Well, wasn't today special. I've got a full plate tonight and I'm busier than a long tailed cat in a rocking chair factory. But I've had the time to set up the trade to go to 80% cash in the 401a at the close of the market tomorrow. I expect to check the market at lunch tomorrow and decide whether to let the trade trigger. There's always the chance for a miracle. But I'll most likely let the trade go through.
I've been 100% long at times since 9/04 and mostly very heavily long most of the time.
I expect to balance my WFO long positions when the market is red hot with my best tortoise imitation when the market is not, or in the bomb shelter when the market is looking for blood...like now.
I've got the ways and means to put it all back in the market in a day if it works out to be the best thing to do. So I'm not risking much opportunity to be out of the market for a day, a week , a month or longer at this point, and I'm definitely avoiding falling stocks when I'm mostly cash. I'm focussed on keeping what I've earned since 9/04 and not leaving any more money than I have to on the table...
This ain't my first dance and I understand that stocks aren't GDP futures and are on occasion only tenatively related to the state of the country's or the company's business. So it ain't necessarily the end of life as we know it. Although it might be. It definitely is a smoking crater. I'll hafta see what it looks like down the road. So I've got a mission and a plan and the mindset to see it through. And I'll write about it here. See ya at the hall.
2/28/07
We had a bounce. Looking at my IRA's and my trading acount and the 401a, I'm unimpressed. The bleeding stopped, but the bounce may be a dead cat (parrot) variety. The market character has changed. Since summer of last year, anything but blind commitment to buying and holding made you a loser. Yesterday that changed. I suspect a lot of investors/traders still want out and are waiting to get even before they leave. I think they will capitulate over the next month or so and sell, especially if the market drifts down... I think there will be mutual fund redemptions coming in over the transom this weekend. More selling Monday. I've got a lot of buying power and after the selling stops, whenever that is, I'm going to use the buying power to start the whole investing/trading process over again.
Or, there's many tons of US investor money overseas. (More about this this weekend) If that money comes back immediately and goes into the domestic market, it might counter the selling and send the market up bigtime. In that case, I'm back in as soon as the money shows up and the market lifts. There's a lot of different possibilities. I think about them all, but I only play the ones that actually happen.
My returns on my 401a are excellent. It looks like they would have been even better if I'd just dumped all my money into the Aggressive Portfolio and left it alone. But there are times when I feel real cautious. Like when I went partially to cash January 10TH. So I act on it and sell. It's cost me some money each time I did that before. Regardless, I think it's the right thing to do. Let's see how it works out this time
[ view entry ] ( 921 views ) [ 0 trackbacks ] permalink I've been 100% long at times since 9/04 and mostly very heavily long most of the time.
I expect to balance my WFO long positions when the market is red hot with my best tortoise imitation when the market is not, or in the bomb shelter when the market is looking for blood...like now.
I've got the ways and means to put it all back in the market in a day if it works out to be the best thing to do. So I'm not risking much opportunity to be out of the market for a day, a week , a month or longer at this point, and I'm definitely avoiding falling stocks when I'm mostly cash. I'm focussed on keeping what I've earned since 9/04 and not leaving any more money than I have to on the table...
This ain't my first dance and I understand that stocks aren't GDP futures and are on occasion only tenatively related to the state of the country's or the company's business. So it ain't necessarily the end of life as we know it. Although it might be. It definitely is a smoking crater. I'll hafta see what it looks like down the road. So I've got a mission and a plan and the mindset to see it through. And I'll write about it here. See ya at the hall.
2/28/07
We had a bounce. Looking at my IRA's and my trading acount and the 401a, I'm unimpressed. The bleeding stopped, but the bounce may be a dead cat (parrot) variety. The market character has changed. Since summer of last year, anything but blind commitment to buying and holding made you a loser. Yesterday that changed. I suspect a lot of investors/traders still want out and are waiting to get even before they leave. I think they will capitulate over the next month or so and sell, especially if the market drifts down... I think there will be mutual fund redemptions coming in over the transom this weekend. More selling Monday. I've got a lot of buying power and after the selling stops, whenever that is, I'm going to use the buying power to start the whole investing/trading process over again.
Or, there's many tons of US investor money overseas. (More about this this weekend) If that money comes back immediately and goes into the domestic market, it might counter the selling and send the market up bigtime. In that case, I'm back in as soon as the money shows up and the market lifts. There's a lot of different possibilities. I think about them all, but I only play the ones that actually happen.
My returns on my 401a are excellent. It looks like they would have been even better if I'd just dumped all my money into the Aggressive Portfolio and left it alone. But there are times when I feel real cautious. Like when I went partially to cash January 10TH. So I act on it and sell. It's cost me some money each time I did that before. Regardless, I think it's the right thing to do. Let's see how it works out this time
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