What Has the Market Taught You?

Today, we would like to invite you to share your valuable market insights! The key to becoming successful investors is to learn from our experiences. It doesn't matter if it is a new trading strategy, an eye-opening market trend, or a valuable lesson learned, we would like to hear from you.

avatarBenjiFuji
02-25
[Focus or Rebalance?] Recently during the bull run I have been reading and thinking hard about this topic as some of my investments have grown to occupy a >20% stake of my portfolio. Rebalancing is the way[Happy]   One of the people I learn from Mr Loo from 1M65 does rebalancing. Basically the concept is to sell your overweighted position, for example in stocks, and move into bonds. This strategy has its benefits. Firstly you get to take profit from your growing investments. Secondly, you get to rotate into another position that could benefit from a reversal. Lastly, a balanced portfolio with regular rebalancing can grow consistently. Focus is the way.[Cool]   Another person that I watch and learn from is Adam Khoo. He allocates a fixed percent of his portfolio initi
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avatarLionel8383
2023-11-30

Wide moat beats narrow or no moat investing in the long run

When a new investor starts his journey in picking stocks, very often no thought process is given to the economic moat or management quality of the company. What is economic moat? An economic moat is a concept popularized by Warren Buffett, describing a company's sustainable competitive advantage that allows it to maintain its market position and fend off competition. Similar to a castle's moat protecting it from invaders, an economic moat protects a company from competitors trying to erode its profits and market share. There are several types of economic moats that can contribute to a company's competitive advantage: Cost Advantage: When a company can produce goods or services at a lower cost compared to its competitors. This could be due to proprietary technology, efficient processes, ac
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Wide moat beats narrow or no moat investing in the long run
avatarTigerHulk
2023-12-08

A strong U.S economy in making in Dec 2023

With the release of the U.S. non-farm payrolls rise to 199k which exceeded the market expectations on 8 Dec 2023, what I see here is a very strong and robust labour market. With the unemployment rate falling to 3.7% which was an improvement in the labour market vs the previous month and analyst expectations. The U.S. economy is not in bad shape, and way better than what most of us had expected. With the higher payrolls and low unemployment rates, this would FED strong indications that the US economy is strong and should be able to absorb the effect of the higher interest rate hike to curb inflation with a clear goal of 2% in making, I would expect the market to be highly volatile, especially on the bets on when will FED start cutting interest rates. The current valuations of US stocks are
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A strong U.S economy in making in Dec 2023
avatarTigerong
2023-11-05
  Some investors now find long-term bonds appealing. If the Federal Reserve does indeed cut interest rates next year, bond prices would experience an upswing, and longer-duration bonds would benefit more. Even in the case of delayed rate cuts, some find the bond yields of over 5% an attractive  Nonetheless, it's improbable that interest rates will approach zero again, given the prevailing geopolitical tensions that impact supply chains and trade, rendering the past era of cheap Chinese imports unsustainable. Increased trade restrictions and conflicts disrupt commodity supplies and elevate prices, making ultra-loose monetary policy unlikely in the near future as inflation may prove to be stubborn. Even if long-term bond prices do rise, they are unlikely to regain their previous pe
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avatarTigerong
2023-10-29
  Some investors now find long-term bonds appealing. If the Federal Reserve does indeed cut interest rates next year, bond prices would experience an upswing, and longer-duration bonds would benefit more. Even in the case of delayed rate cuts, some find the bond yields of over 5% an attractive  Nonetheless, it's improbable that interest rates will approach zero again, given the prevailing geopolitical tensions that impact supply chains and trade, rendering the past era of cheap Chinese imports unsustainable. Increased trade restrictions and conflicts disrupt commodity supplies and elevate prices, making ultra-loose monetary policy unlikely in the near future as inflation may prove to be stubborn. Even if long-term bond prices do rise, they are unlikely to regain their previous pe
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avatarAmberCapital
2023-11-10
Note to self. This is not a demo account. Played with fire and got burnt 🥵🔥. This is a stark reminder how manipulated the stock market really is. Good earnings call, bad earnings call; when the tide sinks, it takes all the boats along with it.
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avatarjace0777
2023-08-30

