My Investing Muse

During the bull market, my strategy is to  buy great companies at good discounts . I spend time going through their earnings, understanding their fundamentals, and identifying their moat. Once qualified, I “try” to obtain a fair value and take my position. After purchasing, I hope to hold the stocks for a long time, for decades should the earnings continue to demonstrate that their fundamentals are sound. Will this strategy work in the coming recession? Personally, I do not think so as downward price pressures are coming. My “current” strategy in lieu of recession In lieu of recession, I am buying inverse ETFs. It is buying the market to go down but at a lower expense than shorting. It could take a while before the market turns bearish eventually. I am not planning to add to any of my shortlist stocks during this “bearish” season that could last months. From these inverse ETFs, I have been taking profits and re-investing back the profits from my trades using week or month time hori...

  A strong job report implies that inflation is not coming down soon. Strong job reports imply that people find employment. With employment comes spending. The spending typically supports the demand & indirectly the inflation. We can look at 3 primary macro data - Gross Domestic Product (GDP), inflation & unemployment. Fuel price is trending up, too. This will affect goods & services, transport and utilities. Let's monitor. A strong job report implies that the Fed can remain hawkish too. What is more of a concern is the debt, increasing interest rate, coming debt default, and resumption of student loan repayment after suspension. With de-dollarization, it is not trending in the right direction for the US. Let's monitor. To get a more comprehensive understanding, let us look at the various asset classes. These include real estate, equities (shares), bonds, cold hard cash, commodities like gold & silver and alternative assets like cryptocurrency. I am following se...