The stock market is now almost entirely divorced from the real economy.
The huge and almost unabated rise in the stock market the past few years, including during Trump's presidency, can be tied to the federal reserve endlessly creating more and more money out of thin air. That money is largely injected into the stock market. Thus stonks only go up or whatever they say over on wsb.
I fear we're in for a crash of epic proportions when this house of cards starts falling.
Someone gave me advice (as a newbie to investing) and said just save my cash and after the market crashes hard, buy buy buy for cheap cheap cheap and hold hold hold...what say you?
If you haven't yet entered the market, you can either try now, as the recent market correction means you can find some stocks at a bargain, or if your thesis about an upcoming crash is correct, wait for the crash. A big part of this is psychological, though. I have a co-worker who correctly predicted the March crash and sold his shares in February, however, he gold cold feet and didn't jump back in afterwords, missing incredible opportunities. People don't know when the market has reached its low point, and so they hesitate. If you want to time the market, remember that imperfect timing is better than not trying at all, especially if you can hold your funds in their for years. However, and overall, it's generally accepted that over the long-term "Time in the market beats timing the market". If you're interested in investing, do some research and give it a go.
The stock market is now almost entirely divorced from the real economy.
The huge and almost unabated rise in the stock market the past few years, including during Trump's presidency, can be tied to the federal reserve endlessly creating more and more money out of thin air. That money is largely injected into the stock market. Thus stonks only go up or whatever they say over on wsb.
I fear we're in for a crash of epic proportions when this house of cards starts falling.
Someone gave me advice (as a newbie to investing) and said just save my cash and after the market crashes hard, buy buy buy for cheap cheap cheap and hold hold hold...what say you?
If you haven't yet entered the market, you can either try now, as the recent market correction means you can find some stocks at a bargain, or if your thesis about an upcoming crash is correct, wait for the crash. A big part of this is psychological, though. I have a co-worker who correctly predicted the March crash and sold his shares in February, however, he gold cold feet and didn't jump back in afterwords, missing incredible opportunities. People don't know when the market has reached its low point, and so they hesitate. If you want to time the market, remember that imperfect timing is better than not trying at all, especially if you can hold your funds in their for years. However, and overall, it's generally accepted that over the long-term "Time in the market beats timing the market". If you're interested in investing, do some research and give it a go.