Stock Market discussion

[FitnessFrenzy]

Strong 3 black crows pattern on the Nasdaq if things stay as they currently are today.

I think we will see a bottom in QQQ soon (Nasdaq). Most of the top companies are profitable. We are not in a situation like the 2000 bubble where most of these companies are not making money. I guess we will see the bottom when some of the high flying names like ARKK and Tesla form a technical bottom.

[Flexacon]

Gamestop looks like it's going retarded again

[FitnessFrenzy]

[IroNat]

The stock market loves Joe Biden.

[El Diablo Blanco]

The stock market loves Joe Bide for giving over a Trillion back to corporations through the bullshit stimulus plan.

fixed

[FitnessFrenzy]

[IroNat]

[El Diablo Blanco]

A big correction is coming.  The government can’t continue to pay out stimulus money and interest rates will rise eventually.  This will set off a tidal wave of RE crashing and the economy tanking.

[MAXX]

Stock market goldrush. It's like in before the 30's depression when the general population started seeing the stock market as a great investment. Then eventually reality hits. The companies are not worth as much as they are pumped up to be.

[FitnessFrenzy]

A big correction is coming.  The government can’t continue to pay out stimulus money and interest rates will rise eventually.  This will set off a tidal wave of RE crashing and the economy tanking.

we just had a 20 - 30% correction in many tech names.
When will the next big corretion come? Nobody knows, but we can guess.

[El Diablo Blanco]

we just had a 20 - 30% correction in many tech names.
When will the next big corretion come? Nobody knows, but we can guess.

Not really, most bounced back because the Fed announced they were leaving interest rates alone and the $1.9T package was passed.  This cannot continue forever.  I'm sure Biden can keep printing money and leave the mess for the next admin so yeah, it can last a couple more years, but the fallout is going to be massive if this keeps up.

[loco]

"The conventional wisdom among bestselling financial writers of the seventies and eighties was that unemployment and recession would get so bad that the fiscal and monetary floodgates would be thrown open to avert depression, bringing on inflation.

To fight it, the Fed would slam on the brakes and throw the country into an even greater slump requiring even more stimulus, causing even worse inflation, requiring even tougher brake slamming...and around and around it would go, inflation, recession, inflation, recession, getting ever worse.

The "malarial economy," Howard Ruff and others dubbed it, alternating chills and fever and, eventually, collapse.  Ruff wrote How to Prosper During the Coming Bad Years and (when they didn't come) Survive and Win in the Inflationary Eighties (which proved to be highly desinflamatory).

Douglas Casey cashed in with Crisis Investing.  Ravi Batra hit #1 in 1987 with The Great Depression of 1990 (unemployment was 5.6% in 1990), the same year James Dale Davison and William Rees-Mogg weighed in with The Great Reckoning: Protecting Yourself in the Coming Depression followed by Blood in the Streets: Investment Profits in a World Gone Mad.

And so it went.  "But there is another scenario which should not be dismissed out hand," I wrote in this space in 1983, "unaccustomed though we've become to improvement: That this decade, if we keep our wits about us, could become what Paul Volcker has called the mirror image of the last one: falling energy prices, falling inflation, falling interest rates, rising productivity, rising real wages, rising employment.  I make no secret of being partial to the optimistic scenario.

I think we've laid a technological base that places us, potentially at least, on the brink of unparalleled prosperity."  And indeed the decade that followed worked out much that way.  (One indicator: The Dow quadrupled.)  And the generally positive trends continued well beyond 1993.  Seven years later, in 2000, unemployment was 4%, the Dow had nearly tripled its quadruple, our National Debt had been shrinking relative to the size of the economy as a whole.

We faced challenges, certainly, and had kicked cans down the road.  But things were looking pretty good.  Then came 2001-2008.  But then came 2009-2015, so things are again looking pretty good."

Andrew Tobias, The Only Investment Guide You'll Ever Need, Publication date : April 26, 2016
https://www.amazon.com/Only-Investment-Guide-Youll-Ever/dp/0544781937/ref=sr_1_1?dchild=1&keywords=The+Only+Investment+Guide+You%27ll+Ever+Need&qid=1614272995&sr=8-1

[FitnessFrenzy]

Not really, most bounced back because the Fed announced they were leaving interest rates alone and the $1.9T package was passed.  This cannot continue forever.  I'm sure Biden can keep printing money and leave the mess for the next admin so yeah, it can last a couple more years, but the fallout is going to be massive if this keeps up.

I am not worried. There are other things to invest in:

- houses (real estate)
- bonds
- gold
- palladium, platinum and other metals
- p2p lending
- unlisted stocks
- venture investments
- art and fine wine

[El Diablo Blanco]

I am not worried. There are other things to invest in:

- houses (real estate)
- bonds
- gold
- palladium, platinum and other metals
- p2p lending
- unlisted stocks
- venture investments
- art and fine wine

accumulate cash, a lot of it.  When the RE and Stock markets crash, which they will because they always do, you'll be able to snatch up a shitload for cheap

[FitnessFrenzy]

accumulate cash, a lot of it.  When the RE and Stock markets crash, which they will because they always do, you'll be able to snatch up a shitload for cheap

I agree.

