Anybody buying on this downturn?

[bjl584]

definitely need dramamine if you are watching the markets today.

[rerod]

Pre-market this morning things are up right now.

Stock rally fizzles after Trump pitches tax cut: March 10, 2020

I still think we are going to see a -20% S&P or more with all the new coronavirus cases.. New York, Tennessee, Iowa. It will be in every state here soon and it's in my county, johnson county.

https://www.nbcnews.com/health/healt...-2020-n1120686

[Captain Save]

Where's all the .. "OMG why are you timing the market" posts... Emotions go both ways... It's funny how the negative feedback is only a 1 way street... is it because you're been indoctrinated?
if you're not a market timer .. you're not a market timer.. if emotions are already rampant now .. imagine when it's lower..

[kork13]

One of my limit orders went through this morning, ~2% off from the closing price yesterday. So I'll chalk that as a win for now... We'll have to see what the future days and weeks hold, but I'll just keep buying through the ups & downs...

Captain Save you make a good point -- definitely some market-timing going on, though we're at least operating under the "buy low/sell high" mantra... Sure, we don't know exactly how low or how long this dip is gonna run. But buying shares at 20%-50% off of their highs for many stocks/funds is indisputably advantageous.

[cypher1]

Where's all the .. "OMG why are you timing the market" posts... Emotions go both ways... It's funny how the negative feedback is only a 1 way street... is it because you're been indoctrinated?
if you're not a market timer .. you're not a market timer.. if emotions are already rampant now .. imagine when it's lower..

I can't speak for the majority of this forum, but I think a lot of us are simply seeing an buying opportunity with certain funds dropping to 50% lower than the last 30 days. As with the idea that in the long run the market will recover. Yes, there is the likelihood of the market continuing to drop even lower, or be the catalyst to the long overdue recession. Otherwise I don't think most of us are focusing on "timing", or at least its not a regular thing for the majority of us.

While a pessimist by nature, and with all the concerns and panic within current events, I am confident we will be fine for the markets and well being as a country. So no, I will not be moving most of my funds to more bonds anytime soon, as my friend advised me to do last week.

[Captain Save]

I can't speak for the majority of this forum, but I think a lot of us are simply seeing an buying opportunity with certain funds dropping to 50% lower than the last 30 days. As with the idea that in the long run the market will recover. Yes, there is the likelihood of the market continuing to drop even lower, or be the catalyst to the long overdue recession. Otherwise I don't think most of us are focusing on "timing", or at least its not a regular thing for the majority of us.

While a pessimist by nature, and with all the concerns and panic within current events, I am confident we will be fine for the markets and well being as a country. So no, I will not be moving most of my funds to more bonds anytime soon, as my friend advised me to do last week.

I see nothing wrong with your strategy .. moreso the rhetoric of "never time the market" and the inconsistencies of people who say they don't time the market always thinking about buying low...

[disneysteve]

Where's all the .. "OMG why are you timing the market" posts.

I don't think taking advantage of opportunities and buying low is what market timing means.

Is Warren Buffet a market timer? He has a bunch of well-known quotes that I think apply here.

1. "Opportunities come infrequently. When it rains gold, put out the bucket, not the thimble."
2. "Widespread fear is your friend as an investor because it serves up bargain purchases."
3. "Whether we're talking about socks or stocks, I like buying quality merchandise when it is marked down."
4. "We simply attempt to be fearful when others are greedy and to be greedy only when others are fearful."
5. "The best thing that happens to us is when a great company gets into temporary trouble...We want to buy them when they're on the operating table."

I'd point to #5 as the key today. I have no doubt that the airlines and cruise lines will recover from the Coronavirus issue. People are not suddenly going to stop flying or cruising. Yes, they'll stop, or at least cut back a lot, until this outbreak is controlled, but then things will get back to normal, just as they did after 9/11. It may take a year or two or three, but I don't think any of us here are talking about flipping these stocks quickly. I know I mentioned that but I'm not actually planning to do it, appealing as it may be. I bought AAL yesterday and it closed up $2.50/share today from my purchase price. I could have sold for an overnight $700+ profit, but I didn't. I'd rather hold on for the long term and wait for it to get back to $30-40 before I sell. I don't care when that is. Not that there would have been anything particularly wrong with pocketing $700 in 24 hours. That just isn't my intention. I wasn't looking for quick money. I was looking to take advantage of a great opportunity.

[Captain Save]

Is Warren Buffet a market timer?
.

Heck yes..

He picks companies that are undervalued...

he is looking for opportunities... that's the exact opposite of putting your money on something that represents the US economy and letting it ride...

Everything has pros and cons...

But you guys seem to live in absolutes.. "this is bad" .. and "that is good" ... and if it 's something you deem positive .. you must put in your "good" box... and since market timing is "bad" .. then Warren Buffett must not be a market timer.

[disneysteve]

Heck yes..

He picks companies that are undervalued...

And then holds them long term. That’s not the definition of market timing. Buy and hold is the opposite of market timing.

[disneysteve]

I don’t think market timing is “bad”. I think market timing doesn’t work most of the time. It’s not a sound long term investment strategy.

[cypher1]

he is looking for opportunities... that's the exact opposite of putting your money on something that represents the US economy and letting it ride...

Everything has pros and cons...

But you guys seem to live in absolutes.. "this is bad" .. and "that is good" ... and if it 's something you deem positive .. you must put in your "good" box... and since market timing is "bad" .. then Warren Buffett must not be a market timer.

Definitely agree with you on everything having pros and cons. Not trying to compare myself to Buffet, but yesterday was the first time I bought individual stocks (2 different airlines). Which I plan to hold onto for the next 2-5 years depending on how they perform.

As for absolutes, I think this "timing" of the market topic follows the famous response of "It depends." Similar to having smart debt of student loans vs CC debts. Or borrowing more than 2.5 times your annual income for a mortgage, with exceptions of high cost of living areas. Or investing in 401K or Roth while still paying off student loans. These may not be the best examples, but the only things I could think of at the moment where exceptions may apply.

[TexasHusker]

Timing “the market” (DJIA, S&P, NASDAQ, whatever) is fool’s gold. “The market” is a bushel of companies. Like a box of legos. Some are winners, some are losers. Over time, the idea is that the tide rises and lifts all of the boats.

Timing your purchase in a company - whether a publicly traded company that you buy shares in or a local company that operates in your hometown, means everything. As does selling.

[rennigade]

I just moved $2500 from my online savings to checking. It will take a day or two to clear then I plan on possibly buying individual stocks...yikes.

[kork13]

3 down, 3 to go -- two more of my limit orders went through today. The last ones need to dip another ~2% to execute. Once those last buys go through (I'm assuming they will, guessing by Friday), I'll have another ~$5k in my settlement account ready to go for the few next rounds. But now that I've started, I'm most likely going to try to keep my purchases relatively moderate & consistent ... ~$1k/week for a while, reassessing as we go.

The nice bit is that I was already planning (since ~Jan) to start buying into all of these ETFs.... I just didn't expect to start doing so until May/June. But the low/volatile values definitely make it appealing to start now. As always, we'll just have to let it ride & see where the roller-coaster takes us!

[kork13]

3 down, 3 to go -- two more of my limit orders went through today. The last ones need to dip another ~2% to execute. Once those last buys go through (I'm assuming they will, guessing by Friday)...

Well, I was right.... The last 3 orders went through today. What shocked me, however, is that they all executed SIGNIFICANTLY (3.7%, 4.1%, and 6.3%) below my limit prices!!! How desperate are people to sell?!?