TACO Bell Tolls: How To Trade Geopolitical Rollercoaster With XLE, IAU & SPYM ETFs

🌟🌟🌟 The market has just experienced a massive dose of political whiplash, but for smart investors this chaotic TACO routine is actually a perfect cue to keep buying your favourite funds.

When President Trump threatened massive military strikes on Iran and then suddenly hit the pause button, he triggered a classic market freak out. 

For every day investors especially new ones, trying to time these wild political mood swings is a Fool's errand.  Instead of panicking, the best strategy now is to quietly, automatically keep investing by using a dollar cost averaging approach into 3 ETFs : XLE, IAU and SPYM.

Here is the humorous no nonsense breakdown of why sticking to your DCA plan for these 3 ETFs is the ultimate financial superpower right now.


1.  $Energy Select Sector SPDR Fund(XLE)$ 

Why keep buying?  Because the world runs on oil and politicians love drama.

The Reality: World leaders can tweet a pause on conflict but they cannot tweet more oil into existence.

The Humour : Think of XLE as your financial stress premium.  Every time a geopolitical headline breaks, oil prices can jump faster than a trader caffeinated on 4 energy drinks.

The Strategy: By continuing your DCA into XLE, you are buying fewer shares when energy prices spike and loading up on cheaper shares when politicians play nice.  You win either way. 


2. $iShares Gold Trust(IAU)$  

Why keep buying?  Because when the world gets weird, humans crave the safe haven of gold. 

The Reality: Gold is the ultimate global panic room for cash. 

The Humour: Fiat or paper money relies on trust in governments.  Let's face it: trust is in short supply when the daily news looks like an action movie script.  Gold has survived since ancient times and it will survive the next press conference. 

The Strategy: By dollar cost averaging into IAU builds an insurance policy for your portfolio.  If the TACO de-escalation fails, and things get chaotic again, your gold stash will act as a financial cushion. 


3. $SPDR Portfolio S&P 500 ETF(SPYM)$  

Why keep buying?  Because betting against the biggest companies in the world like the Magnificent 7, is a losing game. 

The Reality: SPYM tracks the S&P500 Index which represents the massive, highly sustainable corporate giants that power the global economy. 

The Humour : $Apple(AAPL)$  $NVIDIA(NVDA)$  and $Microsoft(MSFT)$  do not stop selling their products just because a military strike got delayed.  In fact while politicians argue, these companies are busy making billions of dollars. 

The Strategy : SPYM is your long term engine.   By automatically buying it through the ups and downs, you ensure you do not miss out on the market's eventual recovery and growth. 


Concluding Thoughts 

Trying to trade the market based on breaking news is like trying to catch a falling knife while riding a unicycle. 

By ignoring the daily noise and sticking to your automatic DCA plan  in XLE, IAU and SPYM, you are using mathematics to beat the volatility.   You buy less when things are more expensive, more when things are on sale.  Best of all, you sleep well at night.

Investing does not have to be complicated, by using DCA into these 3 well positioned ETFs, you let the magic of compounding happen over a long term horizon.

@Tiger_comments  @Tiger_SG  @TigerStars  @TBlive

# The boss asked me to issue coins

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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  • 1PC
    Β·08-02 18:51
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    • koolgal:Β 
      Best of luck πŸ€πŸ€πŸ€
      08-02 19:10
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    • koolgal:Β 
      May you have a winning week ahead πŸŒˆπŸŒˆπŸŒˆπŸ’°πŸ’°πŸ’°
      08-02 19:10
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    • koolgal:Β 
      Happy Sunday πŸ–οΈπŸ–οΈπŸ–οΈ
      08-02 19:09
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