Trump's Election and the Markets

Discussion in 'Finance, Investments, and Careers' started by crisper57, Nov 9, 2016.

  1. Russ Smith

    Russ Smith The Original Whizzinator Contributor

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    Wow I don't know what was worse, 3.5 hours waiting in the DMV for my girlfriend to renew her drivers license, or spending 3.5 hours watching the stock market tank on my phone. Today was my biggest one day loss ever, overall market was bad and one of my stocks fell 30%(total overreaction to mixed guidance). It's almost all in my IRA's so it's not money I'm going to use now but still sucks to watch.

    It'll come back eventually, the worst part is i I nearly sold that one stock 3 weeks ago when it got me back to even plus 5%, but I decided not to.
     
  2. AsUpRoDiGy

    AsUpRoDiGy Magnanimous

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    That's always rough to see. When my positions are down I try to stop looking and go work out or something to keep my mind off of it. As long as you do your DD and focus on fundamentals...you will almost always be fine. Be patient and you will be rewarded!
     
  3. Russ Smith

    Russ Smith The Original Whizzinator Contributor

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    yeah I've completely changed my investment plans over the years I used to try and time the market, get in and out etc. People here several times pointed that out to me.

    Sounds funny but I finally talked to someone at work who told me the same thing and showed me stats on getting in and out and how you almost always miss the big up days doing that. I paid for a one year Motley Fool Stock Advisor, bought a bunch of stocks they recommended that have for the most part done well(until the last 2 weeks) and it has completely changed my philosophy. They very much preach the buy and hold long term plan and that's the way I'm going now.

    Every now and then I'll sell a stock I don't like anymore but nothing like what I used to do.

    Today went much better although we closed off the lows and my terrible stock from yesterday(IRBT) went down another 3% today. But i'm still holding it I think it's a major overreaction they still dominate their market and I'm holding them
     
  4. AsUpRoDiGy

    AsUpRoDiGy Magnanimous

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    IRBT fell off a cliff, but that definitely seems more like emotional sentiment over people seeing red than anything else. Earnings look good, and RSI indicates it's way oversold. Charts don't look great on it, as they dipped below the 50 and 200 DMA, but that's from people freaking out it looks like. If their 2018 Q1 reports indicate they're headed towards the billion revenue mark...it'll rebound back up into the 80's. If you have the opportunity you can wait for it to bottom out and lower your avg position...might be worthwhile if you plan on holding it for a bit.
     
  5. Russ Smith

    Russ Smith The Original Whizzinator Contributor

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    I nearly sold it 2-3 weeks ago. The reason was funnily enough our nephew was looking at robotic vacuums at home on Amazon and started naming interesting ones and he said "the Roombas cost too much." I started to wonder how many people make that same decision. But i convinced myself not to sell, I was down about 5% on the stock then, over 30 down now obviously. I could average down on it but I've also got a fair amount of the stock already, and I'm not entirely sure it's at the bottom, they had good earnings, and even the guidance was pretty good. If you follow the company they always guide very conservatively.

    The last hit was when some short analyst wrote a thesis that Shark and some other lower priced models were going to take tons of market share. Stock tanked. Then reality set in , 2 of those companies settled suits with IRBT agreeing to stop selling because they were infringing patents, a couple of others have some performance issues, and the stock went back up. I am for now feeling the same thing will happen. Plus the company is branching out it's in pool cleaners, gutter cleaning and some other stuff and they're doing digital mapping because they use wifi that I suspect might make them an interesting takeover candidate in the future when someone decides how to utilize all that information on wifi in your house, where the dead spots are etc.

    Way down right now but I think longer term they're still the industry leader.
     
  6. AsUpRoDiGy

    AsUpRoDiGy Magnanimous

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    If you already have a fairly large position, then pretty tough to allocate more, unless you have a lot of faith in its potential. I certainly wouldn't buy it right now...the chart indicates it might break its 52 week low of 52.12, which would then be a great buying opportunity. I haven't checked the short report on it, but if there were large short positions on it...then you know the drop was manipulated. Not often you see a stock drop that much with better than expected earnings, so it's bound to make an upward correction.
     

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