U.S. stocks in freefall

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papito23
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Re: U.S. stocks in freefall

Postby papito23 » Fri Aug 08, 2014 5:18 pm

As I was catching up on my "US stocks in freefall" reading, I checked today's gyrations ("freerise"?) on Google finance:
Image

My 2 yr old daughter was sitting on my lap and observed: "Are those mountains and cliffs? Is that from winter snow?"

"Yes, honey. Life is full of ups and downs, winters and summers." Thanks for helping to provide her first Bogle-lesson!

mbvcsaqqcvbbghggyghjuhyb,loiooi (<-- that was a message from her, she wanted to write her first comment)
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Re: A lifetime lesson

Postby dbCooperAir » Sat Aug 09, 2014 9:01 am

Taylor Larimore wrote:Bogleheads:

I began investing in 1950 when the S&P 500 Index was under 20. Now it is over 1,900 (not including dividends).

I should have simply bought the market and stayed-the-course. :oops:

Best wishes.
Taylor


Taylor, be carful, someone is going to accuse you of cherry picking :wink:
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Re: U.S. stocks in freefall

Postby hiddensee » Sat Aug 16, 2014 11:29 pm

visualguy wrote:
oragne lovre wrote:
johnep wrote:
Beliavsky wrote:Lots of Bogleheads seem to simultaneously hold the following contradictory views:
(1) You can't time the market.
(2) When stocks fall, it's a great time to buy.


+1


I think there is a subtle difference between "time the market" phrase, which means predicting the up and down of the market, and "buy when stocks fall" phrase, which means the obvious falling that triggers a purchase.


No, it's market timing.

There's a difference between holding back money in expectation of future price drops, which bears the implicit cost of not being invested during rises, and expecting increased returns due to price drops that happened to occur before planned investments. The former is market timing; the latter is not, but also not actionable, just luck.

That said my portfolio is now up since just before this thread was bumped, so I'm guessing it wasn't such a firesale opportunity.

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Re: U.S. stocks in freefall

Postby ofcmetz » Wed Oct 01, 2014 3:41 pm

Welcome back old thread. Small caps are getting close to a correction. Time to follow my plan and stay the course. Hope everyone is doing well and are not jumping from buildings in panic. :shock:
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Re: U.S. stocks in freefall

Postby neurosphere » Wed Oct 01, 2014 3:46 pm

My father called me today to tell me that he hasn't checked his portfolio lately, and wondered if I would update him on his balances on a little spreadsheet widget I made for him. I told him my spreadsheet was busted, and that it might take me a couple of years or more to getting around to fixing it. Oh, and I told him not to bother opening his Q3 or year-end statements. :D
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Re: U.S. stocks in freefall

Postby Clearly_Irrational » Wed Oct 01, 2014 4:04 pm

ofcmetz wrote:Small caps are getting close to a correction.


You're pretty late with that call, they're already in a correction since at least Sept. 22nd when they exited the Bollinger band squeeze. At the moment Chaikin Money Flow is negative and they're riding the lower Bollinger band down. RSI is getting pretty low and MACD divergence pretty high though, I'd start looking for a bottoming candlestick pattern before making a new trade. I'd use 107 or so as a first resistance level (for the VB ETF), violation of that would mean a more serious breakdown headed down to the next resistance at 104, the double top breakdown target.

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Re: U.S. stocks in freefall

Postby JohnnyFive » Wed Oct 01, 2014 4:07 pm

Clearly_Irrational wrote:
ofcmetz wrote:Small caps are getting close to a correction.


You're pretty late with that call, they're already in a correction since at least Sept. 22nd when they exited the Bollinger band squeeze. At the moment Chaikin Money Flow is negative and they're riding the lower Bollinger band down. RSI is getting pretty low and MACD divergence pretty high though, I'd start looking for a bottoming candlestick pattern before making a new trade. I'd use 107 or so as a first resistance level (for the VB ETF), violation of that would mean a more serious breakdown headed down to the next resistance at 104, the double top breakdown target.



Huh?

