Home › Forums › Financial Markets/Economics › Buy now or be priced out forever!
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March 11, 2008 at 5:42 PM #168183March 11, 2008 at 9:53 PM #167844ArtyParticipant
10 year ago (I am looking at the S&P index now), the index is ~1050 and today is 1320. If my math is correct, as of today, the yield is only ~2.5% compound annually, and I believe a CD can do better at no risk.
I hold SDS ETF now (only 20% of my portfolio though), and rest of the money is in CDs and money market accounts. I will hold the SDS ETF until early next year or even longer. I will also consider buying some FXF or FXY if they begin to drop by a bit. You can laugh at me next year when SDS when to 10 dollars or lower :(.
March 11, 2008 at 9:53 PM #168172ArtyParticipant10 year ago (I am looking at the S&P index now), the index is ~1050 and today is 1320. If my math is correct, as of today, the yield is only ~2.5% compound annually, and I believe a CD can do better at no risk.
I hold SDS ETF now (only 20% of my portfolio though), and rest of the money is in CDs and money market accounts. I will hold the SDS ETF until early next year or even longer. I will also consider buying some FXF or FXY if they begin to drop by a bit. You can laugh at me next year when SDS when to 10 dollars or lower :(.
March 11, 2008 at 9:53 PM #168177ArtyParticipant10 year ago (I am looking at the S&P index now), the index is ~1050 and today is 1320. If my math is correct, as of today, the yield is only ~2.5% compound annually, and I believe a CD can do better at no risk.
I hold SDS ETF now (only 20% of my portfolio though), and rest of the money is in CDs and money market accounts. I will hold the SDS ETF until early next year or even longer. I will also consider buying some FXF or FXY if they begin to drop by a bit. You can laugh at me next year when SDS when to 10 dollars or lower :(.
March 11, 2008 at 9:53 PM #168203ArtyParticipant10 year ago (I am looking at the S&P index now), the index is ~1050 and today is 1320. If my math is correct, as of today, the yield is only ~2.5% compound annually, and I believe a CD can do better at no risk.
I hold SDS ETF now (only 20% of my portfolio though), and rest of the money is in CDs and money market accounts. I will hold the SDS ETF until early next year or even longer. I will also consider buying some FXF or FXY if they begin to drop by a bit. You can laugh at me next year when SDS when to 10 dollars or lower :(.
March 11, 2008 at 9:53 PM #168273ArtyParticipant10 year ago (I am looking at the S&P index now), the index is ~1050 and today is 1320. If my math is correct, as of today, the yield is only ~2.5% compound annually, and I believe a CD can do better at no risk.
I hold SDS ETF now (only 20% of my portfolio though), and rest of the money is in CDs and money market accounts. I will hold the SDS ETF until early next year or even longer. I will also consider buying some FXF or FXY if they begin to drop by a bit. You can laugh at me next year when SDS when to 10 dollars or lower :(.
March 11, 2008 at 9:59 PM #167849anParticipantIf you go back 3 years longer, 13 years ago, S&P index was ~500. That would yield ~8% compound annually. That’s pretty good, don’t you think? If you go back and take the average over the last 30 years, S&P index average ~9%. That’s pretty I’d think.
March 11, 2008 at 9:59 PM #168176anParticipantIf you go back 3 years longer, 13 years ago, S&P index was ~500. That would yield ~8% compound annually. That’s pretty good, don’t you think? If you go back and take the average over the last 30 years, S&P index average ~9%. That’s pretty I’d think.
March 11, 2008 at 9:59 PM #168181anParticipantIf you go back 3 years longer, 13 years ago, S&P index was ~500. That would yield ~8% compound annually. That’s pretty good, don’t you think? If you go back and take the average over the last 30 years, S&P index average ~9%. That’s pretty I’d think.
March 11, 2008 at 9:59 PM #168209anParticipantIf you go back 3 years longer, 13 years ago, S&P index was ~500. That would yield ~8% compound annually. That’s pretty good, don’t you think? If you go back and take the average over the last 30 years, S&P index average ~9%. That’s pretty I’d think.
March 11, 2008 at 9:59 PM #168278anParticipantIf you go back 3 years longer, 13 years ago, S&P index was ~500. That would yield ~8% compound annually. That’s pretty good, don’t you think? If you go back and take the average over the last 30 years, S&P index average ~9%. That’s pretty I’d think.
March 11, 2008 at 10:04 PM #167854barnaby33ParticipantPlease post the next time you go short. Since you think it’s “beyond stupid” to dollar-cost average from these levels (down approximately 12% from an all-time high), I want to see in real-time how a real trading genius does.
Ah yes the classic straw man argument. I never claimed to be a genius, though to be perfectly immodest I certainly tested as such when I was 10. I’m a lot dumber now.
I just told you my strategy, you obviously weren’t comprehending when you read it. I’m going to wait till after Op-ex unless I think that the Fed induced pump is fading and load up on puts and ultra-shorts again. Probably SDS, though certainly SKF, and QID. Then I’ll buy puts on XLF. It’s not a real complicated strategy, you don’t even have to be a genius to implement it. I’ll even give away the secret to my success, I’m not a pig. I don’t need multi-baggers in terms of profitability. I start selling when I am around 30% profit and do so until I am out of my position.
All strategies work until they don’t. Chris that I give you credit for saying first. Fortunately I’m fairly confident that this strategy is going to work until the banks come clean about the sausage, which won’t be for quite a few more months, maybe even next year.
