Definitely Not Buying

I have stopped buying equities and index ETFs and will wait until the next pullback before making purchases again. Given the events of this week (presidential primaries, Fed meeting), I expect there may be an outcome that disappoints the traders in the stock market.   So I may not need to wait too long before starting to make some purchases again.

For more on Strategies and Plans, check back every Monday for a new segment.

This is not financial advice. Please consult a professional advisor.

Copyright © 2016 Achievement Catalyst, LLC

From Pain to Gain

Buying stocks in January and February this year has been slightly less painful than sticking a pin in my eye.  I was implementing my strategy of buying good companies whose stock had higher paying dividends.  However, I was continually punished as my purchases sunk further for several more weeks.   Near the bottom, with my confidences waning, I stopped making additional purchases.

When the pain to too great and I stop buying, the market usually bottoms and reverses itself.   So now I am enjoying some good gains as the market rallies.   In fact, I sometimes think I should have bought more, but I know better.   Placing more funds in equities would have put me above my threshold of financial pain.  

I still believe this rally is of the bear market kind, a respite from the selling pressure.   So I continue to use the opportunity to take some profits and lock in some gains.

Because I expect the pain will return shortly.

For more on Reflections and Musings, check back Saturday for a new segment.

This is not financial advice. Please consult a professional advisor.

Copyright © 2016 Achievement Catalyst, LLC

Selling into the Rally

Although I have enjoyed the stock rally, it looks, feels and smells like a bear market rally.  Some of my beaten up stocks were up 10, 25 and even 120% on Friday.   So I'm taking this opportunity to lock in some profits by selling.   If the market continues to rally, I will continue to sell the total market ETFs  that we acquired over the last two months.

I expect that I will be able to buy back at lower prices when the bear market continues with its next downward leg in the next couple months.

For more on Strategies and Plans, check back Mondaysfor a new segment.

This is not financial advice. Please consult a professional advisor.

Copyright © 2016 Achievement Catalyst, LLC