By - scatterblooded
Keep buying those stocks that I believe in, trim or sell off those that I’ve cooled.
Sounds like a solid strategy whether you're expecting a dip or not.
this is what im doing aswell, timing the market is pointless and a waste of time. Time beats timing.
This is good, except it’s framing exactly what is wrong with the market. Maybe it’s my age, but now everyone uses the term “stocks I believe in”, rather than say, “stocks which are undervalued”, or “stocks which are not pricing in growth of a new product”, or “all world market stocks” etc.
Everyone will ask on here what someone’s thought on some super growth stock, and no numbers are ever mentioned. It’s just whether you “believe” that industry is the future or not. That’s scary.
For example, a successful EV industry in 10-20 years has almost no bearing on what price you are paying for any certain EV stock today. So, while people invest their money in what they “believe in”, it lessens the amount of actual due diligence being done and is thrown around simply as a question of faith, and if you aren’t “faithful” you are cast out. Very strange market we are in.
I believe in what you said
Seeing this reminds me that most people don't like the common-sense approaches to anything. Everyone wants the magic bullet or call it what it really is "people trying to figure out a way to overcomplicate shit that's worked before because it can't be that easy but it is"
In the meantime, I need to drink my Acai-Gogi Berry Smoothie that will help me lose 5 pounds by tomorrow.
It’s funny because this is every post on r/stocks nowadays
You buy the dip.
ranch, barbeque, or buffalo sauce?
Bleu cheese is undervalued IMO
You need to be out of market to some extent to be able to buy the dip though. You could use margin if you are otherwise not leveraged to the limit.
Anyway on topic, I loaded on SPY puts on Friday for 50% of my net liquidation value, they are right now 20% in the positive, but let's see what Monday brings. It's a real gamble for me to have so much of portfolio in puts.
I'm just betting that people are way too optimistic about the new variant.
You’re up 20 percent on an amount that’s 50 percent of your portfolio value and you haven’t taken profits?!
Especially on SPY puts 😶
20% is chump change in this market i guess.
The scarier part to me is that half his port is in theta-reliant positions lol.
My mans is fighting against time, as well as an index that literally goes straight up. Which sub am I on again?
Godspeed to you tho, u/productivitydev
Thanks. As said, we'll see. Max I can lose is 0.5x of my portfolio, right, haha?
I don't know. I'm reading those articles about this variant, and none of this seems to make sense. South Africa to me seems to be clearly downplaying... They say it has had only mild effects so far. Okay. Fine. Then they also say that it has been discovered only in unvaccinated so far. That doesn't make sense, as far as I know the original ones in Botswana, were all vaccinated.
Then she says she doesn't understand the knee-jerk travel ban reactions given we don't know how dangerous the variant is yet. What the hell is this? This is exactly the reason why we should do travel bans fucking immediately. We don't know how dangerous it exactly is. We are trying to learn from our past mistakes. She admits they are still looking into it, but given how much more contagious it seems to be, shouldn't we try to stop the spread immediately before it's completely too late? Even if this variant turns out to be totally fine. If it turns out to be hospitalising and deadly, we need to flatten the curve.
And the way she describes the symptoms, doesn't seem very scientific either.
It just makes no sense what she's saying, it only gives me a vibe of downplaying, and I can't just with good mind believe that airplane is 10% full of positive individuals. If this is true and they do have this variant then that sounds really crazy to me.
My puts are next year February, so time as of right this very moment, is not huge deal yet. I might sell them next week, we'll see what happens, I may lose some percentage of course.
I figured SPY could fall a bit more on Monday, but for the same day I'm even actually pretty much, since I lost around 10% of my net liquidation value that I was long with (on margin). I sold a lot of what I had on margin and bought SPY puts.
I wanted to do that already before, buy the puts, but sadly everything already fell before the market open.
So right now I think I'm around 1.2x of my portfolio value long with various tech stocks mostly, and then it's 0.5 of portfolio value in SPY puts.
