DOW yesterday and Today

[billethkid]

Looks like somebody will not be going on that second cruise this fall!

Fasten the seat belts we are IN some turbulence!

GooD thing most buildings Are one story.

[dewilson58]

Finally................all those experts predicting a correction for the last two years can say, "I told you."

Great time to buy.

Now let's move forward.

:thumbup:

[justjim]

Stock Market correction is over due according to many experts. Those that "short" the Market will do well and most long term investors will ride it out.

[Boomer]

"Whether we are talking about socks or stocks, I like to buy quality merchandise when it is marked down," said Warren Buffett.

[NotGolfer]

"Some" have said we're in for an economic implosion....bears watching anyway.

[Topspinmo]

So, nobody has been listen to Ron Paul? :shocked:The fed can only prop it for so long?

[rubicon]

Fed fed the market now what? Retirees liked 5% plus interest to balance out their portfolios. Now what? I worked with my advisor on Tuesday to rebalance my portfolio. Just going to hold tight.

[Chi-Town]

Last time we saw 5% was the beginning of 2007. My portfolio got rebalanced Thursday and Friday.

[Topspinmo]

The only ones making money is the advisers and firms the feed your money to. Check fee rate. They NEVER beat index market.:22yikes: at least not for your pocket. News flash the advisers are NOT looking out for your interest.

[Greg Nelson]

guess there will be no house buying in TV right now

[outlaw]

The only ones making money is the advisers and firms the feed your money to. Check fee rate. They NEVER beat index market.:22yikes: at least not for your pocket. News flash the advisers are NOT looking out for your interest.

I agree. Most financial advisers push unsuspecting retail investors into front loaded and high fee funds that, over the long haul, do no better and usually worse than a low fee, no load index fund. I analyzed a friend's portfolio for him, and showed him where is friendly financial adviser had him invested in 10 funds, half of which had front loads, all had high fees compared to Vanguard index funds (or any Vanguard funds for that matter). The real kicker was that he was also paying this adviser $6,000 per year for "account management".

[Callaway Guy]

I told my wife to hide all sharp objects for awhile. Our accounts took a re-adjustment also on Thursday and Friday. Boy, oboy.

[luvmagic2]

Although the market is down 10% from recent highs and down 5.7% over six months, it is unchanged over the past 12 months, up 41.1% over the past three years and up 84.4% over the past five years.....a quote from online USAToday

[Callaway Guy]

Although the market is down 10% from recent highs and down 5.7% over six months, it is unchanged over the past 12 months, up 41.1% over the past three years and up 84.4% over the past five years.....a quote from online USAToday

That makes me feel a little better. At least I'll peek my head out from under the covers now.

[outlaw]

I think it took 25 years for the market to recover after the 1929-32 stock market crash. I hope you all have the industry recommended allocations for retirement periods if you are funding your retirement with investments versus defined benefits pensions/SS. Just sayin'.

[manaboutown]

This belongs in the Investment Talk forum.

[rjm1cc]

Since we can not time the market I think our option is to have a cash reserve that will cover our needs for a couple of years so we do not have to sell stock for living expenses. In the long run if you have a share of stock worth $100 and it falls to $50 for a year or two and then goes up to $150 you are ahead of the game if you did not sell the share at $50.

[rustyp]

Although the market is down 10% from recent highs and down 5.7% over six months, it is unchanged over the past 12 months, up 41.1% over the past three years and up 84.4% over the past five years.....a quote from online USAToday

And it is up a whopping 14% since the peak of 2007 - that's 8 years folks. Love how the brokers always measure from the low. How many of these Einstein's called you on Monday and advised you to get out. I want the names of those guys.

[Biker Dog]

Before you sign on with a "Broker/Adviser" as to see his/her personal portfolio..... They will never show you it.... But they will tell you all about their great trader... That is why I do all my own trading and if I screw up I have no one to blame but myself...

[Boomer]

Another quote from Warren Buffett:

"Look at market fluctuations as your friend rather than your enemy; profit from folly rather than participate in it."

Buffett also said, "Only when the tide goes out, do you discover who's been swimming naked." .................

My absolute favorite Buffett quote is, "Beware of geeks bearing formulas."

[graciegirl]

Boomer? Do people quote Democrats in The Villages?

[Boomer]

Another quote from Warren Buffett:

"Look at market fluctuations as your friend rather than your enemy; profit from folly rather than participate in it."

Buffett also said, "Only when the tide goes out, do you discover who's been swimming naked." .................

My absolute favorite Buffett quote is, "Beware of geeks bearing formulas."



Boomer? Do people quote Democrats in The Villages?


Aw, Gracie, I never really thought about needing to work on-script. Not my style. I just happen to like how that man can turn a phrase.......and buy a company.

