Dow and Nasdaq are in correction territory, but S&P500 not yet. As I mentioned in my earlier post, I have been spending my $50k+ Astrea VI refund last week to buy various counters, so my main 'warchest' is still intact and ready to be used once S&P500 also hits correction territory, maybe next week. Because my bank accounts have daily fund transfer limits, I am going to do some fund transfers over the weekend so that my trading accounts will be ready for action on Monday.
I don't discount the possibility of Trump trying to make some sort of announcement to soothe the market, but the market might ignore it, especially with S&P 500 valuations still on the richer side.
I bought some ON Holdings because the price crashed so I am even more exposed to the sportswear market. But my main buys will be VWRD and VUSD/LSPU ETFs. I will probably initiate a position in Amazon next week since the price has corrected. As the saying goes, buy what you know (at a good price) and I have Amazon Prime and buy quite a lot of stuff on Amazon.
Wow - this is amazing! You always manage to catch the bottom. How did you do that? Do you have a guidance for deploying War Chest? Appreciate your guidance!
ReplyDeleteHi thinks for your comments T-Minds.
DeleteI honestly just buy the dip and don't care whether it is the bottom or not.
Whether this turns out to be the bottom (unlikely in my view), can only be discerned on hindsight one year later. But in the present, no one can predict. But historically, buying the dip is a good strategy. Last time GFC even if you buy the fake rallies/dead cat bounce, you will still have made money after the market recovered.
A big problem is that high oil prices has real economic effects and increases the risk of recession. Then maybe we will see a 'real' correction.