If the market gaps up Monday morning after people chill out a bit (which is totally likely) you’re going to be fucked before you can even sell those contracts. I wouldn’t have sold stock I own on margin at a loss over one day of FUD. You are in a very high risk situation. Those puts can move 200% of their value in a second. It happened to me this week in my TSLA ccp.
Instead of buying PUTs to cover your whole portfolio consider buying just enough to hedge most of your potential loses next time.
Spy is down 2.2% or so, but 1.75% of that was a pre-market gap down not covered by your puts. There’s plenty of room to gap up and fuck you, I wouldn’t have held contracts that speculative over a weekend.
Market will gap up on Monday.
I rate it at a 50% chance
You haven’t seen all the “Omicron not so bad” pieces this weekend?
Isn't omicron a semiconductor or something?
Yes; ticker is MU
I was on the omicron not so bad train premarket Friday. The market can still go down.
It can go either way. My Friday was a real Red Friday. I had call options ¢4 out of the money that expired on Friday $2 below the money. I'm out everything but $250 I had sitting in $WISH options for next week.
1.2x of your portfolio? Lol
Didn't know the market was open on the weekend.
Always have cash reserves for these very situations, 10% or so
50% of your whole portfolio is cash? Thats heavy! More power to ya but not my strategy.
I keep about 10% cash all times for dipskis
Well…. You should watch the video from the MoH in South Africa.
Why the over reaction this time? SA does not have the economic partnerships EU and CN does.
This variant has been found in other countries. This is not about South Africa itself but the fear that it will spread.
Experience with this virus has led me to believe that governments where the virus tends to start from tend to downplay risks, but I don't think the virus is going to stay in SA, so it's not really related to SA at all, I think it's going or already is in other continents and if it's as contagious as it seems, I'd imagine for winter it would create very high infection rates, forcing many countries into stronger lockdowns etc and cause many logistics issues generally, pressure on hospitals, plus further news might come out that cause panic. The puts I bought are not only bet that SPY will go down, but that there will be a lot more volatility in terms of uncertainty.
From what I’ve seen it’s already in at least 8 countries, and probably didn’t originate in South Africa. Rather, they have one of the most comprehensive microbiology infrastructures in the world, where new variants are often identified before anywhere else. They take samples from everywhere.
Yeah, you probably already know this website, but can keep track of it here:
Anyway reasons for my current SPY puts:
1. Bet that there's high chance SPY might go down further. It has recently only climbed, and there may be more bad news coming out.
2. Hedge against my other stocks.. I do still have quite a lot of other stocks, although if SPY should fall, I should definitely go into positive quite well. I didn't just want to sell everything else I have, it's easier to just buy SPY puts. Although I did sell a lot of what I had on margin.
3. Bet that there might be other odd news coming soon in terms of civil unrest and things like that, there's a lot of protests going on all around the world and it feels like something might give in soon and cause volatility or at least some sort of SPY drop.
There may have been other reasons. Of course, it's a big bet/gamble what I'm doing, and SPY might instead climb for some unknown reason.
If you managed to buy the Put early on the rumor, before the uncertainty was priced in, it's the volatility that's gonna increase your profits the most. I'm all tied up with Rivan puts. Good luck.
By the time I managed to buy the puts, I think they had already climbed by 40% - 60%. I did try buying those puts pre-market, but it didn't work, so yeah. But I'm hoping for uncertainty as well.
Right now I'm thinking the spread of this variant will be immense. I guess another question is how deadly it will be. I don't believe we can know by Monday how deadly it will be so it's bonus points for uncertainty, and we'll see it spreading a lot more before understanding all of that, and I believe it's very contagious, so next week we'll see it spreading a lot. Many countries closing their borders and giving out harsh alerts/warnings. It must dip SP500 at least a little bit or cause uncertainty. If this variant is not deadly at all, but is very contagious, enough to beat delta, then that would actually be really good news, because this could mean it can naturally infect everyone without harsh symptoms and we'll have chance to reach herd immunity. The moment I feel like this could happen I would try to pull around.