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Re: U.S. stocks in freefall

Postby technovelist » Wed Oct 01, 2014 4:07 pm

Clearly_Irrational wrote:
ofcmetz wrote:Small caps are getting close to a correction.


You're pretty late with that call, they're already in a correction since at least Sept. 22nd when they exited the Bollinger band squeeze. At the moment Chaikin Money Flow is negative and they're riding the lower Bollinger band down. RSI is getting pretty low and MACD divergence pretty high though, I'd start looking for a bottoming candlestick pattern before making a new trade. I'd use 107 or so as a first resistance level (for the VB ETF), violation of that would mean a more serious breakdown headed down to the next resistance at 104, the double top breakdown target.


Yes, but are we talking Pisces or Godzilla? We need details!
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Re: U.S. stocks in freefall

Postby nelson1015 » Wed Oct 01, 2014 4:09 pm

Clearly_Irrational wrote:
ofcmetz wrote:Small caps are getting close to a correction.


You're pretty late with that call, they're already in a correction since at least Sept. 22nd when they exited the Bollinger band squeeze. At the moment Chaikin Money Flow is negative and they're riding the lower Bollinger band down. RSI is getting pretty low and MACD divergence pretty high though, I'd start looking for a bottoming candlestick pattern before making a new trade. I'd use 107 or so as a first resistance level (for the VB ETF), violation of that would mean a more serious breakdown headed down to the next resistance at 104, the double top breakdown target.


Is that English or Swahili?

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Re: U.S. stocks in freefall

Postby LadyGeek » Wed Oct 01, 2014 4:16 pm

Those looking to decode the terminology can find it in this thread: Southwest Airlines Engulfing, Reversal Candle Signals Downsi

Please continue the definitions in that thread.
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Re: U.S. stocks in freefall

Postby cfs » Wed Oct 01, 2014 4:21 pm

Clearly_Irrational

Clearly_Irrational--what was that?
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Re: U.S. stocks in freefall

Postby Phineas J. Whoopee » Wed Oct 01, 2014 4:22 pm

ofcmetz wrote:Welcome back old thread. Small caps are getting close to a correction. Time to follow my plan and stay the course. Hope everyone is doing well and are not jumping from buildings in panic. :shock:

Thanks for the good wishes. Naturally, as a Boglehead, I jump from buildings in a calm manner.
PJW

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Re: U.S. stocks in freefall

Postby Clearly_Irrational » Wed Oct 01, 2014 4:27 pm

cfs wrote:Clearly_Irrational--what was that?


Technical analysis. I find it foolish to dismiss something as unworkable without knowing how it works.

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Re: U.S. stocks in freefall

Postby cfs » Wed Oct 01, 2014 4:28 pm

So the Dow was down.

The fear factor brought to you by Reuters (title of the article) "Wall Street walloped: Stocks sink amid earnings, economic fears."
Actually, the sky is not falling, this was a normal down day in Wall Street. Keep those windows closed. Forget about the financial talking heads and catch the latest Major League Baseball Playoff Game (and congrats to my KC friends).
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Re: U.S. stocks in freefall

Postby cfs » Wed Oct 01, 2014 4:30 pm

Clearly_Irrational wrote:
cfs wrote:Clearly_Irrational--what was that?


Technical analysis. I find it foolish to dismiss something as unworkable without knowing how it works.


Thanks for the Technical Explanation.
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Re: U.S. stocks in freefall

Postby scone » Wed Oct 01, 2014 4:33 pm

I had a contribution to spend today, so bought more IEIS, which has been down lately. This is the first year in the last several where I have had to rebalance on the upside, and then on the downside. I guess things are returning to normal. :)
Last edited by scone on Wed Oct 01, 2014 4:55 pm, edited 1 time in total.
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Re: U.S. stocks in freefall

Postby technovelist » Wed Oct 01, 2014 4:33 pm

Clearly_Irrational wrote:
cfs wrote:Clearly_Irrational--what was that?


Technical analysis. I find it foolish to dismiss something as unworkable without knowing how it works.


