Down Day in the Market !

[NW-Bound]

Tomorrow, the knife may fall again. You can still catch it then. Heh heh heh...

 

[frayne]

Ah yes, volatility is finally back, hang on boys it's going to be a wild ride from here on out !

 

[audreyh1]

Interesting behind the scenes look at why the volatility was so wild today. And something worse after hours - an ETN shorting the VIX will probably liquidate.
https://www.barrons.com/articles/short-vol-trades-the-risk-we-warned-you-about-1517882936

Looks like good riddance to several instruments that were making the VIX whacky on Monday. The market should not have been that volatile.

It’s always something! Somehow new-fangled derivatives creep back in and cause big market dislocations. https://www.reuters.com/article/us-...n-low-market-volatility-implode-idUSKBN1FQ2GL

 

[DEC-1982]

It seems I look at this news only during the 6 PM news hour. Probably that's best for me.

 

[DrRoy]

Dooh! Shoulda tried to catch the falling knife. What did I do?

Nothing

You did the right thing.

 

[NW-Bound]

Have y'all checked to see how much your stash got trimmed today? I mean to ask the ones who are awake, not the ones who are purportedly sleeping (and would not read this thread anyway).

I have. In dollar amount, it came very close to the drop I suffered on Monday 2011/08/08. On that day, the Dow dropped from 11445 to 10810. That's a drop of 635, or 5.5%.

I had significantly less than I do now, so that dollar amount was a bigger percentage then. Been there, done that. It's still "fun".

PS. On that Monday of 2011, the S&P suffered a 6.67% drop (from 1199 to 1119).

Last night, I discovered that I lost a lot more on Monday 2017/02/05 than my previous personal record on 2011/08/08. The reason: Quicken never can download the price of Berkshire Hathaway and I have to enter it by hand each day. I somehow failed to do that on that day.

With the price corrected, the loss surpassed my previous personal record. Wow! It was in dollar amount, not percentage, but still. Blowing $100K a day like a recent thread asks? Hah! How about day in day out? How many days until it becomes real money?

Darn! Is this not exciting or what? I don't believe people who say they are sleepy or yawning with all this market roiling. I am sure they take a peek every so often.

 

[W2R]

Is this not exciting or what? I don't believe people who say they are sleepy or yawning with all this market roiling. I am sure they take a peek every so often.

Even though I have absolutely no intention of selling or buying in this volatile market, I have been peeking once an hour or even more often. Let's face it, it's extremely entertaining!

 

[kcowan]

I took a peek yesterday and was down 3x Honda Accords.

 

[NW-Bound]

I took a peek yesterday and was down 3x Honda Accords.

The market was up yesterday. So, that must be total from the recent peak.

I would not mind being down only that much, but it was a lot worse.

At this point, I am barely up for the year. Will see when this is all done, how far back into 2017 I get kicked back to. Hopefully, not all the way to 2016. Oh man, that would be mucho, mucho money to give back.

 

[gcgang]

Pretty easy to laugh off when you're playing with house money.

Most big mistakes aren't made until real pain sets in.

Kudos to all who rebalanced and super kud's to those who "won the game" and adopted a more conservative AA

 

[HadEnuff]

I "lost" about 1.5 years living expenses. But what does "lost" really mean in this circumstance? That I wasn't brilliant enough to know that a certain day was the top?

I could have "lost" more by thinking a certain day last summer was the "top"...so it's not really "lost"....yet.

 

[NW-Bound]

Heck, I am greedy and want to keep ALL of the money, mine or the house's. I am just not a good market timer, so have to laugh it off.

By the way, a poster named Done has sent me a suggestion that the problem was likely due to the stock symbol being wrong in my Quicken file. Indeed, it has always been BRK/B as downloaded from my brokerage a long time ago. I cannot remember how long ago it stopped working, but I changed it to BRKB as suggested and it is working now. Thanks.

 

[NW-Bound]

In terms of living expenses, I "lost" almost 3 years of living expenses from the top in Jan 26 (2.5% WR vs. 7.3% gain).

I did sell some in Jan, so have more cash on hand now than I did on Dec 31st. Just throw a bit into the market. Stock AA is currently 65%.

It's still fun. Heh heh heh...

PS. Some stocks have such low trailing P/E compared to the S&P, that I can not resist. Heh heh heh...

 

[foxfirev5]

I just heard on CNBC that someone lost their life savings on one of those 8X VIX inverse whatevers. I guessing they're about 25 years old with $3500.00 invested.

 

[street]

I took a peek yesterday and was down 3x Honda Accords.

LOL! I looked 02/05/18 in the evening and was down 8 Honda Accords plus. That was from the 1st of the 2018 to 02/05/18. LOL I haven't looked since really no need to but interesting never the least.

 

[Done]

the problem was likely due to the stock symbol being wrong in my Quicken file.

Glad it's working now. If you suspect that your manual data is bad or inconsistent, you can delete selected data (maybe choose only the last 5 years) under Update/Edit Price History. Then you can download up to 5 years of quotes under Download Historical Prices.

 

[RobbieB]

I look at the monthly statements that come by snail mail. I did very good in January -

In 30 days I'll see how I did in February.

 

[NW-Bound]

I "lost" about 1.5 years living expenses. But what does "lost" really mean in this circumstance? That I wasn't brilliant enough to know that a certain day was the top?

I could have "lost" more by thinking a certain day last summer was the "top"...so it's not really "lost"....yet.

Very true. Nobody can call the exact top.

However, when the market rose nearly 8% from Jan 2nd to Jan 26th, and on top of the excellent year of 2017, it was greed and FOMO that kept me from offloading some more. No way I would sell everything at any time, nor go all in. But I could have done more trimming, seeing that the market had gone crazy. Craziness is not sustainable.

 

[SumDay]

Kudos to all who rebalanced and super kud's to those who "won the game" and adopted a more conservative AA

Thank you! I woke up on January 16 in a cold sweat, thinking "this simply can't go on forever". So I rebalanced and moved some into cash since we're retiring sometime this year. I hope.

 

[foxfirev5]

LOL! I looked 02/05/18 in the evening and was down 8 Honda Accords plus. That was from the 1st of the 2018 to 02/05/18. LOL I haven't looked since really no need to but interesting never the least.

I guess I'm lucky. I'm only down 2 Lexus LX's.

 

[braumeister]

AFAIK, lots of volatility is one of the hallmarks of the last stages of a bull market, so there shouldn't be any reason for concern. At least in my case. I'm pretty fully invested and don't see any reason to change that now.

 

[NW-Bound]

I am a stock lover, and always see something I want to buy. However, my cash is not unlimited, and on top of that I always like to keep around 30% in cash. Can you see the conflict there?

So, in order to have money to buy when it is down, I need to sell first when it is high.

I want too much? Yes, of course. I have said that I am greedy.

 

[Winemaker]

I'm down a Lamborghini with 2 missing wheels and tires. Hopefully, it'll be 2 Porsches by the end of the week.

 

[street]

I'm down a Lamborghini with 2 missing wheels and tires. Hopefully, it'll be 2 Porsches by the end of the week.

LOL! I'm going to see what the outfit is worth >>> minus the wheels. LOL

 

[Moemg]

I have been profit taking every time I heard the Whee word so I am golden.