Obviously speculation to be taken with grain of salt, but I have to make my investment decisions somehow.
I mean only 2% fall which is 30-45 days and Redditors, people of other forums are somehow so confident it will go back up on Monday. Or well the sentiment among usual forum users and people seems to be that this variant is overblown by media.
Uh...are folks on this sub really dumping 100% of their personal liquidity into the market? E.g. no $1 - $2k safety fund in the bank in case, idk, you need to replace a washing machine or your AC goes out in the middle of the summer?
Not on this maybe, but I also go to r/wallstreetbets.
I do have quite a bit of cash on my usual bank account, enough to easily live 6+ months, but I have a many times higher margin loan than that on my investment account.
My house is paid off, almost my entire paycheck is unaccounted. Which means about 8k a month to toss at whatever. I don't know what 1-2k would do for me.
What dip? SPY dropped 10 points
[Buying the dip….](https://youtu.be/hGeEXrR84XE)
What was that lol
Not sure what you're looking for, I've been buying stocks/leaps that are 20-50% off their highs. The corrections are happening all the time by sector, got to look for the deals.
What sectors do you see dipping currently?
Airlines, cruise lines and travel in general.
Airlines are overvalued actually
Very true considering AAL is at a negative book value at the moment, but considering a majority of companies are grossly overvalued in this market, I don’t think this would be my first worry.
Most small caps basically and companies that have recently IPO’d or SPAC’d in the past year or two. I.e companies not yet profitable or more speculative assets
Wait out monday. Worst case is losing a days worth of gains, best case you avoid what might be a covid panic filled selloff and get some great deals! At the very least, don't buy at open.
Sometimes premarket extends an over correction so buying at the opening can sometimes be a good play.
Yeah, I just think that on monday specifically it might make sense to hold off. It was only a 2% market dip so the risk reward might not be there idk.
I don’t know why people say this is a bargain. Why didn’t they just invest 3 months earlier lmao.
agreed, but there's always new money to throw in. diff scenarios for everyone
Hindsight is always 20/20
I'm new to this, can you explain what this means? Are people thinking it will dip more on Monday or go back up?
Nobody knows. That’s the beauty of it all.
Half of the people believe it’ll continue to go down. Other half believe it’ll go back up. It’s a zero sum game and half the people here will take the other half’s money
It can go up or it can go down, or it might go sideways.
I’d count on a big dip with all the “scary” news.
Next week is going to be horrific. Market hates uncertainty. We will be down 5-8% by week end.
Delta started to take off in the US right around the middle of July -- after the US had come off a bit of a celebratory period of opening everything up due to the vaccines.
SPY reacted by dropping around $15 from a peak of 437 to 422 over the course of a week.
Then it reversed course and it was business as usual.
The news headlines were just as doom-y back then. Stories of immune escape, going back to masking. Feeling like it will never end. Same exact feeling as we're all experiencing right now.
The only way the market tanks 8% in a week is if JPow turns off the printer and interest rates are jacked up.
Uk was down slightly Friday on the back of the new Covid variant, but the Covid news today is significantly worse than yesterday.
I'm expecting all of Europe exchanges down 3% on Monday based on the fact that Europe is already suffering lockdowns and this variant could now keep lockdowns going through the Christmas shopping period.
UK wouldn't surprise me if there's another 3 to 5%, off on Monday. We've been told no more lockdowns, but this variant isn't playing ball and the market isn't going to take it well.
I think the news over the weekend was actually pretty positive. Nobody expected the variant to stay in SA or that it hasn't already travelled. But I did see Pfizer and Moderna both state that they will know in the next 2 weeks how effective their vaccines are against the new variant, and both can have their modified in 6 weeks and out the door at scale in 100 days. Would just be a change to the booster for those already vaxxed. This isn't a big surprise. We're going into the flu vaccine type cycle here where we're going to specialize that year's vaccine to the dominant strain. It's not all doom and gloom.
