Woah Rand's Investment Guide

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Woah Rand's Investment Guide

Post by Woah Rand on 20/11/2012, 11:50 pm

Woah Rand's Ultimate Investment Guide
Hello and Welcome my investment guide. My guide takes a deep and interesting approach into investing. Hope you enjoy. Before asking questions please read the entire guide as it comes together by the end.


Who am I?
You are now probably wondering how I this public member can help you master investing. My name is Randy and I am a normal teenager. I joined Smokin Mils in January 2012. I joined the active mentor group and had to drop out due to school. Then a few months later I bought Boms investment guide. That guide was good and helped me on my journey to learn and master investing. So I got the idea of joining the investing group to increase my knowledge. I graduated that group with flying colors and had completed 80% of my investing journey. I practiced and practiced and finally mastered my way of investing. This is my guide to investing. Everything I ever learned is put into this so have fun reading.


Trends:
I will start this guide talking about trends and what they have to do with investing.
A trend is tendency to make a move or a direction it may go. This is key in the world of investing because when reading a graph you will want to find a good trend. Here is an example of a trend on a graph that I made myself.


As you can see the graph's trend is up.
It goes down a little and then up a lot. This will be explained in more detail later on in the guide.



Support and Resistance Levels:
There are two kinds of levels the support and resistance levels. The support is usually referred to as the floor or bottom. They call it the it the floor because it where the item hits before rising. Think of it this way when you drop a ball it hits the floor and rises this is kind of like an investment. You buy at the support and sell at the resistance. Refer to the picture for an example.

As you can see the trend here hits the support then bounces back up to hit its resistance level to then drop back down to hit another support level. These are just the terms you will need to know to understand the rest of the guide.


Different and Best sites to use:
So to invest you will need to find a graph. The first site is the Runescape home page. I do not recommend the Runescape page as the graphs as the are unclear and not detailed as shown below.

Not my favorite but you can use. Here is the link just in case.
http://services.runescape.com/m=itemdb_rs/frontpage.ws


Grand Exchange Central:
This one is my favorite. This site is a little behind with updating its graphs but it helps find items at amazing rates. GEC has a great side tap that helps find items.

I love to use the "top losers by GP" and "top losers by %"
These help find items to invest into that are about to change.



Which item to pick:
So now you know some sites you can use to find graphs. You also know what trends and support/resistance levels.
To find an item you want an item that has a trend. You are looking for an item that has been losing.
As you can see in the picture it has been going up then down.
So following the trend it would be a good item to buy now as it will most likely going to up following the power.
Many items that follow a trend can be invested into multiple times. The item above is a perfect example buying at the green and selling at the blue.


Some items you should key in on are listed below as they are commonly used to invest...
Spoiler:

Planks
Godswords
Herbs
Potions
Dragon armour
Dragon Weapons
These are just some items you can use. There are many more just keep looking.


Major down trends:
When an item takes a huge drop in price you should have $$ in your eyes. This is how to make the best out of it.
1. When you see the item lose less and less you can tell it will start to rise. Wait until you see the item start to curve out then make your move. If this graph below started to take a turn I predict it would go like this.




Buying price:
This is very important so please read very carefully.
To find the buying price you will do the same approach as in active flipping. If you don't know how to read the spoiler.
Spoiler:

1.Find your item.
2. Buy 1 of that item 10% over midprice
3. Sell That item 10% under midprice


So there is a different approach. Do the testing of the item to see the instant buy and sell of an item. Then you are going to do a little math. Take the instant buy price and subtract it buy the instant sell price. So then divide that number by 2 to get the mid price of the margin. Take that number you go and add it to the instant sell price. There you have you buy price.
Ex:(fake margin and item prices)Instant buy-12000 Instant Sell-11000 So 12000-11000=1000 1000/2=500 11000+500=11500
I like to buy for 1gp + of what you get above so above I would buy for 11501.
Then you would put in an offer for that much so say it was Saradomin Brew (4) you were buying you could buy 100k of them. Put you buy price for all of them at the buy price you calculated.


