Market, Energy, and Inflation posture (Not Political).

Got some good deals but can't ignore the pain of the Dow... Freaking brutal. Who needs Vegas? Lol

 

Lol I've been riding the waves up and down. I'm not a believer, but I'll put in short pops here and there for nominal gains.

 

I work in oil and gas. I have saved for this sort of issue, just in case. I put a lot of forethought into all of this, but I didn't sell any of my investments, or move them (mutual funds, bonds etc...). I guess I'm riding this one into the flames for better or for worse.

I did take full advantage of the covid crash and put as much into the market as I could. I caught it at the lowest point (lucky me!)

At least I am not due to have to purchase a new truck anytime soon, so I can breathe a little easier there.

Just have to see what happens right? You can find a way around, or through, anything if you study-up a little bit.

 

For anyone who hasn't seen it.

Dude dropped $53k on GameStop options in 2019, today on paper it's worth $47 million.
https://www.reddit.com/r/wallstreetbets/comments/l6ekdz/gme_yolo_update_jan_27_2021_guess_i_need_102

Meanwhile I'm happy I'm finally only down $10 on Canopy Growth lol.

Did luck out with the wife's 401k though, had to move it when she was let go in early March. Sold it at nearly the high and reinvested in an IRA at nearly the bottom. I want to say it grew from 80 to 110k the last year.

 

Diamond hands dog. You can't be a stiff and think it's all totally a gimmick. There's power in social media and the cult that is Reddit faithfuls. Turned a $1800 profit today using only $1k on a mixture of GME, BB, AMC, and NOK.

 

A friend of mine told me to buy Canopy back when it was $6/share. I bought 50 shares and still have it. I really wish I had bought more.

 

I bought some last summer at $43. I wish I'd bought more but when it was under $10 but we didn't want to lay out any more cash with her unemployed than we need to.

Also bought some NIO around $6 and sold about $15. That's about how my luck goes.

Killing it on Dogecoin though up 200% there. Too bad it's only with $2 in total lol.

 

I have been in the stock market for some forty five years. I have seen the crash of the of the 80's, 90's, 2000's. Between 2007-2011 I lost half of my retirement in stocks. Now I only have 1/4 of my funds in stock and the rest in bonds. Taking no chances in the next crash.

 

Ya interesting day. I don't think anyone expected the Fed to mess with interest rates. I did read something interesting about quite a few investment firms selling off heavily this month and going to cash and bonds. Wonder if they know something or they're terrified of what "r/wallstreetbets" might do.

Somewhat surprisingly, 3M was up over 6% which was a nice surprise. I lucked out with buying into that at the beginning of the year and then heavily when the market crashed.

 

Friday will be even more wild when shorts are announced with this short squeeze market eating hedge funds up.

 

For those of you who may be using, or tempted to use Robinhood for your investments, see the excerpt below of why that is NOT a good idea. This is by Jeff Brown of Brownstone Research (I HIGHLY recommend his services - they WILL more than pay for themselves):

"Robinhood routes its customers’ orders through hedge funds for execution. The hedge funds then front-run those orders by buying shares at a lower price and selling them to Robinhood’s customers at a higher price. It “sells” its order book for a profit.
The hedge funds pay Robinhood handsomely for this service. That’s how Robinhood makes money. Hedge funds pay it for order flow.
This isn’t illegal, but Robinhood was never forthcoming about how it actually made money. Its indiscretion actually got the company into trouble with the Securities and Exchange Commission (SEC) and resulted in a recent settlement.
The actual difference in execution price may be just pennies a share or sometimes less than a penny. Some investors might be fine with that. But others may want to know that they’re getting the best execution on their trades as possible. . .

. . .But Robinhood’s entire business model relies on helping institutional money profit at the expense of retail investors."

Y'all may already be aware of this, but just in case, now you know.

 

ThinkorSwim for meeeee.

 

I'm typically very conservative with investments with focus on long term growth. However, I jumped on the GME bandwagon along with AMC/BB and its been a lot of fun. I haven't been this excited over stocks in a long time. Its a beautiful thing seeing these hedge funds bleed at the expense of retail investors using the same tactics they have been using for decades manipulating the market. That plus making quite a bit of "fun" money that i'll use for the Tundra.

 

It's exhilarating. Use of social media and the masses to gamble with hedge fund money. Suck it Melvin Capital and Citron.

