Or buy the whole herd back at a cheaper price :)
Printable View
That's how it should be played I reckon .... except for those who hold forever, they are into shares for another purpose and expect to see 20%-30%-40% declines every now and again
I like keeping most of the gains ... Mr P said 'the market giveth but the market also taketh.'
Hey SLi is up, now who'd have thought:eek2: This dog may yet bark.
Hi All,
Can someone please comment/give their opinion on this.
I see so much of selling and my portfolio is in red like most people on here but 90% of the shares I own are all dividend paying shares with PE's between 10-20. I have not sold anything and I know as many on here have stated - when things get this bad sell sell sell, I am only 30 and I see with just dividends alone for the next couple years will bring me back in the black. I just don't really understand how taking the losses now and putting the $ in the bank with 3% interest or 5% on my investment property would be better than letting this play out. Is my thinking completely wrong? Should I be protecting capital?
If you are a long term investor in solid companies, just ignore the market and get on with your life. Certainly wouldnt be selling up. Think about buying a few more if anything
meant as reply to above
The Nikkei has opened down almost 2% but the US futures for tomorrow's open are up a whopping 200 points.
http://www.cnbc.com/pre-markets/
This is a significant downtrend folks. No one can tell what the future will bring but I would say it will drop further before it turns. Yesterday was a grace day that allowed people to make a decision - hold or sell some of the portfolio (or buy more..). Some were expecting it to bounce back, however last night the down had one of its biggest intra day drops and closed another 3ish % down. The Chinese are pulling all the strings of intervention right now and their stock exchange is still going down (what would things look like with no intervention!!). Ive heavily cut my holdings (have been for 2 months now but got very aggressive yesterday, luckily most were still on significant gains - a few were not). But it is critical to preserve capital unless you really can ride it out for 2-5 years - if things dont turn. Because the worst thing you can do is say "Im long term & I dont care about day to day movements" and then sell later on when you may be sitting on much larger paper losses. It may bounce back but from what I have read - and Im very weak technically, however it looks like some major points have been broken, I wish it wasnt but this really may be more than a bit of volatility that turn positive again.
Let me remind you of a true story about a rich American gent who invested heavily in a variety of solid stocks over a ten year period, over that period there were many Macro and micro corrections to the markets due to a variety of abnormal worldwide events, meantime he just enjoyed doing what he always did his golf,fishing etc and low and behold at the end of ten years he had more than doubled his money.