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Thanks for sharing! Good post. I have some bboz and I am...

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luckycato

148 Posts.

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22/04/20

21:42

Post #: 44199258
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Originally posted by specvestor: ↑

I anticipate that the market will still go down, regardless of stimulus size at this point. With many initially pricing this as a temporal disruption to business and thus viewing a $2T stimulus as a strong stop-gap hence the BEAR rally we've just gone through.

This week you'll see unemployment numbers cap out again, and the market will start to enter a slow decent. It wont sell down liquidity like it did in March but daily drops of 2-5% should be expected over the next 2 weeks. Don't be surprised to see some short rallies as retail investors "buy the dip" but ultimately we will be on a downward trend from now.

Even with more Stimulus the market will have factored in now that this isn't a short term dip and these packages are intended to avoid significant collapse and social unrest - not to ensure they keep a +ve RoI

As the total decline passes the March lows, you'll also see new panic selling caused by retail investors. If you've been paying attention to posts here and on places like Reddit, you'll have noticed a large uptick in the same type of rhetoric you would have seen during the Crypto currency boom in Dec 2018. I recently opened up another trading account in Singapore (I trade mostly on ASX via a local AU bank) and their delay in opening accounts was 3x their usual delivery time. Unsure if the same uptick would have occurred in AUS and USA but I am presuming it will and I doubt the majority of them will be sophisticated investors.

Classic examples of novice retail investors are the posts of "Bought in at x.xx - should i sell or hold?" as asking this question infers they've not developed an idea for pricing their stock picks. They're just in here to make some money and currently riding a bit of luck.

Note: I do not exclude myself from this group nor do i mean to criticise them. Taking risks on companies you think are profitable and have a good future is admirable however, attempting to make short term trades to "time the market" without having detailed analysis at hand can expose you to significant short term losses that can take years to return to green.

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Thanks for sharing! Good post. I have some bboz and I am considering when I should sell them.

Value at posting: 2,958.8
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Thanks for sharing! Good post. I have some bboz and I am...

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Thanks for sharing! Good post. I have some bboz and I am...

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