Latest posts by Livio Nespoli (see all)
- Sell In May & Go Away? Dow Jones - May 4, 2018
- Is Your Best Bet For Trading the S&P 500 Monthly, Weekly, or Daily Trading? - March 23, 2018
- Blockchain, Crypto, And Your Home. . . Sweet Home - March 22, 2018
The daily activity of the S&P 500 Index certainly proves the election had no true effect as the market continued its rise. Historically, there is really no correlation between the presidential election winner and the markets subsequent movement.
One of my favorite subscribers, Duane, asked me the following: “if you have money sitting in cash, would it be wise to invest it all now, or add a little more? My answer is simple. If you believe the markets short term explosive rise is because of the new president elect, do not.
The reality is that you should follow the Members Guiderules so as to try and not miss large market gains, and avoid the bulk of market declines. No one can predict market moves accurately, so it is easier to simply follow some solid guidelines to long term gains and capital preservation.
As you see in the chart below, avoiding the declines could be just as important as making the gains. And a decline is just around the corner.