Actually all my orders were executed but it took a half a hour to be reflected on the account. The only problem was an AAPL order that I thought I had at below 99 was executed at 103 since I made the mistake of making it a market order. I was able to get CELG at 93 when it dropped 25 points. Will place several extremely low buy orders just in case this happens again.
O.T.-Why is everybody so upset about the stock market?
- Thread starter RUhasarrived
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Well here we may be seeing that short term bounce I was expecting because of the market being so short term oversold. China cut interest rates, I think most expected it over the weekend but they did it today. So it's a trigger for a bounce.
I don't know that I'd trust any bounce though and whatever bounce occurs may be a good time to get out of a position rather than get in. I may do that with some of the things I nibbled on yesterday.
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Good on you that you were able to get some things cheap. I didn't get so lucky. I couldn't even put an order in let alone execute. I guess you realize you made a mistake with the market order judging by your post, but for others out there my personal bit of advice is never use market orders and always use limit orders. You want to know exactly the price you got in/out of a position and not be left at the mercy of someone else.
Well you'd think that but you never know with electronic/algorithmic trading these "flash crash" type events can happen any time specifically when the market has been as volatile as it has been recently. Worse that happens is you have an order that goes unexecuted but then again you may get lucky. I think it's unlikely but it never hurts to try.
We'll see a bounce in the morning but how long it lasts? Who knows. It may evaporate by the afternoon or it may last a few days/week who knows. I have a hard time thinking it'll be the ultimate bottom though without at least some sort of retest.
Some of the talking heads believe we will retest the lows which might give people the opportunity to buy some more low. However, there are some stocks that are great value even after a small rebound. I look for 52 week lows quality stocks with good dividends: PRU, MET, MMM, GE, JNJ, DIS, T, VZ, PG, BDX in addition to FB, AAPL, CELG, GILD, and more risky stocks but high returns NFLX, GOOG, AMZN. Buy slowly at different levels and long term you will get rich. Patience and don't get greedy
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I tend to think the same as them in this instance. I was kinda hoping for a washout (possible capitulation) in the morning followed by rally in the afternoon. Yesterday seemed like it could have been until it tanked and today with the strong open I don't see it either. Again you never know, but I would have felt better in those type of circumstances for a bottom that could hold longer term.
As to investing/trading, I'm almost always in high quality dividend names. It's always names I'm comfortable averaging down in at certain levels depending on prevailing market conditions and can trade in and out of as well as invest in. Some names I've traded recently in were MCD/WMT/PG on their way down, all names everyone has hated in recent times but I've done okay trading in and out of all of them and even occasionally collected some dividends too. Even the utility sector over the past few years has been a nice place to trade (although those were longer term holds) with everyone's hunt for yield. SO is a name that I've done well in. They're all names I would have been comfortable holding too if need be. If I venture out of that arena the furthest I'll go are things like NKE, DIS, CELG, GILD, GOOG, UA, SBUX and names like that. So you see even when I venture out, it's not far out on the limb, it's the best of breeds in their sectors.
You WON'T see me get into NFLX, AMZN, TSLA, CMG, SHAK and stuff like that. They have great runs up but also great runs down and are too volatile and too far out of my wheelhouse so I steer clear. I also steer clear of the entire financial sector (even names like JPM) after the crisis. I think they're safer and are better regulated but I don't trust them anymore and who knows when the next blow up happens which inevitably does when greed takes over. Like I said above, know your own psychology of what you can handle and act accordingly. That's my psychology.
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About 30%, I moved it to cash for several reasons: cyclical timing -1) the earning season was over and I know the market will go down between the 2-3 months waiting for the next earning news .2) the market was generally high got out of FB, GILD, CELG, AND PRU, MET after the earning but got killed with AAPL because of earning. 3) China had place two major restrictions on their stock market earlier - one being that only certain stocks can be traded 4) Kramer compare this market to 2008 when DIsney went down 15% and said they didn't even lower their estimates and made their quarter. There are signs when to get out of a market but don't do it entirely
I'd be careful to break out the champagne quite yet. I predicted a bounce back on Saturday (read through the thread). There will no doubt be volatility but the long-term trend is :flush:
That's great timing and sound investing. How do you deal with capital gains tax? I have big gains from the last 4 years and don't want to share a third of that with Uncle Sam/Christie.
Well like I said above, I wouldn't trust this morning's rally and that it could evaporate by the afternoon, in the next few days or week. It didn't last the day. I did end up selling those nibbles from yesterday. Tomorrow, I'm not sure what I'll do in terms of buying again but I'm inclined to think I'm gonna end up just taking a step back and not do anything other than maybe throw out some crazy low bids.
Yesterday's reveral and now today's makes me think there's a good chance for it to go quite a bit lower and a deeper correction or bear market is really in the cards. I've always thought 15-20% at least and outside chance for 25% downside and now I'm thinking that even moreso.
Yesterday's reveral and now today's makes me think there's a good chance for it to go quite a bit lower and a deeper correction or bear market is really in the cards. I've always thought 15-20% at least and outside chance for 25% downside and now I'm thinking that even moreso.
Did buy small amount of GILD, AAPL, BDX, PRU AND after market close sold some AAPL, PRU and BDX. Didn't really lose anything. Dow down 15% right now expect 20%. move slowly when buying
It sounds like you are from the beginning of your career. Risking money that will impact your retirement on a "hope" is perhaps not prudent. As you learned, the stock market is not a savings account, and the Fed will not be able to levitate the market forever by printing money. For all of our sakes, I hope your hope is right but I'm not betting money on it.
