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Posted
I guess that's nice... but who uses index funds, anyway?

 

Who's talking about index funds? I'm just talking about cash vs equities at this point.

Posted

Sitting in cash makes my back hurt. But I'm stuck sitting in cash because my furniture was part of a bonus my TARP-recipient company gave me and well, you know all about why I had to sell that.

Posted

I did move some cash back into stocks when the Dow was around 6,400 in my 401. I wish I'd moved into cash in my IRA, but another couple months of this and I'll be right back in the game. :rolleyes:

Posted
Great, that I didn't lose 85% to gain back 19% :rolleyes:

 

If you lost 85% to begin with you'd better stay in cash for the rest of your investing life. But the problem with people timing the market is that they wait to lose that 50% and then bail. They go to cash and realize that 50% loss and miss out on weeks like the past two. See dpbillsfan above. It's a long race.

Posted
If you lost 85% to begin with you'd better stay in cash for the rest of your investing life. But the problem with people timing the market is that they wait to lose that 50% and then bail. They go to cash and realize that 50% loss and miss out on weeks like the past two. See dpbillsfan above. It's a long race.

 

 

I understand, it's all about when you went to cash that matters. The thing is people who play the market are just like people who play the ponies, they like to talk about it when their number comes through, but they fail to mention all the ones that didn't.

Posted

Those of us who haven't fretted too much about losing 30% since last summer and have no interest in moving out of the market will laugh at this in 10 years...

Posted
Those of us who haven't fretted too much about losing 30% since last summer and have no interest in moving out of the market will laugh at this in 10 years...

 

This is true. Remember that there is no 20 year period in American history where stocks have lost money.

Posted

 

Good! I was primarily in cash since last summer, finally jumped in a few weeks ago before we hit bottom, so most of this rally gets me back to even and then into the positive. I'm very happy with a net gain over the past 12 months.

 

But grabbing GE at 7 was the best (and easiest) decision I made. Not buying more of it was the worst.

Posted
If you lost 85% to begin with you'd better stay in cash for the rest of your investing life. But the problem with people timing the market is that they wait to lose that 50% and then bail. They go to cash and realize that 50% loss and miss out on weeks like the past two. See dpbillsfan above. It's a long race.

 

 

Good thoughts - I really do not care about "timing the market" or a particular stock for that matter. I have a process that I follow and use. Generally speaking when I have followed my process I make money when I don't I have lost money. I believe the "trick" to all of this is to have a system or methodology where you try to take as much emotion out tof the process as you can. To your point, if you are "hanging on" then you have too much of an emotional stake and you are not being objective.

 

Yesterday's market move was not as healthy as some would like to believe as volume was relatively soft and people are rightfully bottom feeding. We are a long ways away from being back to the running of the bulls.

Posted
This is true. Remember that there is no 20 year period in American history where stocks have lost money.

 

And housing prices having always gone up... :rolleyes:

 

Book

Posted
Good! I was primarily in cash since last summer, finally jumped in a few weeks ago before we hit bottom, so most of this rally gets me back to even and then into the positive. I'm very happy with a net gain over the past 12 months.

 

But grabbing GE at 7 was the best (and easiest) decision I made. Not buying more of it was the worst.

you better sell as the S&P closes in on 900. This rally has a little bit of legs to it, but it is just a technical rally in a very oversold market. It was due to bounce, specially with the false euphoria that we are experiencing right now.

 

S&P with in 3 months will back to at least the 740 area and if it breaks that.

 

LOOK OUT BELOW!!

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