Posted on 03/12/2020 6:52:16 AM PDT by Bellflower
This economic downturn can become a windfall for wise investors. Are any freepers thinking about, or have already bought stocks that they believe are great investments? Let's take advantage of this downturn while we can. I knew a lady that sold her house to buy stocks during the great depression and became very rich doing so. Let's help each other out with wise investment advice. While others panic we Conservatives can prosper. Even if things get worse and stocks fall, they are likely to rebound greatly. If everything ultimately tanks, which is unlikely, its all a mute point anyway.
+...lol
+...lol
I bought into SPXS when it was $13.05 a few days ago. It’s now hovering around $23.00. It will stop going up when the S&P500 stops going down.
It’s a leveraged, reverse ETF (Exchange Traded Fund).
So for every 10% the S&P 500 goes down, this goes up 30% (3 times as much) calculated daily.
Amazon would have been good for cloud too (their AWS has been making them tons of money lately), except the classing Amazon of selling goods might be hurt. So if you're thinking cloud computing with all the remote work during the mu-mu-mu-my-coronavirus scare, go Microsoft.
I've personally shifted all of my 401K's and Roth IRA's of mine and all my family members back into equity funds. (The last transaction is set up for today.) I've basically been out of equities waiting for the bubble to burst, having much of our money in long term treasuries (which went up bigly both recently and during the 2007-2009 burst, and the 2000-2002 burst). So if I'm wrong and the stock market in general goes down more from here, there's probably not much more in can go down, but a lot it can go back up.
The S and P 500 is currently down 18% from it's all time closing high on Feb. 11. If it goes down as much as it did during the 1987 flash crash from Aug to Sep (33%), it could go down below the 2,400's. So I wouldn't be surprised if that happens. But I'm back to banking long term on gains from this point.
Good observations all. Its a nasty world out there which is why we need to make critical products at home and not be subject to the whims and pressures of other countries.
Relying on China and India for 80% of our meds is sheer insanity.
With respect to the oil issue, that certainly exacerbated the selloff. A bit of a perfect storm for the stock market.
Uncharted territory to be sure, but it hadn’t even gotten bad yet. I would advise people to get into inverse ETFs - it’s still not too late as the bottom will be lower... the storm did not even begin.
At some point, get into regular ETFs for the climb back up.
The cruise industry may very well die a very painful death. Some airlines and airplane manufacturers like Boeing are going to feel pain. Knock-on effect for the energy industry.
Hotels, conventions and tourism...
A very bad torpedo hitting the global economy, the places mentioned above are only the locations of initial impact.
I’m in the SPXS for the foreseeable future and at some point will get into SPX - who knows when that will be. This is a huge ‘RESET’ button being pushed right now.
Purell is privately owned. Gogo Industries.
Correctio: Gojo Industries.
and 3M
This event is a BLACK SWAN.
Some AntiFragile positions are ETFs like:
Ditto on the TVIX. I saw that sucker go from $9 to $1 during a lunch break once. It was something to behold!
Thanks everyone. Some great advice.
Let’s prosper!!!
BFLR
I lost $2000.00 while making a cup of tea. Really.
Last time when they stopped trading on the S&P - I wanted to get out and get back in... I did, walked away to make a cup of tea. Trading had restarted and I had $2000.00 in slippage. OUCH!
I've stopped trying to outsmart the market and will just hold through the ups and downs now.
Most of my retirement is in the SPXS right now. :-|
If so then seize all Chinese-owned properties in the US under the enemy act (just like we did with German properties)
The problem with inverse ETF’s is that you have to accurately time/ID the bottom of the market and bail out. That is difficult to do when you are dealing with such unknowns.
Psst. The Dow is currently at 21,433. How can it take a 25k hit?
That’s the problem with getting sucked in into high dividend payers, most of them will cut it.
Since this is a broad based decline the best bet is to buy the whole market, SPY, QQQ, VTI... That way you don’t have to worry about single stock risk. Once this settles down the whole market will shoot up.
Or if you really want to make a killing, buy call options on those etfs.
The bigger question is, when is the right time to jump in? I don’t think we’ve bottomed out yet, but it’s tough to call the bottom so you have to nibble a bit everytime it goes down big.
Yes, I usually stay away, but in a black swan it’s safer. I got in at 13.05 and tried to time it and got clobbered... still way up.
The bodies are not even piling up yet, so it is not going to get better - don’t get me wrong, I wish it were going to get better, but I don’t see that happening, unfortunately.
At this rate, I’ll be the richest CoronaVirus victim in the graveyard.
That was one I was going to cite. Bought some on the way down. Still looks good.
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