Pure hope because you want the stock market to go up. Reality is, the outlook for most businesses over the winter is now worse as govts shut down travel and talk about lockdowns.
Average IQ is always 100. That’s how IQ works
Its very obvious you're failing to account for the view taken by world leaders and scientists. Your idiotic view of covid is irrelevant, how Governments respond and the effect on the economy is. Its the economic impact from Government action that the market responds to. If you haven't figured that out, the markets aren't for you. Good luck tomorrow.
Dollar cost average like I been doing.
Keep buying all my life
The only OG way.
Keep buying. I been putting in half my paycheck every week into the market.
Only change is if we have more days where market is down 2-3% might add more aggressively.
Sorry if I'm out of line, but just curious what that amounts to per month and why you prefer to do it weekly over fortnightly or monthly? Do you do DCA and buy weekly even at highs or do you have a cut-off?
Something my father told me: Was the stock market higher in 1984, 85, or 86?
It doesn’t matter, as long as you invest consistently in the general market for a long enough time, you will make money.
Another common phrase for this is ‘time in the market > timing the market’
I know most people in this sub would rather trade, but the success rate is so much higher if you just consistently invest throughout your career.
Fair enough. I'm a long holder on all my securities, I was genuinely just curious about his investment style.
Somebody gets it. Shout out to the OG’s that taught you well.
Half your paycheck is a good size amount. Don’t forget to enjoy life today!
I think ill dip into my emergency fund and buy
2% down from these highs isn’t even a dip for me- let it really start losing steam before you think about it. A market crash could mean your circumstances change (lose job etc)
My job is almost impossible to lose. Im an elevator mechanic in a large city in a union with full seniority.
That defeats the purpose of an emergency fund, but name checks out
A big dip is an emergency
I like you. Do you have a newsletter?
Someone give this man a job on wallstreet asap
3-5% isn't really a big dip... yet. It's +7% more downside to even touch the 200d MA and at that point, it wouldn't even be a big trend break. We're basically still at all time highs. Try 30 to 50%, that's what I'd call a big dip maybe worth tapping emergency funds.
>Try 30 to 50%, that's what I'd call a big dip
I believe that's called a crash.
Sure, one might call it a crash as well. But considering Nasdaq was up around 40% within 12 months, a 30% drop from the top would basically just be +/- 0 YTD. Hardly unheard of. And that's a year after being up 43% after another year of up 35%. QQQ up something like 250% within 5 years.
For a real crash scenario you'd have to look back 20 years at Nasdaq back then: -40% followed by -21% followed by -31%. Right now, we're at -5% from the last all time high. Personally, I'd consider that still well within peak bubble territory.
VTI because I can't be trusted to pick individual stocks anymore and hope my already heavy bags don't get heavier.
I'm down over 9% with the equities I currently own. I shouldn't be allowed to pick individual stocks.
Can I be nosey and ask what stocks you bought?
BA, CPB, VZ, IBM, INTC, DIS, FB, and V. I thought all of them were good.
Mostly just to watch my portfolio dip and wait for it to come back.
Well, also diversification beforehand.
Can't stop buying, won't stop buying
No change. My game plan for investing in general is done under the assumption broad market corrections happen from time to time.
One thing I've been discovering recently is that finding over-valued companies that prematurely mooned (see: HOOD, RIVN, Dee-W-AC) and doing a buy-hold on long-term puts is worth incorporating into long-term strategy.
Keeping an eye out for those kinds of explosions and putting 5-8 percent in puts is a reasonable strategy regardless, but then in market corrections, plays like those can drop harder than the rest of the market and your puts will take the edge off the rest of your red.