Don't really pay attention to the Dow, only the S&P. Dow might get the headlines but the S&P is really giving a better gauge of the broad market. They generally move in tandem though but not always. I never take full positions in one shot (no one should really) and am generally conservative in allocating my money even when market conditions aren't as volatile as they are now but thanks for the heads up.
I plan on doing the same things I always doing when trading/investing. It works well for me in general, even during the crisis, and I expect it to do the same now. While I do think this will be a serious correction or even bear market, I don't think it's a financial crisis like that (maybe in China). I'll stick with my high quality dividend paying names (occasional foray outside of that as mentioned above) and allocate judiciously using some charts/tech analysis. Always keep enough dry powder and then ride it out. Whenever the bottom happens, it's likely to be choppy IMO.
I guess the market is just a correction for now. Moved pretty much all In (20%cash). Mostly growth stocks AmZn, Aapl, Fb, Celg, NFLX, Gild, UNH, WBA and Dividend PRU, Bdx, MET, HCP,HCN, GE, WMT. Really cannot get hurt since most were close to 52 week lows.
I wouldn't call the all clear yet. To me you can always get hurt, if Fed decides to raise rates in Sept (I don't think they will) or some news in China came out, anything can cause a shock. 52 week lows can beget new 52 weeks lows. Part of the reason for the runup was that one of the Fed governors made some comments that were a little more dovish. Point is never get complacent.
I did average down those energy positions (XOM/CVX) a couple days ago but I'm not sure the energy fall is over or the market as a whole. Early afternoon yesterday, I had a feel this time would hold a little better than the previous day. I wasn't sure you could expect a replay of the exact same thing the day before plus some margin calls might have been out of the way. I stayed out of the way yesterday like I said I would and have done so today as well. I'm looking on big down days for deals like on the huge drops and reversals down we had. On big up days, I'm less inclined.
I think it has to hold this 1950-1970 area for a bit and then 2000-2030 is the next area of resistance IMO. Even then the 200DMA is in the 2050 area. There was a lot of damage done on the way down and that takes time to repair. I tend to think we won't see any precipitous drops again for awhile but a few weeks or month from now, I wouldn't guarantee it. I don't expect a V bottom and still think at the very least there should be some retest and it could be choppy. IMO these days moves in the market can go violently down and violently up. So the same way I didn't think it was the end of the world 2008 replay on the way down, I also can't say it's the all clear yet on this strong rebound.
In this run up, whether it be short term or long term, those high beta names you have like AMZN, NFLX have so far and will perform well. They were the leaders before the crash and I'd expect people to flock back to them in this run up. However, they'll be hit hard too though if there's another drop. They're too high beta for me though as I said in a post above. The multiples are too rich for me too. I'm always uncomfortable when they get too high. GOOG/FB/NKE/UA/GILD/CELG etc are more my type if I play in growthy type of stocks.
"I guess". . . you say. Absolutely. It's anyone's "guess" what the short-term will be, or the long-term for that matter. How good is your guess per your market positions? You'll know in a decade.
Actually 3.7 might get the fed to raise interest rate which will cause stocks to fall again. Probably strong talk in 2-3 mths to raise rate.
Anyone that believes that the GDP is at 3.7% is akin to the cowardly lion holding his tail and repeating..........."I do believe in spooks." All we are seeing the last couple of days is a dead cat bounce.
What would lead any rationale thinking person to believe the economy is doing well? The manufacturing sector is down; jobs are of the part-time variety almost exclusively in the service sector. Major chains are closing stores and laying off thousands. Unemployment does not include those who have stopped looking for a job, only those collecting unemployment benefits. The real unemployment rate is about 25%. Student debt is at an all-time high and most college grads are living in the basement with their parents.
We have pumped trillions into the economy and the economy is still in the toilet. The Chinese are selling back Treasuries by the millions. The derivative market is out of control, the gold and silver markets are manipulated but yeah otherwise the economy is roaring back.
Lastly, the chance of the Fed raising rates is Zero. The feds raise rates, game over.
What would lead any rationale thinking person to believe the economy is doing well? The manufacturing sector is down; jobs are of the part-time variety almost exclusively in the service sector. Major chains are closing stores and laying off thousands. Unemployment does not include those who have stopped looking for a job, only those collecting unemployment benefits. The real unemployment rate is about 25%. Student debt is at an all-time high and most college grads are living in the basement with their parents.
We have pumped trillions into the economy and the economy is still in the toilet. The Chinese are selling back Treasuries by the millions. The derivative market is out of control, the gold and silver markets are manipulated but yeah otherwise the economy is roaring back.
Lastly, the chance of the Fed raising rates is Zero. The feds raise rates, game over.
http://www.zerohedge.com/news/2015-08-27/its-official-china-confirms-it-has-begun-liquidating-treasuries-warns-Washington
And you were saying..........
China has likely sold somewhere on the order of $100 billion in US Treasurys in the past two weeks alone
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no financial guru, but I don't think the fed will raise rates till the next chance, I think Dec, if at all.....even if the 3.7% figure is off a bit, it should be
good enough to stop a massive sell off in the market....but what do I know?...
It might be best if and when the rates are raised they start with the smallest of increments to help quell fears....I think they have done it that way in the past sometimes.....the market goes down a bit in anticipation of the increase, and then does not react much to a minor bump.
10 yr Treasury yield closed at 2.19%. It was around 2.45% this time last year. Just more facts. Also it said China is selling reserve assets, which includes gold.
