3309 Drysdale Ct
Edwardsville, IL 62025
Whenever you see that type of price decline and massive jobs are
lost, it is a buy. The money gets made putting everyone back to
work so to speak. Relatively speaking we are now at the other end
of the risk/reward structure for the next few years. Meaning, it is
likely to go higher unless we have another situation that nobody
can plan for. This is why having a plan in place whether you are
trading or investing is so important.
I personally like to trim some things that I bought in the crash
periods whenever we have the euphoria periods and are at new highs.
I will be looking at doing so if the market breaks out and runs up
near the measured target areas. I use that cash for when we get
nice corrections and/or crashes whenever they happen in different
sectors or the markets in general. There are times when I will also
take part of the profits and invest it in a long term growth story
that I can hang onto. Again, I'm looking for healthy discounts when
I enter. It takes patience, just have to take what they give,
whenever they give it. I wrote this to benefit others, though also
as a journal entry to encourage myself to stay with my plan which
has worked for decades.
regarding that big picture chart analysis - just remember those
secular bull runs have 3 - 5 cyclical bear markets - look at
the one in the 50's, you had a 2 year long bear market from 1956 -
1958. To me you have to continue trading your plan and get your
trade signals off MUCH MUCH smaller time frames. that 90 year chart
is more academic - yes if there's a big correction you could
generally guess that it's a buy opportunity but for me I'll get my
actual triggers off daily charts, I'm not going to stay in index
funds and ETF's simply because the secular bull market hints that
it may go on for another 12 years - I'm not willing to hold through
1 - 2 year small bear markets
Absolutley. As well as those nasty 20-30 % quick drops
like we'll probably get in the fall when they raise rates early.
What do you think about the summer doldrums and sell in May ?
Still hold EQ in 401k over summer ?
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