 

I'm retired and today we had our 30 minute, quarterly meeting with our Vanguard financial planner. We don't have enough money to warrant any more time than that.

The take away from todays meeting regarding the outlook for 2021 totally has to do with how well the vaccine rollout goes.

A fairly smooth rollout, with everyone getting the vaccine who wants it by late spring or early summer, is already priced into the market.

If the rollout goes ahead of schedule the market will go up, and if the vaccine rollout lags the market will go down.

Our advisor thought 2021 would see 5-6% gains for the year; a far cry from the 13% we got last year.

He also didn't think we are experiencing a "bubble". The 2008 dot.com mess was a bubble, but not now. I found this interesting.

I do have a bit of cash on the sideline to buy into the market at the next 20% dip, but other than that I'm just holding steady.

 

Yeah, sometimes I can't even remember my Tundras.com password 'tundra'.

 

I was always a value investor and tried to keep some powder dry and buy when the blood was running in the streets. Now retired 4+ years, I just keep my equity/debt in line with my risk tolerance, which is currently about 55/45, but I'm 63.

I did recently sell bond funds and funded a professionally managed account where I own actual high rated bond ladders to decrease any volatility from market panics.

My equities are in diversified ETFs sectors and indexes. I don't have many individual company stocks.

The market always goes through regular cycles and every time the market goes south due to some black swan event people will panic and declare 'it's different this time'. It's not. The market always recovers. Those are just opportunities for the professional traders to pick up the retail investors by their ankles and shake the change out of their pockets.

Crypto? No fucking way. JMO.

Happy investing.

 

I had paper hands and backed out too soon, made enough for a supercharger but could’ve made almost enough for a truck had I stayed in. Rolled the profits into some regular long term investments but still enjoying the show. Have a small amount in other meme stocks in case they irrationally explode too.

 

Any money is good money. Keep 'er green, who cares what the # says.

 

Yeah but I really wanted to buy that Porsche from those proceeds

 

I disagree with his outlook for 2021. And 13% last year? Were you only invested in "super safe" utilities? Even just an index to the S&P would have returned 18.4%. Technology, including biotech, will keep the market humming along nicely for the next ten years. There will be volatility and some major dips, and the path COVID takes will affect the volatility much more than the overall direction of the market.

Again, these are not my original thoughts, but what I have gleaned from the advisors I subscribe to that have outperformed the market by 3-6x for the past several years.

 

Funny. Just the interest I'm currently making on crypto has bought me two AR-15's (one to play with and one as an investment) over the past four months. And no, I didn't buy that much to start with.
Seriously though, I find that the ones rejecting cryptos are just unaware of exactly what they are, how useful they are, how powerful they are at helping businesses, and how much money they SAVE businesses. I would guess that you don't realize that everyone in the U.S. who banks or buys vegetables, wines, or other groceries are already using cryptos without even realizing it. Pay attention over the next several food recalls. You'll find that the sizes of the recalls are getting smaller and smaller. That is due to companies using cryptos to track every move of every individual item, such as a head of lettuce. They can narrow down contaminated lettuce into smaller and smaller lots thanks to cryptos. And large banks are using cryptos to move large amounts of money in seconds instead of days, at a cost of pennies instead of dollars.

 

@myt1 i would consider moving your relationship elsewhere. It doesn’t sound like very good or insightful advice from your advisor. My wife had money in vanguard but I’ve convinced her to move it.
If there’s another bank you have a relationship with I would start with their investment department. Or, if you have a relationship banker, talk to them.

 

I would skip the banks. They're only allowed to offer you very limited products and they have to push whatever central office is telling them to push in a given week, regardless of whether it actually makes sense for their customers or not.

 

Nailed it. That is exactly why I wouldn't buy any.

 

13% means nothing without knowing his debt/equity mix and risk tolerance. For someone that has a 60/40 mix, 13% sounds reasonable for 2020 since your bonds may have just been paying 3 to 5%.

 

Just like that gents... We made some coin. It will be the death of me but I do like buying low and letting dividends and the share price increasing. Clawed back yesterday's losses and have more shares. Let's end this week high please.. lol

 

Lol @ this morning. What a joke. The SEC, Robinhood, TD Ameritrade, they all suck.

 

It shows you just how rigged the game is in favor of old money. As soon as the little guys start winning they cry foul.

 

It's disgusting.