Same as before, buy the fear and sell when everyone realizes this is all an over reaction and make out like a bandit.
Nothing. I'll keep investing with each paycheck as I always would. If we drop enough, I'll harvest losses for taxes in my taxable account and buy different funds. It's useless to try to time a bottom. I personally think the fears over the new variant are overblown, but I guess we'll see. If it's completely vaccine resistant, then I guess things could get ugly short term.
Buy the financial stocks.
They have a lot of catalysts to go higher
Which ones are you buying and what are some of the catalysts?
Ally, Citi, blackrock, and the IYG etf. JPM is good too.
The credit spread is going to widen as rates rise, meaning expanding margins. Meanwhile, traditional banks continue to buy back their own shares, because they know they’re undervalued, further growing their intrinsic value.
Owning the banks here is a no-brainer.
Makes sense, thanks!
I like this idea a lot, especially if fears around the new Covid variant are overblown. The reopening and value stocks got pummeled on Friday, but if this variant is a nothing burger then we go back to inflation / rising interest rates fears which is good news for value + financials.
>What's your game plan for a market correction?
Take profits on my short positions. Buy some more of my long term, long positions.
Sell everything, time to panic. The new variant will destroy everything. Stock up on guns, ammo, water bottles, canned food and penicillin. Those will be the only items of value in the upcoming apocalypse.
Toilet paper. Don't forget the toilet paper!
Sweet Jesus how did I forget!
You need like 250 rolls per week, so... stock up!
Especially after Taco Bell
The sandwich heavy portfolio will pay off for the hungry investor
Get cash ready to buy back in to reopening stocks. Easy money here. Anybody who have more than 2 brain cell in their head would had know that micro mutate all the time
Crawl up in the fetal position. Try not to cry. Watch TikTok.
>OTM SPY puts? VIX calls?
You would to have bought those before Thanksgiving. Now, they're too expensive IMO.
>A larger than usual cash position?
This is better IMO if you think there will be a large correction.
Earlier this month I bought 2 VXX calls which were up 400% at close yesterday, and 3 HYG puts which were up 100% at close yesterday. They're 83 and 55 DTE. You're right, I'd buy them at ATH, not right now after a small dip. More or less was just looking for other suggestions that I'd like more than these two positions.
And yes, I'm normally 100% VTI, but right now I'm 50% cash
I buy stocks with every salary I get. Correction or ATH.
Markets don’t normally drop and regain in the fashion that 90% of the current redditors here witnessed almost two years ago. It isn’t simply a buy the dip (oh we got a discount! Could simply be coming back to reality) and win game. 2001, 2007, etc., takes years to recover. Continue your strategy, buy and hold. Buy through whatever drops, and whatever gains. If you are playing with the short term money’s, that’s a whole different game.
A good test of strength, compare you retirement accounts (assuming they are buy and hold mutual funds/ETFs) and see how they compare to whatever taxable account you use to try and buy at “discount”/beat the market” or whatever else these subs are calling it now
The template has been created when a huge drawdown happens.
QE up the ass and bond purchases to pump the market back up.
Once back to normal levels, taper.
I expect downturns to be more aggressive and upturns to be more agressive with the ease of investing now.
Continue to buy VTI (or other ETFs) every month until I die so my kids are sitting on fat stacks
Vti got whacked too Friday. It tanked over 5.50 a share no?
By 2040 when I retire I'll have forgotten this even happened
It dropped about 2%. Not exactly whacked.
Sell covered calls
I am 100% cash, I plan to buy FAS, BBWI, leaps on SPY, and NRGU in 2/3 weeks.
Lol I've been with you for 3 weeks already brother... Prepared to maintain my cash through the new year and more.
What does 2-4% mean when increased rates will inevitably tank growth stocks, which are 20% of the market, by probably 30% lol?
It's a risk, but I'm young and I already beat inflation.
Edit: Bears get downvoted. What's new?
