Stock Market, Business, and Investing General - News, Tips, etc

Dutch Courage

Curious Onlooker
True & Honest Fan
kiwifarms.net
Futures pointing to a 5% to 6% gap up at the opening bell.

I'm no expert, but I think the technical term for this is "sucker's rally" Absolutely nothing has been resolved between yesterday and today, except that more businesses are closing down for the month (insert optimistic rainbow here).

As for comparisons to the 2008 meltdown, so far the similarities are eerie, even if the underlying causes could not be more different. I remember those days well; we'd get five straight days of 5%+ losses, and then one big 7% up day. All the noobs came out of the woodwork to buy at the bottom. Then, the bottom fell out. Over and over for months.

I don't think this is that bad yet, but each day that businesses remain shut and more businesses join them (and we are talking about sports leagues and theme parks and cruise ships, not to mention schools...), the worse the underlying fundamentals become.

There's only one way out of this mess: rate of infection has to drop off. I'm no doctor either, but we (optimistically) are at least a few weeks from there. A lot of damage can occur in a few weeks.

I've been wrong before (many times), but I'm inclined to choose my battles and stay short for now until the picture is less murky. Absence of positive hard news on the virus front is the enemy of the market.
 

Very Honest Content

(Formerly a) Niggo(?)
kiwifarms.net
What would I do with an oil option. How could I even trade commodities on my own?
If you don't understand the vehicle you are investing in, don't do it. Full stop.

As to your question, most common way is open a margin account with a broker and then use your funds to buy the call or put on stocks or commodity you're interested in hedging.

It's probably exceptional but I want to ask, if the stocks goes down for everyone then isn't the result that things are the same?
You're exceptional. It's all relative, between what happens to the market prices of whatever asset you're talking about and the individual's relational position to that particular asset as it comes to exposure, long or short, call or puts owned attached to it. If one has no exposure, you're not as affected directly, if one has more exposure, they're affected more than others who have less exposure to the same thing. Everyone who holds positions that are considered 'long' in their account is seeing value disappear in a potential sale to fiat currency (cash), so less wealth to spend for them. I won't even touch on the underfunded pension crises in this post anymore than mentioning it tangentially here, but rest easy knowing the baby boomer's are going to be making legally required distributions from their retirement funds outside of any pensions they have while the market is tanking for the foreseeable future, that should be fun for them huh?

Futures pointing to a 5% to 6% gap up at the opening bell.

I'm no expert, but I think the technical term for this is "sucker's rally" ...
'Dead cat bounce'? Generation Zoomer, hope you guys got plenty of lube, because your adult life is going to be spent getting economically fucked so brutally at this rate you're not going to need paper to wipe with.
 

Stoneheart

kiwifarms.net
The last time something like this happened I bought Ford Stocks the day after GM filed for bankruptcy. Those things were going at a firesale for about 2.5 bucks a share. Made a nice killing. Looking into doing something similar again. You really can't go wrong with the Blue Chips in this scenario, but you gotta be willing to sit on them for at least a year or two.
I have a whole list of possible STAWKS to buy, Blue chips with low debt and small caps that got nuked by the trend but have very low risks from the virus and a downturn.
 

melty

Proudly sponsored by Mike Bloomberg for president
True & Honest Fan
kiwifarms.net
Another circuit breaker incoming? How about two? I wouldn't be surprised to see Bitcoin take another dump too, I kind of expect it.
 

HOMO FOR LIFE

flaunting her autism like a title of nobility
kiwifarms.net
Why don't I print my own currency and slap a -0.05%? lol what's the value of this currency anymore.
 
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