Absolutely. Now about astrology...
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Re: U.S. stocks in freefall

Postby Bustoff » Wed Oct 01, 2014 4:35 pm


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Re: U.S. stocks in freefall

Postby DonCamillo » Wed Oct 01, 2014 4:46 pm

ofcmetz wrote:Welcome back old thread. Small caps are getting close to a correction. Time to follow my plan and stay the course. Hope everyone is doing well and are not jumping from buildings in panic. :shock:

Is it OK if I panic and start shoveling some of my (admittedly not very much) spare cash into an extended market index fund? :confused
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Re: U.S. stocks in freefall

Postby Clearly_Irrational » Wed Oct 01, 2014 4:47 pm

technovelist wrote:Absolutely. Now about astrology...


I haven't looked into Astrology as seriously because it didn't seem to have any way to make useful, quantifiable & testable predictions. The theoretical underpinnings also seem pretty weak.

If you're going to do some form of timing then you need a method and technical analysis is pretty much the best one available. It's essentially pattern recognition math as applied to human trading behavior. I found it quite useful back when I was doing active trading to answer the question of when, fundamental analysis is better at answering the question of what. Of course the market continues to get more efficient so both are really sub-optimal nowadays as can be seen by the decline of the hedge fund industry.

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Re: U.S. stocks in freefall

Postby HomerJ » Wed Oct 01, 2014 5:07 pm

papito23 wrote:As I was catching up on my "US stocks in freefall" reading, I checked today's gyrations ("freerise"?) on Google finance:
Image

My 2 yr old daughter was sitting on my lap and observed: "Are those mountains and cliffs? Is that from winter snow?"

"Yes, honey. Life is full of ups and downs, winters and summers." Thanks for helping to provide her first Bogle-lesson!

mbvcsaqqcvbbghggyghjuhyb,loiooi (<-- that was a message from her, she wanted to write her first comment)


This is at the top of page 17... First thing I saw when I clicked on this thread...

7 weeks ago, we'd be pretty excited about the S&P 500 being at 1946 like it is today.

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Re: U.S. stocks in freefall

Postby BillyG » Wed Oct 01, 2014 5:17 pm

Yet another intense and emotional stay the course day...

...jumping out of tall buildings from the front steps.

It sure feels great to be a Boglehead.

Billy

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Re: U.S. stocks in freefall

Postby backpacker » Wed Oct 01, 2014 5:20 pm

Clearly_Irrational wrote:
technovelist wrote:Absolutely. Now about astrology...


I haven't looked into Astrology as seriously because it didn't seem to have any way to make useful, quantifiable & testable predictions...


There's always Astrological Finance.
Last edited by backpacker on Wed Oct 01, 2014 7:05 pm, edited 3 times in total.

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Re: U.S. stocks in freefall

Postby Toons » Wed Oct 01, 2014 5:21 pm

Bring on the price declines! We are long overdue for a good old fashioned bear market,where shares are scooped up at great prices.This bull has been running for over 5 years,as we all know the best returns are garnered when we steadily buy index funds during a long declining market,only to see the portfolio rebound solidly when the market heads North again.Once again,welcome declining markets with open wallets :sharebeer
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Re: U.S. stocks in freefall

Postby VictoriaF » Wed Oct 01, 2014 5:22 pm

If someone figures out stocks freefall, will he get a Nobel in physics or economics?

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Re: U.S. stocks in freefall

Postby backpacker » Wed Oct 01, 2014 5:23 pm

Toons wrote:Bring on the price declines! We are long overdue for a good old fashioned bear market,where shares are scooped up at great prices.This bull has been running for over 5 years,as we all know the best returns are garnered when we steadily buy index funds during a long declining market,only to see the portfolio rebound solidly when the market heads North again.Once again,welcome declining markets with open wallets :sharebeer


+1

I've been breathing a sigh of relief these last few days...

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Re: U.S. stocks in freefall

Postby Phineas J. Whoopee » Wed Oct 01, 2014 5:26 pm

VictoriaF wrote:If someone figures out stocks freefall, will he get a Nobel in physics or economics?

