MHh
08-16

#S&P 500 Hits Another Record High! Time to Chase the Rally or Stay Cautious?


The S&P 500 has been hitting record highs for a few years now. Considering this bull run has lasted for years against a backdrop of the war in the Middle East does get me worried. Although the inflation numbers has been reassuring, the job market and retail spending has started to cool which makes me think that the bull is due to market optimism on a reduced rate hike probability rather than being supported by actual economy.


At this point, I definitely won't chase high as the risk has heightened and potential room for benefit has reduced. I would prefer to wait for a pullback. As an investor with the long term view, I prefer to the dollar cost averaging approach with a preference to add more positions at a lower price and holding off addition of positions when the cost is high in situations like now. 


In the longer term, I am still optimistic on AI and technology and these sectors will offer outsized returns. As a busy investor, I am opted to just buy ETFs like SMH as I think it is too early to identify sure winners for now and to also minimise the volatility to my portfolio. Another ETF that I like is VTI as it allows me to buy the world's index with minimal homework needed and helps keep me on track with my investment goals with a great diversity of sectors. 


@SR050321 @HelenJanet @SPOT_ON @LuckyPiggie @DiAngel @Success88 @Kaixiang @Fenger1188 @Universe宇宙 @Wayneqq come join


@Tiger_SG：🎁Reward: S&P 500 at New Highs: Bull Run or Pullback?
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • HaroldAnderson
    08-17
    HaroldAnderson
    I trimmed SMH already, and the S&P 500 forward PE is still stretched. Does that risk premium really feel enough up here?
    • MHh: 
      Depends on your risk appetite and how optimistic you are. I maintain a small position still so that I don’t miss out entirely
  • MichaelPerez
    08-17
    MichaelPerez
    Cooling retail is one piece, but core inflation really tamed yet? Waiting for a pullback also assumes the market even gives you one
    • MHh: 
      Core inflation has been fluctuating and market fluctuates along and a pullback might happen. Can’t predict the market so we can only manage our risks by controlling our exposure
Leave a comment
4
1