j9fd3s

i think if you believe in the us style system, and can find companies that honestly report things like earnings and such, now* is the time to buy in....



*not today, but soon

1988RedT2

Yeah, the market tends to bottom out before the economy bottoms out, but I think there's a bit more downside coming. I'd expect things to yoyo for a while, at least until the election.

phinsup

There is certainly some money to be made, I wouldn't feel safe calling a bottom, the issue now becomes, what companies can survive the worsening economy ahead? There are still many banks to be shaken out of the tree, the issue of settling derivatives is also looming. I think if you are planning on going longterm now is not the time there is more pain ahead, if you want to make some quick cash on yoyo market that can easily be done now.

phinsup

sorry was nursing a migraine when I wrote that.



In short my recommendation would be this: If you have money in the market and have lost a good portion of it, go ahead and stay in, if you got our before you lost money, stay out, I really dont feel taht we've seen a bottom, I know the charts would tend to indicated a double bottom with resistance at 9000, but I think there are some companies yet to be shaken out of the tree and investments in those entities could cost you everything.

phinsup

Just shattered the double bottom.



Thank god I don't have any money left in that circus, I have some paper gold and silver and some oil and gas long funds.

ColinRX7

how can you read the yo-yo and make quick cash?

phinsup

Right now without shorts it a little harder to make money off of this mess then it was a few months, **** in August/Sept I made almost a 100% return (too bad I didn't throw more at it). I've made far less the last month with no shorting allowed although some of the ultra short ETFs are doing well as they don't exactly short in the conventional manner.



Basically the name of the current game is to set your limits going in, in and out quick, never hold over the weekend. There's been a lot of money to be made on financial sector stocks, there has also been a lot of money to lose, for them you have to first pick the banks that are stable, then watch for them to be drug down by the rest of the sector, buy on a good dip and put stop limit in and stick with it. You need to decide where to take your profits. I for example bought IAU at 85.76 on tuesday, sold today for 90.00, i set my stop limit at 82/90. I decide what i am willing to lose and when I want to take my profits. BofA was another example it took a hard drop a couple weeks ago, I figured they were stable enough to weather for a few weeks anyhow, bought on like a tuesday sold at my limit wed, bought again thurs morning sold again thurs before close, all in all I managed to make about a 18% return, had I stuck around I could of lost about that much

phinsup

CVX is prolly a good buy if you want to make some quick cash.

j9fd3s

like phins says, you cant get greedy, you set your goals kinda low and stick to it.



for example, GM is down to $5, so buy at 5 sell at 7.... i think you could choose better than GM but thats an example

phinsup

actually ford was a good buy yesterday, could have cleared a quick 10%, but i have money tied up right now on some other short stuff. My biggest killing has been off SKF, I've been buying in at the beginning of the week, selling at the end. I bought a large chunk at $77, sold it at $160 a share.... you do the math I think CVX and DIG are getting close to a bottom, I sold some DUG today after a 10% jump (actually went up 15% at one point but i took profits at 10%).



Again I want to re-iterate here as I don't think I made myself clear enough, I don't believe this is the bottom, although we have seen a sell of it doesn't indicate to me a bottom has been reached, we keep pushing through the lower resistance. What I meant although I didn't express it too well with the migraine yesterday is, that there is plenty of money to be made and a lot to be lost, the risk is still very high. I think to truly be a smart investor I would have to disagree with Mike a little here in that I would wait for things to stabilize, I would wait for a clear indication that the wounds have healed over, there is just too much risk for the uninformed investor.



We have yet to address the total flood of US $'s on the market, the liquidity issue is far from being done, there are MANY MANY more companies to go broke and the OTC derivatives issue is not even near being settled (this is not hundreds of billions, but hundreds of TRILLIONS)