Victoria

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Re: U.S. stocks in freefall

Postby BigFoot48 » Wed Oct 01, 2014 5:27 pm

Lbill wrote:Aug 8, 2011: DOW is down by over 550 points with a couple hours of trading left. Trading halt on the way?

The Dow closed at 10,809.85 that day. Quite the freerise since then!
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Re: U.S. stocks in freefall

Postby Toons » Wed Oct 01, 2014 5:36 pm

Today a freefall? On a percentage basis,hardly .A free fall is more like when the Dow lost 22.6% of its value in one day,October 19,1987. I remember that day.Dropped 538 points to 1738.Thats right 1738.Where is the Dow now?Hovering around 17,000.It just reaffirms,stick to your asset allocation,buy shares as often as you can ,forgetting "where the market is",Ignore the noise(its meaningless)Stay The Course
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Re: U.S. stocks in freefall

Postby Clearly_Irrational » Wed Oct 01, 2014 5:38 pm

Toons wrote:We are long overdue for a good old fashioned bear market,where shares are scooped up at great prices.


Using the NBER data I'd have to disagree with the "long overdue" part, we're still in very reasonable expansion territory.

Dec 2007 Last Peak
Aug 2012 Mean
Feb 2014 Linear Trend
Jan 2015 One Sigma
May 2017 Two Sigma
Oct 2019 Three Sigma

The leading indicator swirlogram only says slowdown rather than contraction.

Composite crash indicator is only 7.14/100 (over 30 is usually bad).

Dividend cuts did pick up last month, but that's been an on again off again occurrence since late 2012.

Minus an "event" of some kind I think a major bear market is unlikely to begin just now.

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Re: U.S. stocks in freefall

Postby dgdevil » Wed Oct 01, 2014 7:06 pm

@Clearly Irrational. I appreciate your mastery of technicals, and agree with your longer term prognosis. What are the key support, resistance levels + alarm bells for the S+P500 in coming weeks?

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Re: U.S. stocks in freefall

Postby FedGuy » Wed Oct 01, 2014 7:26 pm

HomerJ wrote:Image


I once had a professor that consistently argued that all charts and graphs of this type should have the Y-axis start at 0 (and not omit any of the territory between 0 and the top of the graph) to accurately depict the magnitude of the change in relative terms. I bet this graph would look pretty close to a horizontal line.

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Re: U.S. stocks in freefall

Postby Toons » Wed Oct 01, 2014 7:35 pm

backpacker wrote:
Toons wrote:Bring on the price declines! We are long overdue for a good old fashioned bear market,where shares are scooped up at great prices.This bull has been running for over 5 years,as we all know the best returns are garnered when we steadily buy index funds during a long declining market,only to see the portfolio rebound solidly when the market heads North again.Once again,welcome declining markets with open wallets :sharebeer


+1

I've been breathing a sigh of relief these last few days...


+2 :sharebeer
"One does not accumulate but eliminate. It is not daily increase but daily decrease. The height of cultivation always runs to simplicity" –Bruce Lee

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Re: U.S. stocks in freefall

Postby hexagon » Wed Oct 01, 2014 7:41 pm

Clearly_Irrational wrote:
ofcmetz wrote:Small caps are getting close to a correction.


You're pretty late with that call, they're already in a correction since at least Sept. 22nd when they exited the Bollinger band squeeze. At the moment Chaikin Money Flow is negative and they're riding the lower Bollinger band down. RSI is getting pretty low and MACD divergence pretty high though, I'd start looking for a bottoming candlestick pattern before making a new trade. I'd use 107 or so as a first resistance level (for the VB ETF), violation of that would mean a more serious breakdown headed down to the next resistance at 104, the double top breakdown target.



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Re: U.S. stocks in freefall

Postby neurosphere » Wed Oct 01, 2014 8:00 pm

FedGuy wrote:I once had a professor that consistently argued that all charts and graphs of this type should have the Y-axis start at 0 (and not omit any of the territory between 0 and the top of the graph) to accurately depict the magnitude of the change in relative terms. I bet this graph would look pretty close to a horizontal line.