[graciegirl]

Aw, Gracie, I never really thought about needing to work on-script. Not my style. i just happen to like how that man can turn a phrase.......and buy a company.



Donald????

[buzzy]

After a slump like this, the brokers and big money management firms typically recommend for the individual investor to buy on the dip. This brings new money into the market, temporarily propping up share prices, so the professionals can sell their shares with some recovery. This cycle repeats as the market falls, and shows up as an extended decline with intervals of saw-tooth spikes. So, buying on a dip is risky in an already overbought market.

[Boomer]

Another quote from Warren Buffett:

"Look at market fluctuations as your friend rather than your enemy; profit from folly rather than participate in it."

Buffett also said, "Only when the tide goes out, do you discover who's been swimming naked." .................

My absolute favorite Buffett quote is, "Beware of geeks bearing formulas."


Boomer? Do people quote Democrats in The Villages?


Aw, Gracie, I never really thought about needing to work on-script. Not my style. I just happen to like how that man can turn a phrase.......and buy a company.

Donald????


Now,now, Gracie, you know full well I meant Warren. You are just bein' your bad self this morning. But I gotta give you credit where it is due. That one-liner was quick and funny.

Peace out.

[rustyp]

After a slump like this, the brokers and big money management firms typically recommend for the individual investor to buy on the dip. This brings new money into the market, temporarily propping up share prices, so the professionals can sell their shares with some recovery. This cycle repeats as the market falls, and shows up as an extended decline with intervals of saw-tooth spikes. So, buying on a dip is risky in an already overbought market.

I agree with you. The S&P PE ratio is around 24 today. The long term mean is around 16. Watch out below.

[billethkid]

Interesting article reviewing different types of investors outlooks:

Markets (http://www.marketwatch.com/story/markets-selloff-reveals-how-youll-react-if-stocks-fall-further-2015-08-23)

[rjm1cc]

Boomer? Do people quote Democrats in The Villages?

Yes it is permitted. You can add a quote from any Democrat to the discussion as we are not talking politics.

[tcxr750]

I'm getting discouraged. When I retired in 1999 I asked for a bond portfolio with 6% yield. The unanimous answer was "you want a diversified portfolio". Since then the fed raised rates, lowered rates, tech bubble, Great Recession,etc. If you live long enough your portfolio will match historical returns. PS. don't forget RMD's at 70 1/2 just to throw thing off track a little more.

[dewilson58]

Here we go again..........a sliding Monday.

[outlaw]

HOLY COW! Hang on for a wild ride.

[Greg Nelson]

lost enough for three TV visits..ugh

[golfing eagles]

just try logging on to Merrill Lynch website. Good luck

[lanemb]

TD Ameritrade is suffering login issues as well.

[billethkid]

Must be from so many trying to get in on the buy action!

[dewilson58]

Time to buy.

[Ecuadog]

Damn. There's no tall buildings that I can jump out of around here.

[dewilson58]

Damn. There's no tall buildings that I can jump out of around here.

The windmill at Brownwood would only hurt yourself.

My Prediction........................The market will be more or less flat today.

:popcorn:

[rexxfan]

Its hard to be calm when everyone around you is in a panic, but that's my strategy. It is also helpful to have prepared a bit (with respect to cash on hand, food supplies, etc.), to be reasonably well diversified (perhaps with some physical assets as well) and to not have a lot of debt. Oh, and turn off the news for a week or two (and resist the temptation to check your account balances every hour on the hour).
--
bc

[outlaw]

Not to worry. I expect the DOW to bottom at around 5000. That's when I'll jump in.

[dewilson58]

Let's make some money today!!

:beer3:

[Boomer]

Maybe it's a good time to plug in a limit price for a stock you think you know pretty well.

Maybe the stock is having a bad quarter and has an ugly PE ratio now, along with being caught in the overall market drop.

Maybe the stock is testing its 52-week low and could (or maybe even should) drop on through it soon.

Maybe the stock pays a tidy dividend and is even one of the Dividend Aristocrats.

Maybe you understand what the company does and think what it does will always need to be done.

Maybe you think it is a stock that, though downright boring most of the time, lets you sleep at night.

And not a maybe, but for sure, I have no idea what I am talking about.

Along with the rest of you....and everybody else -- even though they might claim differently -- .......I am wondering......How low can it go? And is it time to plug in a limit price that feels OK?

[ajbrown]

Not to worry. I expect the DOW to bottom at around 5000. That's when I'll jump in.

Interesting as I was just reading the article below. Just one persons opinion of course, but never heard of the 'q' he talks about on page two.

Dow 5,000? Yes, it could happen - MarketWatch (http://www.marketwatch.com/story/dow-5000-yes-it-could-happen-2015-08-21?page=1)

[outlaw]

Interesting as I was just reading the article below. Just one persons opinion of course, but never heard of the 'q' he talks about on page two.

