Posted on 11/22/2016 8:41:19 AM PST by SeekAndFind
For the first time in its 120-year history, the Dow Jones industrial average has surpassed 19,000 in intraday trading on Tuesday. Considered one of the world’s best stock market gauges, the Dow shot up 56 points in early Tuesday trading to reach a peak of 19,013.12. Most of the gains are attributed to Boeing.
The Dow Jones Industrial Average just traded to the highest level in history https://t.co/X2728kLLWM pic.twitter.com/5x7N8G0nM2— CNBC (@CNBC) November 22, 2016
The record breaking performance is just the latest in a streak of market indications that investors are bullish on the incoming Trump administration. The S&P also traded at an all-time high Tuesday at 2,200 while Nasdaq also saw record highs. All three indexes closed at record highs last week, as did the small-caps Russell 2000.
"Global equity markets are reacting positively to new all-time highs in the SPX," said Katie Stockton, chief technical strategist at BTIG, in a note. "Momentum is proving strong enough to overrule overbought conditions, so we think it is appropriate to be buying breakouts."
Experts are attributing the stock market gains to Donald Trump’s election victory. Investors are still not certain what his entire policy agenda will be, but they are betting on a much more friendly business environment compared to the current Obama administration.
Reminder: The Dow Jones nosedived 313 points (2.4 percent) the day following Barrack Obama’s 2012 re-election victory.
Investors seem to have more confidence in one leader than the other.
What happened? I heard right before the election, somebody saying the market would tank if Trump won, due to the markets reacting to uncertainty.
And remember on election night, the media were reporting how stock market futures were tanking in the overnight and overseas markets, as election returns came in.
So now we see the market doing well? After we were told the prospect Of a Trump presidency was tanking the markets??? WhT the heck???
Stop paying attention to all those FakeNews sites — you know: CNN, MSNBC, CBS, ABC, NPR. Those guys just make stuff up.
This is a trading market, not a place to park money you don’t know what else to do with (assuming you have any left after 0bama). The “recovery” is still bullshit and America is still broke. There will be a crash or very severe correction at the least, possibly during the Trump administration. People need to be constantly reminded of the economic malpractice that has been going on for 8+ years now, because the Democrats will look to take full advantage of the crash if/when it comes.
all the business news will be negative starting january and after 4 years of depressing stories the dow will be down significntly so the uniparty media candidate can talk about how terrible the economy is.
I never left :-) How long have you been out of the market? What you posted is the classic problem with trying to time markets.
If you invested in the S&P 500 10 years ago and left it alone you would have made 54%. ... and most of that was during an Obama presidency! I would be very interested in any slot machine that can do that. With enough time an investment in the broad market will make money. The key is you need a long period of time to ride out crashes. If one is not willing to let money sit there for 10-40 years you shouldn't invest.
It's tortoise vs hare. There are some who think you have to make or lose money fast in the market (hare) while others boringly plod along and slowly amass wealth (tortoise). A person can't time the market or beat these professionals and their machines. All regular folk can do is regularly invest over long periods of time in a broad array of stocks and bonds (or just cash) and it pays off.
I got back in a few days ago with my old 401(k) even though, age wise, I should be backing out a little. (Granted, I’ve been out a little extra the past couple years). Just wish that the retirement fund at my current job moved a little quicker with the transfers.
On the contrary, this kind of trading makes it easy for the little guy. The market is much more irrational and swings wildly on the smallest news, making it relatively easy to buy low. If an ETF selling off is causing a sector to crash, you can pick the good stocks in that sector and buy them at bargain prices.
If you can do it..... in a few seconds................
It depends. A typical ‘flash crash’ lasts about 15-30 minutes. A real sell-off based on the outlook for a sector takes place over days or weeks. An example of this would be the oil stocks in the first 6 weeks of 2016 - sure, oil went below $30 a barrel, but an integrated major like XOM can still make money, and it was entirely irrational to dump stocks like MPC, since refiners gain from low oil prices.
I had enough oil stocks already, so I bought IP during this crash - dirt cheap.
Wouldn’t Capital gains taxes negate your winnings, er, earnings?...............
You will never get rich if you are afraid of taxes. If I could find a way to make $1 million on one trade, I would gladly pay the tax, which would be about $470,000 in my state. Wouldn’t you?
I’m thinking about investing in coal stocks how does that sound?
True, but I don’t have the worries that brings..............
When the market "nosedived" all the pundits were saying get out. I held firm. Because there have been many instances of calls to get out when the market goes down, only to see it rise to higher levels than before the sell-off. When it goes down, that is the time to buy! Because I held firm, I have seen my holdings rise over the last thirty years. Of course, I balance things out by having cash holdings and other assets, which have not risen as much as stocks. Sometimes I regret not putting it all in stocks, but I'm conservative and not greedy. Letting time work on my behalf, rather than jump in and out which is risky.
“I’m thinking about investing in coal stocks how does that sound?”
If it’s a part of a larger investment basket of funds then perhaps. You might be a bit late to the game. Hard to beat the pro’s & their machines on timing. That’s why I just spread it around in various asset classes and leave it alone. I don’t like all eggs in one basket kind of investing.
But since you asked I saw that KOL has doubled this year ... most of it before the election. Of course it had negative double-digit returns for the previous 5 years. Ouch!
Here is an article from 2012 - three years ago. It is impossible to time these moves.
http://www.fool.com/investing/general/2012/11/18/position-yourself-for-a-coal-recovery.aspx
http://quotes.morningstar.com/chart/etf/chart.action?t=KOL®ion=usa&culture=en_US
not tired of winning
Thanks
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