Not only show the Y=0 line, but also use a semi-log plot. It would look even more like a horizontal line. :D
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Re: U.S. stocks in freefall

Postby kenyan » Thu Oct 02, 2014 10:03 am

I just bought. However, it had nothing to do with market movement, and was just due to finding unexpected money in our budget to contribute toward our Roth IRAs. Since I triggered a rebalancing band early last month (buying bonds), I don't anticipate further rebalancing being necessary unless the market drops at least another 10-15%.
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Re: U.S. stocks in freefall

Postby Clearly_Irrational » Thu Oct 02, 2014 10:07 am

dgdevil wrote:@Clearly Irrational. I appreciate your mastery of technicals, and agree with your longer term prognosis. What are the key support, resistance levels + alarm bells for the S+P500 in coming weeks?


The short answer is that the small caps are leading the large caps, which is normal.

The S&P500 broke the bollinger band squeeze on Sept 25th and is now riding the lower bound downwards. RSI is still dropping and MACD divergence widening so the trend probably isn't over yet. Chaikin money flow just turned negative from postivie and volume is rising so that tends to reinforce the idea of further decline. The P&F chart shows a double bottom breakdown with an 1860 target. First support is around 1910 with second support around 1860 or so, the same as the breakdown target.

Over the next few days I expect the market to head down from it's low on Oct 1st.

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Re: U.S. stocks in freefall

Postby Leeraar » Thu Oct 02, 2014 10:09 am

neurosphere wrote:Not only show the Y=0 line, but also use a semi-log plot.

:?: :?:

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Re: U.S. stocks in freefall

Postby Toons » Thu Oct 02, 2014 10:10 am

"The S&P500 broke the bollinger band squeeze on Sept 25th and is now riding the lower bound downwards. RSI is still dropping and MACD divergence widening so the trend probably isn't over yet. Chaikin money flow just turned negative from postivie and volume is rising so that tends to reinforce the idea of further decline. The P&F chart shows a double bottom breakdown with an 1860 target. First support is around 1910 with second support around 1860 or so, the same as the breakdown target."

Wow I can't even interpret that...Ignorance is Bliss :sharebeer
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Re: U.S. stocks in freefall

Postby Clearly_Irrational » Thu Oct 02, 2014 10:51 am

Toons wrote:Wow I can't even interpret that...Ignorance is Bliss :sharebeer


It's actually not as complicated as it sounds.

Image

RSI is a relative strength indicator that scales from 0 to 100. Readings above 70 generally mean the stock is getting overbought while readings below 70 generally mean it's getting oversold.

MACD is a moving average covergence divergence indicator. In theory crossovers are buy/sell signals but in this context I was using it for measuring the size of the divergence, since it's an oscillating indicator when the divergence gets high that means the current trend is likely to reverse soon.

Chaikin Money Flow basically measures whether putting are putting money into or pulling money out of a particular stock or index in this case. I generally look more at the slope than the value. For example if a stock is going up but money flow is trending downwards then you know it's running out of steam.

Bollinger bands measure two standard deviations away from a moving average. It's really likely that price action will stay within those lines. A band squeeze is when the distance between the lines contracts sharply, this is a very reliable indicator that a bigger market move is coming up soon though it doesn't tell you which direction on it's own. Once the market moves after a squeeze, it's really likely that the trend will track the upper or lower line for a while, the point to watch for is when it starts diverging from that since that is a signal that the trend may be changing.

Volume just measures how many shares were traded during a day and can help you determine market mood. For example, extremely low volume often means the market participants are unsure of what to do and things may hover a bit before breaking sharply. Rising volume often means conviction in the current trend.

I didn't use any candlesticks in my description, but you can see a three crows pattern forming if today's price closes lower. That is generally a changeover signal between buyers and sellers.

Image

Point and figure charts are basically a way to take some of the volatility out of the graph, they were developed before computers to help see trends and tend to have some pretty reliable known patterns that come with price predictions.

