I remember when we had the bad numbers in jan 2008 and the mkt began all those horrible days. I now tend to err on the safe side. All I'm holding is DHF a bond fund paying 12%. I might get out of it but holding about 30000 shares in 3 accts. I'm hoping that people move toward this semi-fixed yields type investments. Maybe this will be a one day thing but I'm somewhat worried and will wait to buy anything until I see some improvement. 2/3 of my powder is dry and I'll be investing very carefully (not like yesterday, all I did was pay commissions). It looks like I dodged a bullet but time will tell. I do wish you all well and should it go against you I feel your pain (I've been there).
I cannot explain the bounce of four to five days last week or so. It was the deadest of dead cat bounces. The market ignored such horrendous news, this week I forecast for a Thursday Friday uncharacteristic pre Labor Day selloff, and sure enough, we got news nobody could ignore.
Selling out now and buying back in cheaper later makes as much sense as ever. However, if you are invested for yield and living off proceeds, you do better losing half your capital but reaping something close to a dividend, then buying an annuity and basically throwing your money down the toilet to get back just the yield.
Yes, selling out now and buying back cheaper, does make sense, but how do you know that NOW the stock is not the cheaper time and if you sell it now that it won't turn around and go up. If we really know we would have sold a month ago. And it certainly looked cheaper at several points and it still went down. I am going to give it another 5%. Then I will consider selling. Hopefully, I will have collected the divvies first. If you think about it, Nothing has really changed for REITS. The SEC has asked for feedback concerning REITS. The FED may use the "twister" to help homeowners. All this is supposition. Once they , the Government realizes they may hurt more than they help, they will probably do nothing. This is just my HO.