What we are seeing right now is simply called.........(GASP).....a correction. For those that are new.....a drop of 10% or more in the markets. the NASAQ is down 9.75%....close enough....from the February 12 high. February 12 seems to be a day that many stocks and averages hit a high. MANY individual stocks are in correction from January or February highs.....a few: AMZN -11.9% AAPL -15.9% NVDA -19.3% NKE -10.2% COST -16.05% There are obviously many more....TSLA, etc, etc, etc. If it continues.....and I think it will as a lingering slow moving drop.....we will see the other averages and more and more stocks slip into correction. Is this NORMAL.....yes. It is simply part of the normal stock market process. It is not unusual to see one or two corrections in a year. I am not too surprised.....the markets have been SQUIRRELY since the second week of January. A nasty correction might last for months......will this one? Who knows. Will I do anything in response......NO. I will simply sit as is the usual course for a long term investor. The nice thing about corrections and bear markets.....when they end.....they are usually followed by new highs. As Emmett mentioned the other day......it is this type of little event that weeds out those that are not cut out to invest in stocks or funds......or.....have overestimated their risk tolerance. These little events are a good time to evaluate your thinking and make sure your risk tolerance matches your REAL personality and goals.
As I said time and again before... DO NOT invest money you cannot afford to lose... what that does to you psychologically is alienate any “buyers remorse” feelings... simply leave everything as is... Now is not a time to sell. I cannot see how the giant tech companies will not rebound from this... because - NOTHING actually happened! There’s a fear of inflation? Inflation of what? There has been a TREMENDOUS amount of inflation in certain sectors - non of which are the ones being dumped. Certain assets like the collectible market has inflated ridiculously because of spending redistribution factors. So did the real estate market. But produce? Energy? Gas? Utilities? Are they inflated? Will they inflate? And what does that have anything to do with the tech sector??? Not a damn thing
There's something so beautiful about a correction...... ......and having the cash to take advantage of it. .
When can we expect the "The Flush With Cash Short Term Trader" thread? Sometime soon? I'm dying to liquidate and try a new flavor of Kool-Aid.
Yeah....road....it would be interesting to see someone ACTUALLY do it. In over 25 years of posting about investing.....I have NEVER seen it yet.
1. Quoted for posterity and forum rules violations 2. Quite the homoerotic kink you got going. If that's your thing, cool, but I suspect you'll be a party of one over here. Sorry to disappoint. and 3. I have you down for "Full of Shit: All Talk And No Substance" And here I was proxy defending you when gtrudeau88 called you out. Looks like he was right. You are an asshole. A miserable, narcissistic, passive aggressive, immature asshole. Take care of yourself. I'm sure that is the only option you have.
I was thinking about TESLA today. Wondering if people were feeling the PRESSURE to sell. I would GUESS that the stock has a potential DOWN side of.......at the MINIMUM.......another 20-30% from where it closed today.....over the next 3 months. I dont intend to do anything with this holding....at the moment. If conditions allow...I would like to own the stock until the Berlin and Austin factories come on-line and are fully producing. At that point I will evaluate where things stand for the company with EV production and sales, battery manufacturing and technology, and self driving technology.....versus.......the rest of the EV world in general. I think at that time the handwriting will pretty much be on the wall as to where the business is headed. Till than I will hold the stock....unless something happens before that time that MAKES me sell. I definately like MUSK and his leadership.....but....I am not a company fanatic. Still siting on a 200% PLUS gain on my original pre-split shares.
You’re acting like a child. Nobody in here has wronged you but you’ve decide to escalate the tension by being a douche bag and insulting the readers of the forum. I read the forum daily because there is good discussion and good ideas. Nobody is drinking kool aid. We are all here because we want to be. Guess how I found this thread, by googling “long term investing forums”. Eventually that led me here. The people who are on this thread aren’t “cheerleaders”, but we probably are mostly like minded (investing) people interested in long term investing. I’m too busy and apparently not smart enough to be a trader because I can’t predict the future. I have noticed in life that the people flaunting their results with the loudest mouths who say the most, have little of value to listen to. Do you really have so few more important things to do that you would rather troll strangers online? If you are as successful as you claim it is not that hard to rationally articulate your views without being a douche. @rustic
My opinion: Since the tsla stock hit over $50 (pre split days) I’ve been hearing about how overpriced it was... then it went to 100...200...300... and then the big shorts took over - every day of the year for almost 2 years... But then “something” happened and it started to climb, seriously climb! If this stock is overpriced it won’t fall by 20-30% ... it will simply collapse! And after everything that we’ve experienced with this company and Elon... I’m sorry I just don’t see it happening. I sold my excess stock when it got to 700 just because it was a great return and because I held my original position. And no, I’m never selling any more of it...
I have been debating selling my individual stock picks and putting it into an S&P fund instead. I feel like I’m too busy with work and life to really know what is going on with these companies at a depth that would warrant owning them individually. The only individual stocks I own are Apple, Activision Blizzard and Costco. I’m in the green on all of these but am being beat by the S&P (since I purchased) on all of them. However tomorrow might put me in the red for Costco. It’s not that I don’t think these companies aren’t good companies still, just trying to think about it from a “best deployment of my capital” perspective. Any constructive thoughts are appreciated.
