sold all my stocks today

[LegendKiller]

In the first five minutes today the market is up 133 points. July's employment report came in way better than expected and June's figures were also revised upward.

That is not to say all will be roses, but gloom and doom panic is not justified. A decision made in panic is usually a bad one.

And now we are down and getting worse fast. Sure, the NFP numbers were good, sure, US Corps are doing better than 08, but we aren't out of the woods and oil is still really high. Consumer Balance Sheets haven't healed as much and the number of consumers on food stamps (or general aid) and those using their CCs for daily expenses has increased.

As far as being an "all time low", we are only ~9% from the recent peak and almost flat for the year. The only "losses" he will have locked in is if we increase 9% and then, only 9%.

If the upside is 9%, what's the downside? If it is a binary choice and the downside is 9% from here, what are the odds of that considering what's going on in Europe and here in the US. Is it a better than 50% chance we decline more likely than increase in equal proportions?

I do, which is why I also took my money out. It's not a panic sell, it's a logical choice.

As far as being a long-term decision...investing IS a long term decision, but making short-term decisions about moving funds in/out isn't a horrible idea. Sure, you may lose some, but you may not.

 

[Imp]

In the first five minutes today the market is up 133 points. July's employment report came in way better than expected and June's figures were also revised upward.

That is not to say all will be roses, but gloom and doom panic is not justified. A decision made in panic is usually a bad one.

lolzers... I was worried when I saw that the job numbers were reasonable, and the DOW was up at all when I first checked. Thank god those were the 15 minute delay numbers. Logged onto my trading account and boo ya!, everything I sold yesterday is down another 3%!

I also sold most of my stuff yesterday. Here's the logic: why the f*ck would I want to ride it down, if I could sell now, and buy lower? I'm a short term "investor", and I don't want to wait 5 years to get back to par. By selling, I can buy lower, and in 5 years, instead of being at par, I'll actually be up.

Effectively, I'm placing a bet on the market crashing further. A "short" without placing 2 bets (bet 1 is the pull out, bet 2 would be actually shorting).

 

[bruceb]

I added to some positions like: KMP / BKCC / EPD / NLY / DNP all of which pay very nice dividends yesterday. And I also agree, just ride it out. My account took a huge hit in the 2008 downturn, but since I own good, big name companies, it has since come back to where it was before huge sell off. Never sell into a sell off, if you can avoid it. All that does is cause you to lose money. If you really are worried about your stock prices, then when you first buy the stocks, you should set a Stop Loss Order at say 15-20% below your cost. You can also set an Auto Sell Order for when the stock reaches a Preset Value, say 20-30% upside. This will limit your losses, but also limit your gain if you have a stock (like Amazon or Netflix or Apple) that really is going great. You keep an eye on them and adjust your exit points accordingly.

 

[Tequila]

Picked up more CAT, JNJ and OXY. I love the smell of fear. I never sell my dividend paying stocks, I always look for them on sale just like KO last year when it was in the 50s. Buy on the dips, reinvest the dividends... profit.

The only stocks I pay attention to are the small high flyers like HANS, LULU and CMG. Those will give you a heart attack but overall I would have been much better not buying and selling those and just holding them. Already kicking myself for selling 1/3 of my HANS yesterday.

 

[zinfamous]

What?

Then be more careful with your money. If you make so little, how do you even have extra cash to waste on the market?

pomesmithing is not a path to instant success. It takes hard work, dedication, and years of thrifty living to finely craft ones pometry.

 

[AstroManLuca]

Friend of mine sold all his stocks last week. He's feeling pretty happy now.

But yeah you don't want to sell low. The only reason I'd cash out right now is if I was really close to retirement and didn't have enough time to ride out this most recent tumble.

 

[Ns1]

Lol @buy high sell low

Waiting for a bit then shifting all my money into stocks.

 

[IceBergSLiM]

-138

OP you done good.

 

[IceBergSLiM]

Lol @buy high sell low

Waiting for a bit then shifting all my money into stocks.

He didn't indicate when he bought in. Could be a break even sale.

 

[Alienwho]

I was thinking of selling my stocks last week in preparation for this inevitable crash but half of them are tied up in a vanguard IRA and I don't know if I can just sell that off willy nilly. I decided to just brace and not worry since it's a 30 year plan anyway. In fact I hope it crashes really hard so I can max out my IRA contributions this year at a really low point and take advantage of it.

 

[Aharami]

down down down

 

[brianmanahan]

man i am glad i sold now that the credit rating of US goverment went done, i am guessing we will see a drop down to 6000 again and bonds will probably go to basically 0$.

 

[Tea Bag]

the credit rating went done goof'd?

 

[0roo0roo]

the credit rating went done goof'd?

good job tea party...good job.

 

[Imp]

Five figures sitting in cash right now. Boo. Ya.

 

[sunzt]

people should learn about collars.

 

[jman19]

OP is real smrt.

 

[TwiceOver]

Buy gold NOW!!! It is the currency of tomorrow!

 

[jman19]

Wait... "bonds will go to $0?"

 

[Pliablemoose]

I traded $200K worth of stocks today, made about $5K...

It's easy to criticize a stock nooblet, but the reality is that it takes some serious balls to trade stocks (or be near brain dead, I fall into the latter category)

It's really difficult to buy low and sell high, because it just feels wrong to sell a stock that's doing well, and it feels wrong to buy a stock that's going down.

 

[brianmanahan]

Buy gold NOW!!! It is the currency of tomorrow!

im thinking about it but i cannt afford even 1 oz, do they sell it in smaller bits than that?

 

[bruceb]

You do not need to buy actual gold. Buy the SPDR Gold Trust: GLD
It is at $161 per unit currently

 

[brianmanahan]

You do not need to buy actual gold. Buy the SPDR Gold Trust: GLD
It is at $161 per unit currently

but isnt that just a stock of a gold company?

 

[Jaepheth]

people should learn about collars.

Or short butterfly spreads; what with the uncertainty/volatility right now.

 

[bruceb]

No, it is an exchange traded fund.