it won't. It used to be that way, but now it is run by a mysterious
program only known to TNT.
2 - If a stock goes bankrupt it might come back. - o_0 Now that's
just silly! If a stock goes bankrupt, it is a "dead stock". It will not rise
from the market grave no matter how hard we all wish it would.
3 - You should only buy at 15 nps a share. - Although it is a good
idea for maximum profits to try to do this, sometimes it just doesn't work
out. Some days there aren't any stocks in this range, or it may be a stock
that you don't want or need right now. Whatever the reason, only YOU know
how much you are willing to pay for a stock. Keeping it between 15 and 17 is
good, but not set in stone.
4. My stock is below 15! I have lost neopoints! - Um, no you haven't.
You only lose neopoints two ways in this game. One is to have a company go
bankrupt, and two is to sell for less than you paid. Stocks go up and down
all the time. Just wait a little while and it will come back up again. :)
5. Nigel is the official Stock Market mascot, and knows what he's talking
about. - Nigel. *Sigh* What to tell you about Nigel. Less than a week
before I wrote this article, Nigel told me to invest in JCK. Considering
that JCK is a bankrupt stock, and unavailable for the rest of eternity,
that's asking quite a bit! Nigel is nothing but "flavoring". He's there to
remind you that the Stock Market still exists, and that is all. His one job
is to collect the 20 neopoint fee when you sell stocks. In short, don't
listen to Nigel...he's a doofus.
6 - The Stock Market isn't technically a game, so I can play it on all of
my accounts. - Thinking this way is a good way to get yourself frozen!
First of all, the Market is found ON the games page, and IS considered a
game by TNT. Second of all, the rules for Neopets clearly state that
ANYTHING that can produce neopoints...and the Stock Market does produce
neopoints...cannot be played on anything but your main account. So consider
this mega-myth busted.
Heard a good stock myth lately?
know about it, and I'll get it up here ASAP! :)
to the Top
Once you have built up your portfolio, and have gone from
beginner status to intermediate status, you might be interested in having a
goal for your portfolio. Maybe you would like a portfolio that doesn't pay
often, but pays big when it does. Or maybe you WANT to try to only buy at 15
to maximize your profits. Here are four major strategies used by the
advanced players that you may be interested in trying for yourself.
There are 6 major strategies to choose from, and no reason
at all why you can't combine them into whatever works best for you either.
"Only at 15 NPs"
"Only at 15 NPs" Method
Like the title says, this is a simple strategy that requires
very little research on the players part. The basic premise is to only buy
stocks that are at 15 nps. While this is a worthy strategy for maximum
profits, and can lead to a diverse portfolio, it can just as quickly unbalance your port. Let me give you an
Let's say that I am only buying stocks at 15 nps each. After
1 month I will have (theoretically) purchased about 30 lots of different
stocks. Unfortunately, the only stocks that were at 15 nps on this
particular month were AAVL, FISH, and VPTS. This means that I now have 10
lots of each of these stocks...but no others! I am dangerously close to
putting all of my eggs in one basket...a BIG no-no in the Stock Market game.
Of course, the advantage is that when it comes time to sell I will have made
the maximum profit I can from each of these stocks as well.
You would be surprised how difficult it can be to try to
only buy stocks at 15 nps. The strategy CAN work, but it is very limited,
and there is the danger of losing the integrity of your diversification
plan , or even worse...remember before when I said diversification is good
when utilized properly? This one tends to go just a little over that line.
You may end up with too many stocks, and not enough of one particular stock
to make a decent profit off of your sales. In my opinion, it is the second worst of the strategies available to
The "Split Stocks" Method
For those of you who are mathematically inclined, want more
diversification when starting out, or just
don't care WHAT your portfolio looks like when you're done, the "Split
Stocks" Method is presented as another alternative for you to use.
This method is usually employed when there are multiples of
stocks in the buying range. For example, when 3 or more stocks are at 15 nps
and you want all of them in your port. Since Neopets has a cap on how many
stocks a person can buy a day, people who use this method feel that they are
making the most of a bad situation. This way they can get at least SOME of
the stocks they want in case those stocks move out of their buying range
before the next day.
The upside to this method is that you will have a diverse
portfolio, as well as a larger pool of stocks to choose from in your buying
range. You aren't limited by only one stock being available like everyone
else. Also, since you only buy at 15 nps for this method, you will always
make the most that you can from each sale.
