The official "ASX is tanking!" panic thread

[alexc2005]

I think you would have to really know what you are doing to be trading in this market.

Sadly, I'm not one of those. I'm sitting this one out and probably selling most of my shares on the next major rally.

In hindsight i should have done it on the last rally, but its really difficult to not get optimistic when the market seems to be taking a turn for the good.

Who knows, i'll probably change my tone when i'm back in the green again. But one thing I'm learning from this is to take profits when you can and even if you only lock in a 10% gain and the stock continues to go up, hey you cant complain... you made 10%..

Life lessons... Better to learn them when I'm playing with small amounts of money.

 

[Chasero]

I think you would have to really know what you are doing to be trading in this market.

Sadly, I'm not one of those. I'm sitting this one out and probably selling most of my shares on the next major rally.

In hindsight i should have done it on the last rally, but its really difficult to not get optimistic when the market seems to be taking a turn for the good.

Who knows, i'll probably change my tone when i'm back in the green again. But one thing I'm learning from this is to take profits when you can and even if you only lock in a 10% gain and the stock continues to go up, hey you cant complain... you made 10%..

Life lessons... Better to learn them when I'm playing with small amounts of money.

Yep I am too slowly getting rid of my portfolio

Goign to sell CBA today or tomorrow, depending on how I feel. Only going to be 30% in shares soon.

Not goign to risk trading this market. Bought some Gold stocks, goign to sell them again early Oct.

 

[alexc2005]

Yep I am too slowly getting rid of my portfolio

Goign to sell CBA today or tomorrow, depending on how I feel. Only going to be 30% in shares soon.

Not goign to risk trading this market. Bought some Gold stocks, goign to sell them again early Oct.

It's hard work though.

I have seen about 5 of my intended buys drop to a price that i have been waiting for but with the market conditions i have been too scared to sink more money in and then within a week they are up 20-30%.

Hell, one of them tripled in a matter of 2 days. Crazy stuff.

 

[McCoy Pauley]

Yep I am too slowly getting rid of my portfolio

Goign to sell CBA today or tomorrow, depending on how I feel. Only going to be 30% in shares soon.

Not goign to risk trading this market. Bought some Gold stocks, goign to sell them again early Oct.

It's hard work though.

I have seen about 5 of my intended buys drop to a price that i have been waiting for but with the market conditions i have been too scared to sink more money in and then within a week they are up 20-30%.

Hell, one of them tripled in a matter of 2 days. Crazy stuff.

I read your posts as a couple of investors/traders who need an investment plan. Your posts read like you're both being completely driven by market sentiment, which, IMO, is the worst way to invest.

 

[Chasero]

I read your posts as a couple of investors/traders who need an investment plan. Your posts read like you're both being completely driven by market sentiment, which, IMO, is the worst way to invest.

But market sentiment for yesterday and today is bullish?

I'm selling out because I'm not much of a risk taker.

My investment plan changed ever since Greece may default (which has been on the cards for years I know) but charts don't look too promising. I'd rather see action and maybe after the year is over then I'd place money back into the share markets.

I'd rather realise a break even on CBA rather than risk it falling further.

 

[alexc2005]

I read your posts as a couple of investors/traders who need an investment plan. Your posts read like you're both being completely driven by market sentiment, which, IMO, is the worst way to invest.

Bingo.

Hence why I am holding back on buying. Because i would just be trying to recover losses and potentially lose more.

All without a plan.

That being said, alot of my investments are longer term and im tempted to ignore this bumpy road (and very tempted to buy into it), BUT how can one sit back and watch this going on without being concerned?

The markets literally make no sense, down selling of good shares, at least 10 of the shares i have been watching went up 30% yesterday.

But yes, i don't disagree with your view.

 

[KurwaJegoMac]

Bingo.

Hence why I am holding back on buying. Because i would just be trying to recover losses and potentially lose more.

All without a plan.

That being said, alot of my investments are longer term and im tempted to ignore this bumpy road (and very tempted to buy into it), BUT how can one sit back and watch this going on without being concerned?

The markets literally make no sense, down selling of good shares, at least 10 of the shares i have been watching went up 30% yesterday.

But yes, i don't disagree with your view.

In one sentence you're holding back, in another you're holding on and in the third you're tempted to buy. To be frank you're being driven completely by emotions.

Slow down, stop trading and flesh out your plan. Then action it and stick to it otherwise you're going to keep bleeding money.

As the old quote goes: Fail to plan, plan to fail.

 

[alexc2005]

In one sentence you're holding back, in another you're holding on and in the third you're tempted to buy. To be frank you're being driven completely by emotions.

Slow down, stop trading and flesh out your plan. Then action it and stick to it otherwise you're going to keep bleeding money.

As the old quote goes: Fail to plan, plan to fail.

Well, i have a plan. But the market sentiment makes me question that plan.

So yes, i am being driven by emotions. I will learn my lessons though.

 

[Chasero]

Selling CBA today if it reaches around $46.20. (break even)

Now my portfolio mainly cosists of CSL, WOW, TLS and some gold stocks.

Slowly offloading all the 'risky' shares.

My heart can't handle the dives. Sorry I'm out!

 

[KurwaJegoMac]

Well, i have a plan. But the market sentiment makes me question that plan.

So yes, i am being driven by emotions. I will learn my lessons though.

Nothing wrong with questioning a plan - the plan will always evolve over time. The problem is when you abandon a plan and jump onto a new one on the fly without doing appropriate testing.

