Update: Moonshot and Beyond (invested, stocks, buying, interest)

[flyingsaucermom]

Less educated/informed than probably 97% of readers here, but I heard a podcast last week (Stacking Benjamins) and the guest Phil Town who is basically saying the same thing you are gave evidence that both Ray Dalio and Warren Buffet share in the (at least similar) sentiment.

Since I don't have the education, I'm not arguing, but I would like to collect information. Let's assume you are on team Dalio/Buffet/Town/Heart84...

What is the best strategy for the everyday investor?

So I have about $5k to throw towards investments each month. Do you suggest stopping DCA and horde cash until another crash? Maybe give it a timeframe, say if S doesn't hit the F within 3 or 6 or 9 months then you get back in?

Do you suggest a particular segment of the market?

I had followed along a little when that thread started, but I don't know if actions for the average investor were part of it.

Thanks and sorry that thread got ruined. Better luck with this one...

[ninjamyst]

DJIA at 26K today. WOOOOOHOOOO! 30% return so far since I started investing in March. Only regret is not buying more in the beginning because it's my first time investing in stocks and I was being cautious. Thank you heart84 for your predictions and analysis but most importantly for your cool, mature demeanor dealing with the negativities others threw at you. You are a better person than most of us in how you handled it.

[heart84]

Originally Posted by amdda01

Thanks for the recap, heart.


I also appreciate your calls.

Thank you, amdda01!

[heart84]

Originally Posted by flyingsaucermom

Less educated/informed than probably 97% of readers here, but I heard a podcast last week (Stacking Benjamins) and the guest Phil Town who is basically saying the same thing you are gave evidence that both Ray Dalio and Warren Buffet share in the (at least similar) sentiment.

Since I don't have the education, I'm not arguing, but I would like to collect information. Let's assume you are on team Dalio/Buffet/Town/Heart84...

What is the best strategy for the everyday investor?

So I have about $5k to throw towards investments each month. Do you suggest stopping DCA and horde cash until another crash? Maybe give it a timeframe, say if S doesn't hit the F within 3 or 6 or 9 months then you get back in?

Do you suggest a particular segment of the market?

I had followed along a little when that thread started, but I don't know if actions for the average investor were part of it.

Thanks and sorry that thread got ruined. Better luck with this one...

Thank you flyingsaucermom for the good points. I actually just sent Mr. Dalio a message this morning before seeing your post. I will see if he responds. I did not agree with his "cash is trash" call back in January on CNBC. In fact at that time I thought it was a terrible call in the short-term. Had someone been in cash or UUP at that time they would have done very well over the course of the next few months. I think longer-term his statement is correct, but later this year into 2021 cash will be KING for that time period. I am anticipating a big deflationary bust.

Upside in stocks is obviously more limited today than it was in mid-March at the start of the "moonshot" move. There are still gains to be had over the summer and I think we will ultimately get back to record highs during the summer months purely from a Fed liquidity perspective. I am not sure if you have followed my sell points from SPY $230 but I have realized 50% of that position for about a 17% gain since mid-March and am still holding the other 50% of that position today up about 35% unrealized. My plan is to sell another 25% of the original position around S&P 3250 and the final chunk around S&P 3700+/-.

Don't try to thread the needle too closely with this moonshot move though because if it plays out like I think it will there is going to be a huge deflationary bust later this year into 2021. I am willing to give up gains at the apex of the moonshot in order to be safe in cash on the other side. Excellent buying opportunities will be had then and you want to be in cash.

[heart84]

Originally Posted by ninjamyst

DJIA at 26K today. WOOOOOHOOOO! 30% return so far since I started investing in March. Only regret is not buying more in the beginning because it's my first time investing in stocks and I was being cautious. Thank you heart84 for your predictions and analysis but most importantly for your cool, mature demeanor dealing with the negativities others threw at you. You are a better person than most of us in how you handled it.

Thank you, ninja! That is very nice of you. Congrats on those gains. Don't feel bashful about taking some profits along the way. You have earned it! Timing exact tops for all in or nothing is very difficult so we just have to take some profits along the way of record moves like this one.

[jonsereed]

I am not much of a trader as most of what I have are conv. corp. bonds, pref. shares and short term stuff so I dont subscribe to anyone's calls but I do enjoy reading your posts heart84.

[ShampooBanana]

Got into BA (Boeing) at about $130 a month ago. Up over 9% today and now at over $167/share. Wishing now I'd gone bigger on my position (only about $5k into it).

[Neo The One]

The moonshot continues higher today. Hard to believe we are back at these levels just since March. Wish I would have put more money to work then but that is always easy to say after. Gutsy call. Glad to see you started another thread heart84.

[Berteau]

I sort of feel bad for all those people who sold at the bottom to wait for all this Coronavirus stuff to pass. Markets are forward-looking and it will all be passed when we reach all time highs again and its safe to invest. Amateurs.

[Flavia84]

Glad Heart84 is back and not paying attention to forum bullies!