The downsides are multiple. First, it will frankly be a
royal pain to try to sell your stocks. With 250 shares of one stock here,
and 500 shares of another stock there, it can quickly take all the joy out
of selling your stocks. Also, since you aren't buying full Lots of a stock
you won't be making the most profit should only one of your stocks rise into
the heights. "Robbing Peter to pay Paul" is at best a haphazard way to play,
but some people prefer it, and insist that they make good neopoints doing it
I have no advice for those who use this method. It honestly
doesn't make much sense to me, and I consider it the worst of the bunch.
But, since there are those who do play it, I thought I should at least be
fair and add it to the mix. I guess I can say that if you want to try this
method out, wait until you have become completely bored with the Market and
THEN give it a go. Maybe it will be the spark that brings the excitement
back into the game for you.
The "High Pricers" Method
This method is the "spawn" of day trading, and is often
confused with it. It is for those who love to take BIG risks, and just don't
want to wait for a low priced stock to rise.
This method is usually employed by more advanced players. In
High Pricing, instead of buying low and selling high you will be buying high
and selling for higher. Although it sounds like day trading, it isn't. The
difference is that in this method you would buy a stock at, say, 100 nps a
share and then sell it at, say, 175 nps or more a share a few days/weeks
later. The thought behind this method is that high priced stocks tend to
make bigger jumps when they do rise, so while you are still technically
playing the same way as everyone else, you are theoretically not having to
wait as long to cash in. High Pricers tend to advocate the buying of stocks
that are at 30 and over and currently on the rise, or stocks like LUPE or
POWR that have been riding high for a while. (These stocks were used as
examples on 7/08/06.)
The upside to this method is that you can make nps at a
slightly faster rate. If a stock is currently skyrocketing, or has been
mostly up for a while you will...in theory...have less of a wait than
someone who buys low and sells for higher. Many players of this method like
to say, "No guts, no glory!!" This may be the method for you if you are an
adrenaline junkie or VERY impatient.
The downsides are harsh. First of all, it costs a LOT more
to buy these types of shares. This means you are risking a LOT more nps
should the stock go bankrupt. For example: Let's say you bought 1000 shares
of LUPE at 100 nps a share. That means that you have spent 100,000 neopoints
on it rather than the 15,000 from buying at a lower price...that also means
that is what you are risking. Second of all, stocks which are very high for
long lengths of time are usually fairly unstable. While it is true that
buying any stock is a risk, buying a high priced stock is even more so due
to its complete unpredictability. No stock can truly be "predicted", but
those that begin to soar are especially hard to guess-timate, unlike the
lower priced stocks.
This is not a method I would recommend to a new player. If
you wish to give it a shot and take the big risk in hopes of a big payoff
PLEASE do so only if you can (a) afford to lose a lot of nps, or (b) have a
stable portfolio as a backup in case something awful does happen.
Personally, I feel that it isn't worth the risk, but that is only opinion.
How you play is up to you, but do not say you weren't at least warned ahead
of time. ;)
The "Sleeper" Method
In the Stock Market there are stocks that are known to the
more advanced players as "sleepers". These stocks barely move and are often
overlooked by the average players. Ah, but the more advanced players know
that "still waters run deep". This means that they are aware that sleepers
tend to do nothing for a LONG time, and then suddenly shoot over the 150
mark for no reason whatsoever! Well known sleeper stocks include FISH, SWNC,
and (the more recent addition) YIPP.
To use this strategy, you would buy only the stocks that
others seem to shy away from. You also should have a fairly high sell point,
as these stocks are best sold at around 175 - 200 nps, instead of the normal
30 - 60 of the average sale. The advantage is that you can build up quite a
portfolio while waiting for these stocks to move, and if/when they DO hit
that sell point you are in for a LOT of nps! Many people consider those who
use the Sleeper Method as "Stock Collectors". You are, after all, basically
collecting these sleeper stocks and holding them for far longer than any of
The disadvantage is that you might have to wait a LONG time
to see any profits from them, and they are thought by many to be most at
risk for bankruptcy. It's a chancy undertaking that has paid off in the end
for many. Also, if you confine your buys to JUST sleeper stocks not only are
you risking a major blow to your portfolio should one bankrupt, but you are
also dropping neopoints into stocks that aren't going to show a profit for a
LONG time. A port that doesn't pay for itself can become a burden very
In essence, if you don't mind waiting a year or two for a
really big score, this may be the method you want to use. Personally, I feel
that if you really want to use this method, you should combine it with a
simple diversification plan just in case. To do this, buy your "Sleepers"
when you can...since they ARE sleepers sometimes you only have a short
window in which to purchase them. Try not to buy more than 4 or 5 Lots a week. Once
you've reached your "max" on sleepers for the week, diversify with other
stocks to keep your port balanced and keep the profits coming in until the
big payoff. The threat of an unbalanced port can be negated by the fact that
since these stocks don't move much they aren't often in the buying range, so
you can happily collect other stocks as you go.
