Stocks - The Best Buys 2

[bizaro86]

Originally Posted by Winsor_Pilates

but I feel I'd be best to wait for what feels like an inevitable burst and then jump in with both feet.

The only way to know if you have the constitution for this is to actually do it. It's way harder than it seems when you're talking about buying the dip in a bull market.

I bought a huge amount of equities with both cash and debt in March, and it felt like crap. Buying at the bottom means buying when the market is whipsawing around, so you can expect your nest egg to go down 5%-10% in a couple of days, right after you invest. Would you be ok with that? Buying at the bottom also means that everyone will think you're crazy, you'll be bombarded with bad news, and your brain will be telling you to wait for it to go down a bit more to buy at the bottom.

[bluejays]

Yeah, the parts that could keep this going up and up are the borrowing rates continuing to be low and the job situation not being terrible. It sucks to lose out but for me when you miss the chance, you miss it. Getting in to late then see a drop is a terrible feeling.

[Winsor_Pilates]

Originally Posted by bizaro86

The only way to know if you have the constitution for this is to actually do it. It's way harder than it seems when you're talking about buying the dip in a bull market.

I bought a huge amount of equities with both cash and debt in March, and it felt like crap. Buying at the bottom means buying when the market is whipsawing around, so you can expect your nest egg to go down 5%-10% in a couple of days, right after you invest. Would you be ok with that? Buying at the bottom also means that everyone will think you're crazy, you'll be bombarded with bad news, and your brain will be telling you to wait for it to go down a bit more to buy at the bottom.

Yeah I'm very comfortable with all that.
I deal with it on Vancouver real estate all the time and advising my clients to buy/sell against the chitchat and avoid trying to perfectly time the very bottom etc.

This is all very comfortable stuff for me, especially since this is long term investment plans and only 1 area of my wealth/assets.

I am working with a good advisor and we've built my plans around these sort of questions.
But always good to get CP thoughts on things too.

[flylock shox]

I'm basically trying to keep my eye on 3 kinds of stocks right now.


The first is the more speculative group - companies with real potential upside but lots of downside risk too (i.e. they could go 5x within months, or drop to half of where they are right now too). Now seems to be the time to be buying into these sorts of things if they haven't already burnt their surge.


The second kind are larger, well-established companies that are fairly valued at present but are likely to drop like stones if a bubble pops. Companies like SU and ENB are good examples - fairly priced as they are, nice dividends, but could easily drop by 20% if the market tanks, making them good buys if that should happen.


The third are defensive stocks - gold miners mainly - that may actually go up if a bubble pops. I'm currently adding these since they're fairly valued as is IMO.



But, fair warning: I have no idea what I'm doing

[Bankai]

I am mostly invested into green energy stocks. Seems to be the way of the future.

For my speculative plays I am in LAC, WWR, OEG, OPTT.

All four have done quite well for me over the past month.

[Kybosh]

I just bought some Aphria. Ready to ride this wave.

[Table 5]

Originally Posted by Winsor_Pilates

This is what I'm wondering.
Are you guys mostly confident the markets will stay strong or is the general sense that we are going to see a big pullback at some point this year?

I think it all depends in what sector. If you're trying to get on some hot Tesla/EV type stock, I myself wouldn't. Personally I sold most of my tech-sector holdings, as I don't see a ton of upside there at the moment unless its something very specific.

There are sectors though that I think either offer good value or I see lots of upside potential. Value stocks, Precious metals, Uranium/REE, Agriculture, Energy, Tankers, Coal. Often it's the stuff that's hated that has the most room upside if you are patient. I think today you would also be remiss not to consider some crypto (mostly Bitcoin and Ethereum, and perhaps a few alt coins).

You can always leave room for some speculation too...just follow this thread for hot tips, ha.

[agulati]

Holding TLRY for now, even though it saw a 40% spike today.

[sa226]

SHOP is having a nice run......again.

Like a few others around here I'm in ADN and have been adding little bits here and there on the daily lows. Even though my core position is definitely a hold, its hard to curb the frustration on watching it stagnate while others go on a bit of a run.