Image

Technical indicators are all about probabilities. They tell you what is likely and if most of them are saying the same thing then it's more likely. Since we've broken the lower channel line it's pretty likely the market will drop some more, I wouldn't be taking any new long positions right now for short term trades.

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Re: U.S. stocks in freefall

Postby cfs » Thu Oct 02, 2014 10:55 am

Simple explanation.

Here is the simple explanation to all the technical analysis codes: Markets are down and Mister Warren Buffett is busy buying stocks.
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Re: U.S. stocks in freefall

Postby Clearly_Irrational » Thu Oct 02, 2014 11:00 am

cfs wrote:Here is the simple explanation to all the technical analysis codes: Markets are down and Mister Warren Buffett is busy buying stocks.


Last I read he was complaining about not being able to find much to buy since everything was so expensive. I doubt the current decline is big enough to change that situation.

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Re: U.S. stocks in freefall

Postby BigFoot48 » Thu Oct 02, 2014 11:03 am

Clearly_Irrational wrote:
cfs wrote:Here is the simple explanation to all the technical analysis codes: Markets are down and Mister Warren Buffett is busy buying stocks.


Last I read he was complaining about not being able to find much to buy since everything was so expensive. I doubt the current decline is big enough to change that situation.

He was on CNBC this morning and recommended index funds over hedge funds.
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Re: U.S. stocks in freefall

Postby cfs » Thu Oct 02, 2014 11:12 am

BigFoot48 wrote:
Clearly_Irrational wrote:
cfs wrote:Here is the simple explanation to all the technical analysis codes: Markets are down and Mister Warren Buffett is busy buying stocks.


Last I read he was complaining about not being able to find much to buy since everything was so expensive. I doubt the current decline is big enough to change that situation.

He was on CNBC this morning and recommended index funds over hedge funds.

-- Actually, it was reported on Yahoo finance that:
"Warren Buffett told CNBC on Thursday he bought stocks in Wednesday's big selloff. He won't name names or whether he was adding to positions of his current holdings. But he did describe them in a " Squawk Box " interview as "names you'd recognized."
-- But, of course, he is Warren Buffett and he is carrying a LOT of cash in his wallet, just waiting for an opportunity to invest a couple of dollars (not much, just a couple of dollars).
~ Alumnus, Retirement Class of 2014 || Black Swan Ready Portfolio, current spending rate 0% ~

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riptide
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Re: U.S. stocks in freefall

Postby riptide » Thu Oct 02, 2014 11:17 am

Toons wrote:Bring on the price declines! We are long overdue for a good old fashioned bear market,where shares are scooped up at great prices.This bull has been running for over 5 years,as we all know the best returns are garnered when we steadily buy index funds during a long declining market,only to see the portfolio rebound solidly when the market heads North again.Once again,welcome declining markets with open wallets :sharebeer


Toons!
I always love reading your posts Sir! You really encourage me, as a new investor still learning and trying to "stay the course"! 8-)
Brokerage account 65/35 | VG total Market 35% | VG total Intl 12% | VG small cap value 12% | VG Reit index 6% | VG Total Bond 35% | TSP Account 75/25 | C Fund 45%, S 15%, I 15%, G 25% | EE Bonds = Emergency Fund

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BigFoot48
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Re: U.S. stocks in freefall

Postby BigFoot48 » Thu Oct 02, 2014 11:22 am

cfs wrote:
BigFoot48 wrote:He was on CNBC this morning and recommended index funds over hedge funds.

-- Actually, it was reported on Yahoo finance that:
"Warren Buffett told CNBC on Thursday he bought stocks in Wednesday's big selloff. He won't name names or whether he was adding to positions of his current holdings. But he did describe them in a " Squawk Box " interview as "names you'd recognized."
-- But, of course, he is Warren Buffett and he is carrying a LOT of cash in his wallet, just waiting for an opportunity to invest a couple of dollars (not much, just a couple of dollars).

