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ruppell
climber
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down 1175 in a day.
thank the piece of sh#t president will take credit for the biglyest drop in history?
While I won't get into a POS POTUS discussion here I will correct some flawed logic.
It's the biggest single POINT drop in history. Not at all unusual since the DOW is higher then it's ever been. Using percentage as a basis it's a 4.6% drop.
In 87 Black Monday produced a single day drop of 22.6% just for comparison.
Is this the end of the drop. Probably not. Is this the start of another major recession? Probably not.
Am I still buying. Yep. But I have 20 years until I retire.
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Fritz
Social climber
Choss Creek, ID
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Topic Author's Reply - Feb 5, 2018 - 07:34pm PT
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tradryan! Per your mention: I think Fritz talked about buying Ford Motor Co a long time ago when I was reading through this
It's unlikely I advised buying Ford, even if I was drunk. Heidi drives a F-150 & I have a lot of respect for what the company does, but I always considered them a bad investment (for me) due to my perception of them having a high risk & little reward.
Ruppel! Thanks for sharing your perspective on how this piddily little sell-off ranks vs the 1987 panic.
Keep those lips-stiff lads. This won't be over, until a sudden rebound, that just kills those who paniced & the "market-timers."
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tradryan
Big Wall climber
San Diego
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It's unlikely I advised buying Ford, even if I was drunk.
Fair enough! I swear somebody up thread mentioned it but I'm not about to go read through again. I bought a couple hundred shares for fun and was rather shocked to see it do so well, for a time.
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Jon Beck
Trad climber
Oceanside
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Saw a banner ad on my phone the other day that was pushing bitcoin as a great IRA investment. Yikes!
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JC Marin
Trad climber
CA
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Welcome to the actual Trump economy--wonder why Trump is talking about the stock market today?
We are going to miss the Obama economy for sure...
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matty
Trad climber
under the sea
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Man I bought MCK a couple weeks ago hoping I would make around 10% on what is shaping up to be a shaky year. I hit 14% in 2 weeks.....got greedy and didn't sell (had great momentum)...now it's negative -_-
I believe that if this is how you treat investing you will repeat this fate many more times compared to when come out on top. No one can time the market and those that have tried have all failed given enough time. There is a reason why actively managed funds (and most private accounts) haven't beaten the market average for any significant length of time.
I'm sorry to hear about your (potential) loss and have gotten burned like that a few times myself. I sometimes take a shot on a risky stock, but luckily only with "play" money. This is a small portion of my portofilio (like maybe 1 percent) that I treat like gambling money...I only play with what I can lose.
Buy the whole market and you're guaranteed to get the market average return. Best way to do this is through lost cost index funds and perhaps some individual stocks too...some big companies are nearly an index fund in and of themselves (I looking at you BRKB).
I would highly recommend "the little book of common sense investing" by John Bogle. The author lays down a very convincing investment philosophy for anyone whose goal is long term investment (retirement). The philosophy is supported by logical arguments and tons of data is presented to back it up. Nothing sexy about it, just a boring routine of saving and investing, but historically it has been the most successful way to invest on average.
Maybe you already know all this and I'm just wasting electrons, but maybe not, and perhaps someone else will read it and benefit. Best wishes-
Matt
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Chris Roderick
climber
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I am indeed skeered, somebody hold me please :-(
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Gnome Ofthe Diabase
climber
Out Of Bed
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YES YES BUY FORD
White weirdos with comfy money, the dossier is mostly tru So for those of you, most ?,
who schmucked-up and voted for an oligarchs' stooge
- with more money than smarts too,
you have now to accept that elections have consequences'
The goal was to strip existence of You. - The . . . ? what was it we called it?
middle class
but ya did kill off that pesky death tax,so I guess, Yup, Thank You
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Gary
Social climber
Desolation Basin, Calif.
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Everything is on sale!
Not yet. Wait six months.
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EdwardT
Trad climber
Retired
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Sell on the open?
Good call Gnome.
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Toker Villain
Big Wall climber
Toquerville, Utah
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Huge volume (yesterday's drop wasn't even in the top 20 percentage wise).
I'm looking to dollar cost average if Apple drops to $156.
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Larry Nelson
Social climber
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Hey matty,
Smart advice about the futility of trying to time the market.
I've always seen Wall St as a slot machine... unless you invest for retirement with some diverse funds and ride it through several business cycles.
Real estate is another investment you have to ride through a business cycle or two in order to secure a positive cash flow. Without a juicy pension, just one paid off rental house can make that difference.
ruppell,
Excellent comments for perspective on market corrections.
healyje posted
Looks like the world is in a learning curve of how to deal with volatility driven by high-speed trading. I don't believe we have a very good handle on all the conditions that can trigger instantaneous high trading volumes or when and how humans should intervene.
Thanks for that link healyje
Artificial Intelligence firewalls to oversee the AI trading? Yikes.
We live in interesting times.
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Toker Villain
Big Wall climber
Toquerville, Utah
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Back up 567, but there will be another drop to "test" the bottom, probably soon.
When people are running for the door is a good time to buy.
I got some great deals in '87.
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healyje
Trad climber
Portland, Oregon
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I believe 'ratcheting' (up or down) is kind of built into machine algorithms as they move prices on one hand and then try to take advantage of that same movement on the other.
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john hansen
climber
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"Buy when there is blood in the streets"
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Fritz
Social climber
Choss Creek, ID
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Topic Author's Reply - Feb 8, 2018 - 08:07pm PT
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frostback! Re your thoughts:
guess you can always average down.....
yours in cold eyed, taking-cash-off-the-table in classic bubble territory.
It is important, not to panic & sell in a somewhat different downturn like this.
Stiff upper lips lads, while the market is controlled by fools & computer selling programs.
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Reilly
Mountain climber
The Other Monrovia- CA
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Anybody who didn’t think this was coming deserves a good whip-sawing. I honestly thought it
would come later this year but, having prepared for it, I’m enjoying all the wailing and gnashing
of teeth. What I’m really pissed about is Volvo messing up my special order for pickup in
Gothenberg. They left me only 14 weeks to make my travel reservations! How rude is that?
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