[loco]

accumulate cash, a lot of it.  When the RE and Stock markets crash, which they will because they always do, you'll be able to snatch up a shitload for cheap

But if RE and the stock market don't crash for years, you lose lots of money to inflation when all that cash could have been working for you and making you lots more cash invested in RE and/or the stock market.

Time in the markets, not timing the markets.  The sooner you expose your money to the markets, the greater your returns.

[IroNat]

Loco is correct.

Keep enough cash on hand for your emergency fund.

If you stay out of the overall market you'll lose.

But you have to weather the coming storm and not panic and sell.  So you need staying power.

A market crash has been predicted for quite a few years.  If you'd stayed in cash after 2008 you'd have missed the huge rise over the past decade.

Expect a crash.  Mentally prepare for it so you don't panic and sell out.  It's going to feel lousy when it hits and you watch your portfolio drop by 50-70%.

If you hang in, the market will come back.  Make take a few years.  All that while you should keep buying more.

However, if you are heavily invested only in a few particular stocks or sectors, there is no assurance they will come back.  Those companies might go down the tubes for good, especially if they are grossly over-valued before the crash. 

[El Diablo Blanco]

We are riding at the top of the market now.  There will still be an uptick because of the stimulus money coming in but it will soon level out.  If the Gov decides they're done with the stimulus expect a big dip.  Don't forget the big money players want this dip.  They've all made huge gains over the last year and know the momentum will slow.  They'll cash out now and buy big on the dip and increase their gains again. Just like every crash, the big money players make it out clean while the average Joe is left wondering what happened to their savings and 401K

[loco]

We are riding at the top of the market now.  There will still be an uptick because of the stimulus money coming in but it will soon level out.  If the Gov decides they're done with the stimulus expect a big dip.  Don't forget the big money players want this dip.  They've all made huge gains over the last year and know the momentum will slow.  They'll cash out now and buy big on the dip and increase their gains again. Just like every crash, the big money players make it out clean while the average Joe is left wondering what happened to their savings and 401K

The average Joe with his 401K can and will get rich and retire comfortably, even early, and you too, if only you pay attention to the posts above and stop listening to the fear mongering, dooms day predictions and pessimism.

[loco]

Loco is correct.

Keep enough cash on hand for your emergency fund.

If you stay out of the overall market you'll lose.

But you have to weather the coming storm and not panic and sell.  So you need staying power.

A market crash has been predicted for quite a few years.  If you'd stayed in cash after 2008 you'd have missed the huge rise over the past decade.

Expect a crash.  Mentally prepare for it so you don't panic and sell out.  It's going to feel lousy when it hits and you watch your portfolio drop by 50-70%.

If you hang in, the market will come back.  Make take a few years.  All that while you should keep buying more.

However, if you are heavily invested only in a few particular stocks or sectors, there is no assurance they will come back.  Those companies might go down the tubes for good, especially if they are grossly over-valued before the crash.

Eggxactly!  All you need is love...and VTSAX.

[Hulkotron]

Diversity (in investments) is our strength.

[Marty Champions]

Who cares

[gib]

We are riding at the top of the market now.  There will still be an uptick because of the stimulus money coming in but it will soon level out.  If the Gov decides they're done with the stimulus expect a big dip.  Don't forget the big money players want this dip.  They've all made huge gains over the last year and know the momentum will slow.  They'll cash out now and buy big on the dip and increase their gains again. Just like every crash, the big money players make it out clean while the average Joe is left wondering what happened to their savings and 401K

The Fed has made it clear the will much rather err on the side of over stimulus (as opposed to being to cautious).

Any significant easing of stimulus, unless accompanied by really strong overall growth, will lead to not just a re-adjustment and re-allocation to value stocks, but also possibly an overall sell-off (tech and growth hit hardest). Such a "taper tantrum" would quite likely be met with, yes, you guessed it, more stimulus...

The saying "Don't fight the Fed" is still very applicable for now.

[El Diablo Blanco]

The Fed has made it clear the will much rather err on the side of over stimulus (as opposed to being to cautious).

Any significant easing of stimulus, unless accompanied by really strong overall growth, will lead to not just a re-adjustment and re-allocation to value stocks, but also possibly an overall sell-off (tech and growth hit hardest). Such a "taper tantrum" would quite likely be met with, yes, you guessed it, more stimulus...

The saying "Don't fight the Fed" is still very applicable for now.

True but the fed can't just keep printing cash and giving it away. Eventually all of that debt will need to be paid off or inflation will be out of control.  What's the answer?  Tax people to death to make the money back?

One day I wish I'd hear the gov say they're going to cut back on Military spending to make up some of the money.

[AbrahamG]

Who cares

Dynamite drop in Monty.