What platform is your 401K on?
Mine is Principal, btw. I did S&P 500 because my company didn't include very many options to choose from.
We're using Guideline for it. I like them a lot better than who I had at my previous job. I'm blanking on who it is that Hearst used. Guideline has been nice in that they offer all of the Vanguard funds, do both traditional and roth, etc.
An S&P index is the way to go. That's what I have the bulk of mine in.
I went with that for the low fees, too.
It's been a hell of a move indeed. But that is mostly his point (along with mine). It's all been directly in the face of many glaring red flags that have historically been extremely important to not dismiss about the economy and markets. Bull traps work in such ways. For example... Significantly inverted yield curve, fastest and largest rate hike cycle from the Fed, historically low unemployment and horribly waning consumer sentiment. I'm a chart guy 100 percent, but that's the beauty. I can actively keep an eye on all these since the 80s and they've all preceded large drawdowns in the market.
Plus, I like to trade for value. It is arguable that S&P 500 is over valued at this point.
What if it is?
and VIX is under 14. I have trouble seeing how things continue this way without some corrections.
There's ALWAYS corrections! Reading up on reading charts, and it seems easy, HA HA. They make it look like, here's how to read, make these puts or shorts, make money. I know it has to be harder than that. Wondering if AI like ChatGPT could make what you are looking for in trades easier to find on a daily basis for trading?
It's also completely deviated from its longer term moving averages.. meaning the flow of this VIX crush has been counter trend and has not been consistent with it's longer term upward momentum. A simple reversion to the mean would move the VIX back to 23ish...and at that point would be a big IF we even stop there.
Markets are hard. For even the best investors and traders.
Yes, but what I mean is that all the signs are that we're way over due for one. They're needed as part of a healthy market. The longer we go without one happening, the bigger it's going to be too.
You don't remember the "wonder" trade made by Hillary. She entered a trade perfectly and exited perfectly and made a ton of cash. Everyone kept accusing her of inside knowledge.
I have said this for years, but the technical trading book I am reading just says it right from the start, some of these trading patterns are self fulfilling since it's people who react to the charts, and respond in predetermined ways. YES! The charts themselves don't make a stock go up and down, it's the humans buying and selling and how they respond to the charts!
That continuation very well could be possible.
Well, that's a lot of assumptions as well. Those economic indicators have actual historical relevance with recessions AND 35 percent drawdowns or more each occurrence. But, to be fair, it could be different this time and we remain in a secular bull market. The reality is we have zero idea what will come tomorrow or in 10 years. My money isn't betting on that bullish scenario though.
