Tuesday, January 22, 2008

What You Should Do Now

Bad day for Wall Street—bad day for Apple, Inc. (AAPL). Just weeks after purchasing shares at $170, the computer/iPod maker sunk below $140/share in after-hours. After 19 straight quarters of blowout earnings—Apple disappoints. If the highest quality tech companies are warning about future expectations—what does this say about the current state of financial markets?

It says a couple things: Growth will slow (at least in the short-run); consumers will continue to tighten their belts and curb frivolous spending. In addition, companies that don’t report blowout future growth will get pounded. Are we headed for a recession? It certainly appears that way.

Things are bad. No doubt. However, I’m not panicking—and I don’t plan to sell my shares at a loss. Times like these separate the real investors from the amateurs—the resilient and patient veterans from the uptight day traders looking to make a quick buck. If I can give you any advice at this point it’s this:

- Don’t sell your current holdings. Weather the storm.

- Patience is a virtue—do you have any? Those that sell now will likely give up one full years worth of gains—but wait—this is why you dollar-cost average. Continuing to buy now gives you more shares at a lower price. When the index funds/stocks rebound, it’s a double whammy for your portfolio.

- What do you buy now? The whole market. Little by little. The S&P 500 is at a 52-week low. Keep buying. You’ll thank me in 30 years.

I currently own shares of Apple, Inc.

9 comments:

Cameron Schaefer said...

I love when the market tanks for the simple reason that all the kooks come out saying that the world is coming to an end. Ramit Sethi is right, its really entertaining! Let the mindless herd sell, it just leaves more value for the rest of us as we buy our shares at a large discount.

Andrew Pratt said...

Oh Apple... it does appear that Wall Street's expectations are going to devastate a lot of stocks. Everyone seems to be looking for that "too good to be true" stock, and when it isn't...embrace something. I am fortunate enough to have had a lot of cash from a sell off at a a good time. I am cautious, and buying a little at a time is definitely the best way to go. There is so much volatility, that if you watch everyday, you are just going to be confused as to what drives it each day. Take yesterday's 600 point swing. If you are not comfortable with investing, don't watch what's happening everyday. It will do more harm than good over the long run.

艾丰 said...

jianbin0618
polo ralph lauren
gucci outlet online
mulberry handbags
michael kors outlet online
mont blanc pens
nike air max 90
christian louboutin uk
hermes outlet
ray ban sunglasses
rolex uk
louis vuitton handbags outlet
mulberry sale
coach outlet
pandora outlet
bottega veneta outlet online
ferragamo outlet
mcm outlet
longchamp solde
mont blanc pens
mlb jerseys
christian louboutin online
ferragamo shoes
louis vuitton handbags outlet
ralph lauren uk
mulberry outlet
ferragamo outlet
tiffany outlet
jordan pas cher
sac louis vuitton pas cher
michael kors wallet sale
tiffany jewelry
true religion jeans
football shirts
air max 90
cheap replica watches
swarovski crystal
rolex watches
ray ban sunglasses

Chen Jeje said...

kobe basketball shoes
tiffany online
http://www.outlettiffanyand.co
yeezy shoes
nmd adidas store
fitflops clearance
air jordan
fitflops sale
http://www.chromehearts.us.com
nike polo
michael kors uk
kobe shoes
oakley sunglasses
cheap nfl jerseys
tiffany and co
yeezy shoes
michael kors outlet online

dada24 Xu said...

stephen curry basketball shoes
louis vuitton uk
michael kors canada
cheap jordan shoes
valentino bags
supra store
christian louboutin shoes
adidas nmd runner
canada goose uk
polo ralph lauren
louis vuitton outlet online
moncler jackets
timberland uk
ray ban sunglasses outlet
kobe bryant shoes
versace sunglasses
coach outlet online
ray ban sunglasses
north face outlet
air max 90 white
michael kors outlet online
nike air force black
abercrombie outlet
adidas superstar white
nike air max 95
pandora charms outlet
coach outlet online
michael kors outlet
coach factory outlet online
coach outlet online
tiffany outlet
nike air max 90
new balance shoes
2016812caiyan

chenlina said...

prada handbags
juicy couture
coach outlet
louis vuitton outlet
louis vuitton outlet
insanity workout
true religion jeans
timberland boots
michael kors outlet
burberry outlet
michael kors handbags
cheap oakley sunglasses
louis vuitton handbags
pandora jewelry
canada goose
hollister clothing
jordan shoes
cheap jordans
polo ralph lauren
moncler outlet
christian louboutin sale
coach outlet
ray ban sunglasses outlet
lebron james shoes 13
ralph lauren uk
toms shoes
coach outlet
louis vuitton outlet
burberry outlet
louis vuitton outlet
ugg boots
michael kors handbags
coach outlet
red bottom shoes
coach factory outlet
celine outlet
adidas nmd
michael kors outlet
mont blanc pen
louis vuitton outlet
chenlina20160908

兮兮 said...

20160919 junda
true religion outlet
rolex watches for sale
air max 90
ed hardy clothing
oakley sunglasses wholesale
nike blazer pas cher
mulberry outlet
michael kors outlet clearance
kate spade handbags
bottega veneta outlet

Unknown said...

birkenstocks
michael kors handbags
ray ban sunglasses
cheap jordan shoes
boston celtics
ralph lauren
gucci outlet
hugo boss
mlb jerseys
asics shoes

Unknown said...

jianbin0318
mcm backpack
iphone case uk
ralph lauren polo
louis vuitton outlet
michael kors outlet
fitflops sale clearance
ed hardy tshirts
michael kors outlet clearance
true religion jeans
ecco shoes