All things STOCKS

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Thoughts on where to park the proceeds of a house sale for 3 to 5 years? Probably not willing to do anything high risk but CDs are really bad now.
VTI. But that’s certainly not without some risk. The longer the time frame the less risky it should be. Maybe BND shortly after the next Fed rate hike.

I’d go with one or more of the large, low management fee ETFs. Especially the Vanguard Group’s. QQQ, SPY, DIA, VTI, VOO, VEA, VTV, VUG, VO, BND. Maybe a couple of Select Sector Fund ETFs like XLF or XLV or XLE. Materials and Industrials (XLB and XLI) should have good support with an expected long cycle of increased federal infrastructure spending although the industry specific stocks within those funds have already done well and being overly concentrated there increases risk.

To take out some risk you could average in to equity funds with 5% to 15% spread out monthly over a year or more. The nature of those ETFs reduces the securities risk with the built in diversification but the overall market risk will remain. BND being a bond fund will generally move opposite to interest rates. Banks and Financials should generally do well with interest rate hikes (XLF).
 
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Go aeiou

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PANW discounted today. It’s a well run company in a good industry that’s suitable for BUY and HOLD.

ISRG is off a bit today as well but still has the 70x multiple.

Buying the losers on strong up days for the broad market isn’t a solid strategy, but both are solid businesses.
Isrg. Dang. I missed that.
Expected unbelievable earnings or internet hype driving the price?
I'll lighten my # of shares.
 

Go aeiou

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It’s a tiny drop relative to the wave of appreciation that it’s been riding. But not a good sign to be off a couple points when the broad market is surging.
They continue to beat earnings estimate. By 38% y/y recently. 20/20 throws everything off though. I had t wait for surgery last year.
Seems like all surgery is going to robotics.
 

Go aeiou

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Thoughts on where to park the proceeds of a house sale for 3 to 5 years? Probably not willing to do anything high risk but CDs are really bad now.
Yep, bonds don't pay poop, and stocks are overvalued. So you can get .5 % on a 5 year CD. You can also put you money in stocks, but we could be ready for another period like the 70s when stocks had about the same return. Or it could be worse.
I'd probably go with some of the VG ETFs or mutual funds recommended by TGO. Maybe a little in REITs..
Or keep it in a money market, and wait for a piece of income producing real estate.
Everything seems over priced right now.
 
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BigOrangeMojo

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I think ZM and DOCU are good companies. I held them in 2019. With all that being said, ZM isn't a $600 stock and DOCU isn't a $275 stock. I like ZM at this level more than I like DOCU at this level.

PTON will likely be one of those stocks that I never own. I just don't see it. I never saw the value in Netflix either so....

I like TDOC as a long term play. I like ISRG as well. Think that's the direction of healthcare in the future.
Man, looking like an idiot setting a limit at $275 for DOCU....
 
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Just missed my buy limit by 2 or 3 cents to round out my RKT position. Set it at $17.07 and the low so far today has been $17.09. If it dives close to the $15 territory I’ll consider more buying. I might be making a serious mistake, but I am patient and will wait for years if the trade turns really bad.
 
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Buy limit triggered on RKT and I’ve rounded out my position. Now I need a good move up and I’m going to try my hand at selling covered calls. But I might be sitting here for a while before the price recovers.

The price of INTC is getting into the neighborhood of my buy limit. The dividend is keeping me from lowering it.
 

Orange_Vol1321

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Seriously been on the train of thought, the US government is manipulating the market.
Absolutely. Pumping 140B a month in to the market will do that. The rising wedge on the daily time-frame of SPY is approaching its pinch point. I would guess a 10 to 20% correction coming. Even a larger drop when you add in the factors of the 140B a month being turned off and inflation. If they do lockdowns again that will create the biggest drop of all and it will be a fire sale across the board.
 

walkenvol

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Absolutely. Pumping 140B a month in to the market will do that. The rising wedge on the daily time-frame of SPY is approaching its pinch point. I would guess a 10 to 20% correction coming. Even a larger drop when you add in the factors of the 140B a month being turned off and inflation. If they do lockdowns again that will create the biggest drop of all and it will be a fire sale across the board.
Unless I’m confused, the Fed doesn’t buy stocks so they pump $0 into the market. The Fed mainly buys US treasury bonds. $140B a month does artificially depress interest rates which drives investment dollars elsewhere so they affect private investors decisions. The US gov would have to pay a much higher rate of interest to entice private investors to buy all their bond offerings. With the size of the national debt and ongoing yearly defect spending it makes you wonder if the Fed can ever allow interest rates to normalize again
 

mrorange211

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Unless I’m confused, the Fed doesn’t buy stocks so they pump $0 into the market. The Fed mainly buys US treasury bonds. $140B a month does artificially depress interest rates which drives investment dollars elsewhere so they affect private investors decisions. The US gov would have to pay a much higher rate of interest to entice private investors to buy all their bond offerings. With the size of the national debt and ongoing yearly defect spending it makes you wonder if the Fed can ever allow interest rates to normalize again
No. The Fed has been actively buying ETF's since July of 2020. This thing is 100% supported by the Fed. Once the Fed announces taper (I expect after 2022 Midterms), S&P will fall 1,000-1500 points, imo.
 

Fun coupon VOL

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Absolutely. Pumping 140B a month in to the market will do that. The rising wedge on the daily time-frame of SPY is approaching its pinch point. I would guess a 10 to 20% correction coming. Even a larger drop when you add in the factors of the 140B a month being turned off and inflation. If they do lockdowns again that will create the biggest drop of all and it will be a fire sale across the board.
I agree with everything you said, but this has been the case since late 2009. Not pumping in as much starting in 2009.

Other items not moving as they should has me worried and leads me to believe there is something at play the little guys don’t know about. I’ve liquidated everything. The only stock I have is Apple.
 

Orange_Vol1321

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Unless I’m confused, the Fed doesn’t buy stocks so they pump $0 into the market. The Fed mainly buys US treasury bonds. $140B a month does artificially depress interest rates which drives investment dollars elsewhere so they affect private investors decisions. The US gov would have to pay a much higher rate of interest to entice private investors to buy all their bond offerings. With the size of the national debt and ongoing yearly defect spending it makes you wonder if the Fed can ever allow interest rates to normalize again
It's more than bonds.
 

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