Breaking: China Halts Stock Trading After 7% Rout Triggers Circuit Breaker

Lest we forget our lesson,..

Buy low, sell high.

Basic stuff emotions cloud.

This is the buy low part we are entering.

originally posted by: AugustusMasonicus
a reply to: BatheInTheFountain

No, actually I look at this as a great buying opportunity.


Full disclosure, I will be loading up on one of my favorite companies, Union Pacific (Symbol: UNP).

Don't forget Smith & Wesson (SWHC) and Olin ammunition (OLN)

a reply to: IAMTAT

Bought them and Sturm the other day. I may go and grab more.


Thanks Obama!!!!!!!!!

a reply to: AugustusMasonicus

What price is your buy for UNP?
It's dropped a lot since Wed.

China has announced that it is to suspend the circuit-breaker mechanism that cuts in when the market falls 7% on Friday.
Tomorrow could be interesting.

China will suspend its new stock market circuit breaker as of Friday, the Shanghai and Shenzhen stock exchanges said on their websites on Thursday, after the mechanism sparked sharp falls in the country's volatile markets.

The breaker, in place since the start of this year, was designed to temper the market but instead caused a wave of selling. Analysts and investors said the trigger levels were too low and too close to work effectively.
www.reuters.com...

Guys, this might also be a good buying opportunity for Apple and Fitbit. I have been watching both of these and they are down irrationally today. You can get them both on the cheap and both are good companies.

I am having fun today. Already filled orders on four different stocks that I never thought would fill at the levels I had. It is a great day when all the hedge fund managers panic. Time for the little guys to get revenge and buy on their fear.

ETA: Please do your own research!

Another thing.

As soon as I buy a stock I have the next buy and sell order set on a good till cancel. I select the next price point where I would want to get more and the price point where I would want to reduce a position. This way I am always dollar cost averaging and I also take profits when the stock goes up. I never sell it all though.

Trading around positions in 8-12 stocks that you know very well tends to work for me. I always know what stock I want next and which one I will reduce or sell if I need capital.

originally posted by: IAMTAT
What price is your buy for UNP?
It's dropped a lot since Wed.

I bought at $72.50. I have a buy order in for more shares if it hits $70.

It will be back up by the end of the year, the long term prospectus is solid. I sold some when it was in the $90's prior to the holidays and I am restrengthening my position. It is one of my favorite long-term buy and holds, I have been involved with it since 1998.

a reply to: Metallicus

I like your approach Metallicus. Solid strategy that keeps you from getting fried. The slow and steady approach is the best, the greedy people get hosed.

originally posted by: IAMTAT
AugustusMasonicus

I've worked for UP for a little more than a year and I will tell you that we're hurting.

Car loads are down. Diesel is cheap so OTR trucking is now cheaper than rails, fracking has halted so there's no frack sand shipping and coal fired plants have been forced closed so coal loads are down.

In all seriousness all the railroads are worried. They're hinting at furloughs soon for us and we've been in a hiring freeze for over 6 months.

originally posted by: lipton1

originally posted by: IAMTAT
AugustusMasonicus

I've worked for UP for a little more than a year and I will tell you that we're hurting.

Car loads are down. Diesel is cheap so OTR trucking is now cheaper than rails, fracking has halted so there's no frack sand shipping and coal fired plants have been forced closed so coal loads are down.

In all seriousness all the railroads are worried. They're hinting at furloughs soon for us and we've been in a hiring freeze for over 6 months.

Thanks for the info. It looks like things are worse than most know. It's always good to get true inside info. I'm not talking about for investing, just to know how the economy really is fairing.

StoutBroux

No worries.

It's bad enough that a lot of the old timers are saying it's the worst they've seen. Now I'll grant you that they may just be blowing smoke, but from my POV things are really, really slow.

I'm a glorified electrician and work on the rails on a daily basis. It's become really easy for me to close a section of track for over an hour to do work, whereas a year ago I'd of been laughed at for making tbe same request.

Honestly I'm pretty worried. Railroads are a pretty good barometer of where the economy is headed, considering they haul the commidities that fuel the economy. If we're slowing down, everything else will follow in short order.

Worse from an old timer is reletive.

"Back in my day, gas was a dime, the family could eat out for two bucks, worked at the mill for 40 years and earned a retirement, and we didnt need no fancy schmancy horseless carriages. "

Those days are gone.

I live near a railroad. They call it the gateway to the west. Actually I dont know ehat its called. But it isnt far from the golden spike. And the trains never stop hauling shipping containers. Many many trains every day. And it never stops. So I dont see it. But you are an insider, so I have to take it at your word.

a reply to: lipton1
Thank you for the insider tip. I am however in it for the ling haul (no pun intended), I have been a Union Pacific investor for some time and it is a solid long term buy and hold.

originally posted by: smirkley
I live near a railroad. They call it the gateway to the west. Actually I dont know ehat its called. But it isnt far from the golden spike. And the trains never stop hauling shipping containers. Many many trains every day. And it never stops. So I dont see it. But you are an insider, so I have to take it at your word.

The is the Union Pacific's Overland Route which is part of the original Transcontinental railroad.