January was a real kick in the teeth!

[Tadpole]

I imagine we will finally know what causes direct hits by asteroids.

 

[easysurfer]

A stock market drop of 50% or more could be considered a once in a lifetime event. Now we had two in one decade. Could we be heading for a third historical decline within 15 years?

I'm optimistic. After all, markets tend to go up during an election year.

 

[W2R]

NASA... says there's 'no possibility' asteroid TX68 will hit Earth next month

Of course not....

From the link below,

The asteroid’s orbit is highly uncertain (condition code 7) and it will be hard to predict where to look for it, experts say.

NASA Warns That ‘Closest-Ever’ Asteroid Will Pass Earth Next Month | Your News Wire

Better spend March 5th hiding in somebody's basement!

We don't have basements here, but then if an asteroid fell in New Orleans I doubt anyone would notice the damage.

 

[marko]

My dad had dementia and one gun ... somewhere. I live in his house and to this day, 13 years after his death, I still haven't found it.

Interesting...just last month I found my Dad's two guns after 35 years. In the back of an old closet at my Mom's.

 

[ejman]

I'm optimistic. After all, markets tend to go up during an election year.

Me too. Then I remember 2008. Then I think that an extended period of contemplating my belly button lint might be in order. But then if this keeps going I may have to actually do something and rebalance!

 

[ripper1]

Anybody getting close to their reballancing bands?

 

[easysurfer]

Anybody getting close to their reballancing bands?

I'm just glad I already rebalanced in January .

 

[JoeWras]

This is exactly why putting it on autopilot every month makes so much sense to me. We invest every month on the 1st and 15th. It takes no nerve whatsoever!

Well, I have a calendar pop up to tell me to do so. Not automatic investment yet. Maybe I should... but I have enough other auto-investing through my 401k in my OMY years.

I consider my out of 401k flexible. Right now, I'm actually increasing the amount per month I'm putting into equities in order to rebalance my overall portfolio.

Still takes some nerve. As someone else said, "I have to hold my nose because it smells" or something like that. Especially the international allocation.

 

[ripper1]

QE4......

 

[ejman]

Anybody getting close to their reballancing bands?

My AA tends to move slowly between my rebalance band because close to half of my liquid NW is in Wellesley/Wellington/Van Ret Income which automatically rebalance but it's getting closer...

 

[JoeWras]

Anybody getting close to their reballancing bands?

Since I'm OMY, I'm still making some money and inveseting. My rebalancing consists of new purchases to keep the proportion good. It is 100% equities now.

 

[W2R]

Anybody getting close to their reballancing bands?

Getting closer. Equities are 42.7%, and they need to get below 42.5%. Maybe soon.

 

[marko]

Anybody getting close to their reballancing bands?

At this rate, maybe by noon. Or after lunch.

 

[sengsational]

Although I made an off the cuff and wildly optimistic prediction in another thread a while back, it looks like we're headed for S&P 1200 before it starts back to the 2000 range. It will probably take 3 years before it really finds the bottom, and take another 4 to break it's nominal May 2015 level. Maybe I'm nutz. I hope so.

 

[FIREd]

I have just reached my rebalancing band. If I do rebalance, I'll have to throw six figures in Vanguard Total Stock Market Index Fund.

 

[REWahoo]

I have just reached my rebalancing band. If I do rebalance, I'll have to throw six figures in Vanguard Total Stock Market Index Fund.

Someday, if you live long enough, you'll wish you'd bought more.

 

[Another Reader]

20 price alerts at Fido, not one has triggered yet. Yawn.

 

[golfnut]

February is shaping up to be a good kick in the nads!

 

[Frankie1926]

I follow a bunch of chartists. Fidelity's Jurien Timmer for one (though I'm not a Fido customer).

General chart consensus is a nice rally starting 4-8 weeks from now....till then, pain

From your lips to gods ears!


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[Frankie1926]

You know, the worst kick is with early retirement we have to learn how to deal with this kind of volatility for decades. My Dad is 92, has a pension and CD's and sleeps very well, our lives are a wee bit different...


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[papadad111]

Relax. Stay calm. We've not seen a knee knocking sell off beyond 10 percent for years.

Let's get down to 1750 or 1680. It's good for the market.

 

[MichaelB]

You Are Owed Nothing

A very timely essay on investing. You Are Owed Nothing – The Irrelevant Investor

The conclusion

As you’re probably painfully aware, the S&P 500 hasn’t made any progress over the last two years. If you’re feeling a little frustrated, I have some bad news for you, this is how stocks work. The stock market doesn’t owe you anything. It doesn’t care that you’re about to retire. It doesn’t care that you’re funding your child’s education. It doesn’t care about your wants and needs or your hopes and dreams.

I absolutely believe that stocks are the best game in town. I don’t think there is a better way for the average investor to grow their wealth. However, this is called investing and the price of admission is gut wrenching drawdowns and sometimes years and years with nothing to show for it. If you can accept that this is the way things work, you can be an enormously successful investor.

 

[RenoJay]

"I looked at a historical PE chart and this market isn't close to being a bargain, in fact it is still rather high. Im sure pitiful bond yields are providing some price support though. I need 10% more down before I go back in. Of course if it does drop 10%, I will wait for 15% and miss the train pulling away from the station."

Couldn't get the quote thing to work. Anyway, I did some research. In the past 20ish years, when the CAPE (Shiller PE) gets to around 20, it's been a pretty good time to buy, even though the long term historical average is around 15. I believe current CAPE on S&P 500 is ~23. With another 10-15% drop, I'll be buying.


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[ripper1]

wheeeee...........S and P up 36........Wheeeeeee.......on the way down 50 on Monday.

 

[ripper1]

My bad....I mean Tuesday.