Buy or Sell?

[peenie 1,690]

Hey you stock market gurus, is it a good time to buy stocks or sell stocks due to the Coronavirus outbreak?
I read that analysts say now is a good time to buy.

[patweisers44 697]

If you have made the decision to jump in, let the market tank today before you do any buying. Dow Futs are down over 700 pts.

[peenie 1,690]

But pat isn't that good to buy while the stocks are low?

[patweisers44 697]

4 hours ago, peenie said:

But pat isn't that good to buy while the stocks are low?

Yes,  if you have made the decision to jump in, let some of this coronavirus stuff affecting markets play out and then jump in.   The key, like always, is trying to guess the bottom.

[tubby_mcgee 686]

5 hours ago, peenie said:

Hey you stock market gurus, is it a good time to buy stocks or sell stocks due to the Coronavirus outbreak?
I read that analysts say now is a good time to buy.

 

But what if you buy and then that stock drops like a lead weight (because of coronavirus)?

If I'd have left with just that sentence, you'd probably be like 'Oh...yeah...gosh, true.  Maybe I shouldn't buy"

Its easier to instill fear in people than it is to instill hope.  Much, much, much easier.

So coronavirus, its either gonna get us all, or they will get it cleaned up.  What are you betting on? 

In my own brain ...... coranavirus  ≠  "a company's value and worth is less"

 

 

[5-Points 2,726]

“A simple rule dictates my buying: Be fearful when others are greedy, and be greedy when others are fearful"

-Warren Buffett 

[Patriotsfatboy1 1,432]

2 minutes ago, tubby_mcgee said:

 

But what if you buy and then that stock drops like a lead weight (because of coronavirus)?

If I'd have left with just that sentence, you'd probably be like 'Oh...yeah...gosh, true.  Maybe I shouldn't buy"

Its easier to instill fear in people than it is to instill hope.  Much, much, much easier.

So coronavirus, its either gonna get us all, or they will get it cleaned up.  What are you betting on? 

In my own brain ...... coranavirus  ≠  "a company's value and worth is less"

 

 

The problem is that pandemic situations where people might be quarantined affects both consumers and manufacturers of goods, particularly with it centering around China.  It is already affecting China's economy and has affected companies like Apple.  This is a good excuse for companies that will be missing targets and it may just be a correction that was needed given how high things were trading vs. EPS.  

I will be buying some today in either a specific stock if it drops to the price I like or with an index fund.  Not going all-in though.  

[lod001 1,237]

5 hours ago, peenie said:

But pat isn't that good to buy while the stocks are low?

The aren't low. They were at nosebleed levels and are off 3-7%. That would be a normal correction from normal levels. We are at overvalued levels and the threat of a virus sending the world economies into recession.  If a recession hits, it will be a 25% beatdown. Odds are favorable for a dead cat bounce & more selling.

Here is a chart of sell offs from previous virus outbreaks. https://www.cnbc.com/2020/02/24/avoid-this-investing-mistake-as-coronavirus-fears-grip-the-markets.html Wea re jsut at 5% right now.

I would not go all in for sure and I would really be leery of a deadcat bounce.

 

[peenie 1,690]

1 hour ago, lod001 said:

I would not go all in for sure and I would really be leery of a deadcat bounce.

I had to look up what a deadcat bounce was: even a dead cat will bounce. Meaning, don't think that just because there may be an upswing in stock prices that the downturn is over. It's a brief upswing that is followed by a continued down pattern.

So....that means....stock may likely drop even further?? Wait to buy? Wait to sell? I appreciate the advice and actually will just start posting on the other stock thread. No need to have multiples of these.

[posty 2,296]

On the moon?

 

[lod001 1,237]

1 hour ago, peenie said:

I had to look up what a deadcat bounce was: even a dead cat will bounce. Meaning, don't think that just because there may be an upswing in stock prices that the downturn is over. It's a brief upswing that is followed by a continued down pattern.

So....that means....stock may likely drop even further?? Wait to buy? Wait to sell? I appreciate the advice and actually will just start posting on the other stock thread. No need to have multiples of these.

Hard to say but I'm gambling right now. I finished selling my bond stuff (TLT) for a big win and went full in on a growth fund for a bounce. Sue hope this total gamble pays off and we are up tomorrow. If so, i'll sell and watch from the sidelines.

[Cdub100 3,380]

You should be buying all the time.