> 3 days is a crap shoot not short term “investing”.
Perhaps there will be some upticks before the end of the year and a downturn due to profit taking at the beginning of next year. Perhaps the pullback will be survivable. OK.
> Short term “investing” usually means you don’t want to lose what you have which means sell everything and go to cash.
I did not understand. Rephrase please?
> As to what’s going to happen after the first and if or when the Biden puppet takes over, don’t bet against the market. There’ll probably be stimuli up the wazu, and most of that money eventually ends up in the stock market, which is a type of inflation, and which is why bitcoin has gone totally nuts... Have you not noticed that every time a stimulus passes the market goes crazy?
Yes. I think I get most of that. I am wondering if i am missing anything.
> The other thing is that most of the big money in wall street donated/voted for Biden. They will for sure be some of the puppet masters, and they are not into losing money... If there was going to be a “Biden crash” it would have already happened. The market is forward looking.
OK, then the conjecture is or should then be (?) that the market will be relatively stable to moderately positive if trump prevails, and also if biden prevails? (not necessarily disagreeing)
“> Short term “investing” usually means you don’t want to lose what you have which means sell everything and go to cash.
I did not understand. Rephrase please?”
What I mean is that if one had a three day horizon (in other words you don’t want to take any risk with that money between now and the end of the year) the best way to do that is to sell everything and go to cash, especially if you plan on selling on the 1st anyway.
As someone once remarked “It is difficult to make predictions, especially about the future.” Even if it’s only three days.
Whether you should do anything comes down to this.
- Do you think the market (or the stocks you own) are going to go down for an extended period of time after the 1st? If so sell everything now
- If you think it’s going to go up or sideways, don’t do anything.
There is one thing you can do periodically (once a year or six months), and that is rebalancing your portfolio. Sell some of the stocks that have done the best, and buy some of the stocks that are laggards. The idea being that sooner or later high flying stocks will come down and those that haven’t gone up as much will go up. Basically you want to keep the same dollar allocation for each of the stocks.
This type of rebalancing works best for industry sectors (ETFs), it’s more of a crap shoot for individual stocks, where, if an analyst sneezes the stock crashes or goes up.