Anyone Buying Into Today's Dip?

I placed a limit order on VGT (Vanguard Global Technology) today. FSLEX (Fidelity Select Semiconductors, US), a mutual fund, is on my shopping list.
 
10 am PST Tuesday 11/30 and the market is down 650 points and the trend is downward.

I personally believed it is because what Powell said today:

Powell stated that Fed asset purchases program will end a few month earlier.

IMO....This was predictable with the October inflation of 6.2%.

If the November inflation is more than 6.2%, then this means the inflation trending upward. This will cause the stock market to decline even further.

Like I said, I will pounce when there is a correction of 10% or more. Buying on a 2-1/2% decline last week appears to be premature.
 
I'm surprised there has been little to no mention in the news sources I read about the US government running out of money on Friday. My recollection was that the debt ceiling and overall funding was extended in a stopgap measure about six weeks ago that had a December 3rd date in it.

Perhaps it's a foregone conclusion that some measure will be passed to address it, but typically there is at least an "Oh dear, the government could shut down" article or three. And doubt about what might happen usually roils the stock market somewhat.

I did find this article in Barron's, but again, no mentions in the more popular press: https://www.barrons.com/articles/congress-government-shutdown-funding-debt-ceiling-51638193903

I doubt that this is entirely the reason for today's drop, but it would seem a reasonable possibility that it is a contributing factor.
 
Last edited:
We did another Roth conversion. We decided to go to the top of the 24% bracket. It’ll also cost us another $2,000 or so in IRMAA and a bit of loss in our medical deductions, but looking ahead to RMD time, it’s worth it.
 
Thanks to this thread, I went ahead and did about half of my Roth conversion for the year. Typically I do this too soon, so for those of you relying on me for market timing signals, the market should drop further based on my actions. :flowers:
 
SecondCor521 said:
Thanks to this thread, I went ahead and did about half of my Roth conversion for the year. Typically I do this too soon, so for those of you relying on me for market timing signals, the market should drop further based on my actions. :flowers:
Click to expand...

Thank You! I need to BUY THE DIP!:cool:
 
I think it's 3 things today:
1. Omicron
2. Powell's "taper talk"
3. Debt ceiling (less of a concern I think, but underappreciated)
 
SecondCor521 said:
Thanks to this thread, I went ahead and did about half of my Roth conversion for the year. Typically I do this too soon, so for those of you relying on me for market timing signals, the market should drop further based on my actions. :flowers:
Click to expand...
Had my ol man do a final Roth Conversion on the last dip. Problem was T rowe price took 3 days to do the transfer and they bought in at market close yesterday. So much for timing the market. Wish those transactions happened real time as he missed out on about $400 or 500 of buying lower had it happened real time.

I think algos are taking profits but my guess is it will go back up slightly over the month. No way we see a 10% or 20% drop unless countries and airlines totally shut down again. If that happens I will definitely be buying that dip. Still a strong believer middle class america only has one game in town...equities. Bonds have their place but equities get you to the finish line and many are still in that proverbial rat race.
 
SecondCor521 said:
Thanks to this thread, I went ahead and did about half of my Roth conversion for the year. Typically I do this too soon, so for those of you relying on me for market timing signals, the market should drop further based on my actions. :flowers:
Click to expand...
Our strategy in this recent bull market has been to convert 2/3 of the money almost immediately in the beginning of the year and ending the year doing the final 1/3 of total years conversion on the dip in the last quarter of the year. In reality shoulda just converted it all beginning of the year with equities way above where they were then, we could have converted more shares earlier. Oh well we have similar luck lol. What's that saying...you cant time the markets... Pffft.
 
kgtest said:
Our strategy in this recent bull market has been to convert 2/3 of the money almost immediately in the beginning of the year and ending the year doing the final 1/3 of total years conversion on the dip in the last quarter of the year. In reality shoulda just converted it all beginning of the year with equities way above where they were then, we could have converted more shares earlier. Oh well we have similar luck lol. What's that saying...you cant time the markets... Pffft.
Click to expand...