The "Cap on Stocks" Method
This is probably the most used strategy on Neopets. With
this method, you decide how many of each stock you want to own before buying
more of that particular company. It does lead to a diversified port, and you
can build up quite a collection of stocks before you reach your sell point.
It's also easy to use and there is no research involved.
Here's how it works:
1 - When you're first starting out, you buy whatever is in
your price range that day. When you have around 15 - 20 different companies,
move on to the next step...
2 - Put a temporary "cap" on how many of each stock you want
to have. For example: Let's say I set up my goal to be 5 Lots of each stock.
That would mean that once I had 5 Lots of a particular stock, I would try to
buy something else that I don't have 5 Lots of if I had a choice between two
or more stocks in my buying range. This can make deciding which stocks to
buy a LOT easier on you. In one months time, theoretically, I could have 5
Lots of 6 different stocks, OR 2 Lots of 15 different stocks. Once you have
5 Lots of each stock in your portfolio, or close to it, move on to the next
3 - Raise your "cap" to the next level, and perhaps add a
few new stocks to the mix. Some choose 8 Lots, others say 10. I like nice
even numbers, so I'll go with 10. Keep in mind that you don't have to only
buy 1 type of stock until it reaches your goal. You just don't want to go
over 10 until the rest of your port is close to reaching your goal. Then
raise it again.
Now all of this is fine and dandy as long as the stocks you
want are within buying range when you need them to be. Sometimes that just
The drawbacks to this method are that since you aren't
really focusing on any particular fast/slow selling stock, you will have
absolutely no clue as to what they may or may not do. It's a game of Stock
Market roulette. Sometimes you do well, other times you don't. Not only that,
but because you are putting a "cap" on certain stocks at certain times you
may actually be missing out on quite a few good stocks in order to purchase
stocks that don't pay well or often. You could end up sitting on 20 Lots of
a stock that moves once every 2 years! While that may not be a bad thing to
you, it can seriously put a crimp in your sales...which is the whole point
of playing the market. This is a good beginner method to start with, but
then you should consider branching out and doing the research to really make
your portfolio work!
The "Hyperstocking" Method
If you take a good long look at the graphs and massive
research that has been conducted on this site you will see that some stocks
seem to make "mini-runs" to at least 60 on a fairly regular basis. This is
interesting to those who prefer this method, as it means that by stocking up
on these particular stocks they can make higher sales, and in turn, bigger
profits! There are only about 5 - 10 stocks that are known to do this, and
proponents of this method try to buy ONLY those stocks to take advantage of
the "big money". Examples of the more popular stocks for this method are
CHPS, EEEEE, and SHRX.
Although it seems to be a great way to earn nps, it too has
its disadvantages. Namely, since you will be buying ONLY those 5 - 10
stocks, you will not have a large pool of choices when it comes to buying. This puts you in danger
of losing quite a bit of neopoints should one of them go bankrupt! You
should also consider the fact that sometimes there won't be one of your
stocks available in your price range! Some may be way under 15 nps and some
too far over. What do you do then? It is very hard to follow a method that
is so confining.
Is "Hyperstocking" a good method? Yes. It has similarities
to the "Focused Strategy", but since you are mainly going for the mini-run
stocks it is actually very different. It is a great np maker, and I consider
it second only to the "Focused Strategy". Either one is almost guaranteed to
be a money maker for you.
The "Focused" Strategy
If you are looking for a strategy that will maximize your
profits, and keep your portfolio diverse without going overboard, then this
is the strategy for you! In this method, you will be focusing only on those
stocks which have shown year after year to be proven performers. You will
also be able to frankly ignore those that won't do much for other players.
This means the guesswork of "what to buy" has been removed.
To use this method, you will need to do a little research. I
suggest you go here...Sell Point/Report Card Table.
