Have you heard the chatter about a coming recession given all the economic indicators? During a recession, the best stocks to hold are those that pay amazing dividends or companies that tend to do well during a recession such as consumer staples. Recession or not, this is a great way to diversify your portfolio with some low beta names. Mixing these with some growth, speculation, value and maybe so hedging is a great way to secure your investments.
Are you a long term investor looking to live off company dividends after retirement? These are three GREAT companies that will always be around and will continue to succeed! Dividends are direct profit payments to investors that are distributed on a quarterly basis. Essentially, the more these companies make, the larger the dividend you will receive! For every share that Kris purchases of $JPM, she will earn $3.87
Are you aware of the global money supply distribution? The USA remains at the top of the World Order or some refer to the USA as the “Superpower”. More wealth lives in the USA than in any other country due to its practice of capitalism. Ray Dalio has studied history and believes that a new World Order is a few decades away and he believes China will be at the top. Meaning that the world will stop using the US Dollar as the global currency and instead the Chinese Yuan.
Are you planning on trading some breakouts tomorrow? There are a few things to look for before taking any trade. This is called planning your trade, also known as not trading blindly. There has been a lot of chop and sideways trading lately but some stocks today showed some decent breakouts. Major short squeezes might be on the horizon given the promising CPI data. Take a look at names with high short floats and you might be able to find some names at support!
Have you experienced a "Shakeout" while trading? Everything is pointing in your direction from technicals to fundamentals but there is still that moment where you get spooked. This is called a "shakeout", and its a tool devised by market makers to takeout retail stop losses.
Are you looking for bullish trades this week? Here is a great pattern every trader should recognize on low and high time frames. Falling wedges are produced when bearish traders can't break price to the downside and become exhausted; then giving bullish traders the upper hand causing a squeeze to the upside. Spot gold has produced this pattern on a daily time frame and favored the bulls the last two months. Where do you see the price of gold going from here?
The CEO of Tesla, SpaceX and Twitter is now worth $137 billion, according to the Bloomberg Billionaires Index. But at its peak in November 2021, Musk's net worth was $340 billion making him the first person ever to lose $200 billion in wealth. That's about the same size as whole countries' GDPs! The bulk of Musk's wealth is tied up in Tesla, whose stock plunged 65% in 2022. Would you still invest in Tesla stock? Or has they hype train left the station?
Do you believe in the future of these companies? Some of these stocks have gone below pre-COVID levels after seeing gains of over 100% in 2021! Have the fundamentals of these companies changed or is the current environment given the Fed's Fiscal Policy. There seems to be more Tesla's on the road than ever but yet the company has had Billions wiped out of it's market cap just this month. Where do you see these companies by the end of next year?
Where you around during the 2001 Dot Com Bubble? The majority of the stock market took a beating but especially the tech sector which had become overvalued. Amazon was down 90% during the tech collapse but Jeff Bezos initiated a share buyback when he noticed the stock price and fundamentals had become disconnected. Netflix is one of the worst performers of the $SPY for 2022 but it’s fundamentals continue to grow stronger. Where do you see Netflix going in the next 2-3 years? . .
Did you notice the massive slowdown of hiring in tech companies this last year? Companies pivoted early this year in an attempt to cut losses come any economic slowdown. The economy has been running hot for years and revenue have gone parabolic for many of these companies; parabolic growth eventually flattens out and leads to a slow down. No better way to prepare than to find the sectors which can be handled by fewer employees.
Do you plan on investing in stocks that pay dividends? This is one of the best ways to secure your retirement! Contributing to your IRA every year so that by the time you’re retired, you’re living off dividend payments every month! How does that sound? Getting paid to invest in successful companies! . Follow @optionsswing for more! . . #lifetstyle #motivation #inspiration #investment #personalfinance #financetips #stocks #financialliteracy #financialfreedom #markets #optionsswing
Does the saying "slow and steady wins the race" fit your trading style? If you are a patient trader or investor, these are ETFs you should definitely consider looking at! ETFs tend to be low beta meaning they are not as volatile as individual stocks which tends to bring a slower return but a safer one for sure. Take for instance the SPY versus one of its holdings, Facebook; Facebook is down over 65% this year while the SPY is only down 20%!
Have you started investing towards your retirement yet? It's never too late but the sooner the better! Compounding 10 years earlier will yield a much larger return based on historical data! This is based on an average annual return of 8% which the major indices have provided the last decade! SPY, QQQ, DIA, VOO and many more ETFs or indices that are loaded with great companies are a great way to start! Let us know what ETFs or stocks you are looking into!
Do you test your luck every now and then with the Lottery? Sure, you have the same odds as everyone else, but those odds are strongly against you. Would you put money on something that was almost guaranteed to be a loss or would you rather put that money towards something with MUCH better odds? Long term investing has proven to be beneficial time-after-time no matter what recession the world has gone through. In the end, the economy and companies return to their glory.
What do you think our current President did wrong to cause such high inflation? Was it even the President’s fault or is the Federal Reserve to blame? A domino effect took place from Covid lockdowns. A combination of shutting down the world economy, stimulus packages being handed out left and right and ongoing supply chain issues have driven inflation to levels we have not seen in decades! What will happen when the dollar dies and inflation continues to run hot?
Would you say the 2020-2021 market was a bubble? The last bubble we had was the 2001 Dot Com bubble in which tech companies were given wild evaluations but eventually melted down once their earnings did not reflect stock price. So what happened in 2022? These are all solid companies that surged and gave amazing returns if one was not greedy! What do you think of them now? If the Federal Reserve does not back off rates, will they keep going down? Or has inflation peaked?
Did you know that there’s many ways to remain profitable during high inflation periods? Looking at the sectors that prosper during these periods of inflation is the best way to avoid any major downturns in your long term investment portfolio. These companies listed offer products that people tend to buy as a necessity; these are known as consumer staples. Let us know what other companies you believe remain highly profitable during periods of high inflation!
What happened to these “Blue Chip” stocks this year? Trillions of dollars have been wiped from the market. Companies that reported record revenue but are still down over 30% from its highs. So what changed? Let us know what you think in the comment section! . . Follow @optionsswing for more! . . #crypto #bitcoin #btc #eth #bullish #investment #personalfinance #financetips #stocks #financialliteracy #financialfreedom #markets #optionsswing
Did you receive any Dividends from your stock holdings this year? Although the market was trending down for the most part of this year, investors still received record amounts of Dividends! Long term investors do not care about current stock price, they care about how they see the company doing 10 years from now. As long as the companies reports a profit, investors get a piece of it!