Finally I got the courage to invest a few dollars into the market. Given all the chaos thats going, forget about buying, people are felling lucky if they can just get whatever they can that is left from the market and bail themselves out
I even know someone who took a $23K loss and pulled all the money from the market. There are many examples( for more, switch on your TV).
DOW’s constant daily decline is a sign of absolute panic.
At a time like this I went back to the market and made my first trade today, in 8 years. In 2001 during the tech bubble bust I lost a fortune. That kept me negative and I never entered the market again.
In my seminars, workshops and coaching programs, I made all kinds of rationale that Real Estate is a million times a better investment than stock trading( Which I still believe is the case today, despite of mess we are in)
Today with No analysis, No wasting time I blindly bought the GE stock.
My reasoning is Simple. Warren Buffet just invested $5Billion into GE. He is smarter than me :)- My deal is little better than Warren Buffet’s as my strike price is $19 his is $21 per share. At the close of day today GE is at $21.50
Now I am sure come Monday the price can go either side. It could go up, it could go down. The fact of the matter is we cannot catch the market at the bottom. So we have to enter in phases. In the coming times if GE declines which I hardly believe it will (Market Cap:213.88B P/E :10.00 EPS :2.15) and Div&Yield of 6% the basics looks good, I will neutralize the loss by buying more. If it goes up, then I will stay put till Warren Buffet does something with it. :)-
Now you may ask me what else I am considering buying come Monday. I am actively looking into Phillip Morris and Coke. My reasoning is very simple. When people are in panic they will either smoke tobacco, drink liquor or chew sugar.
Now I am not suggesting you invest into these companies. I am not a stock broker or a certified financial adviser. So please don’t hold me responsible if something goes wrong. :)-