You know me and the SP500. AND....with ONLY three stocks....it does not seem like you would be giving up much to simply......do the SP500. It is not like you can never go back. Any time you wish.......in the future......you can once again invest in individual stocks. You would own ALL the major tech names as well as the GUTS of AMERICAN business. The SP500 has held up much better than the NASDAQ or NASDAQ 100 during this.....little....correction. The fact that it focuses on the BIG CAP side of things and has a nice dividend on top of it....makes it a little bit safer....in my opinion. I am sure you remember the BET that Warren Buffett made involving the SP500.....if not...or....for any that are not familiar....here is the info below. Just shows that sometimes.....actually often......the simple easy way is the BEST. When my mother-in-law died my sister in law inherited a nice chunk of money......just over $400,000. I told her to simply put it all in the SP500 and let it ride for the long term. She is not interested in managing an account so she wanted something simple. About 6 months later she came to visit and I asked her how her account was doing. The SP500 was kicking butt and I figured she would be really happy. She was BUMMED OUT that her account had done NOTHING over the six months. So we went online and looked at her account.....she had deposited the money....but....did not know that she had to go back online and actually put the funds into the SP500. So she was siting in CASH all that time. She visited about a week ago.....and....I asked her how her account was doing. She said she made enough gain to pay off her condo....but recently moved the money to a number of other investments. I asked her why? WELL.....some boyfriend of a friend where she lives told her she was not diversified enough. I let the conversation drop at that point. BUT in my brain I was thinking......well this is not going to end well.....but ok. AND.....what person thinks that having your money invested in.....500 companies.....the greatest 500 BIG CAP companies in the world........is NOT enough diversification. INSANITY....in my opinion.....but.....I know to not get involved. HERE is the BUFFETT BET: Billionaire Warren Buffett won $2.2 million on a bet and gave it to this charity https://www.cnbc.com/2018/02/16/war...illion-on-a-bet-and-gave-it-to-girls-inc.html "Warren Buffett has shown us once again why he consistently tops the list of the most philanthropic billionaires. On Friday, the Berkshire Hathaway CEO gave $2.2 million to the charity Girls Inc. of Omaha, Nebraska, after winning a 10-year bet that hedge fund managers couldn’t beat the stock market average, reports the Omaha World-Herald. Roberta Wilhelm, the charity’s executive director, says the proceeds will go toward a transitional housing program for young women who are too old to remain in foster care. As described in a 2016 letter to Berkshire Hathaway shareholders, the multi-million dollar wager, which officially ended in December 2017, began in 2007 when Buffett predicted that the S&P 500 stock index would outperform hedge funds. He argued that, over time, active investment management by professionals would under-perform the returns of amateurs who were passively investing. Buffett publicly wagered $500,000 and suggested a 10-year bet. “I then sat back and waited expectantly for a parade of fund managers ... to come forth and defend their occupation,” Buffett writes in the letter. “After all, these managers urged others to bet billions on their abilities. Why should they fear putting a little of their own money on the line?” Only one person took the bet, according to the 2016 letter: Ted Seides, a former co-manager of Protégé Partners, a specialized asset management and advisory firm. In a Bloomberg post, Seides says that the two agreed to the wager, which pitted low-cost S&P 500 index fund returns against a group of Protégé’s handpicked hedge funds. In an emailed statement to CNBC Make It, Buffett’s secretary, Debbie Bosanek, confirmed the news of his win. “I checked with Mr. Buffett and he told me that it’s absolutely certain that he will win the bet, although it won’t be official until January,” she writes. “The money will go to Girls Inc. and it looks like it will be $2 million or so.” The pot was originally $1 million, but several years ago the money was put into Berkshire Hathaway stock. That stock is now worth an estimated $1.7 million. The name of the hedge funds selected by Seides for his side of the bet were not disclosed. The basic terms of the bet are public. By the end of the bet on Dec. 31, $1 million invested in the funds chosen by Seides would have gained $220,000 in the same time period that Buffett’s low-fee investment would have earned $854,000. Buffett’s index investment bet is so far ahead of Seides’ that the hedge fund manager surrendered the wager in May. “For all intents and purposes, the game is over. I lost,” Seides wrote in the Bloomberg post. Seides gives a multitude of reasons for why he lost, including that “passive investing is all the rage today and the S&P 500 is the most popular index.” The money will now support Girl’s Inc. in its efforts to inspire young girls to be “strong, smart, and bold” through direct service and advocacy." MY COMMENT SO......my opinion....the SP500 is a GREAT one stop investment. For those that are busy with life and work and kids and other things.....the perfect single investment with a very LONG track record of great returns. In addition.....someone doing this will probably be able to come back on this thread in 10 years and have........BEATEN.....ALL the various stock pickers and others on here. I am guessing but.....I suspect....that the SP500 INDEX is the MOST USED single investment in 401K accounts and other retirement accounts.
