So Im in a situation at the moment, I will be separating from the military here in april and until then I have a rather busy schedule, not a lot of time to make speculative moves and be able to watch it on a consistent basis. On top of that I dont have a lot of money sitting in the brokerage either due to the fact Im trying to be financially secure for my transition. What would be my best bet to invest in for something to be held for around 6-8 months and will have a half decent return. Obviously bonds are not an option, I want to avoid mutual funds as well. One of my fears is that in a market that I find overvalued Im not sure what sector would be the most stable in times to come and I can have confidence in will maintain its strength even if a correction were to happen. Any ideas? Im fond of ETF's Im just looking for ones that are on the cheap end of things. Preferably under 20 a share. Any ideas or advice is much appreciated!
Dollar cost average each month as much as you can afford in a Roth IRA. SPY is fine. You did say 16 to 18 years right? $20/per share is no cheaper than $200/share. A 10% move in the mkt is the same in both. Any money that you are planning to spend in the next 4 years should only be in an FDIC insured CD or Federal Money Market Fund or T-Bills.
until one will know how to invest (which is not easier than how to trade) he probably will do not much better than average joe who also knows nothing ... suggestion: stop asking others (only yourself) the questions and try find your answers to your questions.. good luck
Aren't you supposed to be working on the sound of one hand clapping? What kind of a garbage esoteric answer is that? I know how to invest and he won't go wrong with my advice. The market is no place for short term money. He has 2k and is looking for a $20 etf or stock tip so he can buy 100 shares. There's your average Joe. Starting now, a lifetime of investing in anything every month will put him so far above the average Joe there will be no comparison. If he wants to make an informed investment that will pay off in 6 months he is already more informed on who will win the Super Bowl. If you think anybody has to beat the market to make money that explains where all the wasted oxygen is going. He has a gift for investing that will beat both you and me by a long shot. And that gift is starting early and often.
Asian humor? I don't mind trashing this thread because it started with a stupid question and I don't want to see any ex military get hurt but I'm at the end of my patience with all this new age bullshit. I know this guy is not a saver, and somehow just came into 2k and now wants somebody to tell him a good $20 stock or etf to buy that will probably go up in the next 6 to 8 months, because nobody saves $50 a month for 40 months and then does that. And I don't condone anybody talking their book or encouraging that kind of short term thinking. This could be a serious time in his life, making a change and all ex military. I try to get him off on the right foot and expose silly thinking. Now, if you'll excuse me, I need to get back to the psycho thread. There's a guy there who helps people deal with fear and greed. And I'm all out of incense. Maybe you could give me a massage. All this "typing" makes my hands tired.
Smart conclusion. At your age, you should look at very long time horizon and indexing is not a bad way to go until you learn how to invest or trade.
There is some 15-20 stocks I watch that pay nice dividends like SUN, don't think oil stocks stay down forever and pays 14% dividend. I keep a Core of stocks and just based on dividends, you want till all are screaming the world is going to end is often times where bottoms come to be, then you buy your core of dividend stocks and sort of forget about them for several years, you hope to gain capital appreciation and dividends.