I think @pb4uski also converts early in the year, based on similar logic.

For me, it's a tradeoff between a few factors:

1. Maybe the market will drop another 5-10% in the next few weeks.
2. Maybe my AGI target and tax planning for this year will change based on new information as time goes by.
3. I need to convert all I want to convert for this tax year by 12/31.

Before pressing the button, I thought about portions of 1/3, 1/2, and 2/3. No real logic or analysis behind 1/2 other than maybe taking the middle option. And from previous math I know it doesn't make much difference in the big scheme of things in my case.

As for the valuation, I submitted it today and Vanguard will price the conversion at NAV at COB today.
 
I have bought H&R Tax program, but have not installed it. I need to run it to see how much tax I want to pay, prior to doing Roth conversion.

Mistiming on Roth conversion does not have that much of an effect, at least compared to trying to buy low.
 
Not yet. My overall portfolios are not down as much as the market. But I have a lot of cash on the side that I may bring into play.
I have noticed that whenever I buy an equity, it seems to go down for a while. But I know I have to just hold on for the ride and all of those went a lot higher later.
 
imnontrad said:
Not yet. My overall portfolios are not down as much as the market. But I have a lot of cash on the side that I may bring into play.
I have noticed that whenever I buy an equity, it seems to go down for a while. But I know I have to just hold on for the ride and all of those went a lot higher later.
Click to expand...
I'm glad to know I'm not the only one that can control global markets by the simple act of buying or selling a security. I've noticed that when I buy, whatever I bought immediately goes down. Vice versa, whenever I sell, guaranteed it will immediately go up. :)
 
ejman said:
I'm glad to know I'm not the only one that can control global markets by the simple act of buying or selling a security. I've noticed that when I buy, whatever I bought immediately goes down. Vice versa, whenever I sell, guaranteed it will immediately go up. :)
Click to expand...


That's why I never go all in and commit all my cash in one shot. I keep dribbling it in, while the market is going down. I cannot single-handedly drive the market to 0. My power is actually limited. At some point, my magic power wears out, and the market has to come back up.

Same with selling. I have found that if I keep selling a stock a piece at a time while it is rising, I cannot drive it up forever. Eventually, it will stall and come back down.
 
Yes

Over the last few days I have been moving into some stock offerings that I have had my eye on, and also added to some ETFs in our IRAs. Have a decent amount still in cash and I have no problem putting it to work in dividend and high dividend paying situations.
 
Hardly a "dip", but yes in general its always nice to accumulate during times of negativity.

To me a "dip" tat would cause a serious re-allocation would be in the 20% range. Other than that, I maintain course and make minor adjustments half yearly
 
Days like that are great for swing traders due to the high volatility. My significant other made over $6k in two hours doing that yesterday. I haven't got the nerve myself but she has an iron will and best yet understands the zen of the trading.

The markets are weird and there are so many things in a state of flux that are destabilizing it is best to stay cash at the end of the market day until it sorts out if that ever happens. One possible example is a war with Russia over Ukraine and its insane policies seem to be the most potentially destabilizing and this is a serious problem that will directly affect both European and US oil supplies. The US is importing roughly 30% of its oil needs from Russia and if they cut us out prices will go nuts. China and Taiwan would also be terrrible and both simultaneously impossible to comprehend.
 
I nibbled on VXF. Not quite 10% off. Before holidays sales are a drug.

A pundit called this the correction before Santa rally. Do you want heads or tails? Yes! Profound pundit.
 
You must log in or register to reply here.

Similar threads

T
Retired 10 years today!
Replies
20
Views
2K
walkinwood
walkinwood
D
Retired in 2017@42
Replies
10
Views
965
Koolau
Koolau
Carpediem
Anyone done a 1031 exchange?
Replies
17
Views
849
Scrapr
Scrapr
M
Real Estate in 2024?
Replies
9
Views
751
DrRoy
DrRoy
R
Pre-FIRE Prep / Check-In
Replies
13
Views
3K
refi
R

Latest posts

Back
Top Bottom