[bluejays]

Here's a question for the investors. When some of this crazy money falls out of speculative stocks, where will it go? I want to invest in that. I'm thinking the banks and other blue chippers?

[Leondros]

Originally Posted by fleury

Here's a question for the investors. When some of this crazy money falls out of speculative stocks, where will it go? I want to invest in that. I'm thinking the banks and other blue chippers?

Here's two thoughts I had on this. Two options really:

1) The retail investor is here to stay in a big way - Robinhood, and the gamification of the tock market. Most retail does not do a whole bunch of DD, they follow the trend, couldn't care less about earnings multiples or other fundamentals. This will result in less focus on fundamentals and more on sector sentiment. Anything new and exciting that is headline driven will continue to see massive gains.

2) Retail money dries up (stimulus and low interest rates are not forever), bubbles pop, speculative stocks plummet and we see lots of value erosion in the retail side as they were the ones driving a lot of this. Institutions reassert themselves as market movers, the market becomes what it was about 5 years ago with fundamentals trumping all. Institutions are however forever changed with major pressure on the green movement, and social responsibility. This will be a big driving factor on where equity and capital goes.

I am leaning to number 2 more than number 1 but a medium in between is possible as well where retail asserts itself as causing enough volatility in the market and swing trading is likely a more profitable strategy than it ever was before.

[jayswin]

Originally Posted by fleury

The markets going up on no news day after day make me think that this has got to be a bubble. It’s completely irrational. While I’m sitting at about 75% cash and missing this run up, I’m very curious how this all goes. Retail investors are jumping all in and when they get the first sense of a loss and panic I think we’ll get a glimpse of the bubble. It’s not all that concerning but it’s pretty crazy right now especially with the money being thrown at the speculative sectors.

It's not all that concerning if you're sitting on mostly cash is what you meant?
I'm 90%ish cash right now and in a trade group I'm in a lot of big investors (well bigger than me) are sitting pretty heavy cash right now.



I too feel like I'm missing out, but if there's a medium to major correction in the coming weeks there's not a chance in hell I would have timed it so I take solace in that.

[jayswin]

Originally Posted by flylock shox

If ever there was a time for "buy the rumour, sell the news," it's 2021so far.

That's what I'm hearing a lot of, as well. It feels great to keep buying and watching during a time like this, but make sure you stick to your fundamentals and cash out at your percentages and don't just watch everything go up with a gaping smile.

[jayswin]

Originally Posted by Kybosh

I just bought some Aphria. Ready to ride this wave.

Up 83% this week when you bought, are you seeing way more upside than that?

[Kybosh]

Originally Posted by jayswin

Up 83% this week when you bought, are you seeing way more upside than that?

Really hard to say but I'm feeling bullish on cannabis in general for the next year or so and I'm hoping that the Aphria/Tilray merger does well. I don't have a huge sum in here either, just some play money really.

[flylock shox]

Originally Posted by jayswin

That's what I'm hearing a lot of, as well. It feels great to keep buying and watching during a time like this, but make sure you stick to your fundamentals and cash out at your percentages and don't just watch everything go up with a gaping smile.

Totally.


At this point I think you can throw your "disposable" money at anything that looks hot/trendy if you're in very early on it. If you're a little late to the party, or you decide to watch and then buy in hoping it's going to double again, I think you're crash-fodder.



Certainly makes things more interesting - and makes it worth digging and paying attention to news and forums - but it's everything that every investment guru warns against, i.e., when fundamentals go out the window it's a sure sign a bubble is about to pop.

[badradio]

Oops wrong thread

[Braden]

Empower Clinics looks to have some potential, I got in mid December for .25 and mid day yesterday they just released news of a massive deal with Rexall and it already jumped to .48 ticker is CBDT.

Heres a video with the CEO Steven McAuley discussing the deal
https://youtu.be/3-U6XbsEFXg

[MJK]

I will also be starting to add gold to my portfolio as I think this will be strong when the market comes down.

OCG (Outcrop Gold Corp) is raising money right now so it took a bit of a dip, decent spot to buy IMO if you cant get the financing deal.

[MJK]

Weed says very hot!