I'm just going to ignore it honestly. I don't have any more spare money to invest and am not really smart enough to time the market. I'll check back in a few months after the correction has passed and reevaluate then.
I’m going long term puts close to the money. I’m looking for the best delta gain vs theta loss for the time as well as IV preferably under 50%. To me we either topped already or will on this next push but I think the next pushwilll be a lower high. So I’m gonna only day trade calls short term and hold puts. I think the nasdaq could lose 50% by 2024 so I’m working with those numbers
It is end of the year. Start selling your losers that you have owned for less than 360 days. This will give you dry powder to deploy. There is no sign of a recession in the US. The Fed is very unlikely to raise interest quickly in 2022. This means any big dip will be short-lived.
Energy and Financials have been the big winners this year. IT was best last year due to COVID. Bet on Energy again in 2022. The sector has been beaten down hard for years. There is more to come.
I keep a solid amount of “cash” in USDC which gives me a nice interest payment of 9%. Gives me a stable income that I can move over in a major pullback. It’s not for everyone but worth looking into. I use voyager for this personally.
Other than that I just keep dca into my positions and indexs.
Just signed up and looking at all of their stuff. 9% interest with no catches seems really good. Do you truth them with your money? So far I've only really been able to trust coinbase
Sell off if I lose past a certain point and swing trade sqqq until things settle
Will just buy more of what goes down the most. My portfolio is all stable blue chip stuff. If it gets in the range of 30+% down then I'll start buying LEAPs.
What kind of meme stocks are you holding that you’re this worried?
You have to look at your positions and ask yourself these questions -
1) if shit goes to hell will this recover and if so how long will it take?
2) if not, how bad will it be? Am I willing to lose it all?
3) how much time do I have in the market?
4) am I too optimistic on the huge gainers?
There is rampant speculation in the markets today. That’s fine, it’s great when it works for you. But in crash those will get slaughtered and may be years before the recover. If that’s 80% of your portfolio then you YOLOd. But if your #2 is a much smaller percentage of your portfolio then maybe you’re ok with just losing it.
If the answer to 3 is “not much” there your ass shouldn’t be speculating in your main account.
If you have time, then your rock solid positions will recover. Be sure to assess them tho - slow movers will take longer and just stabilize. Solid growth plays will recover faster.
For 4, take some profit, especially from the speculation plays and move a bunch to the safer plays.
I plan to do nothing
I keep x% in stocks, x% in bonds, x% in gold and x% in cash. Rebalance as necessary. That’s my “hedge,” and it works pretty well - forces me to buy low(er) and sell high(er). Learned the hard way that hedging via options/shorting is best left to the pros.
I have been saving money the last months, so I guess in the event of a crash I'll cry in the corner for a little and than hit that but button till I'm on instant noodles.
Hold on and buy more.
Camber Energy ($CEI)
Enter a coma, wake me when it is over
Big chunk of cash from selling my house, been Dollar cost averaging into down days for the SPY. Waiting for a big correction to put the rest back in.
Puts on airlines with the new Covid variant
Inflation high and covid stress means only one thing: consumer staples would be a safe bet to park your cash. Don't hold money when inflation is happening unless you are buying toilet paper.
Keep investing in my dividend stocks,
Keep investing in SOXL.
agreed on none of us can predict the future and we've all heard that timing the market is futile. It is all up to the market so I must stay vigilant
Buy literally everything
Especially Vaccine Manufacturer LEAPs
somethings work until they don't
huge amount of dumb money going to get trapped in endless spiral
only the smart money will make money eventually
Yup, I'm up to about 12% cash rn
I'm 100% vanguard ftse-all world so just keep buying forever
I am long with buy on dip strategy for next 10 years. I will only exit if one or more of the following scenario plays out
1. Companies I'm invested in have cash flow issues
2. OR Companies I have invested in have consistently shown poor revenue and profit growth (either negative or less than 5%) for 8 quarters or more
3. OR Companies I have invested in have management issues
Try to justify averaging down my cruise and airline stocks. Then cry.
