Well I think the current market has caught a lot of people by surprise and believe it or not, me to. I mean come on, Year to date on the S&P 16.31%, 17.97% Small Cap, and even the European is up 10.89%?? Remember my post about the last 3 May’s being a disaster? Well maybe it was just to obvious that the market was suppose to go down?
Ok, fact, this current sprint has been running almost unchecked since 11/19/2012. That is 2012. Since the closing low November 15, 2012, we are up 22.7% unchecked. The angle of attack that the S&P 500 is climbing since April 18th, 2013 cannot be maintained. Last fact, everyone is happy!! I fear the turn is near but I have nothing to prove my thoughts. So, when and if this trend decides to cool off, and it will happen, we/you need to have a plan. Once price falls through the CBL, Trend and 50 day moving average, we bail. Not because we are calling a top. Not because your buddy said so. Not because the TV said so. Only when price talks do we act.
Entering here is going to come at high risk knowing all the numbers above, so be careful. If you are going to make the jump, do it on a pivot low. Read this if you need to know what a pivot low and high is. There is nothing saying this up trend cannot continue, but if you’re safe in the G fund today, going in all C, S, or I is risky. Jumping into the L-2030 or above today, will be risky.
Here is another fact, and please do not take this as bragging, but hear is a reason to babysit your account as it grows, (hear this young people?). From May 14, 2012 to May 14, 2013 my account is up $155,000 or up 25% in a year. That includes the money that I contributed. Taking a 10% loss at this time if the market crashes would hurt my feelings, but the money I earned knowing it was time to risk it, was well worth it. Put your damn Ipad, Iphone, or other smart phone down and start playing games for your retirement.
No comments:
Post a Comment