Dow 5,000? Yes, it could happen - MarketWatch (http://www.marketwatch.com/story/dow-5000-yes-it-could-happen-2015-08-21?page=1)

Q ratio=total market value/total asset value

[Boomer]

When it comes to investing, the most important thing is to know your own tolerance for risk. Know your own instincts and your investment decisions will follow.

It is harder for today's retirees because CDs have no return and probably will not any time soon. I think that is why there are more relatively conservative investors who look for solid dividend payers. But, even so, there are those who choose to remain completely in cash because that is what lets them sleep at night. And, of course, there is the combination decision that is like having a moat.

The media must fill that 24/7 great maw with babble. We can find any opinion we want. But, the bottom line is your own opinion. Know thyself.

[outlaw]

When it comes to investing, the most important thing is to know your own tolerance for risk. Know your own instincts and your investment decisions will follow.

It is harder for today's retirees because CDs have no return and probably will not any time soon. I think that is why there are more relatively conservative investors who look for solid dividend payers. But, even so, there are those who choose to remain completely in cash because that is what lets them sleep at night. And, of course, there is the combination decision that is like having a moat.

The media must fill that 24/7 great maw with babble. We can find any opinion we want. But, the bottom line is your own opinion. Know thyself.

I call it the sleep factor.

[kittygilchrist]

Thank God, I bailed when Greece tanked and China rumbled. Cash is ok.

[rustyp]

Thank God, I bailed when Greece tanked and China rumbled. Cash is ok.

Congratulations. I did the same for the very same reasons. FYI my financial adviser didn't give me a call STILL!

[outlaw]

Let's make some money today!!

:beer3:

That didn't last long.

[golf2140]

Did anyone's F. A. contact them prior to this mess happening. I'm still waiting for a call !!

[billethkid]

If they are doing or have done their job they have already taken action. Most do not respond to what is happening today and try to give one advice for today's roller coaster rides.

How is your portfolio management is set up is a function of ongoing communications with the FA and not what to do about today's wild ride.

If you are fee based the above will have taken care of your strategy.

If you are commission based they aren't going to call you while the roller coaster is flying up and down the steep hills....also think about switching to a fee based FA.

[Boomer]

I am guilty of not paying enough attention. I just discovered that AAPL is a dividend stock. Not overly generous with the payout ratio, but it is something. Dividends that get too high and out-of-kilter bother me, anyway.

AAPL is starting to look a little staid to me. Staid but not too staid. I like that in a stock. I think I will look in at AAPL today, just to see how it is doing in these gyrations.

Disclaimer: This is not a stock tip. I have no credentials, no alphabet after my name. My AAPL comment this morning is only a musing. I know I probably do not have to disclaim because who would ever take stock tips from a screen name on the internet. :shocked:

[gomoho]

If they are doing or have done their job they have already taken action. Most do not respond to what is happening today and try to give one advice for today's roller coaster rides.

How is your portfolio management is set up is a function of ongoing communications with the FA and not what to do about today's wild ride.

If you are fee based the above will have taken care of your strategy.

If you are commission based they aren't going to call you while the roller coaster is flying up and down the steep hills....also think about switching to a fee based FA.

The voice of reason. Only other thing I would add is use a planner not an advisor and be sure they have the CFP designation.

[Gerald]

The market is gambling you can win or loose. You cannot be a winner forever.

[billethkid]

The market is gambling you can win or loose. You cannot be a winner forever.

Depends on when you do what.

The long term investor has only made out well with the stock market.

Just google the markets performance over the last 40 years the only notable direction in the long run is upwards.

And yes one can pick any specific time period and make a case for the downward blips.

[DruannB]

Two weeks ago my new financial advisor said this wouldn't happen. Then it did. I am so glad I only have about 25% of my retirement in the stock market.

[gomoho]

I would be interested if anyone that reacted by selling their stock would be willing to share how much they lost? I chose not to sell and at the lowest I was down about 25k

[rjm1cc]

I would be interested if anyone that reacted by selling their stock would be willing to share how much they lost? I chose not to sell and at the lowest I was down about 25k
Remember you can still owe capital gains tax if sell. I.E. you bought the stock at 10, it went to 100 and fell to 80 so you lost 20. But you also lost the amount of the tax.

[AJ32162]

Remember you can still owe capital gains tax if sell. I.E. you bought the stock at 10, it went to 100 and fell to 80 so you lost 20. But you also lost the amount of the tax.

You only pay capital gains on the dollar amount that exceeds your capital losses. And since the original poster asked about those who sold their positions at a loss, the amount owed in taxes would be zero.

[gomoho]

You only pay capital gains on the dollar amount that exceeds your capital losses. And since the original poster asked about those who sold their positions at a loss, the amount owed in taxes would be zero.

Perhaps I wasn't clear - I'm curious what the overall loss was if they sold, not just capital.