Let me stress, being down (while it feels like shit), isnt the end of world depending on the scenario. It depends on the quality of the stock and the timeframe you are holding for. Example, If you bought MSFT yesterday as an entry you would be down today because of the Ukraine news. MSFT is quality and it will turn back north at some point. This is why I stress to really avoid the meme stocks unless you are using a very small amount of your total portfolio for "speculation".This is a helpful perspective for me. Obviously COVID profits can't last forever (everyone at home + free money). I would've been much better off to use my IRA's to play the COVID bumps and gtfo when the market started showing weakness. Bc, as you say, the market is forward looking. The market took their profits in Nov/Dec and started looking elsewhere.
I stayed where I was and I'm down 25% across all my shit. Crypto's down 50%. Luckily I'll still have money to throw in every month.
There is nothing wrong with up to 5% of your portfolio allocated to high risk plays. The other 95% you need to trust to high quality plays and indexes. My PYPL position is ugly looking right now. I have accepted its gonna take a year or so to turn it around. The company makes money and it isnt going anywhere so i just have to ride it out. This is also why I care so much about positive earnings and build around it on my holds.
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