Anyone Buying Into Today's Dip?

[Magus]

Apparently, everyone is buying today. This is so frustrating. There is no basis for what's happened in the stock markets. All I know is fixed income investments, especially bond funds (regardless of duration), seem to have been permanently damaged as a safe asset to hold. They used to be for the period of 2006-2020. Not anymore. Argh!

US Treasuries had strong positive real yields in that time period and the yield trend was down (meaning gain on principal too). US Treasuries have strong negative real yields at the moment even with them losing some value YTD with interest rates likely higher from here. I don't think bonds have been more overvalued in the history of our country than they are currently are - its basically one big giant bet that inflation will return to 2% or lower very quickly.

 

[ExFlyBoy5]

Apparently, everyone is buying today. This is so frustrating. There is no basis for what's happened in the stock markets. All I know is fixed income investments, especially bond funds (regardless of duration), seem to have been permanently damaged as a safe asset to hold. They used to be for the period of 2006-2020. Not anymore. Argh!

There usually isn't.

If you are an INVESTOR, then do that. Watching the markets fluctuate on a minute/hourly/daily/weekly/monthly basis will drive most people mad.

 

[explanade]

I bought last week for my HSA account.

Then also added in a relatively modest of cash into trust account yesterday into funds.

So I would guess they're up after the market turnaround today.

Kind of like sell on the news type of thing?

As long as there are no signs of it spilling into other countries, the market is not necessarily going to sell off because of the war? They night do it for profit taking after these little surges in the market.

There was even some speculation that the Fed might not go as aggressively into rate hikes this year because of this war.

Well unless sanctions and war cause oil and gas prices to spike? Oil was well over $100 at market open this morning but they dropped a little bit now

 

[corn18]

What dip?

 

[audreyh1]

Sure seems to be a lot of significant market impacting factors in play "this time" War, politics, inflation, COVID, the Fed, supply chain issues, etc. OTOH, it often seems that way. Maybe this time it is different... In any case, I'm starting to buy (nibble) my way back in as this chapter plays outs.

I still have sizable unrealized gains in my equity funds, so no tax loss harvesting for me yet…..

 

[Montecfo]

Bought a bunch this morning with Vix at 34.

glad I did.

 

[Pointby2]

Sold my $12k of VTIP in the morning and bought VOO.


I figured I'd be riding that VOO down for a while. What a strange day.

 

[joesxm3]

I was scared, so only bought 30 shares of SQ this morning for $84. Wish I bought more. Up as high as $119 after hours after the earnings call.

I was crapping my pants over the put I sold with $95 strike while it was $82. Now I'm singing "we're in the money". I guess we shall see what it is in the morning. And it is not over until the fat lady sings on March 4 expiration date.

 

[GenXguy]

Were you thinking of this chart I posted a while back?

No, it was actually on another retirement forum years ago, and no graph was posted, just the time periods and the gain/loss. I remember, because it was in response to me posting about a more recent period that was over 10 years. And one of the respondent's periods was much longer, and I was thinking it was around 18 years.


Edit: I actually found the post I was thinking of, and here is what the poster responded with:


Sept 1929 - Sept 1947, -.1% per year or -2% cumulative, with dividends, inflation adjusted. 18 years with negative real return.

Jan 1966 - Jan 1982, -1.4% per year or -20% cumulative, with dividends, inflation adjusted. 16 years with negative real return.

Jan 1906 - Jan 1921, -1.9% per year or -25% cumulative, with dividends, inflation adjusted. 15 years with negative real return.

 

[target2019]

SCHG growth is dipping below -20% this morning.
SCHD value is -9% from its high.
VTI Total US Market is -15% from its high.

I had an interesting day 2-24-22.

SCHG started the day at 135, hit a limit I set of 133, then popped up to 140. That's a range of something like 5% for a broad ETF.

This thread will grow quite long, that is for sure.

 

[NW-Bound]

^^^ Day traders' delight. Not that I know how to do that. Crazy stuff.

We have not had volatility like this for a while, and I perversely like it. It makes life more interesting.

 

[Car-Guy]

I had an interesting day 2-24-22.

SCHG started the day at 135, hit a limit I set of 133, then popped up to 140. That's a range of something like 5% for a broad ETF.

This thread will grow quite long, that is for sure.