Depends on the stock. I don't mind when they stock goes down especially if they don't cut the dividend. I get to buy more shares at a lower price. I'm long on almost every position so my tax base is much lower but still the 15% plus the 4.3% state thats a 19.3% savings by not selling. Its only worth it if you know you are going to get a 30% reduction. The money is there to pay the taxes and gain. Short positions I'd need a 36.3% change just to pay the taxes.
The same thing I've been doing for the last year, hedging against the inevitable correction that's coming.
Oil and commodities.
Time in the market. Buy and hold companies you believe in long term, or buy ETFs to help hedge against individual poor performers. If you minded out on the 10 best trading days in the last 20 years (assuming you only held S&P 500 ETF), your annualized return would have gone from 6% to 2.4%(also known as losing over 50% of possible returns!) Buy and hold, and dollar cost average. That is and will always be my long term investment plan!
Didn't think last major crash take 7 years to recover from? Just asking an honest q
Not sure the specifics, but that's part of the reason dollar cost averaging is so great. Even if you do take a big hit, it's only a loss if you actually sell it. You are also buying in at different prices, so your taking advantage of small moves up and down to minimize your losses!
Don't invest anything you can't afford to lose, and you can typically hold on to it long enough to get through any dips or large corrections!
Yea that's the hard part is unless you're rich I don't think many can afford to lose hard earned money. I know I took a massive hit Friday and weekend before. Little panicked worried myself
It is unfortunately an inherent risk whenever you're investing. It's only a loss if you sell it, so do what you can to hold it and ride it out!
I appreciate the advice
Sticking with investment in electric cars, charging stations, lithium, solar, wind. These things have gained traction and will no doubt grow over time.
yup. There just isn't enough supply. I think if QS pulls it off we see one of the craziest rallies in history,
Buy cheap and hope it’s not the BIG one we are bound to get eventually
Someone say cock?
Find a singular stock with negative beta that may also be an idiosyncratic risk to the market. Once this stock is found I’d go all in and hold but this isn’t advise of any kind
What have you found?
There is only one, the company I speak of has poached many top executives from Amazon, apple chewy ect
I thought this was about how to invest in stocks not have a mental breakdown every bear ride.
I have almost entirely withdrawn to cash and I’m honestly rooting for a general collapse so I can get some good discounts on long term holds instead of doing short meme plays all the time
Hold Gold 🥱
Market has already corrected and most stocks saw their 52 week low recently. Only a few stocks move the SPY. I would buy whatever you can afford.
buy the dip
I have divided my investments into three parts. The first is made up of my long-term, dividend paying investments. The second part is the stuff that I feel comfortable trading daily. I try to make at least 5% profit on any given day. Mind you, I'm day trading with $50K to $100K each day. The third part consists of keeping enough cash aside for options trading. That strategy has been working very well for me lately.
> I try to make at least 5% profit on any given day. Mind you, I'm day trading with $50K to $100K each day
(5% of 50k) = 2500
260 * 2500 = 650000 (1/3=216666)
50 * 2500 = 125000 2500 a week (1/3=41666)
At least huh?
Damn so you double your portfolio every single month? That’s impressive!
Yes. I made $11K on Friday.
Existing overpriced positions: figure out where they can fall too, what you might lose. Calculate delta. Calculate required gains from put options that satisfy that delta for your expected time frame, buy puts to hedge.
Buy dip for new long positions.
Don't buy more to average down on Existing stocks unless you have massive conviction to that stock. Diversify.
Roll my TSP and Annuity plan into the S&P after the crash
I've been trying to hold some conservative PUT options as a hedge. The idea being, I believe that they will retain value and replace them before they decay too much. In a real market crash they would be worth a LOT more and offset losses. Without a market crash I would not be risking a lot.