How to trade after rate cut expectations are dashed?

Affected by the lower-than-expected guidance in $Advanced Micro Devices(AMD)$ financial report and the market's dampened expectations for a rate cut in March, tech stocks continued to fall.

Among them, $Apple(AAPL)$ has fallen for six consecutive days, $Meta Platforms, Inc.(META)$ dropped by 2.48%, $Alphabet(GOOG)$ financial report fell short of expectations, leading to a 7% decline, and even Microsoft, which exceeded expectations in its financial report, also dropped by 2.69%.

What triggered tech fall?

  • Is rate cut still possible in March?

The Fed will only cut rates when "it has gained greater confidence" that inflation will get to the 2% target. Powell says that "it is likely we don't have enough confidence to cut in March"

In other words, rate cuts aren't coming as quickly, as more inflation data is needed before a decision can be made.

How to trade tech stocks?

Stellar earnings from Apple might be the only solution as other positive factors have already been priced in.

What’s your choice?

  • Take profits to hold cash in your account

  • Sell covered calls to hedge

  • Buy puts to bet on significant declines in tech stocks

  • Sell puts to collect premiums during downturns

  • Hold onto good stocks and have faith in Apple and Meta earnings reports.

Vote and comment to win tiger coins~

voteHow to trade when rate hike's expectations fail?(2 choices)
161 people voted· Ended

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  • koolgal
    ·02-02
    TOP

    🌟🌟🌟Even though $Apple(AAPL)$  share price has fallen, I believe it is just a temporary setback and in the long term it would recover.  Apple still has a wide brand moat and has a unique ecosystem that makes it hard for Apple users to switch. 

    Apple's fundamentals have not changed.  It is still a profitable company with a rock solid balance sheet and an excellent management team under Tim Cook. 

    Apple is also Warren Buffett's top holding on Berkshire Hathaway with 50% weightage.    I will continue to dollar cost average into Apple and let the magic of compounding happen over time. 

    When there's fear in the markets it is time to be greedy! 

    @Tiger_comments  @TigerStars  

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  • MHh
    ·02-01
    TOP
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  • DiAngel
    ·02-01
    TOP
    I m trying to sell my EPPS tech stocks. [Bless][Bless][Bless] just when it was in an uptrend mode, typhoon came and destroy its vehicle. Now my EPPS tech stocks are in recovery stage and hopefully, it will stage a strong home coming victory. Then i will welcome them home (to SG) as I already have plan for their usage. [Chuckle][LOL]
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  • Mrzorro
    ·02-02
    sell to take profit and covered call will be my choices ...although these stock are very potential in the future but for the moment I will just KIV...wait for the opportunity 
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  • @Success88

    @MHh

    @jhtiger

    @Mrzorro

    @DiAngel

    @Bonta

    @Fenger1188

    @icycrystal

    @koolgal

    Thank you for commenting on my post. Your coins have been sent to your account~ Don't forget to check your tiger coins💖

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  • icycrystal
    ·02-04

    ‌$Apple(AAPL)$ Bearish‌ not surprising it's on a downward trend. Most stocks are... ‌$Tesla Motors(TSLA)$ Bearish‌ too been having a tough time...


    Although they are trending down, there's still potential that they will bounce back. They have their loyal fans to hold on to their stock or perhaps buying more and when trending up sell at a good profits [USD] [USD] [USD]


    ‌@LMSunshine ‌ ‌@koolgal ‌ ‌‌@DiAngel ‌ ‌@HelenJanet ‌‌@Shyon ‌ ‌@Aqa ‌ ‌@rL ‌ ‌@GoodLife99 ‌ ‌@Universe宇宙 ‌


    Come comment and win coins [smile] [smile] [smile]

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  • jhtiger
    ·02-03
    I'll continue to hold onto stocks like AAPL - I invest for the long term so whatever happens over a few years doesn't worry me too much as I still have faith in the company
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  • Fenger1188
    ·02-02
    谢谢 @Tiger_comments 精彩分享👍🏻,$苹果(AAPL)$在我的投资组合里,帐面出现亏损😮‍💨。
    最近多数股票表现不佳,苹果也不例外,虽然全球来看苹果依然是老大,但令投资者担忧的是,去年第四季度苹果在中国市场的智能手机出货量同比下降2.1%,一样不达预期。
    苹果公司连续四个季度下滑,我预计这一季有望扭转下滑趋势。因为2023年苹果成为智能手机全球销量第一,这也是苹果首次超过三星登顶智能手机年度销量冠军,iPhone的强劲销售表现将为苹果巨额利润。
    苹果公司每年大约减少3%的流通股。这一财务策略已经有效地提升了每股收益。通过股票回购,苹果向市场传递出积极的信号,表明其具有稳健的财务状况和强大的盈利能力。
    最近重量级大股一再暴雷和一些不利消息影响股市,在这不明朗时刻,我暂时会保持观望不买入。不过长期看好$苹果(AAPL)$ $英伟达(NVDA)$$特斯拉(TSLA)$,我会留在$老虎证券(TIGR)$投资,我继续等待好时机,买入这些有价值的优质股票并长期持有。
    朋友们,请加入 @Tiger_comments 活动, 有机会获得虎币,愿大家天天开心,股票大涨,早日实现财富自由❤️。


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  • Bonta
    ·02-01
    At current juncture where stocks are at highs, its either take profit or if want to continue holding, sell covered calls. Covered calls can only protect to a small degree. But its better than none.
    Buying puts is trying to time the market with time decay working against us, it isnt advisable.
    After significant decline, selling puts will then make sense to start accumulating great stocks at a discount
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  • WeiHrn
    ·02-02

    Great ariticle, would you like to share it?

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  • Success88
    ·02-01
    Do Cover Call and also buy ETF stock
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  • A1Broker
    ·02-02
    take and run 😄
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  • YueShan
    ·02-02
    Good⭐️⭐️⭐️
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  • better to sell
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