Wow, what a week for stock trading. The market has had its single biggest drop in recorded history with fears about a pandemic of the Corona Virus and a lovely new oil war starting.
Sure, this will be good for gas prices, but it is horrible for the stock market!
Unfortunately people are seeing their 401K's drop down a bit (hopefully temporarily!).
Their are still plenty of chances to make double - and triple-digit gains left and right.
And, while the rest of the world has been caught up in the coronavirus and all around hysteria, I’ve been consistently producing wins in a market that is down 4,000 points..
That’s the beauty of my day trading strategy. I can find order amongst the chaos.
I have minimum exposure to the horrendous market swings that we are seeing. I just trade the news!
Here is a stock that I traded recently - check it out, it went up 400% in the last week! This was all on news that the company had licensed a treatment for the Corona virus.
Now, do I believe they will produce a treatment? No. This company is tiny and in my opinion they are always just trying to spike their stock price by jumping on things like this Corona virus fear.
I have no idea if the market is going to bounce or head back up to make new highs. Historically, markets struggle during an election year. We are at the end of a long bull market - one of the longest in history.
I am adapting my trading to cope with the volatility. This means no long term investing or even swing trades. I am in and out of a trade within about 20 minutes and focusing on stacking lots of 3% wins.
Traders are doing well at the moment, while investors are feeling the pinch.
I think that as the year goes forward, we will most likely see the markets decrease until after the election in November.
I will be looking at investing in some real-estate as morgage rates are starting to look very attractive! I am thinking that buying some rental property around Austin, TX might be appealing as the area seems to be growing rapidly.
What do you guys think? Stock market trading or real-estate ?