What's Your Move?

[WhatsHisNuts]

This administration is making moves that are directly impacting the price of goods and the stock market. The market will recover, hopefully soon, but what's the plan?

Here's where my head's at:
*The tariffs will get taken off the table once this administration finds a way to spin this into a win. I don't know how it will happen, but I can't see this continuing. Maybe I'mbeing naive but even Trump can't withstand the blowback from a market in free fall.
*Taking money out of the market and redeploying it into other investment vehicles is a bad idea. If you miss out on the rebound day, you'll negatively impact your return in the end.
*I normally like to buy the dip (as I did yesterday), but I don't have enough cash to keep going. I think I'll hold off on any more purchases outside of my 401k.
*If this goes lower tomorrow and next week, I will increase my 401k investment contribution to take advantage of the "sale".
*Still holding on to the I Bonds, and I think I will continue to hold rather than selling. Looks like inflation is ramping back up.

 

[yyz]

I got out of the market right after the election. I havd no intention of jumping back in anytime soon.

 

[WhatsHisNuts]

I got out of the market right after the election. I havd no intention of jumping back in anytime soon.

You could dollar cost average your way back in to take advantage of the "sale" without buying back in too early. Timing the market means you have to be right twice. You got the first part right.

 

[ageecee]

I didn't do nothing i just let it ride. Took a hit the last month but hoping it comes back. NVDA is my biggest holding

 

[WhatsHisNuts]

I didn't do nothing i just let it ride. Took a hit the last month but hoping it comes back. NVDA is my biggest holding

Other than buying while the market is lower, I think this is the right move. Without knowing your situation, I'd be looking to move out of the individual stocks and into total market or S&P500 index funds. If you have held NVDA long enough to experience the huge gains, I'd be looking to take the win and "be the market" rather than trying to "beat the market".

 

[MadJack]

 

[WhatsHisNuts]

This is fucking brutal. Net worth is taking a serious hit. Sequence of return risk is crushing the recently retired that don’t have a cash buffer.

 

[ageecee]

This is fucking brutal. Net worth is taking a serious hit. Sequence of return risk is crushing the recently retired that don’t have a cash buffer.

Futures are tanking might be bad day Monday. Good thing I got 5-6 more years before I need the money

 

[WhatsHisNuts]

Futures are tanking might be bad day Monday. Good thing I got 5-6 more years before I need the money

It's been a bad Monday, for sure. Glad to hear you don't need to tap the losses. This is prime Sequence of Returns Risk in action and demonstrates why having out of market liquidity of at least 1 year (2 is ideal) is critical. Having to tap into a losing portfolio, especially if you are just retired, is an absolute killer.

 

[ageecee]

It's been a bad Monday, for sure. Glad to hear you don't need to tap the losses. This is prime Sequence of Returns Risk in action and demonstrates why having out of market liquidity of at least 1 year (2 is ideal) is critical. Having to tap into a losing portfolio, especially if you are just retired, is an absolute killer.

Yep can’t imagine the people who are about to need that money their portfolio has gone down 15-20% maybe more

 

[yyz]

After 2008, it took several years to get my money back.

 

[ageecee]

After 2008, it took several years to get my money back.

It will come back it always does. How long it takes is the question. Lots of stocks are at bargain prices.

Futures are up again so maybe Tuesday will be a Green Day.

 

[yyz]

It will come back it always does. How long it takes is the question. Lots of stocks are at bargain prices.

Futures are up again so maybe Tuesday will be a Green Day.

The average lunch bucket Joe isn't buying stock. They simply don't have that cash sitting around, and never will in this economy. They invest $50, $100, or $200 a paycheck into an investment plan. So, if their portfolio bounces back in a couple weeks, it's no big deal. If it takes three years, it's a huge deal.

The people who will buy at bargain prices are the same wealthy people whom do it EVERY TIME a republican crashes the economy.

 

[WhatsHisNuts]

This sucks. My company stock is down so far I'm going to start loading up on it for awhile via the 401k program.

Ageecee: NVDA is down 30% YTD.

 

[ageecee]

This sucks. My company stock is down so far I'm going to start loading up on it for awhile via the 401k program.

Ageecee: NVDA is down 30% YTD.

Yep i know oh do i know