Thursday, April 28, 2011

The Stock Market wants to go up…

The Navigate the Stock Market analysis remains a Buy today.  I went 100% long in stocks today.  I went 50% into stocks on the 20 April Buy signal, but I waited to be sure the S&P was going to get above the 1343 area before committing more money to stocks.  1343 on the S&P was where the correction (recent unpleasantness?) started.


Putting 100% into stocks is way too high for most people and I don’t recommend it unless you have a high risk tolerance.  The usual recommendation for exposure to stocks in a portfolio is to subtract your age from 100. The result is the amount you should invest in stocks.  The remainder could be split between bonds, cash, real estate, and these days, commodities.   (Most people get exposure to real estate thru their home, but Real estate investment trusts (REITS) or a real estate mutual fund can be a good addition.  Don’t expect fast growth, but they are good dividend payers.  Price wise, real estate is pretty much at the bottom)

 I probably won’t post again until Monday, or maybe Sunday night. 

 NTMS switched to BUY on 20 April and I currently am 100% invested in the stock market.