Hi friends, as we all know US equites took a beating recently. Now, the question on most people’s minds are “should I buy, sell or hold?” Here’s my 2 cents worth. Let’s use S&P as an overview of the markets •We are still in an uptrend. The uptrend is still intact. “The trend is your friend until the end” Yes. But how would we know when the trend ends? Nobody knows. Nonetheless, we can infer from variables. For example: “Are $VIX & $DXY tipping resistance?” “How is $TLT doing?” ($TLT is the US 20 years treasuries bonds) They play an extremely pivotal role in the markets’ direction. •However, here’s a warm reminder to always look at the bigger picture. Crash or not, S&P have always recovered and gone even higher. •Next, S&P is near a very strong support. 200MA Line.
Hi friends, AI has been the talk of the town for quite some time and it's still trending. I believe it's true that AI will replace and enhance awide aspect in everyone's lives. (Individuals, businesses. All linked) Now, AI related as well as tech stocks, are all up double digits. Clearly, both big and small money is flowing into such sectors. I've always liked $Palantir Technologies Inc.(PLTR)$ . It has been in my long-term portfolio for a few years and I intend to keep it that way. Having said that, if we look at the technical analysis aspect of Palantir, the uptrend has been overstretched by yards & It hasn't retrace. Patterns like thiscan be dangerous. Yes, this uptrend can still co
The FED isn't the sole reason for markets diving.Remember that the markets are forward looking, while FED's interest rates are lagging indicators.There are several reasons for the market dives. Although there is no need for any reason for rallies orretreats in the stock market.Now, we all witness the massive bounce from mid June to mid August. The markets then dived back close to its critical support area.In my opinion, it's the series of events & news that spooked the markets.Namely: FED Interest Rate Hike, FedEx, CPI Report, Russia Ukraine War, China USA tensions & etc, However, when we take a closer look into history. We can see that everytime the FED raises interest rates, the probability of a positive return after 1 year is 100%.To conclude,
Hi Friends!Most of us love ETFs. However, do we really know the pros and cons of ETFs in specific details?Firstly, what are ETFs? (Exchange Traded Funds)• ETF is a basket of securities that seeks to track an underlying index. These indexes can include stocks, bonds and commodities. Personally, I do like some ETFs but not all of them. The PROS of ETFs are pretty straightforward. 1. Lower Cost as compared to underlying individualsecurities2. Lower Expense Ratio3. Diversified 4. Saves timeHaving said that, owning dozens of ETFs in your portfolio is very likely to be counterproductive.Assuming Mr ABC buys: •World ETF•FTSE 100 ETF•S&P500 ETF•Russell 2000 ETF•Sectors ETF (XLK, XLE, XLY, etc.)•STI ETF•HSI ETF•Growth/Emerging Markets ETF•Commodities ETF•Bonds ETFIn my humble opinion, when
Hi Friends! I hope the following will at the very least, provide another insight for you. That is.. $iShares iBoxx $ High Yield Corporate Bond ETF(HYG)$•$HYG = “High Yield Corporate Bond ETF” Bonds aren’t traded by retail, they’re traded by large institutions. Now, the term “high yield bond” simply means Junk Bond. (To me at least)I believe we can all agree that large institutions are always first to receive crucial informations. So why would institutions buy Junk Bonds? Because when everything is going well, they want the high yields.When they know things are gonna go south, they dump these “Junk Bonds”. Institutions move their money out of these high risk junk bonds. When that happens, it’s usually a signal that the US stock market is in for a be
Hi Friends! I believe the headlines are all about Terra. $UST & $LUNA. Some people are happy(from shorting), some are gloating at the situation while some, from what I’ve heard are thinking of ending their lives. Regardless of your stance in regards to the Coins or crypto as a whole ($Luna, $UST, $ANC, $BTC)… Personally, I don’t think anyone should be kicking a person when he/she is down. Be it investments, trading & Life in general. This isn’t the time to say things like “They deserve it for being greedy”, “Ponzi”, “Serve them right”. We are talking about human lives right now yeah? Empathy is what is needed right now. Empathy begets empathy. Do reach out to your friends, families and peers if you know they are in dire straits due to this entire fiasco.
Hi Friends! In my humble opinion, the simple and straightforward answer is a resounding NO. I will use a simple analogy. Last year, you see a branded bag that you really love and the price was $10,000. Today, you pass by the same shop, selling the exact same bag at $5000, with a really prominent “50% discount” tag on it. 3 scenarios here. 1. Assuming if you bought the branded bag at $10,000, you will definitely have some sort of negative emotions. 2. Assuming you didn’t buy the bag. Now it’s $5000. You would most likely want to buy it if your budget allows you to. 3. You neither bought the bag initially nor intend to buy that bag at a 50% discount. •The Branded Bag is refers to your investments. •The 50% discount refers to the stock market selloff. Now, assuming if you’re heavily vested in
$Palantir Technologies Inc.(PLTR)$ is coming up. I believe this post will receive mixed reactions. Regardless, we are all entitled to our own opinions. I have seen and read both bulls and bears on $PLTR. Some make sense, some don't, some are just back and forth arguements (illogical squabbling). I have never liked hype stocks. However, I do like $Palantir Technologies Inc.(PLTR)$ . Definitely not because of Cathie Wood. In fact, when Cathie Wood dumps stocks that are on my watchlist, I get really happy. Vice-versa.$Palantir Technologies Inc.(PLTR)$ earnings may or may not beat expectations. I believe most know, PRIOR, Palantir geared towards government for her revenue. (Government Revenue fell more than 60% from Q1 2021 to Q4 2021).Palantir has been gearing towards commercial growth for qu
Every other day, you get push notifications or articles about "why abc stock plummet" or "why xyz stock soared" You click on it (Not everyone). The article or post starts to explain "why" it happened. Be it good or bad. Of course, if you're vested in that particular equity, you would pay more attention to it. Having said that. Does anyone realised that these are repetitive, sometimes with a different narrative.As humans, we have emotions, sometimes, these emotions get to our head. These articles/posts are basically shaking your conviction (assuming if you're holding onto quality companies/businesses/ETFs)The Stock Market is like a crazy man. He is sometimes depress, sometimes over the moon. He gets irrational most of the time. Takes his medication an
As the title reads, "The Zero-Sum Game" Theoretically, this means, the set amount of money remains the same, the money has simply moved from individual A to individual B (aka distribution).Here's a simple analogy: Today, Peter gains 10% while John loses 10%. The amount of money did not disappear or appear out of nowhere. It simply went into the winner's pocket& out of the loser's pocket. Now, some investors are into growth stocks, some into dividends, some into value-investing. So on & so forth. There's no right or wrong. The term "investment" can be extremely simple. However, people complicate things (especially mainstream media) "Financial Gurus" start to pop up like tulips (no punt intended). Tongues wag, flashy houses, flashy cars. O