As to 4% returns a year, thats without inflation, which is meaningless. If you exclude inflation Zimbabwe was the best place on earth to invest in last year. According to the info I was able to find the S&P500 has grown 1% a year on average above inflation. If you honestly believe inflation is only running 4% you either don’t buy food/fuel/housing, or actually believe the govt. If you bought at the top of the 1999 market it took till 2004 just to break even nominally. Inflation adjusted you are probably still in the hole.
All of which is totally tangential, since its in the past. What is important here is where we are heading. My original point was and still is, sitting it out in cash for a few years is the only sane course of action for those who do not wish to assume lots of risk for potentially lots of reward.
March 11, 2008 at 10:04 PM #168182barnaby33ParticipantPlease post the next time you go short. Since you think it’s “beyond stupid” to dollar-cost average from these levels (down approximately 12% from an all-time high), I want to see in real-time how a real trading genius does.
Ah yes the classic straw man argument. I never claimed to be a genius, though to be perfectly immodest I certainly tested as such when I was 10. I’m a lot dumber now.
I just told you my strategy, you obviously weren’t comprehending when you read it. I’m going to wait till after Op-ex unless I think that the Fed induced pump is fading and load up on puts and ultra-shorts again. Probably SDS, though certainly SKF, and QID. Then I’ll buy puts on XLF. It’s not a real complicated strategy, you don’t even have to be a genius to implement it. I’ll even give away the secret to my success, I’m not a pig. I don’t need multi-baggers in terms of profitability. I start selling when I am around 30% profit and do so until I am out of my position.
All strategies work until they don’t. Chris that I give you credit for saying first. Fortunately I’m fairly confident that this strategy is going to work until the banks come clean about the sausage, which won’t be for quite a few more months, maybe even next year.
As to 4% returns a year, thats without inflation, which is meaningless. If you exclude inflation Zimbabwe was the best place on earth to invest in last year. According to the info I was able to find the S&P500 has grown 1% a year on average above inflation. If you honestly believe inflation is only running 4% you either don’t buy food/fuel/housing, or actually believe the govt. If you bought at the top of the 1999 market it took till 2004 just to break even nominally. Inflation adjusted you are probably still in the hole.
All of which is totally tangential, since its in the past. What is important here is where we are heading. My original point was and still is, sitting it out in cash for a few years is the only sane course of action for those who do not wish to assume lots of risk for potentially lots of reward.
March 11, 2008 at 10:04 PM #168186barnaby33ParticipantPlease post the next time you go short. Since you think it’s “beyond stupid” to dollar-cost average from these levels (down approximately 12% from an all-time high), I want to see in real-time how a real trading genius does.
Ah yes the classic straw man argument. I never claimed to be a genius, though to be perfectly immodest I certainly tested as such when I was 10. I’m a lot dumber now.
I just told you my strategy, you obviously weren’t comprehending when you read it. I’m going to wait till after Op-ex unless I think that the Fed induced pump is fading and load up on puts and ultra-shorts again. Probably SDS, though certainly SKF, and QID. Then I’ll buy puts on XLF. It’s not a real complicated strategy, you don’t even have to be a genius to implement it. I’ll even give away the secret to my success, I’m not a pig. I don’t need multi-baggers in terms of profitability. I start selling when I am around 30% profit and do so until I am out of my position.
All strategies work until they don’t. Chris that I give you credit for saying first. Fortunately I’m fairly confident that this strategy is going to work until the banks come clean about the sausage, which won’t be for quite a few more months, maybe even next year.
As to 4% returns a year, thats without inflation, which is meaningless. If you exclude inflation Zimbabwe was the best place on earth to invest in last year. According to the info I was able to find the S&P500 has grown 1% a year on average above inflation. If you honestly believe inflation is only running 4% you either don’t buy food/fuel/housing, or actually believe the govt. If you bought at the top of the 1999 market it took till 2004 just to break even nominally. Inflation adjusted you are probably still in the hole.
All of which is totally tangential, since its in the past. What is important here is where we are heading. My original point was and still is, sitting it out in cash for a few years is the only sane course of action for those who do not wish to assume lots of risk for potentially lots of reward.
March 11, 2008 at 10:04 PM #168214barnaby33ParticipantPlease post the next time you go short. Since you think it’s “beyond stupid” to dollar-cost average from these levels (down approximately 12% from an all-time high), I want to see in real-time how a real trading genius does.
Ah yes the classic straw man argument. I never claimed to be a genius, though to be perfectly immodest I certainly tested as such when I was 10. I’m a lot dumber now.
I just told you my strategy, you obviously weren’t comprehending when you read it. I’m going to wait till after Op-ex unless I think that the Fed induced pump is fading and load up on puts and ultra-shorts again. Probably SDS, though certainly SKF, and QID. Then I’ll buy puts on XLF. It’s not a real complicated strategy, you don’t even have to be a genius to implement it. I’ll even give away the secret to my success, I’m not a pig. I don’t need multi-baggers in terms of profitability. I start selling when I am around 30% profit and do so until I am out of my position.
All strategies work until they don’t. Chris that I give you credit for saying first. Fortunately I’m fairly confident that this strategy is going to work until the banks come clean about the sausage, which won’t be for quite a few more months, maybe even next year.
As to 4% returns a year, thats without inflation, which is meaningless. If you exclude inflation Zimbabwe was the best place on earth to invest in last year. According to the info I was able to find the S&P500 has grown 1% a year on average above inflation. If you honestly believe inflation is only running 4% you either don’t buy food/fuel/housing, or actually believe the govt. If you bought at the top of the 1999 market it took till 2004 just to break even nominally. Inflation adjusted you are probably still in the hole.
All of which is totally tangential, since its in the past. What is important here is where we are heading. My original point was and still is, sitting it out in cash for a few years is the only sane course of action for those who do not wish to assume lots of risk for potentially lots of reward.
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