Will you hold - if there's a new Covid Crash?

There was an interesting article in the New York Times yesterday or the day before, showing the length of each of 4 pandemic related pullbacks in the stock market. The dips were measured in the number of days it took to come back and then exceed the previous high. In the three dips already recorded, the time to full recovery grew shorter each time, from 25 weeks to 10 weeks to 7 weeks. The last and current dip is only 2+ weeks old at this point and may continue the trend as being shorter than the last.

I'm not sure if the article is behind a paywall. This link may work. https://www.google.com/url?sa=t&sou...gQFnoECAoQAQ&usg=AOvVaw02bwKDvBwLRt3QF0aqOKIa

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One thing I didn’t see mentioned is the tax cost of selling in a taxable account. I thought about selling at various points. However, about half of my assets is in a taxable account. If I sell, in many cases I have a very sizable capital gain which would raise my taxable income significantly. Ouch. So unless I feel there is a reason to sell, I don’t. Just a thought to consider.
 
my post above was the opposite, I won't make any moves. My bad!
I am that boring investor, let it be. I don't even have much cash to use to take advantage of any low, so I have that going for us. :)
 
skyking1 said:
my post above was the opposite, I won't make any moves. My bad!
I am that boring investor, let it be. I don't even have much cash to use to take advantage of any low, so I have that going for us. :)
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Steady as she goes...... Up and down, think about it at a point later on when you need to think about it.
 
As the great Jack Bogle says "Stay the course".

Although my playbook on a down trend is to buy the dip, every 5%.
Roth convert.
Rebalance if it makes sense.

If only I knew BEFORE the dip came, then I might sell high. But I don't sell, I buy. Won't need to sell for at least another 12 years or so.
 
I just BTD with all my cash on the new property, so I can't buy any dips. I might get a few packets of Uncle Dan's, that is about it.
 
Stay the coarse

Stay the Coarse. For me, I invest in ETF’s which provides more control over my finds compared to mutual funds.

When I feel the markets could turn as you suggest I issue a stop sell price on the ETF. Which I have set for all my ETFs and stock funds. Then if the market starts to fall they will all sell before I loose the $ gain I have made. As the ETF grow through out the year I adjust the stop sell price.
 
TimeToRetire said:
Stay the Coarse. For me, I invest in ETF’s which provides more control over my finds compared to mutual funds.

When I feel the markets could turn as you suggest I issue a stop sell price on the ETF. Which I have set for all my ETFs and stock funds. Then if the market starts to fall they will all sell before I loose the $ gain I have made. As the ETF grow through out the year I adjust the stop sell price.
Click to expand...
How do you know when to buy again?
 
aja8888 said:
Secret: When you see blood in the streets! (Buy with both hands):cool:
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Fully agree. I have made my biggest gains by buying in big time at several moments in history of huge negativity. Hard to do, but has to be done.
 
travelover said:
How much blood?
Click to expand...

Here's an idea of how much:

blood.jpeg
 
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