Hello Readers! We have a little bit to talk about today in the trending of the market. There is some good and there is some bad we will talk about today.
First the Good: The market really took a run at getting to $17,000 in the past week. It fell just short and started to take a turn downward due to some bad report from some major key stocks in the market like McDonalds and Wal-Mart who failed to meet quarterly profit projections. Also a little bad news on job growth and unemployment figures. So the market has back off and put ups several losses in the last several days or so, backing down from that $17,000 mark. Don't worry though. We are NOT going to have a crash anytime soon. A little bad new always makes the market fall a little, mainly due to over reaction.
Good solid Mutual Funds and Stocks are holding their own and seeing very little to any losses at all. However, it the risker Stocks and Mutual funds you need to watch more closely. No, I am not sayings to sell them off. But I am also saying not to buy or be very careful of your buys right. This is a small and probably short lived period to hold and wait until the downward trend in the market starts to get a little relief. Yes, the relief is coming in the current trend and when it does you need to be ready to buy if you are want to get some cheaper prices. But be patient. Keep close watch on the Stock Market and the stocks in your portfolio. If you are ready to make a move and buy make sure you are tracking what is happening daily so you don't miss out on your best opportunities.
Those of you following my blog I have an update on Apple (AAPL). I felt this was a good buy to get in on when they announced a 7:1 stock split. It met all my criteria to buy a splitting stock and I shared that information with you. Since my personal purchase prior to the split and since the split, Apple is up 17% for me. A nice chunk of change for the pocket. However, for those jumping on the wagon with Apple I suggest HOLDING for now. I see more profit in the stock in the near future. Even up 17% it is still not time to take your money and run.
Lets talk about Stock Splits a second. If your stock holding consist of only Individual Stocks that are going to split you're doing it wrong and not keeping a balance in your Individual Stocks Holdings! I have a good mix of Individual Stocks not splitting, but I am going to jump on the band wagon when I feel I see a good opportunity with a stock that is going to split...Just like Apple.
I have found a good split I am jumping on that meets all my criteria that I will share with you. This is the Middleby Corp. (MIDD) I like that it is a global company and manufacturing in a must have kitten appliances for professional kittens, mainly restaurant kittens but also manufacture home appliances as well, hitting both markets on a global scale. It is going to split at 3:1 and meets all my criteria for a good stock split opportunity. I know this is short notice, but if you want in on this split you need to buy before June 16, 2014.
Lets look at another stock split coming up I would NOT recommend. Alaska Air Group (ALK). This stock is going to split at 2:1. It will right at it's 52 week low. Too high of risk for me. Also I am not in love the industry. The are a regional airline that take people to the back woods and hard to reach places of Alaska and deliver cargo to such places. This is far from an attractive buy for me to get on. I suggest you let splits like this pass on by too and don't give a thought of buying and getting in on.
The so called "Experts" say the market is going to hold steady and go up until the end of summer. I tend to agree, but I see some ups and downs in the market along the way just like we have seen thus far this year. Don't hold your breath for an excellent year overall like we did last year in 2013.
Disclaimer:
Make sure to review any information found on this blog site with your personal financial advisor before making any decisions. I am providing general information and not financial advise. I am not a licensed stockbroker or financial advisor.
Thursday, June 12, 2014
Thursday, June 5, 2014
Where To Make Money Now In The Market
Sorry for the gap since my last post to this Blog. But things have been tight in the market and there has not been much to share. So today I am going to address "Where To Make Money Now In the Market".
To answer that you must look at your portfolio and determine what kind of investor you. Are you a conservative, moderate or aggressive investor. Are you a beginner, intermediate or savvy investor. I will try and address all this today in my Blog posting.
If you a novice investor and more geared toward conservative mutual fund holding, you portfolio your financial advisor most likely has you in a conservative managed fund product, or you have mutual funds that are mixed with bonds and stocks or you have about as much or more invested in bond funds as you do stock mutual funds. For the basic or new investor in the market I suggest you continue on this path this year. Mutual Funds or good Managed Accounts consisting as I just described are going to be where you need to stay. For no various type investor are we going to see the big gains and percentage increasing our portfolio's as we did last year.
The intermediate and moderate investor should follow the same outline I have give as the conservative or more novice type investor. A moderate investor takes on a little more risk than the conservative investor in their portfolio. Those people approaching retirement or who are already retired should focus all their money invested or the over whelming amount into a conservative or slightly moderate category. Those who are retired need to depend on their investment for income during their retirement year, not so much on growth. Some growth is good, too much is certainly not to the retiree's advantage. Stick with the mutual funds.
