atans1

The market relapse didn’t happen, did it?

In Financial competency on 28/12/2020 at 7:03 am

There were a lot of people on FB predicting the collapse of equity markets in February and March. Then when the market reversed around end March, they said they would wait for the W pattern to form before buying: the market would collapse a second time, and then it would time to buy. They even drew charts on FB explaining when they would start buying.

Well they are banging their balls in frustration waiting for the relapse that didn’t happen. And when they start BSing, the best way to get them to sit down and shut them up is to remind them about their predictions about the W.

FYI in Cynical Historian: Aristocrats (natural?) cut and ran when the Indonesians invaded

  1. to time the markets ?

  2. Glad that I took some profits & built up my warchest in the 3 months prior to Feb 2020.

    Even gladder that I used most of my warchest in the covid plunge, even though I was a bit early in March.

    Have started taking profits again this month. Aim for transition to 80:20 portfolio over the next 12 months, with 20% cash as warchest.

    This will be my default allocation for the next 5-10 years as this secular bull plays out. Warchest will be utilised to varying degrees whenever a 5+% correction occurs. As well as judicious profit-taking during episodic melt-ups in order to maintain the 80:20 allocation.

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