☀️🧠 Unlocking Success: 4 Nuggets of Wisdom I Wish I Knew Before Trading

Stepping into the world of trading feels like embarking on a thrilling yet bewildering adventure. It's a fusion of deciphering complex technicalities, taming unruly emotions, and cultivating the art of patience. As a fellow newcomer to the trading realm, I vividly remember the struggle of finding that initial foothold and deciphering what truly matters. In this article, I hope to distill some of my reflections to a few points to constantly remind myself to stay the course and hopefully continue to persevere. Likewise, I hope it will serve you well too. [Grin]  This is a heartfelt sharing of the four priceless pieces of wisdom I deeply craved before I set forth on my trading escapade. Tip 1: Small is big: Start with smaller bets first When I kicked off my trading, I stumbled upon
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☀️🧠 Unlocking Success: 4 Nuggets of Wisdom I Wish I Knew Before Trading
avatarKayrz
2023-10-26
As the year is coming to an end, I would like to know what has the market taught you this year? 
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avatarJediGingerNinja
2023-10-20
The Market is influenced and controlled by the elite few. I'm not shocked or surprised but aware and opportunistic.. "when the shit goes down ya be better get ready" [Silence]  [Blush]  
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avatarTigerOptions
2023-08-20

Trading Made Easy | 16 Essential Tips I Wish I knew Earlier

Mastering the Art of Trading Trading in the financial markets is a dynamic and intricate endeavor, requiring a solid foundation of knowledge, disciplined strategies, and emotional resilience. Successful traders, regardless of their trading style, share common habits and principles that contribute to their achievements. Whether you're just starting on your trading journey or looking to refine your skills, here are 16 indispensable tips that can help you navigate the complexities of trading and increase your chances of success. TigerOptions 1. Education First Before you dive headfirst into trading, invest time in understanding the fundamentals of the market, different trading strategies, and the financial instruments you're interested in. A strong educational foundation provides you with the
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Trading Made Easy | 16 Essential Tips I Wish I knew Earlier
avatarTongdadd
2023-09-21
Markets are down again, chiefly due to FOMC's latest stance on rates. We have been through this plentiful times. What has the market taught us since the rate cycle turned 2 years ago? Markets tanked due to expectations of rate hikes and rebounded whenever there were indications of a pause, and some of the rebounds were mind-boggling. This happened several times in the past 2 years.  So what is clear is that markets love to go up than come down. What is also clear is that we are definitely at the upper spectrum of the rates cycle, albeit there would be occasional upticks in inflation and economic strength which would stoke the feeling that there would be maybe just one more rate hike, and the selling starts again.  Should I sell or buy the dip?  I am firml
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avatarTigerOptions
2023-08-11

Why I Sold Roblox Stock Before the Crash

Learning from Metaverse Hype In the fast-paced world of investing, there are moments when admitting you're wrong can be just as important as making the right choices. I recently made a decision to sell my $Roblox Corporation(RBLX)$ stock before it crashed, a move inspired by both the allure of the metaverse and the philosophy of acknowledging mistakes. Here's a reflection on why I initially bought into the metaverse hype and why I ultimately chose to exit. [Sad]  Martin Zweig: “It’s OK to be wrong; it’s unforgivable to stay wrong.” The Temptation of the Metaverse When news of the metaverse trend started gaining traction, it was hard to resist the excitement. Roblox, with its unique blend of gaming and user-generated content, seemed like a
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Why I Sold Roblox Stock Before the Crash
avatarMaverickWealthBuilder
2023-06-27

AI is Cooling Down?

— Or just picking you up in reverse? After reaching its peak with an opening stock price of $351 on June 16th, the stock price of the tech giant $Microsoft(MSFT)$ started to decline and by the close on June 26th, it had fallen back to the levels of late May. Other tech giants have also experienced varying degrees of retracement recently, and $NVIDIA Corp(NVDA)$ , the strongest chip stock due to increased demand for AI, has experienced its largest drop in a month. Is AI cooling down?As for ChatGPT, according to SimilarWeb data, the growth in ChatGPT's traffic has noticeably slowed down recently, with a continuous decline in month-on-month comparison due to a larger base. Unless there are unexpected develop
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AI is Cooling Down?
avatarTiger_comments
2023-06-27

2023 H1 Recap | Goldman & JPM Are Wrong in 2023 Outlooks?

As we approach the end of the June, some investors begin to forecast the stock market in the next half. Let’s look back at how we did the analysis at the beginning of the 2023.Most retail investors gained information by reading the report and outlooks released by institutions. Let’s find out if Goldman Sachs and JPMorgan are right or wrong in forecasting economy and stock market in 2023. The source are from Goldman and JPMorgan’s official website.Both of them are wrong at predicting the stock market trends in the first half as $S&P 500(.SPX)$ are trading at 4300.They are also wrong in terms of interest rates and inflation. The benchmark rate is now at the range of 5%-5.25% and the market is expecting at least another 25bps.May CPI is 4%, highe
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2023 H1 Recap | Goldman & JPM Are Wrong in 2023 Outlooks?
avatarLionel8383
2023-07-09

How investors lose money in the stock market?

