I sold some last night in HK and again sold some in US today. Whenever my accounts value dips near or below a certain threshold I force myself to sell some. Altogether I sold maybe around 5%?
But I continue to buy some REIT like I did every week, and some GOOS because itâs above my threshold.
I do not compare myself with others, and I never care those âexperts are being paid to manage portfoliosâ as they do not need to disclose outside world whatever they buy and sell (other than 13F).
It is my money and I need to be smarter, in absolute terms. I have many times told this here, investing is for our growth, but not to compare with anyone else.
It is easier to ask single line question, but can not be answered similar way. Read good investing books like âMargin of Safetyâ page by page till the end, not the single chapter alone. If you understand the concepts fully, you will not ask this question !
You do not need to question my decision to counter your statement. I know 100% what I am doing as this my money !
The thing I donât get is the selloff is everything including companies that donât have a material amount of revenue in China or import raw materials. How much does this really impact US software companies who get most of their revenue from the US?
I try to show forum members some reasons behind it, many do not believe it and many do not like it. if they do not like it, ignore this
The China + Trump issue never comes to an end. The issue is around the assumption that market sags based on China issue. This is one of the reasons, but FED actions are main reason. In addition, all blogs/analysts/news media propagates it is Trump who brings down the market like the way they portrayed âHillary Winâ.
What if market goes up tomorrow? Some analysts say âMarket absorbed 200 bln tariffâŚblahâŚblahâŚblahâ
The real sell off is around FED rate hike and this exactly happens within 15 days of rate hike in March and Jun. This is very calculated moves by big funds, hedge funds, investment bankâŚetc.
They run algorithms to identify debt rich companies and the impact of revenues on them, then get rid of their long holding. HFT algorithms propagates everywhere across all companies. No investment banks, nor big funds, nor hedge funds openly declare what they are doing it. But they are the market movers and they allocate, rotate funds to low risk equities and get rid of high risk speculative companies.
This year 2018 is an opportunity to educate our-self how market is behaving and how analysts/news are wrongly portraying events happening around us. I have exactly noticed this in year 2000 and year 2008 period.
If people do not believe this, let us wait for next two rate hikes, It is very likely happen in next two rate hikes too (This is pure guess work based on my previous cycle experience).
Companies with zero debt are being sold though. The algo trading is mostly on big ETFs, so it indiscriminately sells everything in the ETF. It doesnât matter if the individual stock is impacted by the news or not. Thatâs where bargains are found.