DOW 23,000?

[ShivaFan]

Wow. This is incredible. I remember not very far back posting "DOW 20,000?" "DOW 21,000?" - now it is DOW 23,000?

About to hit 23,000 now?

This is like the 50th record for the markets since Nov 2016. Lots, LOTS of Americans now have 401ks, or IRAs, or brokerage accounts. And they are becoming very suave regarding watching the sectors, rebalancing, buy and sell, et all. Literally, many are making more money in their investments than from salary. We now have an entire voting block that is not small - I would estimate 30% of registered voters now - who are "investors voting block". I predict soon, about 1 third of the US "of age" population will be full time investors and no need to go to regular jobs. And those Americans with jobs will find ample employment, and in addition this voting block is against robots taking over and for the "blue collar" worker et all which is now a very, very important "Trump" voting block.

I predict if ANY tax cut goes through - I support the current Trump model and not the Libertarian tax cut model, but it doesn't matter - ANY tax cut, and these markets are going to go up thousands of points more.

Today on the Varney morning show, two analysts predicted DOW 30,000 - one by NEXT YEAR, another by before the next presidential election. I do not believe the doomsayers. In fact, I am beginning to think that these markets will even beat out our massive debt. I would recommend anyone to get into these markets. Like everything else, don't just throw your money into it, today the way things work is you do NOT just drop money in "and forget". No, this isn't a "long term and forget" market venue anymore. Reason? Because so MANY are now in the markets. They rebalance their holdings, they are NOT afraid to sell when the price is high, they buy on the expected down dips. You have to be brave enough to buy AND SELL, collect your profits now and then, and to follow the trends and rebalance. It isn't hard to become rich. Sure, you have to learn the curve. But it's no harder than learning to use you home laptop or the latest version of Windows or Linux. And there is a lot of financial software - some installed, some on the web portals - to help you.

 

[Valjean]

It's a bubble.
America's period of maximum industrial growth, stability, and individual prosperity was a result of high taxes -- particularly for the rich -- coupled with low income inequality.
Market performance does not translate to prosperity for 99% of the population. Wealth has been trickling up since the Reagan administration.

 

[David1967]

This is like the 50th record for the markets since Nov 2016. Lots, LOTS of Americans now have 401ks, or IRAs, or brokerage accounts.

Being self employed, I depend on my IRA as a future source of retirement income. This is good news. When I get my quarterly reports now the gains are very noticeable. Hope it keeps up.

 

[metis]

Being self employed, I depend on my IRA as a future source of retirement income. This is good news. When I get my quarterly reports now the gains are very noticeable. Hope it keeps up.

Let me highly recommend that, as you get closer to retirement, gradually move your IRA's into better protected accounts such as what the banks offer. I've seen too many people take nosers by not doing as such, and if the stock market again tanks like it did in 2008-9, your nest-egg could end up being eaten by a recession or, heaven forbid, a depression.

 

[Super Universe]

Stick to index funds. If you don't know what they are then look them up. 75% of all mutual fund managers do not beat index funds.

Don't give money to your friends friend who has a scheme and don't go your neighborhood broker or any broker. Go with a large company like Vanguard or Fidelity or maybe even Janus.

Don't invest any money that you may need any time soon. The only way to guarantee that you make money is to buy low and sell high so you have to let the market dictate when you buy and sell. Don't let your wife's jewelry habit or your desire for a new boat dictate when you sell.

Another thing you can do instead of selling high and holding that money and waiting to buy back in when the market is low, leave the money in, save up in your bank account and invest the bank account money when the market has a correction.

 

[David1967]

Let me highly recommend that, as you get closer to retirement, gradually move your IRA's into better protected accounts such as what the banks offer. I've seen too many people take nosers by not doing as such, and if the stock market again tanks like it did in 2008-9, your nest-egg could end up being eaten by a recession or, heaven forbid, a depression.

That is always a concern. My IRA is diversified enough that I didn't take too big a hit in2008 - 09 (thankfully). As I get older, the spookier it is though. Thanks for the advice.

 

[metis]

That is always a concern. My IRA is diversified enough that I didn't take too big a hit in2008 - 09 (thankfully). As I get older, the spookier it is though. Thanks for the advice.

You're welcome.

BTW, one of those who got burnt was my father, who really took a big noser when his Chrysler stock plummeted back in the '70's. I actually had warned him to get out before the plunge based on a Newsweek article I'd read that predicted they would fall on hard times.

A woman I used to work with got nailed when Exxon stock sunk a couple of decades ago, and she had to postpone her retirement because of that.

Diversification is good, but it's no guarantee. I still have some tied up in a CD, but I'm fortunate in that mine is guaranteed by the state as it was through my work in education. However, ...

 

[David1967]

You're welcome.

BTW, one of those who got burnt was my father, who really took a big noser when his Chrysler stock plummeted back in the '70's. I actually had warned him to get out before the plunge based on a Newsweek article I'd read that predicted they would fall on hard times.

A woman I used to work with got nailed when Exxon stock sunk a couple of decades ago, and she had to postpone her retirement because of that.

Diversification is good, but it's no guarantee. I still have some tied up in a CD, but I'm fortunate in that mine is guaranteed by the state as it was through my work in education. However, ...

I started mine a long time ago. Medium risk for the long term. So far growth has been right on target (more recently). I do agree with Valjean that we are in a bubble. Hopefully that bubble doesn't pop.

 

[Laika]

It isn't hard to become rich. Sure, you have to learn the curve. But it's no harder than learning to use you home laptop or the latest version of Windows or Linux. And there is a lot of financial software - some installed, some on the web portals - to help you.

I think the best rule with Stocks is only risk what you can afford to lose.

My impression is that most of the people who become rich do so by building up companies with physical assets and selling products and selling the companies on. Stock Markets favour big investors who can make large amounts of money by small price movements and may have the computers to trade rapidly. It then adds up over the course of a day, month or year. The uncertainties of constantly moving prices means it is a bit harder to get right than learning to use your home laptop over the long term. You have to be the kind of person who is willing and able to cope with those kind of risks. Financially, its not for me personally, but if someone takes the risk and makes some money, good for them. Its best to be prepared though as in all areas of life and not get sucked in by the dream and the thrill of riches.

A little bit of fantasy is good though. It helps us aim higher if we learn to use it right. I'm not doing to deny that.

 

[Vee]

Wow. This is incredible. I remember not very far back posting "DOW 20,000?" "DOW 21,000?" - now it is DOW 23,000?

About to hit 23,000 now?

I expect it to go higher before it corrects. I see a lot of red flags out there but until the bubbles start popping, enjoy.

 

[Quetzal]

We have had a pretty lucrative market for a little while now. To be fair, I know next to nothing about the stock market but what I do know is bigger numbers is a good thing. If anyone else needs more of my top-notch advice, please make an appointment with reception.

 

[YmirGF]

Let me highly recommend that, as you get closer to retirement, gradually move your IRA's into better protected accounts such as what the banks offer. I've seen too many people take nosers by not doing as such, and if the stock market again tanks like it did in 2008-9, your nest-egg could end up being eaten by a recession or, heaven forbid, a depression.

Very good advice, @metis

 

[Mindmaster]

I think the best rule with Stocks is only risk what you can afford to lose.

Unfortunately, it's like anything if you're not playing the game you can't win.

You should never put a lot of your money in the stock market (or through index fund) when you are approaching retirement age. You should probably have <20-10% there at that time, and should be switching to less precarious investments. For someone young though, like you.. 40% of assets in those index funds is great...