Stock market and your crystal ball

Badbeams3

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Continue to slip...or turn around? Is the housing market really going to take it down further...or will the stock market find it`s own legs...ignore the slipping housing problem? Predict the future.
 
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powernoodle

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Powernoodle says: less than five years shows volatility relative to longer time horizon; five year horizon shows likely gains; 10 year horizon shows very likely gains.

Thats about the best prognostication one can do with the stock market, IMO.

See how easy that was? :)
 

mudman cj

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As long as stocks are perceived as having value, then there will always be people acting out of their self interests buying them up to sell at a profit in the future. This tends to soften the fall and can reverse momentum.

I agree with powernoodle if by 'longer time horizon' he means the one only 10 years away. Long term we have to reconcile for the live now - pay later lifestyle and economic policies.
 

LEDninja

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The stock market goes up, it goes down. Up, down, up down. NEVER moves in a straight line.

From 1929 through 1972, 1982, 1987,1997 the stock market likes to take 30%+ dips. A 10% dip used to be called a correction (time to buy). Now unsophisticated investors are panicking over a 3% drop. Do not get into the stock market unless you are prepared to weather a 50% drop.

Over the long term (20 years) the stock market makes more money than other forms of investment. in shorter time franes it can be negative.

There are GAMBLERS and there are INVESTORS.

GAMBLERS jump on a hot stock hoping it will get hotter. There is a greater chance it will drop!

INVESTORS look for companies that make money in good times and in bad times (over 20 years or through the last 2 recessions).
They look for companies that make so much money they don't know what to do with it, so pay it out as dividends.
These companies make more money every year than the last and raise their divedends accordingly. Have to keep up with inflation. As the divedends rise it tends to push up the stock price.
The stock price may go up and down but the dividends keep comming. And the dividends stop the stock price from going down too much.

Here is a website that does research on these kind of stocks.
http://www.mergent.com/
It costs over $200 for their services BUT they have lists of the results on the websitre that you can use as a starting point to research what stock to buy.
List including:
50 highest yielding stocks
50 stocks that raise their dividnbds every year in the last 10
50 stocksthat raise their dividends the most in the last 10 years

I am semi-retired and half my income comes from cashing in a bond or GIC (CD) in my regestered retirement savings plan. The other half comes from the dividends from the stocks and dividend mutual funds i own. Amongst the doom and gloom from tuesdays stock market dip, the financial reporter mentioned of 2 of the banks I own, one raised its dividend 5% the other3%. Everbody else is panicking. I am happy I got more money to spend.
 
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TedTheLed

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go here: http://www.jsmineset.com/

" ..
JSMineSet: We are a service oriented teaching forum that uses the daily market as its text and blackboard. We comment on gold trading, silver trading, the commodities market, foreign currency trading*and stock market trends. Every commentary carries a lesson. The Spin really does stop here..."

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By Ralph Vartabedian, Times Staff Writer
March 2, 2007

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Teams of scientists in California and New Mexico have been working since last year to develop the new bomb, using the world's most powerful supercomputers.

The weapon is known as the reliable replacement warhead and is intended to replace aging warheads now deployed on missiles aboard Trident submarines..."
 
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geepondy

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I too hope past trends will continue. As I have 24 more years until I reach retirement age of 67, I continue to keep my 401k in the aggressive fund. Last year the gain was more then 12 percent and of course I know not every year will be like that but I just hope the law of averages continue.

I hope the housing market improves. I bought my condo as a place to live more then an investment but if forced to sell I don't think I could get what I paid for it 30 months ago.
 

AndyTiedye

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Oct 28, 2006
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Methinks a "green" portfolio will pay off as energy costs rise.
That means both alternative energy and conservation.

There is room for a lot of conservation in lighting, more all
the time as LED technology continues to improve at a pace
that resembles "Moore's Law".
Can anybody think of some undervalued stocks in that sector?
 
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