Selling price:
This part could be hard to start out with but gets easy.
If you have an item that does not cost much say a potion you can find the instant buy price again. After that take 1/5 of your stock and put it in for that instant buy price except a couple gp under. I say sell 1/5 because you don't want to crash the price of it and be stuck with a useless item. Wait until all of an item is sold, then sell another 1/5 of your stock.
Ex:You have 100k Oak Planks Sell 20k your grand exchange offer Instant buy price-700gp
Sell the 20k oak planks at 698gp Wait until they completely sell then sell another 20k and so on.

If it is a semi high wealth item say Bandos Tasset I recommend selling one of your stock and find the instant sell. You can always buy the item back at the very same price. Now that you know the instant sell price go back to your original test (the buying price test) and find the margin. You want to use the same idea to find the sell price. Just take the margin and add 1/2 of it to the instant sell price you found. If you have a small stock you can put all of it in the grand exchange at the sell price. If you have a large stack do the 1/5 stock again.



The "Market":
The Runescape market is unpredictable. But there are some key clues to give you the best advantage in investing.

1. When looking at an item graph on Grand Exchange Central look at the past days. If you notice a major change in price drops like it dropped 10k 1 day and 2k the next the item will most likely turn it around and raise in price.


2. NEVER invest into a stepped graph. These items are unpredictable. Ex below.

3. When an item is under the market price it will drop the next update.
4. When an item is above market price it will rise the next update.



Bonus XP:
This is one of the best ways to make $$$$. During this 1 month people stock up on supplies and make the price shoot up. Jagex will release an announcement saying it will have BXP. Then you will want to pick an item to invest into. Items you will look for are items people need for very pricy skills such as Construction, Herblore and Summoning. I do NOT recommend PRAYER. So many players use it and it is not the best money maker. I say invest in planks and herbs. Here is a great example of what happens at the release date of BXP.

Also when investing during BXP at anytime you see the item is dropping do not hesitate in dumping your stock. It will save you money and time.


Conclusion: Now you have learned how to invest in different forms. I hope you enjoy. If you have any questions or concerns please send me a pm. If you see any spelling mistakes don't be shy.


Last edited by Woah Rand on 27/11/2012, 12:00 am; edited 2 times in total
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Re: Woah Rand's Investment Guide

Post by Drakan on 21/11/2012, 3:01 am

Woah Rand wrote:Woah Rand's Ultimate Investment Guide
Hello and congratulations on buying my investment guide. My guide takes a deep and interesting approach into investing. Hope you enjoy. Before asking questions please read the entire guide as it comes together by the end.

Good Guide, Randy!

Also, Since this guide is posted for everyone to see, I doubt its bought. Razz
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Re: Woah Rand's Investment Guide

Post by Woah Rand on 21/11/2012, 7:09 pm

Drakan wrote:
Woah Rand wrote:Woah Rand's Ultimate Investment Guide
Hello and congratulations on buying my investment guide. My guide takes a deep and interesting approach into investing. Hope you enjoy. Before asking questions please read the entire guide as it comes together by the end.

Good Guide, Randy!

Also, Since this guide is posted for everyone to see, I doubt its bought. Razz
Yeah my bad fixed that.
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Re: Woah Rand's Investment Guide

Post by tokedat kush on 25/11/2012, 1:05 am

thanks dude i went to that site grand exchange central it is the bomb thank you very much Razz pirat

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Re: Woah Rand's Investment Guide

Post by Ashleypit on 25/4/2013, 7:19 pm

Nice article Very Happy This is the way that a nice guide should look like.

I believe in this system. Maybe I don't have a glass bowl to predict the future, but it's allways guessing, right?? But with some logic out of this post and a few gp's I think I am okay Smile


Good job, keep it up. Cheers. Razz
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