Tips for surviving a correction

[vbin]

Futures are down on global spread.

[NilesMike]

(03-01-2020, 08:15 PM)vbin Wrote: Futures are down on global spread.

I'm long, shooting to fill the gap.

[fenders53]

(03-01-2020, 08:15 PM)vbin Wrote: Futures are down on global spread.

I've been expecting that all weekend.    It can stop that soon before I run out of shopping money. 

[NilesMike]

Out @ 2950. I'm a sissy. Could only hold for 46 points-LOL

[fenders53]

They'll probably flip three more ties before the open.

[Dividend Watcher]

Nothing to see here, folks. Move along. 

Craziest dead cat bounce I've seen in a while. Pretty disappointing when I entered 6 not-so-lowball limit orders over the weekend and only one executed.

[fenders53]

(03-02-2020, 05:39 PM)Dividend Watcher Wrote: Nothing to see here, folks. Move along. 

Craziest dead cat bounce I've seen in a while. Pretty disappointing when I entered 6 not-so-lowball limit orders over the weekend and only one executed.

When the market gets like this, I hate it when I can't monitor it.  I've been entering very low ball orders, then try to jump in and adjust up a few if it makes sense.  It makes it a little faster with my brokers site.  I had enough cash to make it impossible to manage last week.  I missed some deals for sure.  Of course some of them went lower the next day but we never know that.  

Stocks often dip very low at the open, and back up within a minute.  I don't even know if I could get those shares if I had an order down that low.  I never buy a spike at the open.  Drinking a cup of coffee and observing the first 30 minutes is often the best idea, but we never know.

And the dead cat did more than bounce. I've never seen anything like that. I hope the FED doesn't burn all it's powder at once. The Prez will scream but the market will get over it soon enough.

[Otter]

The S&P 500 sports a TTM P/E ratio of roughly 23 at the moment. The last time interest rates were slashed to zero, the market did not surge in response. TTM P/E actually dipped below 15 for a period.

Just a data point for those trying to estimate valuations in what is becoming an increasingly turbulent market, driven by uncertainty as to risk.

This is not a classic liquidity crisis. Interest rate drops are not going to restart factories/supply chains, resolve demand shocks caused by social distancing (voluntary or government-imposed), or address the many knock-on effects that flow from those issues.

[kblake]

Keep going down market. Another 2000 point loss would be great lol. I sold a lot of equities this morning and am now in 60% cash. I see it get much worse from here on out. Just too many issues to deal with now. I'm not buying until I see things improve in China.

I have a ton of stocks I'm watching but I wont be buying until I see better prices. Like Otter said. We need to get down to more reasonable levels.

GOLD and REITS should do well now in this environment.

[divmenow]

(03-03-2020, 01:51 PM)kblake Wrote: Keep going down market. Another 2000 point loss would be great lol. I sold a lot of equities this morning and am now in 60% cash. I see it get much worse from here on out. Just too many issues to deal with now. I'm not buying until I see things improve in China.

I have a ton of stocks I'm watching but I wont be buying until I see better prices. Like Otter said. We need to get down to more reasonable levels.

GOLD and REITS should do well now in this environment.

Great minds think a like lol. I lightened up as well. I'm not 60% cash but almost 50%. I see a lot of great bargains coming our way.

MMM at $120
IBM at $110
AAPL at $175

[vbin]

Sold apple, pfizer( bought last week). Bought and sold some spy calls thorning aswell.

[fenders53]

(03-03-2020, 02:25 PM)divmenow Wrote:

(03-03-2020, 01:51 PM)kblake Wrote: Keep going down market. Another 2000 point loss would be great lol. I sold a lot of equities this morning and am now in 60% cash. I see it get much worse from here on out. Just too many issues to deal with now. I'm not buying until I see things improve in China.

I have a ton of stocks I'm watching but I wont be buying until I see better prices. Like Otter said. We need to get down to more reasonable levels.

GOLD and REITS should do well now in this environment.

Great minds think a like lol. I lightened up as well. I'm not 60% cash but almost 50%. I see a lot of great bargains coming our way.

MMM at $120
IBM at $110
AAPL at $175

OK stock Swami, how many predictions you got in your crystal ball?  I'll hit you later with a few tickers I need you to call out.     

I don't argue with anything Otter says.  I just know we'll never time the market bottom unless it's blind luck.  I am coming from the opposite direction than many of you guys because I was WAY too cashy.  I couldn't get back in fast or deep enough last January.  Of course I thought there was no rush after that beat down with a V bottom.   I will trade my way in and out of stuff for now some just to take the sting out of some of my way too early buys.  (and it entertains me to be honest).  I have covered calls on a few of my DGI sticks like JNJ, PEP and a few others.  I buy a few back every time the market has a bad day.  Sold a few again yesterday.  Looks like I'm buying back some again tomorrow.