I'm out of my wheel house here and pretty anxious. I'll try to keep this tl;dr:
*Closing on a house early October
*Using Roth IRA stocks as my down payment, currently only have a little under $38K
*Need to liquidate and sell all stocks ideally by Oct 1st
*DOW has been trending downward since September
*Was hoping to sell once DOW hit 28500, but I need this done within a couple weeks and am now unsure if the market is just going to continue trending down.
Basically just a classic stupid case of not knowing if I should cut losses and sell now, or if there's something in the next couple weeks that could bump the market. I've lost $1500 in the last few weeks.
I know piss all about stocks, I've had this account set up since I first started working in my early teens and it's just been sitting accumulating money. Tbh I've barely paid attention to it until this year minus feeding cash into it.
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09-18-2020, 06:56 PM #1
Forecast/Anticipations of DOW-JONES Index Over Next 2 Weeks?
drvillain PM's mods to do his bidding - CONFIRMED.
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09-18-2020, 07:47 PM #2
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09-18-2020, 08:14 PM #3
I'm up overall, just down for the first time by a decent amount for the first time this year. I kinda figured any speculation as to what can happen in the next couple weeks would be pretty loose, just didn't know if there was some market/political/COVID etc thing someone may be aware of coming up that could impact trading.
This is probably a rather silly topic but like I said, I've basically just blindly dumped all of my retirement funds into this account without ever really paying much attention to it until recently, so I have a pretty poor grasp of how this works tbh.drvillain PM's mods to do his bidding - CONFIRMED.
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09-19-2020, 06:27 AM #4
- Join Date: Jul 2012
- Location: Kansas City, Missouri, United States
- Age: 29
- Posts: 9,332
- Rep Power: 83705
1. don't invest in the dow jones (seriously, look up the investment philosophy of the dow jones, its a price-weighted index of 30 random stocks... its literally meaningless and has no correlation with the economy or broader market)
2. nobody can time the market
3. maxing your 401k and IRA are the best long-term investments for most people (same return as stocks but with tax advantages). A house is a good investment, but not worth selling off holdings in your 401k/IRA to buy one. Its also not worth not maxing out your retirement accounts so that you can afford a house (IMO). The only way you're going to beat the long-term return of your 401k/IRA with a house is if you're living in it while renting out the remaining rooms (which is what I do )
I don't think you should liquidate your IRA (you can only put in $6k/yr into the best investment you have available and you're going to use it on something else? you should be using money put aside for individual stocks, not your IRA)
But money in stocks that you've owned for several years (and therefore are exposed to long term capital gains) would be good to free up for your down payment.
tl;dr sell your dow jones and buy a house
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09-21-2020, 04:10 PM #5
I personally wouldn't even buy a house right now. I've been reading WSJ and Marketwatch daily and housing prices are being constantly reduced so they can sell which means the demand to buy is down, people aren't getting the loans they want to buy. %'s are also showing a huge trend in delinquency on mortgages, which means we could be at another housing bubble pop soon. The reason it has taken so long to happen is the loan forgiveness tools the govt is still using. Those should run out soon, but do your research and don't quote me word for word on this.
Keep the money in the stocks and keep saving for when the opportunity comes. Also move your money to a better fund.★★★ A State of Trance Crew ★★★
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