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...

How does Macro affect the stock market and companies?  Macroeconomic <Federal Reserve GOV>  Macroeconomics is the study of whole economies--the part of economics concerned with large-scale or general economic factors and how they interact in economies. <Investopedia> A macroeconomic factor is an influential fiscal, natural, or geopolitical event that broadly affects a regional or national economy. The relationships between various macroeconomic factors are extensively studied in the field of macroeconomics.  Examples of macroeconomic factors include economic outputs, unemployment rates, and inflation.    Macroeconomics look at the elements of inflation , unemployment and economic growth - driven by monetary/fiscal policies and structured in different market models (essentially capitalist versus non-capitalist).  Some of these (inflation, unemployment & economic growth) are causes, some of these effects and some are both. Factors affec...