Similar here... MSFT (Microsoft) had a swing yesterday of ~$18. I missed the low and high but I was pretty close on both. The only problem is I only bought 350 shares. So I only made a little over 5k on that trade. Still not bad for sitting in my comfortable chair, drinking coffee and watching the talking heads on TV for 5 or 6 hours. Also bought some XOM yesterday too but it didn't do so well. Doesn't matter since it has recovered nicely today and I'm probably going to unload it too, albeit for a smaller profit.

 

[target2019]

^^^ Day traders' delight. Not that I know how to do that. Crazy stuff.

We have not had volatility like this for a while, and I perversely like it. It makes life more interesting.

I am reluctant to admit it, but I am fascinated by the gyrations.

These trades-in-day will be held forever in an IRA. Bogle would admonish me, no doubt, and tell me to accept the end-of-day mutual fund price. But I can't resist the allure of ETF pricing.

 

[target2019]

Similar here... MSFT (Microsoft) had a swing yesterday of ~$18. I missed the low and high but I was pretty close on both. The only problem is I only bought 350 shares. So I only made a little over 5k on that trade. Still not bad for sitting in my comfortable chair, drinking coffee and watching the talking heads on TV for 5 or 6 hours. Also bought some XOM yesterday too but it didn't do so well. Doesn't matter since it has recovered nicely today and I'm probably going to unload it too, albeit for a smaller profit.

To make that 5K you must sell! That reminds me of tax time and seeing a client's wins and losses. All their friends hear about the winnings, but I knew the entire story.

I actually need a 5K withdrawal to checking, but will scoop that from cash. It all feels like winning, but is probably a wash no matter what I do.

 

[Car-Guy]

To make that 5K you must sell! That reminds me of tax time and seeing a client's wins and losses.

And I did sell. And since it's in a tIRA, there's no reporting. And I do have days of loses... Usually I'll hold those until they come back, which can be the next few days or sometimes weeks... Occasionally I'll cut my loses and sell at a loss but honestly that's been the "exception" in the past year.

 

[target2019]

And I did sell. And since it's in a tIRA, there's no reporting.

Ok, you made me jealous.

 

[tmm99]

Going up and up right now...

 

[NW-Bound]

Well, I did not "get to buy" anything as several of my puts are expiring today OTM.

Puts such as HD at 310, MOS at 47, SYY at 83, MU at 87.

It's OK. I keep the cash from the premiums, and am selling again at the same strike price for next week. Not getting rich with these options, but my expenses are a lot less than the money they bring. And that's in addition to the gain from the stocks. Heh heh heh...

PS. I repeatedly said I should refrain from selling puts lest they get assigned and my cash hoard get depleted further. And that I should be selling OTM calls only.

But how could I sell calls at such low prices? So, I sold a few puts. Could not help myself. Heh heh heh...

 

[Time2]

I just did, I sold a week ago Tuesday and bought back today. I got scared back in! I only gained about 2.3% by the out and in, I thought it would have gone down more, but I couldn't wait to see.

 

[finnski1]

^^^ Day traders' delight. Not that I know how to do that. Crazy stuff.

We have not had volatility like this for a while, and I perversely like it. It makes life more interesting.

I guess I perversely like it too. I was amazed at yesterdays turn around.

 

[38Chevy454]

I guess I perversely like it too. I was amazed at yesterdays turn around.

X2 amazed at the volatility and bottom to top range all within the day.

 

[Helen]

The last time I remember seeing swings like this was at the beginning of the high-tech crash.

 

[NW-Bound]

Fear then greed, then fear again... Ad infinitum...

Having watched the market for a couple of decades, I decided not to bother with arguing with the market. It is what it is... I just tried to play contrarian by selling puts and calls alternatively.

I seem to do quite OK for the last few years when I got more active, although the market was bullish ever since the Covid breakout. I will admit that selling puts in a down market is tougher than selling calls in an up market. However, if you don't maintain a symmetry between up and down markets, you may just sell all your stocks via call assignment, and then what do you do with a bag of cash? I've got to hold my nose and to sell OTM puts.

 

[Brat]

With Putin implying a nuclear response I anticipate the market will be down tomorrow. I put in a couple of limit orders in case the market gets really stinky.

 

[aja8888]

With Putin implying a nuclear response I anticipate the market will be down tomorrow. I put in a couple of limit orders in case the market gets really stinky.

Buy or sell?