Today let's take a look at a few reasons why investors lose money in the stock market. With the S&P 500 up 15.0% year-to-date, & the tech heavy Nasdaq Composite up 31.5% year-to-date, I hope most of you reading this are seeing more greens in your portfolio than reds. Failing to understand the fair value of the business They fail to understand what the value of the business is. Often times, investors do not know how to value calculate the intrinsic value or fair value of a stock. There are several methods of arriving at a fair value of a stock. Hence they are cautious as to wether they should buy a stock that has been sold off by the market, and hence appeared unloved. Instead they look for stocks that have risen and then decide that now the stock that they were considering is now l
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How investors lose money in the stock market?
avatarKeeley
2023-06-25

You Are Dumb For Not Using A Stop Loss

I always thought that stop losses are useless. Whenever I see price taps me out, and go in my direction. Whenever price comes close to my stop loss, the spread will somehow widen and take me out, and go in my direction. I was always angry about this. "The broker must be trading against me! I must hide my stop loss!" I stop using stop losses. For some trades, I won because price couldn't tap me out and go in my direction. I thought I was a genius by not trading with a stop loss. I became confident. This worked until it didn't work. It was NFP. It's 10 seconds away from news release. I was trading a $1,000 account. My trade was in $8 drawdown. I looked at the chart, knowing that I will close the trade if it goes against me. The price became very volatile. 5...4...3...2...1... Nothing happene
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You Are Dumb For Not Using A Stop Loss
avatarMaverickWealthBuilder
2023-06-26

Interest rate hiking, Stocks peaking?

Last week, Federal Reserve officials, including Powell, began delivering speeches in a hawkish tone. They not only reiterated that "almost all" Fed officials support raising interest rates later this year at the June meeting, but also mentioned the possibility of two more rate hikes this year. The decision to pause rate hikes in June was aimed at slowing down the pace to a more cautious level. This outlook contrasts with the market's previous consensus, which anticipated only one rate hike and potential rate cuts later this year. According to CME's Fed Tool observation, the probability of a rate hike in July stands at 71%, and the probability of no rate cuts this year has risen to 47%, while the probability of a 25 basis point rate cut this year has decreased to 35%.Furthermore, other cent
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Interest rate hiking, Stocks peaking?
avatarMaverickWealthBuilder
2023-06-27

Why Pfizer leading the decline in Healthcare?

On June 26, the pharmaceutical sector of the US stock market experienced a general decline. The pharmaceutical giant $Pfizer(PFE)$ , led the decline with a decrease of 3.6% due to its announcement of discontinuing the development of its experimental weight loss and diabetes drug, lotiglipron. This highly anticipated drug showed elevated liver enzymes in experimental patients during mid-term clinical trials, indicating potential liver cell damage, although no liver-related symptoms or side effects were observed in the patients. Pfizer stated that it will now focus on another oral obesity drug called danuglipron, which is undergoing a fully recruited Phase II clinical trial. According to the results published last month, type 2 diabetes patients expe
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Why Pfizer leading the decline in Healthcare?
avatarLeo354
2023-09-06

Hold some cash!

Not too long ago, I am fully vested in stocks with little to no cash position. When the market is bullish, It's great. However, whenever the market is bearish I'll be groaning over the losses.  Learning to maintain a cash position of about 10% has always been taught to me and I've always ignored and feel the pain when the market turned bearish. To give an analogy is to liken investing to driving. Having a cash position is like having a reverse gear, if one can only drive forward in hope of a bull market, when the market retreats we find ourselves with no further alternatives to manuover. Having a cash position allows one to further exploit the low prices to buy in.  What do you think? 
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Hold some cash!
avatarLionel8383
2023-06-29

Why JEPI high dividend ETF is a bad idea during bull markets

JPMorgan Equity Premium Income ETF (JEPI) is a high income ETF that pays 10.98% (TTM) dividend yield, by using a mix of approaches of owning dividend paying stocks and selling covered call options and using Equity Linked Notes. This allows the ETF to pay dividends yielding double digits, and looks like an attractive investment for investors who are seeking immediate cash flows from their investments. The expense ratio for this ETF is 0.35%, which is not too bad considering the fund manager is actively managing the fund. Other actively managed funds have expense ratios above 0.75%. JEPI pays 10.98% dividend yield Let's take a look why high yielding dividend ETFs tend to underperform the broader market when the bull market is in play. Reduced dividend income Looking at the dividend pay
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Why JEPI high dividend ETF is a bad idea during bull markets