Actually, he said what I reported. The full statement (sorry for the caps):
I MADE A BET SEVEN YEARS AGO AND I MADE THIS OFFER TO ANYBODY IN THE UNITED STATES. I SAID I BET A MILLION DOLLARS THAT THEY COULD PICK ANY GROUP OF FUND-TO-FUNDS OF HEDGE FUNDS AND I WOULD TAKE THE S&P 500 RUN BY VANGUARD AND THE WINNER WOULD GET TO PICK THE CHARITY THAT THE MONEY WENT TO. AND ALL I CAN TELL YOU IS I'M QUITE AWAYS AHEAD ON THAT BET NOW. HEDGE FUNDS AFTER FEES ARE NOT GOING TO DELIVER, IN MY VIEW, A RETURN AS WELL AS BUYING A LOW-COST INDEX FUND. BUT THEY ARE GOING TO MAKE A LOT OF MONEY FOR THE PEOPLE WHO RUN THEM.
http://www.cnbc.com/id/102054108
Last edited by BigFoot48 on Thu Oct 02, 2014 11:30 am, edited 1 time in total.
Retired | Two-time in top-10 in Bogleheads S&P500 contest; 12-time loser

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Toons
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Re: U.S. stocks in freefall

Postby Toons » Thu Oct 02, 2014 11:23 am

riptide wrote:
Toons wrote:Bring on the price declines! We are long overdue for a good old fashioned bear market,where shares are scooped up at great prices.This bull has been running for over 5 years,as we all know the best returns are garnered when we steadily buy index funds during a long declining market,only to see the portfolio rebound solidly when the market heads North again.Once again,welcome declining markets with open wallets :sharebeer


Toons!
I always love reading your posts Sir! You really encourage me, as a new investor still learning and trying to "stay the course"! 8-)


:sharebeer Cheers back to you,,,Stay Focused,Stay Strong,Stay Positive,,FEAR NOTHING,Keep Investing,Stay the Course,,,and along the way Keep Smilin and Have fun :happy
"One does not accumulate but eliminate. It is not daily increase but daily decrease. The height of cultivation always runs to simplicity" –Bruce Lee

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cfs
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Re: U.S. stocks in freefall

Postby cfs » Thu Oct 02, 2014 11:34 am

Thanks for the link

BigFoot48 thanks for the link, yes, on the same article he talks about buying stocks yesterday ("and if you told me the market was going to go down 500 points next week, I would have bought those same businesses and stocks yesterday"). I see, he continues to be "Bullish on America."
~ Alumnus, Retirement Class of 2014 || Black Swan Ready Portfolio, current spending rate 0% ~

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Toons
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Re: U.S. stocks in freefall

Postby Toons » Thu Oct 02, 2014 11:37 am

This sentence was part of an Annual Report from a mutual fund that I have held for years,it might be appropriate .Read ,Re-read

"As for the financial markets,as the period came to a close,the U.S.stock market took one of its biggest tumbles in some time.Downturns such as this should be expected especially after the markets PROLONGED advance.In fact, I sometimes WELCOME them since they can provide me with BUYING opportunities."

Stay Focused(Laser Like),Stay The Course :happy
"One does not accumulate but eliminate. It is not daily increase but daily decrease. The height of cultivation always runs to simplicity" –Bruce Lee

gkaplan
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Re: U.S. stocks in freefall

Postby gkaplan » Thu Oct 02, 2014 11:44 am

Toons wrote:"The S&P500 broke the bollinger band squeeze on Sept 25th and is now riding the lower bound downwards. RSI is still dropping and MACD divergence widening so the trend probably isn't over yet. Chaikin money flow just turned negative from postivie and volume is rising so that tends to reinforce the idea of further decline. The P&F chart shows a double bottom breakdown with an 1860 target. First support is around 1910 with second support around 1860 or so, the same as the breakdown target."

Wow I can't even interpret that...Ignorance is Bliss :sharebeer


When the moon is in the seventh house
And Jupiter aligns with Mars
And peace will guide the planets
And love will steer the stars
This is the dawning of the age of Aquarius
Gordon


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