CDZ Why is my Portfolio Going up Today?

[william the wie]

I am wondering if this flight to safety is being overdone. Tech stocks are taking virtually all of the hits and the news has been very bad for tech.

Most tech is overpriced by 100-300% so it is going to crash and soon but with more and more head fakes it will build confidence that the market will never crash that's when it will crash.

 

[MarathonMike]

The bad news for FB took down the FANG stocks and more or less pulled all of tech down. The risk going forward there is government wading in with regulations. I'm more interested in Micron Tech's earnings report coming out this week. If they miss or even don't hit it out of the park that will give me pause on the tech sector near term.

 

[william the wie]

This is just a head fake. Too much money coming into retirement accounts at the moment and not enough yield so Tech will not lead the way up but with lots of money on the sidelines not generating commissions to resist the urge to push utilities and transports.

 

[Toronado3800]

I am wondering if this flight to safety is being overdone. Tech stocks are taking virtually all of the hits and the news has been very bad for tech.

Most tech is overpriced by 100-300% so it is going to crash and soon but with more and more head fakes it will build confidence that the market will never crash that's when it will crash.

Isn't it funny a whole field goes up or down, not just a company with a good product?

 

[william the wie]

I am wondering if this flight to safety is being overdone. Tech stocks are taking virtually all of the hits and the news has been very bad for tech.

Most tech is overpriced by 100-300% so it is going to crash and soon but with more and more head fakes it will build confidence that the market will never crash that's when it will crash.

Isn't it funny a whole field goes up or down, not just a company with a good product?

Not really there are a huge number of tools to inflate earnings: M&A, buybacks, deferred recognition (losses and expenses) and a long laundry list of other things. The cool kids keep up with fashion until fashions change and they don't have the budget to change.

 

[Picaro]

Automated trading, plus tech stocks are over-priced, massively so, plus they are 'cash heavy', and stuck with it, at least until Icann decides to shake some more out of them. On the other hand because they are so ]over-priced' they can fall a long way before they lose any real value; just the speculators lose, from gambling on all the water instead of value. They need to kick off the limits on short traders and let tech stocks find their true market value.

 

[Picaro]

I am wondering if this flight to safety is being overdone. Tech stocks are taking virtually all of the hits and the news has been very bad for tech.

Most tech is overpriced by 100-300% so it is going to crash and soon but with more and more head fakes it will build confidence that the market will never crash that's when it will crash.

Isn't it funny a whole field goes up or down, not just a company with a good product?

Institutional buyers with 'Growth Funds' and hedge funds mostly, i.e. big block buyers, move the markets, not a bunch of little guys at day trading stations. There aren't many of them, so when they move their other playmates' computers move with them, in unison, at least for a while, so yes they move industries, not single stocks, most of the time. Keep in mind those big corps all have an ocean of smaller companies and subsidiaries that live off the big corps, When the big fish catch a cold the smaller ones catch the flu. With merger wave after merger wave, the 'ocean' is a much smaller place now too; we've passed the 'Gilded Age' in the high concentration of businesses now.

 

[jwoodie]

Isn't this all just technical sophistry? The only maxim that seems to work consistently is "buy on bad news, sell on good news."

 

[usmbguest5318]

I am wondering if this flight to safety is being overdone. Tech stocks are taking virtually all of the hits and the news has been very bad for tech.

Most tech is overpriced by 100-300% so it is going to crash and soon but with more and more head fakes it will build confidence that the market will never crash that's when it will crash.

Why is my Portfolio Going up Today?

Say what?

• Who manages your portfolio?
  • You --> Shouldn't you have done the quant-A/qual-A to know?
  • Someone else --> Haven't they done the quant-A/qual-A and told you? Did you ask them?

Most tech is overpriced by 100-300% so it is going to crash and soon but with more and more head fakes it will build confidence that the market will never crash that's when it will crash.

 

[Picaro]

Isn't this all just technical sophistry? The only maxim that seems to work consistently is "buy on bad news, sell on good news."

That was what Ed Clark recommended many years ago in an interview with Bill Buckley, and yes, if you're a gambler just starting out you definitely have to take chances doing that; I did very well with gold and few choice stocks along the way, and especially well when Reagan's economy tanked into the toilet and prices for everything got cheap, and again at the end of the Clinton bubble and the LTCM 'crisis' hit. You still have to smart, since a lot of companies do go bankrupt, so it doesn't mean just buying anything will work. Also, betting on a Bush win in 2000 was a real risk, but oil companies and defense stocks were cheap, and it's doesn't take real genius to buy them and hope for a Bush win, but that set me up, along with gold buying along the way before then, for a life of unemployed ease and very early retirement.

After you accumulate some wealth, though, the odds are not great you can keep at it without eventually losing your shirt, so wealth preservation is more important, and depending on how big your pile is, takes a lot more skill and judgement.

Only idiots think 'hard work' for some company or training 'for the next hot job' will ever pay off. That's more than stupid.