see, that was my mistake Dec. 2009: I know I should never chase the price, but gold keep going up for 40+ days or so. So I jump on the bandwagon. I got in at 1221, on that same day, it drops, then it keep dropping to 1050 before it finally bounces. I stuck at that position for 6 mth. before I can sell it and take profit. So w/ the market the way it is hyping up, there is no way I would chase the stock. In fact, I shouldn't have listen to that idiot sam stovall at S&P. Back in april, he said jump in when there is a 7% drop. So I go in after a certain stock dropped 15%. In the end, turn out it dropped 40%, to this date, I still can't break even. Still stuck at that long position. So for me to buy anything right now, I would have to be not just Charlie Sheen crazy, but totally insane
there is absolutely nothing to back the fairy tales that any dividends "are likely to keep growing". They can easily cut dividend especially it's a retail sector stock, due to lack of consumer demand. The alternatives that is good when S&P has topped out is a short position or buy some put. When we move back to the 1050 range, you can bottom fish. Just 2 days ago, Ireland, Greece, and Protugal's CDS is at record high, Greece's CDS is 908 basis pt., that means it needs $908,000 to secure $10M of greece debt. So just like Apr. 2010, we can tank due to round 2 of the European crisis.
you joking, right ? if not, this is something to think about: you earn 500 a month and are poor but have all necessities for free. You earn 1000 a month and not poor but everything expensive and on every corner you have to pay. You traded in carefree life, friends,etc for more money and beeing in a pit where only thing that natters is money. Kind of contunous poker game. If you still dont believe me maybe stop reading media. It may come to you after a while. Well, current stimuluses in my opinion are trying to persuade people debt free life has no value )) If they dont make it, gone is us style capitalist sysytem.
If you're going to chase the price as you put it, you need to place stop orders at points which will reasonably confirm a possible trend change (in the time period you're trading in). You can always move them up to b/e and beyond if the trade is working. I was stopped out yesterday. I went back in again, at lower prices. I've moved my stop to beyond b/e. Trade with the trend. But manage your trade. (that's a reminder to myself as well).
http://www.marketwatch.com/story/gr...ereign-jitters-remain-2010-11-08?siteid=nwhpm if 1 out of these 3 foils, can the remaining of that 850B line of cr. by EU/IMF be enough? How much is left of that 850B after Greece spent the 1st round? Does any1 knows how much did greece spend from round 1? And would Angela bail out of the euro as per JP Morgan's prediction? and how much would the US market fails?
I won't even bother with the rest. The idea of dividends and earnings growing perpetually is a baseless assertion from fantasy land. As for you last questions, precious metals and other commodities have outperformed stocks by a large margin over the last 10 years. If any trend is likely to continue, that's it.
Let me add to the above: if gold goes up, its performance has nothing to do w/ stocks. Gold is a safe haven for 3 main reasons: 1) inflation 2) drop in US dollars 3) terrorist act or war Gold market and the stock market is mutually exclusive. This thread is aim at wondering why all the over-bought level at the S&P ========================================= On my original question (scroll up): If Euro becomes unstable again, as is the case as of yesterday (it's dropping), since it's the world 2nd reserve currency, what would investors do? Would they go back to buy the US dollars? Angela has said back in Apr. that if her European trade partners don't clean up their act, she would have to take strong measures. If she bails out, as she have to answer to her own people, France could also bail out, then Euro is over, what would that do to the US dollars? Would people buy the dollar or just go back to gold?
You may have missed an important point made by Nitro. Namely that "...things have improved markedly, but only if you can afford them." What is fact is that while the the middle class is growing in much of the world, in the U.S. it is shrinking. The wealthy, especially, should be concerned and bothered by this.