Now above all of those numbers is something that says "Sell Point=30 (or 40,
or whatever)." Now you will only focus on the stocks that have "good" grades
under the sell point you wish to use. (B, B+, A, A+). These are the stocks
that consistently have performed well over the history of the Market, and
will be the ones you will buy for your portfolio. The advantage of this is
that by using the history of each stock to properly choose your buys, you
can almost guarantee to have a profit making portfolio for just a little
extra effort. How do I know that these are really the right stocks? Because
years of exhaustive graphing and tedious record keeping have proven it!
Although bankruptcy cannot be predicted, the ups and downs of the market can
be given an educated guess by using a company's past performance. Is it
guaranteed? No. Is it as close as we will probably get to guaranteed? Yes.
The drawbacks are surprisingly few! The only major problem
would be, what if you are only buying 6 or 7 companies, and one goes
bankrupt! Since this cannot be predicted by history, it is a viable problem.
Frankly, you run that risk no matter what you purchase when you play the
game. I consider this the best strategy available to both new and more
to the Top
Use this Site to Improve Your Portfolio
This site is a treasure trove to making a fortune in the
Stock Market! All you have to do is know where to look and how to properly
use the information you find. Let's start with some of the links you see to
the left of the page.
Helping you buy!
When you are playing the market, sometimes you don't want to
just buy whatever is in your price range. There may even be times when you
have 5 or more choices that ARE within your range, and you just aren't sure
what may be the best buy in that situation. These 3 areas may be just what
you're looking for!
Stocks Reportcard - (Beginners) WAY at the bottom
of all the links you will find a little lost link that calls itself
Stocks Reportcard. This is a beginners best friend! If you can read a
report card, you can read these easily! All the stocks are graded by how
often they move into selling range. You can easily see how much
they average, what their highest amount has ever gotten to, etc. For
those who are unfamiliar with this method of grading, here is how it
How to Read
||- Best Stock Grade -
Profit usually within 6 months or
||- Still really good -
Profit generally within 6 - 8
||- Slightly better than good -
Profit generally within
8 - 10 months.
||- Good Stock -
Profit generally within
8 - 12 months.
||- Ok Stock -
Profit generally within
12 - 18 months.
||- Not generally a great money maker, but has it's days
Profit generally within
18 - 24 months.
||- Worst stock, but ok
for diversifying -
generally 24 months
Stocks Reportcard - (Intermediate) To the left
you will see a link marked TOOLBOX. There is a goldmine of info here as
well. Click that and then New Reportcards. Here you can find your own
personal sell point and see which stocks have performed well for those
particular points. To line them up so as to be able to read them easily,
merely click on the area you are interested in learning about. Like this:
1 - Find your sell point at the top of the page. Mine
happens to be 60 right now, so I'll use that.
2 - Scroll over to that and click the word GRADE underneath the 60. Notice
how the page refreshes? That is because all of the stocks are now aligned
from the best performing stocks to the least for that particular sell point.
I now know which stocks have paid out the most often for that sell point.
The grades are slightly different for this sell point than
for the beginners reportcard seen above, as each sell point will have
different dates between peaks due to the higher or lower sell point amounts.
There is also other information that you can research there
as well, but now you know that you merely click on what you are interested
in knowing about to find out what you need.
STOCK CHARTS -
These two links can be your best friends...IF you know how to use them. They
are also geared towards more advanced players. If you're just starting out,
you may want to stick to the Reportcard charts until you get the hang of it.
Thumbnail Links - (Intermediate) Want
an overview of all the stocks at once, and don't want to click on a bunch of
buttons? Just check out this link! All of the graphs have been downsized so
that they are all on one page. This way you can just take a glance and see
which ones seem to move quicker than others. To enlarge them, simply
click on them to see things closer up. For a more in-depth view, however,
stick to the Text Links (See below.)
Text Links - (Advanced) On this page, you
will find a large table with stuff like this...
||Full - 31 Days - 72
Here's where this will do you serious numbers-crunchers some good...
Over the course of many seasons, the researchers here on
the Neodaq Site have compiled quite a list of information about the
movement and behavior of each and every company. In order to use this
tool properly, you must be able to read the graphs. Each link has a
graph that shows you what that stock has done in the past, so that you
might make a good guess as to what it may do in the future. For example:
If you look at the graph for AAVL on FULL you will see what it
has done for the past 2 years! If you look at the 31 DAYS graph,
you will be able to see it's last peak. Is it way up past the red line?
