It's likely to shoot up because short sellers will be covering their short positions. It's going to get destroyed when earnings come out.
That's because so many institutions allocate based on actual earnings reports. They are not equipped to make trades before the end of the quarter.
When they see the earnings come out - the real earnings - they will reallocate and sell a shit ton of companies that had earnings losses. 2nd wave after the crash is always institution driven. First wave is people acting in anticipation of institutions.
Probably. If you're old the stock market may not be the right place for your money. I've got 30 years before I retire so I'm playing the looooooooooooong game.
This shows how stupid this entire thing is. The entire banking system collapsing, and 9/11, both caused significantly less panic than a virus with a 99% survival rate.
If you've already lost a ton of money right now go to cash. There is no indication that the market is going to recover any time soon. This is a demand-driven deflationary spiral.
When earnings begin coming out in April the market is going to be annihilated. Support will be tested at 16,000 on the DJIA. If it breaks through that next support level is 12,500.
That's what they did in 2008 with financial stocks. They cancelled all shorting. I got crushed. They did it the day before option expiration date. I had sold puts on financials with 1 day until expiration. Easy $50,000. Then they made the announcement that short-selling financials was stopped and the markets tanked 15% the next day. Lost over $150,000.
They did the same thing back in 1998. It's why Long-Term capital went under. The Russians devalue the ruble and at the same time halted trading on the futures, thus eliminating LTCM's hedged position. Almost destroyed the entire global banking system because they had borrowed $800 billion using the same assets as collateral.
Secret is asset allocation. Create a portfolio of non-correlated assets. Not just diversified. NON-CORRELATED.
Everybody who thought they were diversified is getting crushed now. All their assets are correlated - including their real estate/homes.
There will be the biggest opportunity in the history of the world after this is over. It's already here now if you know what you're doing - but is very difficult to know the timing and will lead to huge losses if the timing is wrong.
Cash is king. There is no rush to do anything now. Too many unknowns. Earnings are going to be crushed. GS is predicting 5% contraction in economy over this. That will translate to the DJIA being around 12,000-16,000 based just on earnings.
Always make your own choices based on facts and history - not on other people's opinions. They are no better than your own opinions. Just look at the history or markets and READ about the history of the markets. E.g., look at how the Japanese Nikkei index was the hottest market in the world and then the bottom fell out. It's lower now, even before the crash, than it was 20 years ago.
Look at the DJIA between 1917 and 1941. It was lower in 1941 than 1917. Same from 1963 to 1983.
After crashes like this there is no guarantee when, or if, the market will go back up to where it was before - or how long it will take.
Historically these things go in roughly 20 year generational cycles because of the emotional trauma instilled into the people who watched years of money evaporate in a matter of days. It affects all their decisions going forward.
Have faith in yourself above all else. You are more than anything that can happen to you financially.
If I was an active trader I would, but I'm not and I'll get screwed. Wild swings happen. Sitting on cash until I see <20k.
DJIA broke 20,000 earlier. Bounced up.
It's likely to shoot up because short sellers will be covering their short positions. It's going to get destroyed when earnings come out.
That's because so many institutions allocate based on actual earnings reports. They are not equipped to make trades before the end of the quarter.
When they see the earnings come out - the real earnings - they will reallocate and sell a shit ton of companies that had earnings losses. 2nd wave after the crash is always institution driven. First wave is people acting in anticipation of institutions.
Edit to ask you straight if you are a deep state spy as I have seen said. I do not normally follow financial posts.
I'm buying all the way down. I'm worried it will bounce back again.
I want to and I'm tempted but I think I'm getting old. I've seen this shit before and it will get artificially pumped up again, and again.
Probably. If you're old the stock market may not be the right place for your money. I've got 30 years before I retire so I'm playing the looooooooooooong game.
Not old, not young. Annoyingly stuck in the middle:)
This shows how stupid this entire thing is. The entire banking system collapsing, and 9/11, both caused significantly less panic than a virus with a 99% survival rate.
Excellent advice.
Thanks.
VIX is easiest instrument to work with because volatility - by definition - must go up and down.
We're at a once in a lifetime black swan event to short volatility.
If you've already lost a ton of money right now go to cash. There is no indication that the market is going to recover any time soon. This is a demand-driven deflationary spiral.
When earnings begin coming out in April the market is going to be annihilated. Support will be tested at 16,000 on the DJIA. If it breaks through that next support level is 12,500.
Its gonna be a mess. You can't have worldwide cancelled flights, closed bars and no sports without a disaster. It's so much crazy.
That's what they did in 2008 with financial stocks. They cancelled all shorting. I got crushed. They did it the day before option expiration date. I had sold puts on financials with 1 day until expiration. Easy $50,000. Then they made the announcement that short-selling financials was stopped and the markets tanked 15% the next day. Lost over $150,000.
They did the same thing back in 1998. It's why Long-Term capital went under. The Russians devalue the ruble and at the same time halted trading on the futures, thus eliminating LTCM's hedged position. Almost destroyed the entire global banking system because they had borrowed $800 billion using the same assets as collateral.
fuck dude, i wish i knew what this meant.
YES!
Start today.
Secret is asset allocation. Create a portfolio of non-correlated assets. Not just diversified. NON-CORRELATED.
Everybody who thought they were diversified is getting crushed now. All their assets are correlated - including their real estate/homes.
There will be the biggest opportunity in the history of the world after this is over. It's already here now if you know what you're doing - but is very difficult to know the timing and will lead to huge losses if the timing is wrong.
Cash is king. There is no rush to do anything now. Too many unknowns. Earnings are going to be crushed. GS is predicting 5% contraction in economy over this. That will translate to the DJIA being around 12,000-16,000 based just on earnings.
Always make your own choices based on facts and history - not on other people's opinions. They are no better than your own opinions. Just look at the history or markets and READ about the history of the markets. E.g., look at how the Japanese Nikkei index was the hottest market in the world and then the bottom fell out. It's lower now, even before the crash, than it was 20 years ago.
Look at the DJIA between 1917 and 1941. It was lower in 1941 than 1917. Same from 1963 to 1983.
After crashes like this there is no guarantee when, or if, the market will go back up to where it was before - or how long it will take.
Historically these things go in roughly 20 year generational cycles because of the emotional trauma instilled into the people who watched years of money evaporate in a matter of days. It affects all their decisions going forward.
Have faith in yourself above all else. You are more than anything that can happen to you financially.