For the younger or savvy investor that is more aggressive in their portfolio I recommend a good aggressive Managed Account or mutual funds with the over whelming being large and small cap stock funds. Also throw a little into a good Emerging Market and International Mutual Fund. A savvy investor is also going to be that person that like some individual stocks in their portfolio. You can be a young, savvy and aggressive investor or an older or even retired savvy investor. But I maintain or a small amount compared to the rest of my portfolio in individual stocks due to their added risk. I stay away from food stocks usually and penny stocks. You want individual stocks that are going to pay good dividends. Dividend stocks have a history since time to out produce stocks that do not pay dividends. Go with the odds and keep them in your favor as much as you can.
Mutual Funds this year overall are going to be better than individual. Of course their are always excepts. I play the individual stocks with my small holding, mainly in GOOD stock splits using my own solid formula. I am NOT a day trader. But I do keep individual stocks on the short term and take my 15 to 25 percent profit and sell it off and start looking for a new stock or stock that is going to make me money with a fairly fast and short term of having to hold it. But I never cash out for anything less than a 10% profit as it is usually not worth it selling at that percentage. Over the past year I have taken off (cashed in) for over 30% profit in my individual stock holding and never taking out money that would put me below my initial investment in my individual stock funds. Don't ever be afraid to take money off the table and side it into your pocket for play money, but never take off the table an amount that dips you below your initial investment for your individual stock account. Personally, I have all my individual stocks with Scottrade and separate from my other accounts with my financial advisor and that company. I can make much cheaper trades with Scottrade than I can with JP Morgan/Chase so why not save money for yourself instead of to someone else is the way I look at it. Your money is your money regardless of what financial institution holds the account for you.
Hope you find some of this information useful today.
Gus S.
Disclaimer: Make sure to review any information found on this blog site with your personal financial advisor before making any decisions. I am providing general information and not financial advise. I am not a licensed stockbroker or financial advisor.
To answer that you must look at your portfolio and determine what kind of investor you. Are you a conservative, moderate or aggressive investor. Are you a beginner, intermediate or savvy investor. I will try and address all this today in my Blog posting.
If you a novice investor and more geared toward conservative mutual fund holding, you portfolio your financial advisor most likely has you in a conservative managed fund product, or you have mutual funds that are mixed with bonds and stocks or you have about as much or more invested in bond funds as you do stock mutual funds. For the basic or new investor in the market I suggest you continue on this path this year. Mutual Funds or good Managed Accounts consisting as I just described are going to be where you need to stay. For no various type investor are we going to see the big gains and percentage increasing our portfolio's as we did last year.
The intermediate and moderate investor should follow the same outline I have give as the conservative or more novice type investor. A moderate investor takes on a little more risk than the conservative investor in their portfolio. Those people approaching retirement or who are already retired should focus all their money invested or the over whelming amount into a conservative or slightly moderate category. Those who are retired need to depend on their investment for income during their retirement year, not so much on growth. Some growth is good, too much is certainly not to the retiree's advantage. Stick with the mutual funds.
For the younger or savvy investor that is more aggressive in their portfolio I recommend a good aggressive Managed Account or mutual funds with the over whelming being large and small cap stock funds. Also throw a little into a good Emerging Market and International Mutual Fund. A savvy investor is also going to be that person that like some individual stocks in their portfolio. You can be a young, savvy and aggressive investor or an older or even retired savvy investor. But I maintain or a small amount compared to the rest of my portfolio in individual stocks due to their added risk. I stay away from food stocks usually and penny stocks. You want individual stocks that are going to pay good dividends. Dividend stocks have a history since time to out produce stocks that do not pay dividends. Go with the odds and keep them in your favor as much as you can.
Mutual Funds this year overall are going to be better than individual. Of course their are always excepts. I play the individual stocks with my small holding, mainly in GOOD stock splits using my own solid formula. I am NOT a day trader. But I do keep individual stocks on the short term and take my 15 to 25 percent profit and sell it off and start looking for a new stock or stock that is going to make me money with a fairly fast and short term of having to hold it. But I never cash out for anything less than a 10% profit as it is usually not worth it selling at that percentage. Over the past year I have taken off (cashed in) for over 30% profit in my individual stock holding and never taking out money that would put me below my initial investment in my individual stock funds. Don't ever be afraid to take money off the table and side it into your pocket for play money, but never take off the table an amount that dips you below your initial investment for your individual stock account. Personally, I have all my individual stocks with Scottrade and separate from my other accounts with my financial advisor and that company. I can make much cheaper trades with Scottrade than I can with JP Morgan/Chase so why not save money for yourself instead of to someone else is the way I look at it. Your money is your money regardless of what financial institution holds the account for you.
Hope you find some of this information useful today.
Gus S.
Disclaimer: Make sure to review any information found on this blog site with your personal financial advisor before making any decisions. I am providing general information and not financial advise. I am not a licensed stockbroker or financial advisor.
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