This means that it is currently peaking, and is not a good buy right
now. Has it been a while since it last crossed that red line? It might
be a good investment as it could rise soon. Look at the history, does it
peak often? Rarely? All of these things could factor in your equation to
help you make a better choice for your buys.
Advanced AND Self-Motivated? - If you are this advanced, you may want to decide for
yourself how you want to create your charts, graphs, etc. In that case,
you may want to check out the links for Richie's Data Mine, and
Raw Data. For questions concerning these areas, please contact
He is the genius behind them, and frankly they go WAY over even MY big
Using the Site to Establish and Decide on Your Sell Points
Still want more proof that this site has everything you
need to create the most profitable ports in Neopets? If you check out
Sell Point/Report Card Table page you will
find an exhaustive list of information concerning:
Which stocks are best to buy in your particular sell
How your sell point range will affect the grades of the
stocks you wish to buy.
How many days you can expect to wait until your stock
enters your sell point range.
...and much more! Again, for questions concerning this
goldmine of information, please contact
who is the genius behind the math! You can also read about the best way
to utilize this incredible information by checking out Richie's
explanation on the
There is no other site anywhere with as much information
about the Stock Market as you will find on the Neodaq Forums. Any
question you can think of has probably already been posted...twice...and
is just waiting there for you to read. Asking questions isn't the only
thing you can do there either. Here are some of the highlights of what
the forum can offer you!
Questions and answers about anything and everything
related to the Stock Market.
Comparisons of others portfolios and strategies to help
you make the most profit.
Tips to help you build your portfolio.
Camaraderie between you and other players.
No having to wade through posts that aren't relevant to
what you want to know.
REAL help from REAL people in REAL time.
Of course, these aren't the only things it offers! There
are other areas concerning Neopets as well, and the information there is
just as astounding! This forum is easy to navigate, easy to understand,
and even easier to enjoy! From a beginner, to that guy with the folder
on every buy he's ever made, the forum has something to offer.
to the Top
Bankruptcy DOES Happen
Now that we have discussed all the pros and cons of just
about everything, let's talk about the one thing nobody in the Market likes
to talk about...Bankruptcy.
Bankruptcy is a fact of life in the Stock Market. All
stocks, no matter HOW great they've been in the past, are at risk of one day
going belly up. This is a fact, not a myth. Whenever you play the game you
are running the risk of losing through bankruptcy. It is the reason that
Neopets still lets you make neopoints off the game, because they know one
day they'll get ya!
Seriously though, many players have had to deal with this
issue and it's only fair that you are informed about it as well. When it
happens the most important thing is to not panic! If you have followed the
diversification rules above, you are going to be ok. Should one of your
companies go bankrupt, here's what will happen:
First, you will get a nasty sinking feeling in your gut.
Then, you'll click over as fast as you can to your portfolio to see if it
really did happen. There, you will see your company logo, and a big fat "0"
where all the numbers should be. It is not coming back. Time to move on.
Unless you want to keep looking at that nasty dead thing, might I suggest
that you remove it from your inventory? There is absolutely no reason to
keep it, as NO stock comes back from bankruptcy.
Let me reiterate - As long as you have diversified your
port, you will bounce back just fine. Yes, it really bites to lose all those
nps, but we've all been there. You have other neopoints to make, so mourn if
you must and then move on.
IF, however, you have NOT diversified your port, you might
be in a spot of trouble. Assuming you have been playing for a while, a
bankrupt company in a portfolio that isn't diversified is a death knell. It
is extremely difficult to bounce back from a blow of those proportions. If
you decide to continue playing, kudos to you! I do hope that you will
diversify this time though.
Bankruptcy is really the ONLY way you can lose neopoints
playing this game if you've been playing it correctly. Try to look at it
this way...think of ALL the neopoints you have made over the months/years.
Now the loss doesn't look so big, does it?
Just keep in mind that no matter how red your stocks may
look, they will one day turn green. It may take a while, but they'll get
there. Take it slowly, don't be afraid to ask questions, and you'll be on
the road to being a Stock Market Guru in no time! I do hope this article
helps get you started on your new path, and that you become successful like
so many other Stock Market players. Good luck to you, and happy
If you still are having problems with the market, or you
just want to clarify something you read in this article, feel free to drop
me a neomail.
My username is illianatgd.
A BIG thank you to w3neo who owns the Neodaq.com site and
forum! Without you, and your bevy of crack researchers, we would all still be very
much in the dark when it comes to the Market! Thanks again, w3!!!
to the Top