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Wall Street in panic, S&P 500 plunged 3.16%

FED
(Source: Hedgeye)
 
At one point today, the S&P 500 plunged 3.16% below August 2015 lows. Wall Street is in panic selling and stop losses are now being hit.

FED is still clueless.

But do not worry. My coworkers who normally have no clue about stock market noticed this and started asking if they should sell their 401k holdings to protect themselves from selling.





2 responses to “Wall Street in panic, S&P 500 plunged 3.16%”

  1. Gary says:

    Your right about co-workers being clueless about their 401k savings. Most do nothing and hope their dollar cost average might work in their favor. The fund I have my 401k money in took a huge loss last year. I, being a proactive investor, moved my money back and forth several times between the fund I was invested in when it hit a high and sold it to keep profits and moved the money into the money market fund. Then when the same fund took a major drop I just repurchased shares again. Was able to do this 6 times during 2015 and made a 16% return. I sold again in the last part of 2015 when the markets moved back up and now am waiting for the current correction to get close to bottom to buy back again. Most people do not have a clue they can do this. By the way I keep this money in a Vanguard S&P index fund held in my 401k that is with Fidelity.

    • Martin says:

      Hi Gary,
      It is actually a good sign that we are probably at the bottom when even these people start talking about the market, then it is typically too late. It was the same with gold when it was trading at $1900 an ounce and everybody started talking about gold ans I have read articles in media about retails buying gold at the street brick stores. That was really a top.

      I do not move my 401k the way you do it as we do not have too many opportunities to invest in so I only trim gains from funds showing gains and move it to the losing funds but keep the rest as is.

      Thanks for stopping by!
      Martin

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