E.g. jumping from a developed long term 'value investing' approach to short term swing trading without having done any backtesting for your swing trading plan.

Have you backtested your plan over a number of years and trading conditions and has it held up during those conditions? If so, you should stick to it or take a pause from the market for a while. We all have periods where investments won't perform to plan - no strategy is going to generate returns 100% of the time. Sometimes a break can help you collect your thoughts, analyse your plan's performance and make tweaks were necessary. But don't change your plan on the fly without testing it first.

 

[FreshTrader]

Selling CBA today if it reaches around $46.20. (break even)

Now my portfolio mainly cosists of CSL, WOW, TLS and some gold stocks.

Slowly offloading all the 'risky' shares.

My heart can't handle the dives. Sorry I'm out!

Sorry Chasero, doesn't look like CBA will reach 46.20 today, in fact I doubt it will jump the 46 mark, imo.

 

[Tysonboss1]

Selling CBA today if it reaches around $46.20. (break even)

Now my portfolio mainly cosists of CSL, WOW, TLS and some gold stocks.

Slowly offloading all the 'risky' shares.

My heart can't handle the dives. Sorry I'm out!

Hey Chasero,

You still appear to be very jumpy, and you are chopping and changing your plan almost daily, I don't think you are ready to be trading or investing in an active way yet.

What would you think about a more mechanical approach such as the one below.

I think it would atleast allow you to feel like you are doing something in response to market movements without your emotions clouding judgement, and with a longterm approach you could feel happy with both upward and downward movements.

A very simple but effective portfolio policy for the defensive investor is the 50/50 cash vs index fund approch suggested by benjiman graham.

It is a rather mechanical approach in which the defensive investor holds 50% of his funds in cash and 50% in a stockmarket index fund,

Each time market movements upset the balance by 5% the investor adjusts the portfolio back to 50/50 ratio by either selling or buying the index.

So in an advancing market the investor steadily sells stock and in the declining market he steadily buys stock.

 

[LostMyShirt]

Tyson,

That plan does not sound bad at all. I think I'll do some reading on it tonight.

In regards to today - most stocks were in the green, however not mine

Does anyone think there was a lack of volume today? Someone suggested a dead-bounce, I personally don't know.

Also; does anyone think that foreign markets will have a down night? I personally think so - short term profit takers are going to be bailing tonight I believe; though purely speculation.

 

[FreshTrader]

I'm with you Shirt, I'm thinking we'll see a fade tonight in overseas markets while keeping in mind that US stocks got heavily sold off in the last 90 mins or so of trade this morning.
Not planning on buying for the rest of this week.

 

[LostMyShirt]

I'm with you Shirt, I'm thinking we'll see a fade tonight in overseas markets while keeping in mind that US stocks got heavily sold off in the last 90 mins or so of trade this morning.
Not planning on buying for the rest of this week.

I have holdings sitting in the market so I'm pretty much tearing my hair out daily

 

[nulla nulla]

European markets are already open. As at 6:25pm the ftse is down 31 points and the dax 53 points. Hardly surprising that they would have a retrace after last nights bounce, however it is early yet and the djia premarket is showing the djia up 52 points.

It looks like it is anybodys guess as to where they will be at close of trade.

 

[LostMyShirt]

European markets are already open. As at 6:25pm the ftse is down 31 points and the dax 53 points. Hardly surprising that they would have a retrace after last nights bounce, however it is early yet and the djia premarket is showing the djia up 52 points.

It looks like it is anybodys guess as to where they will be at close of trade.

That is true - and yeh t is a no brainer that there would be some short term profit taking.

Lol; this is a good way to develop anxiety

Last night on the DOW, it lost steam towards the end as everyone watched. My belief is that tonight, the traders will be abundant in number and in capital in order experience some nice short term gains. The real suprise was the rate of the DAX and FTSE's rise! I had not witnessed a rise of that caliber for some time.

Wow: DAX down 90 points FTSE down 45; DOW futures are also down. Tonight is not going to be anything to rave about.

 

[Muschu]

European markets are already open. As at 6:25pm the ftse is down 31 points and the dax 53 points. Hardly surprising that they would have a retrace after last nights bounce, however it is early yet and the djia premarket is showing the djia up 52 points.

It looks like it is anybodys guess as to where they will be at close of trade.

Guess is the right word. 30 mins later the DJIA is down 17... 69 variance.

 

[nulla nulla]

Treated today as a sell day, expecting a retrace between now and friday close. Presently limiting trading to those shares we know and are reasonably confident with. Trading the swings and closing out any reasonable profits, not trying to hold in the hope of any run up trends.

 

[Chasero]

^

Still think this is going to happen.

Tuesday Wednesday Green day, then red again towards weekend.

I'm surprised if this rally will have strength towards Friday... as all the charts I've seen are trending down. .

^

Trusted my gut and since tuesday rallied and today was mostly green, I sold out of CBA realising a capital loss today @ 45.65. Mistake? Maybe.

I don't believe in indexes or being 50% one way or another, I believe in changing my strategy as news unfolds. If I think CBA is going to dive below 40 of course I'm going to sell it.

My gut says it's a lot more likely to dive then it will be to hold this stock in the current market.

I've always trusted my instincts when trading and although I have made 2 emotional decisions, this one was an exit price I am happy with.

This gives me some cash in October, where I expect bad things to happen. Sorry, just a pessimist. And given that I have exams in October, I don't want the extra stress.

Of course, first rule of trading is to never try to predict the markets. But the news is just too overwhelming to ignore.