Are we headed for a Recession

roybean · 01-07-2008, 12:13 PM

What do you think? With all of the talk about subprime foreclosures, credit debt, businesses folding...are we going into a depression?

Recession dead ahead? - MSN Money

hannah · 01-07-2008, 12:52 PM

Damn, RB! You're just a ray of sunshine today...

roybean · 01-07-2008, 01:10 PM

Well it is raining and dark in my neck of the woods, other than that I am fine. I think!

Hedwig · 01-07-2008, 01:21 PM

As I've said before, the media cannot tell you that we're in a recession. It has a very specific meaning in economics, relating to economic indicators being down over a certain percentage for more than two consecutive quarters.

Right now, most of the economic indicators are still up. So regardless of the hype out there, we are NOT in a recession.

centex · 01-07-2008, 01:34 PM

There will be a separating of the wheat from the chaff, but that is expected considering how few people bother to read legally binding agreements when they are blinded by their own personal greed.

Does that equal to a nationwide recession? Not necessarily. With some careful financial planning, the have-nots could become the haves.

hannah · 01-07-2008, 01:41 PM

Quote:

Originally Posted by centex

With some careful financial planning, the have-nots could become the haves.

Such as knowing when to fold?

spinn · 01-07-2008, 07:35 PM

Most major markets are dramatically overbought and poised to come down another 20% or so.

That is not a bad thing.

VexatiousLitigant · 01-07-2008, 11:12 PM

Nope. We've been here before people, but everyone seems to have memory loss each time it happens.

VexatiousLitigant · 01-07-2008, 11:13 PM

I should add, barring any unexpected catastrophic events.

Qtip · 01-08-2008, 08:35 PM

Things are looking a little grim, I have been buying Gold, hopefully can sell it before it goes down lol

I was able to snatch some of the 2007 buffalo gold pieces. The stock market is messed up, I took a beating on apple today

Hoping that they do good on the show next week. I was kind of looking as long term investment, but cannot afford to keep if it continues to go down as it did today.

So my opinion is that we could be headed for recession, hoping that the Fed steps in before all hell breaks loose.

Hedwig · 01-08-2008, 09:24 PM

You shouldn't try to do market timing. It almost never works. Buy and hold is the best strategy.

Right now I'm buying the hell out of good quality stocks. It's like buying at a sale.

Why do people want to get out when the market goes down and get in when it goes up? That's like going to the store, saying "oh, it's half price. Let me sell the one I bought at full price now for half price. But I'll wait until you put the price up to buy again."

If you're going to build wealth, buy Apple (or whatever you want) and hold it.

By the way, if you didn't sell it, you didn't lose anything.

Qtip · 01-08-2008, 10:30 PM

Quote:

Originally Posted by Hedwig

You shouldn't try to do market timing. It almost never works. Buy and hold is the best strategy.

Right now I'm buying the hell out of good quality stocks. It's like buying at a sale.

Why do people want to get out when the market goes down and get in when it goes up? That's like going to the store, saying "oh, it's half price. Let me sell the one I bought at full price now for half price. But I'll wait until you put the price up to buy again."

If you're going to build wealth, buy Apple (or whatever you want) and hold it.

By the way, if you didn't sell it, you didn't lose anything.

I did not sell it, I was thinking about giving it one year, it still hurts to see the paper loss

Hedwig · 01-08-2008, 10:39 PM

Yea, but I took a $20K loss on paper not long ago.

Within six weeks I was back up $25K.

Pale Rider · 01-08-2008, 10:59 PM

No recession for now. But, the media will keep trying to get us into one.

Hedwig · 01-08-2008, 11:12 PM

Exactly. That's the problem when people get all their news from the internet and TV cable news sources.

Economic news should come from reputable economic sources, not from some media mogul. When the economic and business sources start talking about recession, I might give it some consideration.

spinn · 01-09-2008, 09:33 AM

Quote:

Originally Posted by Hedwig

You shouldn't try to do market timing. It almost never works. Buy and hold is the best strategy.

Right now I'm buying the hell out of good quality stocks. It's like buying at a sale.

That is exactly wrong and financial suicide....especially in the current environment.

There is no need to even try to market time. Just sell if it goes below the 50 day or 200 day moving average....easy.

If one had "bought and held" when the Nasdaq was at 5000.....it will take most of their lifetime to get back to break even.

Qtip AAPL could go back down to $70 over the next year or two. PM me if you want me to tell you why.