Digital Stocks Virtual Stock Game

 This is a post taken from the Delphi.com Digital Stocks Forum

And is a description of the Digital Stocks 3 games.

Posted by Phoenix

 Hello all,

I have been asked to post a copy of a newsletter I send to my
private group and I am happy to share it if it can help anyone
to better understand and profit from this wonderful opportunity.

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Hello everyone,

I have finally had the chance to write this strategy newsletter for DIGITAL STOCKS (DS) and I hope it helps everyone better understand this unique and powerful game. I have found that DS is the most misundersoood of the virtual games so I will do my
best to simplify it and explain how it works.

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OVERVIEW
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DIGITAL STOCKS is really 3 games in one, each with a different level of RISK and REWARD. I'll first describe them one by one and then put it all together into a "strategy".

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MANUAL PROPOSITION GAME
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This is basically a guessing game for the "gamblers" among you. There will be a daily proposition question that you can answer one of two ways. It may be something like.....

"will so and so team score more or less than 10 points in their game tonight"

If you bet right, you double your money, if you're wrong, you lose it all. This game is not linked to the other two and is a sideline that anyone can play any time they want. It has the highest potential return and of course carries the highest risk. You can withdraw your winnings in this game at ANY TIME through e-Gold. NO COMMISSIONS are paid on the MANUAL PROPOSITION GAME to keep the returns as high as possible. Each day, you can look at the "proposition" and decide if you want to play.

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AUTO SERIES PROPOSITION GAME
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This is based on the same propositions as the manual version but in the AUTO SERIES, you put a fixed amount of money in a "pool" and THE PROGRAM DOES THE BETTING FOR YOU over a period of time.

The program will start by taking a portion (1/7th) of your total pool and bet it on that day's proposition. If you win, you double your bet (or better). If you don't you lose that bet.

But here is where it gets VERY INTERESTING.....

If you lose the bet (you still have 6/7th of your betting pool left) the program begins to change the odds IN YOUR FAVOR for the next day's proposition! Now when you win, you can win even MORE THAN DOUBLE to make up for your loss. The more you lose, the more the odds are tilted (SKEWED) by the program IN YOUR FAVOR.

There is also an additional feature that actually lets you "borrow" money from the game so even if you hit an incredible streak of bad luck and deplete your pool, YOU WILL BE ABLE TO CONTINUE PLAYING WITH THE GAME'S MONEY and when you win, you repay the loan + 35% with your winnings and the rest is yours to keep on playing with.

The auto series is designed to let you DOUBLE YOUR MONEY in 21 to 56 days (or sooner) and when you do (or at the end of 56 days), that AUTO SERIES is over and pays out. The expectation is it will be closer to 21 days and as the game grows, they will add more frequent propositions and are even talking about the possibility of doubling your money IN AS LITTLE AS 5 DAYS!

When your money is doubled, they will deduct 20% of your original pool amount to pay for the ASSOCIATE PROGRAM and 10% for the game itself. The rest is yours (70% net profit). This is the part of DS that is driven by a "cash flow" algorithm and it is very powerful. It is the "lowest risk" of the 3 games in DS even though the potential returns are very high.

Winnings from the AUTO SERIES MUST be used to purchase shares in the XCHANGE GAME before they are cashed out.

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THE XCHANGE GAME
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This is the part of DS that involves virtual stocks and gives you a chance to either INCREASE or CASH OUT your winnings from the AUTO SERIES. It can also be entered directly without going through the AUTO SERIES first. There will be an "exchange" where players will list stocks they wish to purchase or sell.

In MOST games (not DS) with a fixed number of shares (closed loop trading systems) there is no incentive for players to buy if they don't like the prices. It is too easy for them to wait or just withdraw completely from the game if they don't see an opportunity to buy which attracts them. This makes it hard to sell shares for a profit even if new players and money are entering the game as the buyers control the market. This creates a game where there are usually more sellers than buyers and VERY volatile prices. The majority of the money is made by "day trading" (buying and selling throughout the day and taking advantage of the daily price fluctuations in the game) at the expense of players who don't have the time to constantly watch the changing prices.

IN DS HOWEVER, the winnings from the auto series MUST BE USED TO PURCHASE SHARES IN THE XCHANGE GAME so there is always a pool of players EAGER to buy virtual stocks at the going price so they can realize their profits. This will result in a trend of constantly rising stock prices as players can set higher selling prices and have a realistic expectation that they will be sold.

The first step is to buy shares by either accepting the lowest sell order available or by listing a purchase order which is then accepted by another player who wants to sell their shares.

Once you have bought shares, you can sell them any time you want by either listing them for sale at your preferred price or accepting a purchase offer that is already listed by another player. You can set your selling price higher and wait till the shares posted at a lower price are sold and realize greater profit, list them for the lowest price on the exchange if you want to cash out fairly quickly or accept the highest purchase offer if you want to cash out immediately. The higher price you set, the longer you may need to wait but of course, the higher your profit in the game.

Once they are sold, even if it is 1 minute after you buy, you can cash out the proceeds and enter any of the 3 games once again or put the money into your e-Gold account.

You can of course also enter the XCHANGE GAME without going through the AUTO SERIES first if you believe that the shares will rise faster than the roughly 70% in 21 day net return players are expecting from the AUTO SERIES. The XCHANGE GAME has a slightly higher risk than the AUTO SERIES but may provide an even greater return.